Asset Backed Securities (ABS)

Whitbread has increased the value of its asset-backed funding arrangement with its pension scheme to continue tackling its deficit, its latest results show.

Companies are bypassing banks and going straight to investors to borrow money, Legal & General Investment Management says.

European asset-backed securities offer pension funds attractive risk and return compared with corporate bonds, providing security and a significant yield increase over the longer term, industry experts say.

Sections of the mortgage-backed debt market now offer better risk returns than credit, asset managers say.

GLOBAL - Pension funds are slowly but steadily returning to the asset backed securities (ABS) market while worthwhile opportunities are becoming more difficult to grab, experts said.