Credit card, car and student loan structured finance at risk
Germany's Bundesbank president Axel Weber has warned that the reinsurance industry faces risks from structured finance products based on credit card, car and student loans, Reuters reports.
"These segments are more of a problem for the reinsurance system, which insures the default risks, in my view," Weber said.
“We see risks here that we have to keep an eye on," Weber said. Germany's coalition government plans to increase the Bundesbank's powers to oversee the financial system, which may include a role in insurance supervision.
