One of the main consequences of the use of such instruments is that large amounts of credit that were previously predominantly illiquid (such as bank loans) then became liquid and could potentially be traded in financial markets. However, we must not blame such credit risk transfer instruments and vehicles per se .
I am confident that those instruments generating real economic value will survive the crisis, albeit probably at much reduced volumes, in less complex structures, with improved transparency, and subject to financial regulation and supervisory structures.