Capital Markets - , ,
AFS was set up to help some institutions to close the funding gap and expand strategic sources of funding. The current market conditions have created difficulties for the providers of finance to retail and small business customers. The residential mortgage market, in particular, is suffering from a lack of funding. The solution comprises a combination of raising new capital, capital relief and new funding structures that cut some of the cost involved with the traditional retail banking model.The same methods can be applied when raising funding for insurers ahead of solvency II.
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