Complete news archive

  • CMBS loss severities recover

    US CMBS loss severities dropped in 1Q16 to 49.3% across 143 loans after posting high weighted averages to close out last year, according to Moody's. The figures represent a decrease from the 58.2% weighted average loss severity posted across 240 liquidated loans in 4Q16, but are still higher than the 42.8% average since January 2000.

    "Loan liquidations from the troubled 2006 to .......

    News Round-up 6 June 2016

  • SCI Start the Week - 6 June

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

    Pipeline
    The holiday-shortened week resulted in a slowing of the pace of pipeline additions. As well as eight new ABS there was an ILS, two RMBS and a CLO.

    The ABS were: CNY3.68bn Bavarian Sky China 2016-1; US$180m CCG Receivables Trust 2016-1; US$300m Harley-Davidson Motorcycle Trust 2016-A; US$324m Oxford Finance Funding 2016-1; US$230m SCF Equipment Trust 2016-1; €1.242bn Sunrise 2016-1; Sfr366m Swiss .......

    News 6 June 2016

  • Natixis recruits for trading push

    Natixis has recruited Reginald Fernandez as executive director and head of its newly formed global structured credit and solutions credit trading team in the Americas. The team will be active in ABS and CLO trading, as well as repos.

    Fernandez joins the firm following his most recent role as co-head of CLO sales and trading at Brean Capital. He has also .......

    Job Swaps 6 June 2016

  • Mezz CLO fund offered

    AXA Investment Managers has launched the AXA IM Novalto - CLO Credit Fund, which will invest in mezzanine CLO tranches. The fund aims to offer investors 6% to 8% net performance with an expected annual volatility of 3% to 5%, while maintaining an investment grade average rating.

    AXA IM says that the fund seeks to take advantage of the current .......

    News Round-up 6 June 2016

  • Freddie NPL auction results announced

    Freddie Mac has sold a further US$130.2m of deeply delinquent NPLs via auction. The 487 loans are serviced by JPMorgan and the transaction is expected to settle in August, with servicing transferred post-settlement.

    The loans were offered for auction last month (SCI 13 May) and have been delinquent for an average of around three and a half years. Due to .......

    News Round-up 3 June 2016

  • Valuation firm hires secondary pro

    Duff & Phelps has recruited Dexter Blake as md and part of its portfolio valuation practice. He has also been made leader of the firm's secondary market advisory group.

    Blake joins from NYPPEX Private Markets, where he was md and co-head of sales and trading. He specialises in the transfer of illiquid limited partnership interests in the secondary market for .......

    Job Swaps 3 June 2016

  • Public finance team poached

    Norton Rose Fulbright has recruited Sidley Austin's entire public finance practice, expanding its own practice in this area. The 17 lawyers to move over include six partners, a number of which have experience in securitisation.

    The recruited partners include Larry Bauer, whose experience ranges across derivatives and securities regulation. In total, eight lawyers will join Norton's New York office, with .......

    Job Swaps 3 June 2016

  • China RMBS steady so far

    Chinese RMBS has been performing well in its early stages, according to Fitch. This has been attributed, in part, to the 'vanilla' mortgage features within the transactions issued to date, which reflects strong transparency standards.

    There have been 12 transactions across eight different commercial banks so far in the market, amounting to CNY28.04bn. Of the 12 deals, 10 are too immature for .......

    News Round-up 3 June 2016

  • CMBS delinquencies inch up again

    The US CMBS delinquency rate inched up for the third straight month at the end of May, says Trepp. The rate for CRE loans in CMBS is now at 4.35%, an increase of 12bp from April.

    The rate has crept up after two large decreases to start the year in January and February. However, on a relative basis, the rate is .......

    News Round-up 3 June 2016

  • Eight institutions settle RMBS claims

    The FDIC has achieved a US$190m settlement of certain RMBS claims with Barclays Capital, BNP Paribas, Credit Suisse, Deutsche Bank, Edward Jones & Co, Goldman Sachs, RBS and UBS. The settlement resolves federal and state securities law claims based on misrepresentations in the offering documents for 21 Countrywide RMBS purchased by five failed banks.

    The settlement funds will be distributed .......

    Job Swaps 3 June 2016

  • Capital-arbitrage warning issued

    The Basel Committee has warned banks against conducting capital relief trades. The regulator says such transactions will draw "careful supervisory scrutiny".

    The Basel Committee notes that members have received many requests to review or approve transactions that seek to alter the form or substance of items subject to regulatory adjustments outlined in Basel 3. These include proposals for structured transactions .......

    News Round-up 3 June 2016

  • US CLOs firming up

    The US CLO secondary market is heating up again after a subdued end to May.

    "The market was exhibiting a bit of falseness over the last few weeks, but there's definitely a firmer tone this week," says one trader. "Triple-Bs in particular tightened up yesterday. This came following talk of new money arriving after 1 June."

    The trader notes that .......

    SCIWire 2 June 2016

  • Spring surge

    US CLO rally riding into summer

    The rally in the US CLO market is being reflected in new issuance, with investors witnessing some of the tightest spreads so far in 2016. Questions remain over the resilience of the sector, however.

    A strong second half of April was followed by a more subdued start in May for new issue US CLOs, but a healthy pipeline began to .......

    News Analysis 2 June 2016

  • UK mortgage servicing to change

    The lack of growth in traditional third-party business for UK mortgage servicers will continue to drive diversification and M&A in the sector, says Fitch. The rating agency expects the majority of UK servicers to offer end-to-end mortgage processing from origination to repayment in the coming years.

    End-to-end third-party mortgage processing, including origination, is well developed in the Netherlands and UK .......

    News Round-up 2 June 2016

  • Tilton loses appeal

    The US Court of Appeals for the Second Circuit has affirmed the district court's dismissal of Lynn Tilton and Patriarch Partners' suit against the US SEC for lack of subject matter jurisdiction. The appellants brought suit in the US District Court for the Southern District of New York to enjoin the Commission's proceeding before its completion, on the theory that .......

    Job Swaps 2 June 2016

  • PE investors provide CDQ ABS boost

    Growth and consolidation in Italy's consumer loan Cessione del Quinto (CDQ) market is credit positive for CDQ ABS, says Moody's. The rating agency believes foreign private equity investment will strengthen the market.

    "Foreign private equity firms' investment could accelerate lending growth in the CDQ market. The low level of net losses has attracted non-traditional participants, such as warehouse lenders and .......

    News Round-up 2 June 2016

  • CDS liquidity moving to indices

    The buy-side's ability to source single-name CDS liquidity and form prices remains centralised around banks' ability to warehouse risk on their balance sheets, but that service is being rapidly diminished by Basel 3 and FRTB proposals, says GreySpark Partners. The limited number of banks maintaining active single-name CDS underwriting businesses is "creating an oligopolistic environment, with built-in fundamental and regulatory .......

    News 2 June 2016

  • Goldman CRE head steps down

    Ted Borter has taken over as sole head of Goldman Sachs' US CRE finance group after Jonathan Strain recently left his position as co-head. Strain departed from the bank to reportedly launch a CMBS B-piece fund. Prior to Goldman, he was head of CMBS capital markets at JPMorgan.

    .......

    Job Swaps 2 June 2016

  • Bilateral CDS trading down

    Bilateral CDS index trading metrics saw a decline to start the year, according to ISDA's latest quarterly index results for the sector. Although cleared CDS volumes continue to increase, the number of bilateral trades and notional volume both showed clear drops in 1Q16.

    The average number of daily cleared trades increased by 34.6% between 1Q16 and 1Q15, with an increase of 42.5% versus 4Q15 .......

    News Round-up 2 June 2016

  • Everglades Re upgraded

    S&P has raised its issue credit rating on Everglades Re Series 2014-1 notes to single-B plus from single-B. The rating action follows the agency's review of the reset report for the final risk period that began on 1 June, the probability of attachment and the expiration of the variable reset feature.

    The ILS transaction includes a variable reset feature that .......

    News Round-up 2 June 2016

  • Euro secondary stays positive

    The European securitisation secondary market is retaining its positive tone and momentum.

    Despite the UK and US public holidays and month-end, activity has improved on the previous week throughout this. The last few days have seen trading across the board and spreads in the vast majority of sectors continue to grind tighter.

    In ABS/MBS prime assets were the main focus yesterday .......

    SCIWire 2 June 2016
×