The Bond Market Association has indicated that it supports some aspects of the Securities and Exchange Commission's offering reform proposal but has concerns about its application to asset-backed securities.The bond group has filed two comment letters about the proposal, one regarding broad fixed-income markets and the other specific to ABS. The association said it "finds the proposal in general to be a positive step toward modernizing the offering process, especially the guidance allowing established bond issuers greater flexibility in the offering process via automatic shelf registration and new communications guidelines." However, the bond group added that it "does not believe the proposal goes far enough in extending some of the same provisions to ABS." The association said it is "especially concerned that the proposal holds an ABS underwriter liable for investment decisions based on preliminary information." The bond group can be found online at http://www.bondmarkets.com.

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