Structure of the TSI securitisation platform

The TSI securitisation platform comprises three charitable foundations, which become shareholders in the SPVs set up by TSI. The charitable foundations provide support for academic work in the following fields:

  • Capital market research for Germany as a financial centre
  • Capital market law for Germany as a financial centre
  • Corporate finance for Germany as a financial centre

The TSI securitisation platform is open to all market participants. A standardised process in more than 110 securitisation transactions (as of December 2016) have been completed testifies to the professional establishment of German SPVs. SPVs arranged by TSI are based on German law only. This gives investors legal security and also means that originators can obtain legally binding information from the German financial authorities.

The TSI standard for providing a German SPV is well known and organisationally implemented by all major rating agencies, the leading law firms and auditing companies, the supervisory authorities, the European Central Bank (ECB) and numerous German and foreign originators and arrangers.

The shareholders in German SPVs are three charitable foundations committed to promoting scholarship. Charitable foundations normally act as SPV shareholders. This ensures precise compliance with the criteria applied to SPVs by the capital market and the rating agencies ("insolvency remote structure"). The fact that TSI SPVs have three shareholders has advantages for German banks wishing to invest in securitisation transactions and also complies with the exceptions for SPVs under German corporation law resulting from the 2007 corporate taxation reform (interest barrier).