Date
Time

Start time: 5.30 pm (with tea/coffee and biscuits available from 5.00 pm) 

End time: 7.00 pm 

Venue
The Fitzwilliam Hotel Dublin, St Stephen's Green, Dublin 2, D02 HE18

In-person: Synthetic Securitisation Event

Synthetic securitisation has the potential to decrease systematic risk in the banking sector, reduce the leverage of banks and thereby improve their financial position.  Synthetic securitisation also has the economic advantage of weakening the link between banks deleveraging needs and credit tightening.  Access to securitisation can therefore have an impact on the availability and cost of credit for a wide range of economic actors including large corporates and small and medium sized enterprises. 

Synthetic securitisation involves transferring the credit risk of a pool of assets such as bank loans to corporate borrowers without transferring ownership of the assets themselves.  This is achieved using a financial guarantee or a credit derivative, such as a credit default swap, whereby the bank that originated the loans buys protection against losses that may arise on those assets.  The underlying assets remain on the bank's balance sheet, but the credit risk associated with them is transferred to third-party investors.

Banks are motivated to engage in synthetic securitisation for a host of reasons including: (a) achieving regulatory capital relief by reducing risk-weighted assets; (b) maintaining ownership of the loan assets thereby enabling banks to continue managing client relationships and cross-selling opportunities; (c) synthetically securitising assets that are illiquid, hard to transfer, or have legal restrictions on sale; and (d) hedging specific credit exposures without altering the asset portfolio.

The presentation will cover: 

  1. the history of securitisation and the transition from traditional or ‘true sale’ securitisation to synthetic securitisation; 
  2. a comparison of true sale and synthetic securitisation together with current market statistics;
  3. the advantages of, requirement for, and regulation of simple, transparent, standardised synthetic securitisation; 
  4. the perspective of the originating banks including motivation and accounting & regulatory capital considerations; and 
  5. the perspective of investors in synthetic securitisation including risks, returns, and the due diligence carried out by investors in synthetic securitisation.

 

To make a reservation for this event, click on 'BOOK NOW'.

Members: The buddy system is in place for this event, therefore you are welcome to invite up to two non-members along with you, free of charge, as your guests to this event. You will need to record their name under your reservation.

Non-members: If you are not coming along with a member of the SAI under the buddy system, there is a charge of €50 to attend.

Cancellation Policy available here.

Biographical details

John Caslin:  John Caslin is Director Investment Management and Innovation at the Carne Group.  He is a member of the investment committee of the boards of Carne Global Fund Managers (Ireland) Limited and Carne Global Fund Managers (Luxembourg) S.A. which review and, if thought fit, approve investments in synthetic securitisations, private debt, real estate, and private equity.  He is the chairperson of the Society’s Banking & Aviation Finance Committee.

Linda Daly:  Linda Daly is a Senior Lecturer in Actuarial Science at University College Cork, where she held the role of Programme Director of the BSc Financial Mathematics & Actuarial Science Programme from 2014-2024, She also has more than 10 years of experience in the pensions industry. She is an active member of the Society's Banking & Aviation Committee, Demography Committee, and Socio-Economic Working Group.

Niall Dillon:  Niall is Head of Capital Management & Financial Modelling in AIB.  Capital Management drives use of capital resources (including SRT used to transfer risk) as well as determining the level and quality of capital the bank needs to support its strategic and financial objectives, commensurate with the risks to which it is exposed.  Capital management is also responsible for the bank’s risk adjusted pricing framework, ICAAP (banking equivalent of the ORSA for insurance undertakings), ECB Stress testing and the bank’s recovery plan.  Niall actively engages with local and other European industry bodies on the evolving Capital/SREP (and previously liquidity) regulatory environment and is a member of the Society’s Banking & Aviation Finance Committee.

Luke Ryan:  Luke Ryan is an Analyst at Goldman Sachs Asset Management.  He specialises in investment risk for public equities and Irish domiciled private funds.  Luke holds an AIA & CERA designation, having previously worked as a consultant in the insurance industry.  Luke is a member of the Society’s Banking & Aviation Finance Committee.

Adia Wang: Adia is the Investment Manager in Athora Ireland.  She specialises in private credit and structured assets investments, risk-return attribution, and balance sheet management.  Adia previously worked as a consulting actuary and has a wide range of experience with insurance, reinsurance and banking projects.  Prior to returning to the insurance industry, Adia spent four years in the banking and investment industry with expertise in risk management and structured product valuation.  Adia is a member of the Society’s Banking & Aviation Finance Committee.

Cost (non-members)
€50.00
Event Type
CPD Event
Event format
Live event
Speakers/Presenters
Chairperson: Andrew Caslin

Speakers: John Caslin, Chair of the Banking & Aviation Finance Committee and Linda Daly, Niall Dillon, Luke Ryan, Adia Wang, Members of the Society’s Banking & Aviation Finance Committee.