National Bank of Canada is assessing investors' appetite for a significant risk transfer (SRT) deal tied to project finance loans, according to sources familiar with the matter.
The SRT deal, which is linked to project finance loans, would see the Canadian bank join a growing list of lenders exploring such instruments, sources said.
Lenders are increasingly exploring SRT instruments as a way to create room on their balance sheets, though it is not confirmed that this is the specific motivation for National Bank of Canada.
