The short-term funding markets in the US and Europe might be starting to show signs of recovery but the sector that comprises one of their biggest groups of customers is still struggling to gain re-entry.

The structured investment vehicles (SIVs) that just three months ago represented a more-than-$400bn industry have been struggling to raise new short-term commercial paper since about mid-July, and consequently have been forced to sell assets - sometimes at firesale prices.