Yesterday the ECB announced that, as of October 16th 2013, RMBS and ABS of SME loans that do not comply with the loan by loan disclosure requirements as managed by the European Data Warehouse will no longer be eligible as repo collateral. The ECB did indicate, however, that it would be prepared to make exceptions on a case by case basis if an adequate explanation of non-compliance was provided. Other types of securitisations are not excluded as they do not, as of yet, have loan by loan disclosure requirements. Those are expected in due course and it is anticipated that such securitisations will then also become ineligible unless compliant. The ECB announcement may be found
here.
