Complete news archive

  • Freddie sells NPLs to non-profit

    Freddie Mac has sold via auction 103 deeply delinquent NPLs serviced by Wells Fargo from its mortgage investment portfolio. The US$18.4m pool of loans was sold to Community Loan Fund of New Jersey.

    The transaction is expected to settle in February 2016, after which servicing will be transferred. The loans have been delinquent for an average of approximately three years .......

    News Round-up 22 December 2015

  • Revised investment policy approved

    Blue Capital Global Reinsurance Fund has approved a pair of resolutions at a special general meeting. It can now bring into effect changes first proposed earlier in the month (SCI 8 December).

    The first resolution was for the adoption of a revised investment policy to come into force from 1 January 2016. It was approved with 94.49% of votes in .......

    Job Swaps 22 December 2015

  • Student movement

    SLABS market diverging with innovation, uncertainty

    The US student loan ABS sector remains mired in uncertainty surrounding potential downgrades that could be inflicted on a number of FFELP transactions. In contrast, private SLABS sponsors continue to innovate in terms of collateral and new structures.

    One trail blazer in the student loan ABS segment is Social Finance (SoFi), which debuted at end-2013 with its SoFi Professional Loan .......

    News Analysis 22 December 2015

  • Conduit NOI trends assessed

    While US commercial property prices have now topped pre-crisis peak levels, NOI for collateral backing CMBS conduit loans has not yet fully recovered, notes Moody's. An analysis of NOI trends shows collateral NOI is up 9% from its 2004 baseline level, but 2% down from its pre-crisis peak.

    The rating agency analysed year-over-year changes in property financials between 2004 and .......

    News Round-up 21 December 2015

  • Argentine rate cap scrap examined

    The move by Argentina's central bank last Friday to lift interest rate caps will negatively affect securitisation, according to Moody's latest Credit Outlook. The caps were removed on personal loans, auto loans and, indirectly, credit card financing that banks and regulated financial companies issue.

    Moody's believes this will encourage regulated financial companies to offer loans to higher-risk borrowers on the assumption .......

    News Round-up 21 December 2015

  • RPL approach updated

    Fitch has updated its approach for rating RMBS backed by seasoned and reperforming loan (RPL) collateral. The changes include the increase of the due diligence sample size for compliance and data integrity to 100% from 20% for RPLs.

    If 100% due diligence is not conducted, Fitch may adjust its loss expectations, cap the rating or decline to rate the transaction. .......

    News Round-up 21 December 2015

  • EBA makes synthetic STS suggestion

    The EBA supports the limited extension of the prudential treatment granted to simple, transparent and standardised (STS) securitisations to banks that originate and retain certain SME balance sheet synthetic securitisation positions. The authority has published criteria to determine transaction eligibility.

    The EBA has examined the synthetic securitisation market and, based on its findings, supports the extension of STS capital requirements .......

    News Round-up 21 December 2015

  • Payment allocation scrutinised

    Kroll Bond Rating Agency has placed its ratings related to 34 classes from RPMLT 2014-1 Trust on watch developing. The agency says it is investigating principal payment allocations to certificateholders of the RMBS, which it now believes may have been misallocated.

    The transaction is collateralised by two pools of re-performing mortgage loans. The rated classes are collateralised by the Group .......

    News Round-up 21 December 2015

  • FFELP watchlist grows

    Fitch has placed a further 238 tranches from 118 trusts of US FFELP student loan ABS on watch for potential downgrade, in addition to maintaining the status for 77 tranches. This leaves approximately US$37.5bn of outstanding FFELP ABS bonds now on rating watch negative.

    Fitch's latest action follows the heightened risk of the tranches missing legal final maturity dates. The agency has been joined by Moody's .......

    News Round-up 21 December 2015

  • Granite redemptions scheduled

    NRAM has exercised its seller call option for Granite Mortgages 2003-2, 2003-3, 2004-1, 2004-2, 2004-3 and Granite Master Issuer in connection with the sale of the underlying mortgage loans to Cerberus European Residential Holdings (SCI passim). The proceeds will be applied to redeem the RMBS notes in full, together with the payment of any accrued interest.

    Specifically, Granite Master Issuer .......

    News Round-up 21 December 2015

  • Exemptive relief for FCF

    Third Avenue Management has obtained exemptive relief from the US SEC to continue to protect Third Avenue Focused Credit Fund (FCF) shareholders, following modification of the plan of liquidation for the fund (SCI 15 December). Pursuant to those modifications, the liquidating trust has transferred FCF's assets and liabilities back to the fund, which now has an exemptive order suspending redemptions. .......

    Job Swaps 21 December 2015

  • SCI Start the Week - 21 December

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

    Pipeline
    The pipeline grew very quiet last week. The only deal to be added without disappearing before Friday's close was US$176m Palmer Square Loan Funding 2016-1, a CLO.

    Pricings
    With Christmas nearly upon us, the pace of completed issuance also slowed considerably. There were just two ABS, an ILS, an RMBS, two CMBS, a CRE CDO and five CLOs.

    €700m .......

    News 21 December 2015

  • CMBS defaults edge up

    The 12-month rolling maturity default rate for European CMBS increased slightly in November to 10.5% from the previous month, according to S&P's latest index results for the sector. The delinquency rate for continental European senior loans decreased to 60.3% from 61.3%, while the rate for UK loans remained stable at 20%. Meanwhile, the overall delinquency rate for senior loans decreased to 48% from 49%.
     

    .......

    News Round-up 21 December 2015

  • ECL guidance released

    The Basel Committee has released a document setting out supervisory guidance on sound credit risk practices associated with the implementation and ongoing application of expected credit loss (ECL) accounting frameworks. The move to ECL accounting frameworks by accounting standard setters aims to help resolve the weakness identified during the financial crisis that credit loss recognition was too little, too late. .......

    News Round-up 21 December 2015

  • US CLOs unclear

    Little price clarity was achieved in yesterday's US CLO secondary market, but supply keeps coming.

    No pricing colour was released for the majority of yesterday's bonds in for the bid leaving pricing levels post Fed lift-off still unclear. In the equity space, where prices are most heavily impacted by rate rises, of the three line items on BWIC only one .......

    SCIWire 18 December 2015

  • Bibby details emerge

    Some additional details have materalised on Bibby Financial's recent securitisation of factoring and invoice receivables, which it issued in October (SCI 30 November). The transaction is the first rated private deal by a non-bank asset-based lender covering multiple legal jurisdictions.

    Advisor to the deal, Norton Rose Fulbright, says that the securitisation involves Bibby's existing £480m loan book of factoring and invoice finance receivables, .......

    News Round-up 18 December 2015

  • Innovative CIRT issued

    Fannie Mae has completed its final Credit Insurance Risk Transfer deal of 2015 - the first to include adjustable-rate mortgages (ARM) in the loan pool. CIRT 2015-6 shifts credit risk on a pool of single-family loans to a panel of reinsurers.

    CIRT 2015-6 sees Fannie Mae retain risk for the first 50bp of loss on an US$8.2bn pool of loans. .......

    News Round-up 18 December 2015

  • VW ABS performance updated

    Recent updates from Volkswagen and its subsidiary Volkswagen Financial Services (VWFS) on the impact of the emissions scandal support a number of assumptions that have been made by Fitch regarding EMEA ABS transactions. Initial performance data and measures taken by VWFS to mitigate counterparty risks also support the credit quality of these transactions.

    The November agreement between VW and the German .......

    News Round-up 18 December 2015

  • Italian regs boost ABS

    The Bank of Italy's regulatory framework enacted in 2015 for financial intermediaries carrying out servicing activities is credit positive for all Italian structured finance deals, says Moody's. Certain types of consumer ABS deals - Cessione del Quinto (CDQ) and Delegazione di Pagamento (DP) - will benefit the most.

    Moody's notes that organisational and risk-control requirements for servicers will become stricter .......

    News Round-up 18 December 2015

  • Mid-market lender launches

    Great Rock Capital Partners has launched a lending platform that will provide asset-based and asset-backed loans to middle market companies lacking financial support from traditional bank lenders. The platform, named simply Great Rock, will be backed by Two Sigma Private Investments.

    Stuart Armstrong has been appointed as Great Rock's ceo and cio. Most recently, he served as president of Great .......

    Job Swaps 18 December 2015

  • FHFA scorecard heralds change

    The FHFA has released its 2016 scorecard for the GSEs and Common Securitization Solutions (CSS). Highlights include the imminent end to HARP and an updated timeline for the implementation of the single security initiative, as well as credit risk transfer (CRT) changes.

    The FHFA scorecard calls for the GSEs to prepare for the expiration of HARP by creating a new .......

    News 18 December 2015
×