Analysts at Bank of America Merrill Lynch have a beef with new rules from the Basel Committee on Banking Supervision (BCBS) that spell out how much regulatory capital needs to be set aside for securitizations.

The regulations are too complex and too conservative, they said in a weekly report on the industry. “Multiple regulatory overrides and hard-wired inputs render the framework much less risk-sensitive than alleged and more cumbersome to understand and implement,” the analysts wrote. “We see large variations in capital outcomes depending on the approach used.”

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