As the commentary period for the Bank of International Settlements (BIS) Proposal approaches its March 31 deadline, market observers are looking at the proposed 20% risk-weight capital charge on loan commitments less than 365 days as most likely to incite a "bite" in asset-backed land.

The BIS proposal - a set of international banking guidelines - was issued last June by the Basel Committee of Banking Supervision. The section concerning securitization, however, is very similar to the domestic guidelines for risk-based capital weighting published earlier this month.

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