Complete news archive

  • Refinancing activity accelerates

    US CLO refinancing volume has shot up this month, impacting 14 deals for a total value of US$6.2bn so far, versus US$3.7bn seen during the whole of September. The increase in activity has created a clear term structure at the triple-A level.

    Deutsche Bank CLO analysts note that for refinancing CLOs at or near the end of their reinvestment periods, .......

    News 20 October 2016

  • Fresh CLO credit deterioration

    CLO credit quality deteriorated in July across all cohorts, having stabilised in the spring and early summer, says Moody's. This deterioration was particularly pronounced for US CLO 1.0 deals.

    The median WARF for US CLO 1.0s increased from 2527 to 2575, while the median WARF for US CLO 2.0s increased seven points to 2852. European CLO 1.0s' median WARF also .......

    News Round-up 20 October 2016

  • BDC performance picks up

    With the exception of the oil and gas sector, US middle market performance continues to improve and optimism across the sector strengthen, which DBRS considers as positive for BDCs. Issuance of new middle market loans in 1H16 was subdued, however, as M&A activity was moderate and wider pricing kept many middle market companies on the sideline.

    Concerns about energy exposure, .......

    News Round-up 20 October 2016

  • China tests 'may lie ahead'

    While China's slowing economic growth has coincided with a slowdown in CLO activity in the country, other Chinese securitisation sectors have grown rapidly this year. However, despite strong issuance and no significant performance deterioration, S&P notes that there remain several concerns over the market's future and place as a viable funding alternative.

    China is the world's second-largest securitisation market in .......

    News 20 October 2016

  • Japan condo payments 'positive'

    The high loan prepayment rate for condominiums backing Japanese RMBS is credit positive for the asset class, says Moody's. The prepayment rate is expected to remain elevated for some time.

    Most Japanese RMBS deals have a sequential pay structure, with the high prepayment rate increasing credit enhancement at a rapid pace. The prepayment rate for condominium investment loans was 6.7% .......

    News Round-up 20 October 2016

  • Credit metrics improving

    S&P reports that credit metrics for conduit/fusion CMBS pools improved in several areas during Q3, compared with the first half of the year. However, the agency notes a slight upward trend in loss severities since the beginning of 2016, which is expected to continue as the large amount of CMBS maturities due in 2017 are worked through.

    In Q3, the .......

    News Round-up 20 October 2016

  • New standard to drive transparency?

    A new Mortgage Industry Standards Maintenance Organization (MISMO) XML commercial rent roll standard is due to be released by the end of the month. As the CMBS industry grapples with the Dodd-Frank Act and transparency issues, some believe that including such files in investor disclosures pre- and post-securitisation is the most important remaining step issuers could take.

    Rent roll information .......

    News 20 October 2016

  • Euro secondary unmoved

    The European securitisation secondary market remains unmoved by continuing strong new issue volumes.

    The primary market is still attracting the majority of focus, but secondary continues to tick over with pockets of trading throughout euro and sterling ABS, CLOs and MBS. An overall slight buying bias is ensuring that tone remains positive and secondary spreads are unchanged across the board .......

    SCIWire 20 October 2016

  • SFR deal's unique structure assessed

    The unique structure of Amherst's inaugural single-family rental securitisation (SCI 6 October) presents specific risks regarding alignment of interest, says Moody's. The rating agency believes this may be partially mitigated by a strong property management agreement and the expertise of Amherst affiliate Main Street Renewal (MSR).

    Amherst will not retain any interest in the issued securities of AMSR 2016-SFR1 Trust .......

    News Round-up 19 October 2016

  • Insurers test blockchain potential

    A group of insurers and reinsurers are exploring the potential of distributed ledger technologies to better serve clients. To this end, they have launched the Blockchain Insurance Industry Initiative B3i.

    The insurance industry and ILS market have been enthusiastic about the prospects of blockchain for some time, with Allianz Risk Transfer and Nephila Capital recently piloting the use of blockchain .......

    News Round-up 19 October 2016

  • Solutions chief named

    The DTCC has promoted Timothy Keady to md of DTCC solutions and sales & solution delivery. He succeeds Donna Milrod, who is leaving the firm in November, and will report to president and ceo Mike Bodson.

    Keady assumes responsibility for leading DTCC's solutions businesses of derivatives, collateral, institutional post-trade processing, entity data and data products. He retains his current responsibilities .......

    Job Swaps 19 October 2016

  • Harmonisation consultation underway

    The Committee on Payments and Market Infrastructures (CPMI) and IOSCO have published for public comment a consultative report on 'Harmonisation of critical OTC derivatives data elements (other than UTI and UPI) - second batch'. The report responds to the G20's agreement in 2009 that all OTC derivatives contracts should be reported to trade repositories (TRs), as part of its commitment .......

    News Round-up 19 October 2016

  • Further Stanton meeting called

    A class B noteholder meeting has been convened in connection with Stanton MBS I, following one for the controlling class of the ABS CDO (SCI 11 October). The meeting - scheduled for 9 November - is to be held for the purposes of passing an extraordinary resolution that would allow NCB Stockbrokers to resign as Irish paying agent.

    Pursuant to .......

    News Round-up 19 October 2016

  • Enhanced CMO reporting due

    FINRA is set to implement changes to TRACE trade reporting and dissemination for CMO securities on 20 March 2017. The authority says it will issue details regarding testing of these changes in a future technical notice.

    The enhancements will include four components: real-time dissemination of securitised products data where CMO quantity is less than US$1m; publication of weekly and monthly .......

    News Round-up 19 October 2016

  • US CLOs stay firm

    The US CLO secondary market is staying firm despite strong primary activity.

    "The market is holding up pretty well in the face heavy new issuance," says one trader. "Some are saying they expect new issuance to eventually win out and push spreads wider, but we've certainly not seen that yet with volumes being absorbed reasonably well."

    The trader continues: "The .......

    SCIWire 18 October 2016

  • Structuring alpha

    Robert Allard, founding partner and ceo at Firebreak Capital, answers SCI's questions

    Q: How did Firebreak Capital become involved in the securitisation market?
    A:     Firebreak Capital is categorised as a private debt fund, but this means different things to different people. Our background is in structured products (including securitisation) and we're seeking to employ this skill-set across the private debt universe. A more appropriate label for the firm is a structured private debt .......

    The Structured Credit Interview 18 October 2016

  • Chinese deals add to ABS traffic

    Recent weeks have seen a flood of auto ABS deals announced (see SCI pipeline), but the trend is not constrained to the US and Europe, with Toyota now in the market with its first Chinese ABS of the year. It is the company's second Chinese deal overall and the first to be rated by Moody's.

    The CNY3bn Toyota .......

    News Round-up 18 October 2016

  • Asset manager adds credit vet

    Medley Management has appointed David Richards as an md and portfolio manager of its Sierra Total Return Fund. He will be based in New York.

    Richards is a member of the board at American Capital and serves on its executive, audit and strategic review committees. He was previously a portfolio manager at Pine River Capital Management and has also worked .......

    Job Swaps 18 October 2016

  • Tikehau creates new job role

    Tikehau Capital has appointed Henri Marcoux to the new position of deputy md. He will be based in Paris and report to Antoine Flamarion and Mathieu Chabran.

    Marcoux will supervise and coordinate the corporate and finance functions within Tikehau Capital, which currently manages €8.7bn invested in all asset classes. He has 21 years of experience in audit and financial management, .......

    Job Swaps 18 October 2016

  • CMBS reporting platform launches

    DBRS has released a new CMBS reporting platform. Dubbed IReports, the loan-level reporting platform provides users with access to presale reports, surveillance updates, transaction information and contextual data.

    Presale reports for each DBRS-rated US and Canadian CMBS conduit transaction will be available on IReports at issuance, with ongoing surveillance analysis and commentary as the transaction seasons. Registration and access to .......

    News Round-up 18 October 2016

  • Model error disclosed

    Fitch has disclosed that interest payments to the class E and F notes of SCF Rahoituspalvelut I (Kimi 1) were incorrectly modelled in its initial rating analysis of the Finnish auto ABS as senior to clearing the implied principal deficiency ledger (PDL). Correct modelling would have resulted in different model-implied ratings for two classes: one notch higher for the class .......

    News Round-up 18 October 2016
×