Or, we can look for ways to encourage more originators or conduits to keep a portion of the product they are selling on their books – in particular, a portion of the riskiest tranche. BIS Review 119/2007  3  So, there are market-based ways that could help to resolve the problems in the market for asset-backed securities.
This is a stated policy objective of the European Commission. [8] Similar legislation is being enacted around the world, such as the Inflation Reduction Act in the US.