From Chaos to Coordination: Credit Market Structure Innovations

Frank J. Fabozzi

Chapter 3 in Credit Market Innovations:How Institutions, Technology, and Regulation Are Reshaping Global Lending, 2026, pp 47-88 from World Scientific Publishing Co. Pte. Ltd.

Abstract: The following sections are included:Introduction: From Handshakes to High-Speed TradingThe Evolution of Credit Markets and the Rise of SecuritizationThe Creation of Secondary Markets for DebtChallenges and risksThe rise of liquid debt marketsThe declining role of dealers in secondary corporate bond marketsThe risk of electronic bond trading of corporate bondsSecuritization and Its Impact on Global Credit MarketsIllustration of securitization of loansSecuritized products created and transaction structureBenefits of securitization to financial marketsThe expanding role of securitization in public and global marketsThe growing importance of securitization in Asia and beyondSecuritization as a tool for financial disintermediationSecuritization and the functions of financial intermediariesLiquidity and market efficiency benefits of securitizationLegal challenges to securitizationThe risks and complexities of securitization in credit marketsTechnological Innovations in Market StructuresSummary

Keywords: Credit; Innovation; Lending; Technology; Regulation; Risk; Institutions; Markets; Credit Risk; Securitization; Credit Scoring; Fintech; Private Credit; Structured Finance; Credit Instruments; Blockchain; Artificial Intelligence; Machine Learning; Stress Testing; Risk Models; Debt Markets; Digital Lending; Central Banks; Financial Regulation; Credit Cycles; Institutional Investors; Capital Markets; Credit Products; Legal Innovation; Market Structure; ESG; Macroprudential; Asset-backed Securities; CLOs; Credit Analytics; Big Data; Data Privacy; Financial Technology; Underwriting; Alternative Data; Credit Access; Risk Management; Credit Derivatives; Distributed Ledger; Tokenization; DeFi; Credit Enhancement; Yield Curves; Credit Spreads; Default Risk; Credit Innovation; Loan Syndication; Legal Frameworks; Compliance; Basel III; Systemic Risk; Lending Platforms; SME Lending; Consumer Credit; Mortgage-backed Securities; Securitized Products; Credit Performance; Credit Transformation; Credit Monitoring; Algorithmic Lending; Digital Identity; Financial Inclusion; Credit Exposure; Peer-to-peer Lending; Nonbank Lenders; Financial Infrastructure; Payment Systems; Real-time Data; Financial Resilience; Geopolitical Risk; Regulatory Arbitrage; Collateral; Capital Requirements; Loan Origination; Portfolio Risk; Operational Risk; Credit Risk Transfer; Data Analytics; Transparency; Investor Protection; Risk-adjusted Returns; Rating Agencies; Credit Default Swaps; Legal Risk; Structured Credit; Lending Innovation; Compliance Tech; Stress Scenarios; AI Credit Modeling; Privacy Laws; Quant Credit Models; Credit Policy; Regulatory Innovation; Market Transparency; Cyber Risk; Default Models (search for similar items in EconPapers)
JEL-codes: D82 G21 G28 G32 O33 (search for similar items in EconPapers)
Date: 2026
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.worldscientific.com/doi/pdf/10.1142/9781800618152_0003 (application/pdf)
https://www.worldscientific.com/doi/abs/10.1142/9781800618152_0003 (text/html)
Ebook Access is available upon purchase.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:wschap:9781800618152_0003

Ordering information: This item can be ordered from

Access Statistics for this chapter

More chapters in World Scientific Book Chapters from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().