// definition
SRT
Significant Risk Transfer
Short definition
A securitisation transferring significant credit risk on a portfolio to third parties. Assets may be transferred, or retained on the bank’s balance sheet in a synthetic structure that transfers only credit risk. Synthetic transactions can be funded or unfunded. Capital relief remains subject to prudential requirements and effective risk transfer.
risk atlas
Knowledge map
Intuition
Economic risk transfer and recognition of prudential capital relief require separate assessment.
Related analyses
Primary sources
- Bank of England, Financial Stability Report, July 2026Box C: traditional, synthetic, funded and unfunded structures; capital relief conditions.