Complete news archive

  • Granite call more likely?

    UK Chancellor George Osborne announced in last week's Budget that the UK government would look to sell £13bn of mortgage assets from the bailouts of Northern Rock and of Bradford & Bingley. This amount matches the current outstanding size of the legacy Granite RMBS programme.

    JPMorgan analysts note that the Granite trust currently stands at £13.4bn, of which £1.5bn is .......

    News 23 March 2015

  • G-fee status updated

    The FHFA's inspector general has released a report stating that, as policy perspectives change, the GSE guaranteed fee income could reduce in future, while citing the FHA MIP cut of 50bp as an example. This follows the result of execution levels on recent Freddie Mac risk transfer RMBS, which indicated a potential drop in fees (SCI 19 February).

    The FHFA .......

    News Round-up 23 March 2015

  • TLTRO take-up provides surprise

    Last week's TLTRO take-up provided a positive surprise with the allotted amount of €142.4bn, exceeding expectations by a factor of two, say Bank of America Merrill Lynch analysts. This could be a positive sign for banks' lending intentions, as it suggests a pick-up in demand for credit by the market and in supply for credit by the eurozone banks, but .......

    News Round-up 23 March 2015

  • ESMA begins SF consultation

    ESMA has launched a call for evidence on its approach to disclosure for structured finance instruments (SFIs) originated and/or traded on a private and/or bilateral basis. The replies to the consultation will serve as an input for the phase-in approach on the extension of the disclosure requirements of the CRA 3 RTS for private and bilateral transactions in SFIs.

    ESMA's .......

    News Round-up 23 March 2015

  • Upgrades could follow risk rethink

    Moody's has updated its methodologies for rating US and Canadian credit card receivables-backed securitisations to reflect changes in how the agency measures the sponsor risk of default in relation to the exposure that credit card ABS transactions have to entities of banking groups. As a result several classes of notes have been placed under review for upgrade.

    The rating agency .......

    News Round-up 23 March 2015

  • ILS budget boost examined

    The UK Chancellor George Osborne's plan to make the country an international hub for ILS (SCI 19 March) is likely to help London maintain its leading position as a global reinsurance hub, observes Fitch. However, the scale of the impact is uncertain and will depend on many factors, including how a new regulatory regime that is designed to attract global .......

    News Round-up 23 March 2015

  • First Irish CMBS since crisis

    Deutsche Bank is in the market with the first Irish CMBS to be issued since the financial crisis began. €174.98m DECO 2015-Harp has four classes of notes and will be rated by S&P and Moody's, marking the first time Moody's has rated a conduit style CMBS in Europe since 2007.

    The €90m class A notes have an advance rate of .......

    News 23 March 2015

  • HSBC targeted in NCUA suit

    The NCUA has filed suit in federal court against HSBC, alleging the bank violated state and federal law by failing to fulfil its duties as trustee for 37 RMBS trusts. The agency is suing as liquidating agent for five failed corporate credit unions, continuing a number of recent suits against various trustees (SCI passim).

    The five corporate credit unions - .......

    News Round-up 23 March 2015

  • REO liquidations could rise

    While losses on REO liquidations have been declining in recent months, the trend may reverse later in 2015, says Fitch. This is due to US CMBS servicers holding on to these assets for longer periods of time.

    In a year-over-year comparison, declines in REO portfolios have levelled off moderately, compared to a more rapid increase in the number of CMBS .......

    News Round-up 23 March 2015

  • Euro BWICs pick up again

    The European BWIC calendar is picking up again for today and the remainder of this week.

    As was the case for most of last week BWICs look set to drive activity in secondary today. The bulk of line items on Friday's limited calendar traded in line with expectations and activity across the board on the day was positive but muted .......

    SCIWire 23 March 2015

  • Ocwen's performance highlighted

    A number of news outlets are carrying a letter from United Capital Markets ceo John Devaney to Moody's, written in support of Ocwen. The letter indicates that Ocwen-serviced private label RMBS have performed better from 2009 to 2014 across all tranches on a combined basis relative to any other servicer.

    When measuring all types of modifications, data shows that Ocwen .......

    News Round-up 20 March 2015

  • IG rating for Kizuna cat bond

    S&P has preliminarily assigned its first investment grade rating - of triple-B minus - to a property-related natural catastrophe bond since 2008. Arranged by Aon Benfield Securities, the Kizuna Re II series 2015-1 transaction covers losses resulting from Japanese earthquakes, including fire following, tsunamis and volcanic eruption.

    S&P says the rating is based on the lowest of the natural catastrophe .......

    News Round-up 20 March 2015

  • US CLOs quieten further

    US CLO secondary market activity is easing further today after a distracting week.

    "It's been a moderate pace most of the week and it's relatively quiet today," says one trader. "The market has been a little distracted first in anticipation of the Fed and then by new issuance activity."

    Nevertheless, secondary spreads are holding firm. "In particular, double-Bs continue to .......

    SCIWire 20 March 2015

  • Energy firm names SF head

    Brad Sterley has joined Terraform Global as head of structured finance. He arrives from Standard Chartered, where his most recent role was as global head of the bank's clean energy project finance group. Sterley was also an associate director for ANZ Investment Bank, where he worked in project and structured finance.

    .......

    Job Swaps 20 March 2015

  • Chinese auto defaults 'very low'

    Fitch says that the cumulative default levels of Chinese auto loan ABS transactions in January remain very low at between 0.07% and 0.5%, based on trustee reports for the collection period. While all programmes are performing within expectations, a substantial divergence in performance can be observed between different transactions.

    Fitch believes a growth slow-down in the Chinese economy - which .......

    News Round-up 20 March 2015

  • Oil prices spark positive outlook

    The outlook is largely positive for global securitisation and covered bond performance if oil prices continue to hover around US$50 per barrel, Fitch observes. However, the agency cautions that some sectors and regions could be susceptible to performance declines over time.

    With oil prices falling more than 50% since the middle of last year, lower gas prices and heating oil .......

    News Round-up 20 March 2015

  • Asset manager makes cfo shake-up

    Ares Management has hired Michael McFerran as evp, cfo and treasurer. Daniel Nguyen, Ares Management's current cfo and treasurer, will remain as cfo of the firm's private equity and tradable credit groups and will continue his involvement with its M&A activities.

    Before joining Ares Management, McFerran was md at Kohlberg Kravis Roberts, where he served as cfo of the firm's .......

    Job Swaps 20 March 2015

  • Euro secondary cools

    After a busy week the European secondary securitisation markets saw a quieter day yesterday and today looks likely to cool still further.

    Again, the bulk of yesterday's action surrounded BWICs most of which traded in line with expectations. Away from the lists it was major UK RMBS names that saw the most investor interest.

    Today, the tone remains positive, but .......

    SCIWire 20 March 2015

  • German affordability pressure emerging?

    The German housing market showed a sharp slow-down in price rises in wealthy mid-sized cities in 2014, according to Fitch. This follows the moderation in prices already seen for large wealthy cities since 2011 and may reflect affordability pressure.

    In its analysis of the German residential property market, Fitch uses four categories (A-D) based on a purchasing power index (PPI) .......

    News Round-up 20 March 2015

  • Liquidity challenges for US RMBS

    The US non-agency RMBS secondary market continues to trade strongly, but there are potential challenges ahead as the market's liquidity is tested.

    Today is a typical Thursday in a reasonably busy week with around $1bn in for the bid coming from a mix of hedge funds and money managers. Highlight of the week comes tomorrow at 10:00 New York time .......

    SCIWire 19 March 2015

  • CDX rolls to higher quality

    The Markit CDX IG index is set to roll to series 24 tomorrow (20 March), with four name changes from IG23. Morgan Stanley credit strategists note that the names removed were of meaningfully lower credit quality and had been downgraded to high yield, meaning that on average IG24 should have higher quality and tighter spreads than its predecessor.

    At the .......

    News Round-up 19 March 2015
×