Collateralized synthetic obligations took a hit during the financial crisis, but some indications are emerging that the market might be returning. Michael Hampden-Turner, a structured-credit strategist at Citigroup, explained that CSO are increasingly attractive as credit spreads tighten. "The synthetic securitization market could make a comeback sooner than the cash market," he said. "On the other hand, new regulatory measures are likely to be a limiting factor."
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