This report responds to a request by the Financial Stability Forum (FSF) for the Joint Forum to undertake a review of credit risk transfer (CRT) activity. The report was prepared by the Joint Forum’s Working Group on Risk Assessment and Capital on the basis of a number of interviews and discussions with market participants. The report was issued on a consultative basis in October 2004. This final version reflects comments and suggestions received during the consultation process, but does not seek to provide a comprehensive update of the market information contained in the report.