• BANK 4.6.6 BANK 4.6.6 Firm as originator

    A banking business firm is an originator of a securitisation if:

    (a) the firm originates, directly or indirectly, underlying assets included in the securitisation; or
    (b) the firm serves as sponsor of an asset-backed commercial paper programme (or similar programme) that acquires exposures from third parties.
    Inserted by QFCRA RM/2017-2 (as from 1st April 2017).

    • BANK 4.6.6 Guidance

      1 In relation to a programme that acquires exposures from third parties, a banking business firm would generally be considered a sponsor (and, therefore, an originator) if the firm, in fact or in substance, manages or advises the programme, places securities into the market, provides a liquidity facility or provides a credit enhancement.
      2 Acts of management would include handling related taxes, managing escrow accounts, remitting payments and obtaining insurance.
      Inserted by QFCRA RM/2017-2 (as from 1st April 2017).