What caused the decrease in asset-backed securities issues between 2001 and 2017?

Question

Quizplus · Accepted Answer

The decrease in asset-backed securities issues between 2001 and 2017 was primarily due to the loss of investor confidence, stemming from the subprime mortgage crisis in 2008. This crisis led to a wave of defaults and foreclosures, eroding the value of mortgage-backed securities and other complex financial instruments. As a result, investors became more wary of investing in asset-backed securities, leading to a decline in issuance.

What Caused the Decrease in Asset-Backed Securities Issues Between 2001