European investors are generally optimistic about securitization market fundamentals, revealed Citigroup's European securitized products investor survey. As a result, a large majority of the investors polled intend to further increase their allocation to Europe.
The bank polled 100 institutional investors, receiving 68 replies to various questions on their investments in securitized products. The buysiders were asked to indicate whether the amounts invested in specific categories - asset type, region, rating, currency and maturity - had strongly increased, increased, remained unchanged, decreased, or strongly decreased in 3Q06. The second section of the Citigroup survey was forward looking, asking investors about their plans for 4Q06, and also their concerns.