This is a reprint of an article originally published on 5 June 2023 as part of our publication "Securitisation markets and regulation: choosing different paths?", accessible here.
One of the key regulatory reforms affecting synthetic securitisation in recent years was the introduction of the STS regime for on-balance-sheet (synthetic) securitisations in April 2021. However, when the regime was introduced, a number of elements of the framework were left to be supplemented through regulatory technical standards and guidelines, none of which have yet been finalised. This article provides a short update on these various initiatives.