Guarantees & Securitisation - Activity overview

EIF cooperates with a wide range of financial intermediaries such as banks, guarantee funds, mutual guarantee institutions, micro credit providers, public and promotional banks.

EIF's guarantee instruments consist of two main products supporting access to finance for SMEs:

1) Credit Enhancement-Securitisation (guarantees for securitised SME financing instruments) 

EIF enjoys widespread recognition in Europe as a leading provider of triple A-rated credit enhancement in SME securitisations. It benefits from Multilateral Development Bank status, which enables financial institutions to apply a 0% risk-weighting to assets it guarantees.

Typically, EIF guarantees certain tranches of notes (senior and/or mezzanine tranches) issued through a SME securitisation transaction.

2) Guarantees/counter-guarantees for portfolios of micro-credits, SME loans or leases (management of programmes of the European Commission)

As a result of its recognised expertise in the SME guarantee market, EIF is managing several mandates on behalf of the European Community (e.g. CIP - Competitiveness and Innovation Framework Programme) or of national and regional Managing Authorities through the European Community programme JEREMIE.