Why do UK banks securitize?

Working paper seriesThe eight years from 2000 to 2008 saw a rapid growth in the use of securitization by UK banks. We aim to identify the reasons that contributed to this rapid growth. The time period (2000 to 2010) covered by our study is noteworthy as it covers the pre- nancial crisis credit- boom, the peak of the nancial crisis and its aftermath. In the wake of the nancial crisis, many governments, regulators and political commentators have pointed an accusing nger at the securitization market - even in the absence of a detailed statistical and economic analysis. We contribute to the extant literature by performing such an analysis on UK banks, fo- cussing principally on whether it is the need for liquidity (i.e. the funding of their balance sheets), or the desire to engage in regulatory capital arbitrage or the need for credit risk trans- fer that has led to UK banks securitizing their assets. We show that securitization has been signi cantly driven by liquidity reasons. In addition, we observe a positive link between securitization and banks credit risk. We interpret these latter ndings as evidence that UK banks which engaged in securitization did so, in part, to transfer credit risk and that, in comparison to UK banks which did not use securitization, they had more credit risk to transfer in the sense that they originated lower quality loans and held lower quality assets. We show that banks which issued more asset-backed securities before the nancial crisis su¤ered more defaults after the nancial crisis.The eight years from 2000 to 2008 saw a rapid growth in the use of securitization by UK banks. We aim to identify the reasons that contributed to this rapid growth. The time period (2000 to 2010) covered by our study is noteworthy as it covers the pre-financial crisis credit- boom, the peak of the financial crisis and its aftermath. In the wake of the financial crisis, many governments, regulators and political commentators have pointed an accusing finger at the securitization market - even in the absence of a detailed statistical and economic analysis. We contribute to the extant literature by performing such an analysis on UK banks, fo- cussing principally on whether it is the need for liquidity (i.e. the funding of their balance sheets), or the desire to engage in regulatory capital arbitrage or the need for credit risk trans- fer that has led to UK banks securitizing their assets. We show that securitization has been significantly driven by liquidity reasons. In addition, we observe a positive link between securitization and banks credit risk. We interpret these latter findings as evidence that UK banks which engaged in securitization did so, in part, to transfer credit risk and that, in comparison to UK banks which did not use securitization, they had more credit risk to transfer in the sense that they originated lower quality loans and held lower quality assets. We show that banks which issued more asset-backed securities before the financial crisis suffered more defaults after the financial crisis

State-of-the-art self-luminescence: a win-win situation

Self-luminescence, which eliminates the real-time external optical excitation, can effectively avoid background autofluorescence in photoluminescence, endowing with ultrahigh signal-to-noise ratio and sensitivity in bioassay. Furthermore, in situ generated and emitted photons have been applied to develop excitation-free diagnostics and therapeutic agents against deeply seated diseases. "Enhanced" self-luminescence, referring to the aggregation-induced emission (AIE)-integrated self-luminescence systems, is endowed with not only the above merits but also other superiorities including stronger luminous brightness and longer half-life compared with "traditional" self-luminescence platforms. As an emerging and booming hotspot, the "enhanced" self-luminescence facilitated by the win-win cooperation of the aggregation-induced emission and self-luminescent techniques has become a powerful tool for interdisciplinary research. This tutorial review summarizes the advancements of AIE-assisted self-luminescence including chemiluminescence and afterglow imaging, starting from the discussion on the design and working principles, luminescent mechanisms of self-luminescence fuels, versatile integrated approaches and advantages, and a broad range of representative examples in biosensors and oncotherapy. Finally, the current challenges and perspectives are discussed to further actuate the development of "enhanced" self-luminescence agents for biomedical diagnosis and treatment.Agency for Science, Technology and Research (A*STAR)Ministry of Education (MOE)This work was partially supported by the National Natural Science Foundation of China Grant (21788102), the Research Grants Council of Hong Kong (16305518, 16307020, C6014- 20W, C6009-17G and 16305618), the Innovation and Technology Commission (ITC-CNERC14SC01), and the Material Science Foundation of Guangdong Province (2019B121205012); J. F. thanks National Science Foundation of China 21925802, 21878039; K. P. thanks Singapore Ministry of Education, Academic Research Fund Tier 1 (2019-T1-002-045, RG125/19, RT05/ 20), Academic Research Fund Tier 2 (MOE2018-T2-2-042), and A*STAR SERC AME Programmatic Fund (SERC A18A8b0059) for the financial support

Regio- and Enantioselective Synthesis of Azole Hemiaminal Esters by Lewis Base Catalyzed Dynamic Kinetic Resolution

We report a modular three-component dynamic kinetic resolution (DKR) that affords enantiomerically enriched hemiaminal esters derived from azoles and aldehydes. The novel and scalable reaction can be used to synthesize valuable substituted azoles in a regioselective manner by capping (e.g., acylation) of the equilibrating azole-aldehyde adduct. With the use of a prolinol-derived DMAP catalyst as the chiral Lewis base, the products can be obtained in high chemical yield and with high enantiomeric excess. The DKR was performed on a multikilogram scale to produce a tetrazole prodrug fragment for a leading clinical candidate that posed formidable synthesis challenges