of the $220 billion a year in asset backed securities launched each year.

The BSX yesterday announced plans for a new series of regulations for listing asset backed securities. The announcement was aimed at the 1,700 delegates attending two competing conferences on the subject being held in Bermuda this week.

The BSX said the new regulations are slated to take effect on October 19 and are targeted at the specialist debt securities market. The market includes traditional asset backed securities and securitisation issues such as catastrophe bonds.

The BSX wants to position itself as an offshore exchange for asset backed securities as the industry becomes increasingly global. The bulk of asset backed securities occur in the US. However, Europe and Asia are growing markets. Overseas investors are more likely to be attracted to such a specialised security if these are listed.

"Until recently asset backed debt programmes have, for the most part, been limited to the US domestic market,'' BSX chief executive officer William Woods stated in a press release. "However, as the market expands and matures an exciting new wave of global asset backed securities deals are now being created. Unlike their US counterparts, in order to attract international institutional investors, these global programmes often chose to be listed on a recognised stock exchange, such as the BSX.'' Asset backed securitisation refers to the use of the capital markets by companies to issue securities based on packaging such items on their balance sheets as credit card transactions and automobile loans. The securities are issued to generate cash flow for the issuer.

Mr. Woods said the BSX was introducing a streamlined and accelerated listing procedure for asset backed securities. The listing will rely more on full disclosure for investor protection. A listing can be achieved in days, rather than weeks.

The regulations are now before the Bermuda Monetary Authority for approval.

About 1,200 delegates are attending The Investors' & Issuers' Summit on Asset Securitisation at the Marriott's Castle Harbour Resort. Another 500 delegates are attending the Bermuda Asset Backed Securities Symposium at the Southampton Princess.