Complete news archive

  • Loan drops level off

    KBRA has examined how the composition of US CMBS conduit pools changed over the course of the rating process based on an analysis of the 2013 through 2016 vintages. The results show that overall transactions continued to experience meaningful pool changes during the rating process last year.

    Nearly a quarter of the transaction balance (24.3%) changed last year, due to .......

    News Round-up 30 January 2017

  • ILS 'difficult to understand'

    A recent Clear Path Analysis survey of 100 institutional asset allocators finds that 22% are very likely to start investing in insurance-linked securities in the next 12 months. However, many respondents believe that catastrophe bonds remain difficult to understand, with 50% of plan representatives stating that "getting trustees comfortable with the asset class" is the biggest impediment they face to .......

    News Round-up 30 January 2017

  • SCI Start the Week - 30 January

    A look at the major activity in structured finance over the past seven days.

    Pipeline
    Additions to the pipeline started to pick up pace last week. There were seven ABS and eight RMBS as well as a CMBS.

    The ABS were: €549.1m Bumper 8; US$400m Exeter Automobile Receivables Trust 2017-1; US$410m Falcon Aerospace; US$529m Master Credit Card Trust II Series 2017-1; US$585m SMB Private Education Loan Trust 2017-A; US$420m State Board of Regents .......

    News 30 January 2017

  • Direct lending vet recruited

    HIG Capital has appointed Kenneth Borton as md of WhiteHorse Capital, based in London. He has over 17 years of experience in direct lending, structured finance and special situations.

    Borton was previously an md at Citi, with responsibility for the credit opportunities business in EMEA. He managed over US$500m of direct lending transactions across sectors and throughout the region.

    .......

    Job Swaps 30 January 2017

  • New worlds

    South American securitisation markets opening up

    The Latin American structured finance markets are changing, with significant shifts in Argentina and Brazil, as well as changes in the Mexican market. Regulatory initiatives are opening up new possibilities, with deal structures adapting and new markets on the horizon.

    In particular, there has been substantial change in Argentina since the new government took power at the end of 2015. .......

    News Analysis 30 January 2017

  • Leveraged finance pro appointed

    MUFG has boosted its EMEA investment banking leveraged finance team with the appointment of Stuart Randell as executive director and head of portfolio management. He will be based in London and report to Nick Atkinson.

    Randell was previously a director in PwC's debt and capital advisory team and has also worked at ING Bank in structured acquisition finance and leveraged .......

    Job Swaps 27 January 2017

  • Rate rises threaten RMBS performance

    Increased default risk for US RMBS is a potential result of the reduced mortgage prepayments expected to follow the Federal Reserve's decision to raise interest rates. Mortgages with LTVs under 60% and interest rates under 6% could see the biggest drop in prepayments.

    Morningstar Credit Ratings estimates the concentration of borrowers in this most highly affected group to be 2.5x .......

    News 27 January 2017

  • CA bringing RMBS 'first'

    Credit Agricole has mandated its first public French RMBS (see SCI's pipeline). It is Credit Agricole's first public securitisation of French home loans and is the first pure funding transaction since the financial crisis.

    The €1.136bn FCT Credit Agricole Habitat 2017 transaction is a securitisation of prime mortgage loans. Rabobank credit analysts note that the timing of the .......

    News Round-up 27 January 2017

  • Placed issuance up

    €59bn of securitised product was issued in Europe in 4Q16, an increase of 26.9% from 3Q16 (€46.5bn) and a decrease of 19% from 4Q15 (€72.8bn), according to AFME figures. Of this, €31.1bn was placed (representing 52.7%), compared to €21.5bn placed the previous quarter (46.2%) and €15.7bn placed in 4Q15 (21.6%). Placed securitisation grew by 16% in 2016, compared to 2015's .......

    News Round-up 27 January 2017

  • High prepays for SBOLT

    Moody's reports that the performance of Small Business Origination Loan Trust 2016-1, the first European securitisation of marketplace loans, has so far largely been in line with its initial expectations. Indeed, the transaction's sponsor - Funding Circle - has had to provide minimal support, repurchasing just 0.33% of loans.

    "Loan-level defaults are in line with our expectations, at 2.20% of .......

    News Round-up 27 January 2017

  • Land Securities tap prepped

    Land Securities Capital Markets is expected to issue two additional classes of notes, the proceeds of which will be used to purchase a portion of the existing class A3, A4, A5 and A10 notes. Provisionally rated double-A by Fitch, the new class A12 and A13 notes will be issued under the SPV's £6bn multi-currency issuance programme, with which they will .......

    News Round-up 27 January 2017

  • Demonetisation hits collections

    Demonetisation appears to have had a negative impact on Indian auto loan repayments, based on collection reports from Fitch-rated securitisation transactions. Small auto-loan borrowers have been affected the most.

    Demonetisation is likely to have had a detrimental effect on the income and cashflows of commercial vehicle operators, which could continue to feed through into repayments in the next few months. .......

    News Round-up 27 January 2017

  • Legal services platform launched

    Fieldfisher has launched Condor Alternative Legal Solutions, a multi-product alternative legal services platform that offers a flexible range of lower cost technology-efficient and process-efficient services. The platform is led by ceo Christopher Georgiou, who was previously head of the securities and derivatives group at Ashurst, alongside derivatives partners Guy Usher and Luke Whitmore.

    Condor will initially focus on the derivatives .......

    Job Swaps 27 January 2017

  • US CLO mezz pauses

    US CLO secondary market mezz rally is pausing for breath this week so far.

    "Superficially it's still very active with a lot of paper coming in for the bid, but the volume of non-investment grade paper is half of what it was last week," says one trader. "Investment grade guys are still buying, but below that spreads are pretty much .......

    SCIWire 26 January 2017

  • CRT variances examined

    Fannie Mae's latest risk-sharing RMBS - the US$1.4bn CAS 2017-C01 - offered class 1B1 bonds are no longer first-loss portions of the capital structure and instead feature 50bp of credit support, in the form of another subordinate B tranche that it retained. In a new study, Wells Fargo structured product analysts suggest that the move is reflective of how credit .......

    News 26 January 2017

  • Non-prime issuance 'to double'

    Fitch suggests that 2017 could be a watershed year, with a more large-scale return of new US non-prime RMBS. The agency projects a two-fold increase in issuance and a more rapid growth trajectory longer term.

    Over the last 18 months, 10 non-prime RMBS deals totalling over US$1bn from five issuers have come to the market. "Growth in US non-prime RMBS .......

    News Round-up 26 January 2017

  • Extra RMBS cash set aside

    RBS is setting aside a further £3.1bn provision for various investigations and litigation matters relating to its issuance and underwriting of US RMBS. The extra £3.1bn takes the total aggregate of provisions to £6.7bn.

    The bank says that it continues to cooperate with the US Department of Justice in its civil and criminal investigations of RMBS matters, and RBS considers .......

    Job Swaps 26 January 2017

  • CLO 2.0s face less EOD value risk

    European CLO 2.0 transactions face less event of default-driven market value risk than CLO 1.0s, says Moody's. None of the European 2.0 deals the agency rated in 2016 have mezzanine or junior OC EOD triggers, which had been common among CLO 1.0s.

    CLO 2.0s rated by Moody's typically require exclusively the initial senior most outstanding notes' OC, rather than the .......

    News Round-up 26 January 2017

  • CLO refinancings tallied

    US CLO issuance finished 2016 markedly lower year-over-year, with US$63.5bn from across 136 deals, Fitch notes in its latest Global CLO Market Trends Quarterly publication. This represents a 32% decline from US$93.1bn from across 177 CLOs in 2015.

    The agency reports 43 US CLOs totalling over US$21.6bn coming to the market in 4Q16. "November saw the highest volume of CLO .......

    News Round-up 26 January 2017

  • Euro CLOs BWIC focused

    The European CLO secondary market is currently focusing on BWICs.

    "Levels on BWIC have been very strong in both 1.0 and 2.0 bonds and regardless of where they are in the capital stack," says one trader. "However, we're not seeing very much flow away from BWICs and there aren't many customers looking to engage outside of auctions."

    The trader continues: .......

    SCIWire 26 January 2017

  • NZ group turns to ABS

    New Zealand's largest vehicle seller, Turners, has established a NZ$150m securitisation programme that will securitise the group's consumer loan portfolio. The programme will be implemented next month and the first receivable sales transactions are scheduled to occur in March.

    Turners believes the programme will provide an improved funding structure, committed two-year term capital and improved pricing. It also provides the .......

    News Round-up 25 January 2017
×