Asset reconstruction companies (ARCs) are poised for a significant boost in the redemption rate of security receipts (SRs) issued for stressed retail assets, with an estimated increase of around 600 basis points (bps) to 69-71 per cent in the upcoming fiscal year, according to an analysis of rated portfolios, according to the Crisil Ratings. By definition, ARCs are a financial institution that buys NPAs or bad assets from financial institutions and banks to clear up their balance sheets.