Appendix 3 — The Credit Intermediation Process of Diversified Broker-Dealers

Like the FHC process, but DBDs originate via finance companies (not banks), warehouse loans in industrial loan companies (not conduits), warehouse ABS in trading books, and intermediate ABS through internal credit hedge funds (not SIVs); funded more by brokered deposits and repo. Hover any cell for instrument / tenor / rating / seniority / capital form / stress tags / backstop linkage; hover any arrow for the flow's instrument and counterparty role.