“US Bank Plans to Issue $2.5 Billion of Auto Credit-Linked Notes”
December 7, 2023
“…It’s the first time US Bank has sold this type of securitization, according to a preliminary ratings report by Moody’s Investors Service. The notes effectively allow the issuer to transfer credit risk tied to the underlying loans over to investors.
Credit-linked notes have grown in popularity recently as new capital rules set to be imposed as part of forthcoming Basel III regulations prompt banks to look for ways to optimize their balance sheets…”
https://finance.yahoo.com/news/us-bank-plans-issue-2-195744506.html