Practical analysis for investment professionals
31 May 2013

Poll: Is the Revival of the Market for Asset-Backed Securities a Positive or Negative Development?

Posted In: Fixed Income

Among the more remarkable comebacks in financial history is the recent resuscitation of the global asset-backed securities (ABS) market that was pronounced dead after the 2007–09 global financial crisis. Earlier this week, we asked readers of the CFA Institute Financial NewsBrief whether they thought the revival was a positive or negative development for financial markets.


Poll: Is the revival of the market for asset-backed securities a positive or negative development for financial markets?
Poll: Is the revival of the market for asset-backed securities a positive or negative development for financial markets?


In our global poll, about 1 in 6 of more than 800 respondents thought it was a negative development, and 1 in 10 indicated that they are neutral or have no opinion about ABS. In other words, almost 75% of respondents in the global poll believe that ABS are beneficial for financial markets, provided that underwriting standards are improved, because they provide additional liquidity and investment opportunities. Respondents to our Asia-Pacific poll were even more enthusiastic, with more than 80% celebrating the return of ABS as a viable investment. Given the historically low interest rates globally and the quest for yield with safety, it is nearly certain that the ABS market will continue to grow in size and importance yet again.


Please note that the content of this site should not be construed as investment advice, nor do the opinions expressed necessarily reflect the views of CFA Institute.

About the Author(s)
Jason Voss, CFA

Jason Voss, CFA, tirelessly focuses on improving the ability of investors to better serve end clients. He is the author of the Foreword Reviews Business Book of the Year Finalist, The Intuitive Investor and the CEO of Active Investment Management (AIM) Consulting. Voss also sub-contracts for the well known firm, Focus Consulting Group. Previously, he was a portfolio manager at Davis Selected Advisers, L.P., where he co-managed the Davis Appreciation and Income Fund to noteworthy returns. Voss holds a BA in economics and an MBA in finance and accounting from the University of Colorado.

Ethics Statement

My statement of ethics is very simple, really: I treat others as I would like to be treated. In my opinion, all systems of ethics distill to this simple statement. If you believe I have deviated from this standard, I would love to hear from you: [email protected]

2 thoughts on “Poll: Is the Revival of the Market for Asset-Backed Securities a Positive or Negative Development?”

  1. John Smith says:

    Jason, do you write posts just to write posts? There was nothing of substance here

  2. Hi John,

    Our blog team routinely posts the poll results from our daily Newsbrief for which I write the descriptive portion of the relating of the tail. A quick perusal of our archive will show you that each of CFA Institute’s content directors fulfill these duties routinely. We alert readers to the presence of the poll results by prefacing the post with the word poll. Just skip those in the future.

    With a smile!

    Jason

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