The Europe Collateralized Debt Obligation Market is expected to witness market growth of 10.8% CAGR during the forecast period (2024-2031).
The Germany market dominated the Europe Collateralized Debt Obligation Market by Country in 2023, and is expected to continue to be a dominant market till 2031; thereby, achieving a market value of USD3.82 billion by 2031. The UK market is exhibiting a CAGR of 9.9% during 2024-2031. Additionally, the France market would experience a CAGR of 11.7% during 2024-2031.
Collateralized debt obligations (CDOs) utilize a trenching structure, allowing investors to select tranches based on risk tolerance. This feature enables investors to diversify credit risk across various asset classes, thus enhancing portfolio resilience.
Moreover, by pooling together different types of debts, including corporate bonds, mortgage-backed securities, and auto loans, CDOs expose investors to a diversified array of underlying assets, minimizing reliance on any single credit source.
The growth of the collateralized debt obligation market in Europe is significantly shaped by the region's concentration of financial assets and liabilities. According to Eurostat, five key EU Member States - Germany, France, Luxembourg, the Netherlands, and Ireland - collectively represented around 71% of the total financial assets and liabilities of financial corporations in the European Union as of 2022. This concentration highlights these countries' critical role in the European financial landscape, serving as hubs of financial activity and investment.
The Germany market dominated the Europe Collateralized Debt Obligation Market by Country in 2023, and is expected to continue to be a dominant market till 2031; thereby, achieving a market value of USD3.82 billion by 2031. The UK market is exhibiting a CAGR of 9.9% during 2024-2031. Additionally, the France market would experience a CAGR of 11.7% during 2024-2031.
Collateralized debt obligations (CDOs) utilize a trenching structure, allowing investors to select tranches based on risk tolerance. This feature enables investors to diversify credit risk across various asset classes, thus enhancing portfolio resilience.
Moreover, by pooling together different types of debts, including corporate bonds, mortgage-backed securities, and auto loans, CDOs expose investors to a diversified array of underlying assets, minimizing reliance on any single credit source.
The growth of the collateralized debt obligation market in Europe is significantly shaped by the region's concentration of financial assets and liabilities. According to Eurostat, five key EU Member States - Germany, France, Luxembourg, the Netherlands, and Ireland - collectively represented around 71% of the total financial assets and liabilities of financial corporations in the European Union as of 2022. This concentration highlights these countries' critical role in the European financial landscape, serving as hubs of financial activity and investment.
List of Key Companies Profiled
- Citigroup Inc.
- UBS AG (UBS Group AG)
- The Bank of America Corporation
- Wells Fargo & Company
- Deutsche Bank AG
- JPMorgan Chase & Co.
- Morgan Stanley & Co. LLC
- Royal Bank of Canada
- Barclays PLC
- Goldman Sachs & Co. LLC
Market Report Segmentation
By Type
- Collateralized Loan Obligations (CLOs)
- Collateralized Bond Obligations (CBOs)
- Collateralized Synthetic Obligations (CSOs)
- Structured Finance CDOs (SFCDOs)
By Application
- Asset Management Companies
- Fund Companies
- Other Applications
By Country
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 5. Europe Collateralized Debt Obligation Market by Type
Chapter 6. Europe Collateralized Debt Obligation Market by Application
Chapter 7. Europe Collateralized Debt Obligation Market by Country
Chapter 8. Company Profiles
Companies Mentioned
Some of the key companies in the Europe Collateralized Debt Obligation Market include:- Citigroup Inc.
- UBS AG (UBS Group AG)
- The Bank of America Corporation
- Wells Fargo & Company
- Deutsche Bank AG
- JPMorgan Chase & Co.
- Morgan Stanley & Co. LLC
- Royal Bank of Canada
- Barclays PLC
- Goldman Sachs & Co. LLC
Methodology
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