Structured credit
Our structured credit team originates, repackages and distributes credit risk to the capital markets, with our current structured credit products including arbitrage CDO – fully distributed – and correlation trades – credit CPPI, negative base trades and structured notes. We are also active in multiple asset classes including Asset Backed Securities, Mortgage Backed Securities, property and credit derivatives.
The natural advantages of using Lloyds TSB as a partner in this market include:
- Capital, liquidity and excellent credit rating.
- Considerable credit risk management expertise.
- Significant amount of assets on balance sheet available for repackaging.
- Sizeable retail customer base.
We have significant distribution capabilities, and our key attributes in this arena are:
- Liquidity facilities – our existing book of £42bn* makes us one of the largest providers in the global markets.
- Global client coverage focusing geographically on UK, Ireland, France, Germany, Austria, Switzerland, Benelux and US.
- Warehousing capability – our experienced team place structured and non-vanilla credit products.
- We are one of only a few Aaa rated banks operating in the wholesale markets.
- Our name and our credit offer diversification to investors away from the limited amount of other well-rated institutions.
- Investors have ample credit capacity for our name.
We are experiencing strong investor interest in our combined credit offering, making Lloyds TSB a significant strategic partner to our clients.
*Information correct as of 1 June 2006.