The year so far has not seen the anticipated level of activity in the European securitization market. And the signs are that the trend will continue for the remainder of 2000, according to many players in the market. Which begs the question: what has caused the slowdown in the market? Unfortunately, it is a question that market players are finding difficult to answer.
According to predictions made by Merrill Lynch at the beginning of the year, the expected market volume for the period running from the middle of May to the end of June was estimated at $10 billion to $12 billion. Unless we see a couple of mega-deals appear from nowhere in the next few weeks, the actual volume of transactions will be way down on what was anticipated.