It is partially because shadow banking just isn’t managed when you look at the in an identical way as old-fashioned banking vital link institutions, but primarily because securitization insulates banks’ lending activity through the funds acquired through the main bank (Gertchev, 2009). To put it differently, such banks’ lending depends less from the financing from main banking institutions or regulatory demands on money and much more in the wellfunctioning money markets, including shadow banking, and their interest in securitized assets. Read more