Complete news archive

  • LMI sensitivity examined

    The sensitivity of Australian triple-A rated prime RMBS to lenders' mortgage insurance (LMI) providers has continued to decrease, S&P reports. The agency adds that subordinated RMBS credit quality remains highly dependent on the credit quality of LMI providers and the continuation of their strong claims pay-out ratios.

    Without giving credit to LMI, about 82% of triple-A rated prime RMBS are .......

    News Round-up 26 November 2013

  • Bank settlement exposure analysed

    Bank of America, Citi, Goldman Sachs, JPMorgan, Morgan Stanley and Wells Fargo together have paid or set aside more than US$45bn for mortgage representation and warranty issues and have incurred roughly US$50bn in combined legal expenses since 2009, according to S&P figures. This is in addition to another roughly US$30bn of expenses and mortgage payment relief to consumers to settle .......

    News Round-up 26 November 2013

  • Info-matching provider adds US head

    Algomi has appointed Stephen Gallagher as head of operations in the US, based in New York. He has nearly 30 years of credit experience and will take responsibility for launching the firm into the US market.

    Gallagher will work closely with chairman Michael Schmidt and ceo Stu Taylor to take the company's proposition to market. The firm is expanding its .......

    Job Swaps 26 November 2013

  • Marginal decline predicted in auto credit

    Moody's expects the credit quality of the US auto ABS sector to continue to decline in 2014, albeit marginally. This reflects the modest but ongoing decline in the underlying credit of auto ABS collateral pools.

    "ABS collateral pools are going to reflect the persistent weakening of auto lending standards, as lenders respond to both macroeconomic and competitive changes," says Jeff .......

    News Round-up 26 November 2013

  • MSR transfers changing servicing landscape

    Large portfolios of non-agency RMBS mortgage servicing rights (MSRs) continued to move from banks to non-bank servicers in 3Q13. Fitch expects additional large MSR transfers to occur by year-end as the banks continue to offload defaulted/high-risk loans.

    These transfers have contributed to many changes in the servicing landscape as non-bank servicers now have higher subprime delinquency rates and use principal .......

    News Round-up 26 November 2013

  • Preplaced equity differentiates MJX CLO

    The recently priced US$614.5m Venture XV CLO is notable for the fact that the equity was preplaced. Lead manager and co-placement agent StormHarbour Securities also arranged a warehouse line (including warehouse equity) for the deal, thereby allowing the manager - MJX Asset Management - an extended period of time to ramp the portfolio. Mitsubishi UFJ Securities (USA) acted as co-lead .......

    News Round-up 26 November 2013

  • Distressed assets partner appointed

    Kleinberg, Kaplan, Wolff & Cohen has appointed Dov Kleiner as a partner in its bankruptcy and workout practice. He joins from Vinson & Elkins and will be based in New York.

    Kleiner will focus on financial restructurings, workouts and reorganisations. His practice represents creditors, debtors, borrowers, lenders and purchasers of assets or securities of distressed companies and as well as .......

    Job Swaps 26 November 2013

  • TPO performance improving

    Recent residential mortgages initiated by third-party brokers and correspondent lenders have been performing nearly as well as the retail loans that the ultimate originators source directly from the borrower, Moody's reports. Pre-financial crisis third-party originated loans (TPOs) defaulted far more frequently than retail loans.

    Moody's notes that the narrower gap in recent loan performance is due to tighter lending and .......

    News Round-up 25 November 2013

  • Investment eligibility events eyed

    S&P has placed its respective double-B minus and single-B plus ratings on the US$100m Queen Street II Capital and US$150m Queen Street III Capital ILS on credit watch with negative implications. The move follows principal losses caused by the liquidation of the MEAG Queen Street II and MEAG Queen Street III funds due to investment eligibility events.

    Indenture trustee Bank .......

    News Round-up 25 November 2013

  • Swaps report initiated

    The CFTC has launched the 'CFTC Weekly Swaps Report', which aims to provide the public with a detailed view of the swaps marketplace. The report currently covers the interest rate and credit asset classes, detailing gross notional outstanding value, weekly transactions measured by dollar volume and weekly transactions measured by ticket volume. For each asset class, the report provides detailed .......

    News Round-up 25 November 2013

  • Innovative Malaysian sukuk prepped

    Malaysia Building Society Berhad (MBSB) is in the market with the debut issuance under a new RM3bn structured covered sukuk commodity murabahah programme. Dubbed Tranche 1 Structured Covered Sukuk, the RM495m transaction is notable for being supported by a portfolio of securitised assets.

    RAM Ratings has assigned a preliminary rating of AA1/stable to the deal. The rating agency explains that .......

    News Round-up 25 November 2013

  • SME agreement signed

    The European Investment Bank and Banco Santander have signed a €234.6m agreement to set up an SME asset securitisation fund. This is the second installment of a total €400m loan to finance the long-term investment and working capital needs of SMEs and midcaps in the region.

    The move will enable the creation of a new securitisation fund into which Banco .......

    News Round-up 25 November 2013

  • Former credit chief sentenced for MBS fraud

    Credit Suisse's former global head of structured credit, Kareem Serageldin, has been sentenced to 30 months in prison for his part in hiding more than US$100m in losses in an MBS trading book at the bank (SCI 20 February 2008). The bonds included subprime RMBS and CMBS.

    Serageldin's manipulation of bond prices contributed to Credit Suisse taking a US$2.65bn write-down .......

    Job Swaps 25 November 2013

  • SCI Start the Week - 25 November

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

    Pipeline
    A further 15 deals were added to the pipeline last week, with all asset classes represented. As well as four new ABS and one ILS, three RMBS, five CMBS and three CLOs were announced.

    The ABS joining the pipeline comprised: CNH Capital Canada Receivables Trust 2013-2; C$264.551m Glacier Credit Card Trust series 2013-1; ¥40bn KAL Japan ABS 10 Cayman; and .......

    News 25 November 2013

  • Hong Kong connection for OTC service

    Markit's MarkitSERV service now connects customers to OTC Clearing Hong Kong (OTC Clear). MarkitSERV is the first global trade processing middleware service to connect to OTC Clear.

    MarkitSERV will also connect customers to the Hong Kong Monetary Authority's new trade repository. From December it will also provide workflows to facilitate compliance with trade reporting requirements in Hong Kong.

    .......

    Job Swaps 25 November 2013

  • Obstacle to Watt's confirmation removed

    The route has been cleared for Mel Watt to be confirmed as the next FHFA director after the US Senate approved rules to allow nominees to be confirmed with a simple majority vote. After receiving 56 votes on his first nomination attempt (SCI 1 November), Watt should have sufficient support this time around, although he might not be confirmed until .......

    News 22 November 2013

  • Positive run continues for credit funds

    Hedge funds saw a fourth consecutive month of strong inflows in October. Investors allocated an estimated US$9.3bn to the sector during the month, according to eVestment figures, totalling US$56.4bn during the four-month streak.

    Last month's performance gains increased hedge fund AUM by an additional US$47.6bn. The estimated asset weighted performance of 1.74% is the industry's largest since December 2010. With .......

    News Round-up 22 November 2013

  • First closing for loan fund

    Tikehau IM has launched a new pan-European leveraged loan fund. Dubbed FCT Tikehau Corporate Leveraged Loan Fund, its objective is to invest in senior secured loans granted to European private equity-sponsored companies in order to support buyout, expansion and recapitalisation transactions. The fund has completed its first closing, based on what the firm describes as "strong traction" among European institutional .......

    News Round-up 22 November 2013

  • Euro traders in CMBS 'food fight'

    European CMBS traders have been inundated with BWICs over recent weeks as the market remains busy in the run-up to year-end. Bid-lists have been trading strongly and SCI's PriceABS data shows that yesterday's session was no exception.

    "In some ways it is not great to be a dealer at the minute because all we are doing is working .......

    Market Reports 22 November 2013

  • Lehman RMBS restructuring completed

    Fitch and S&P have upgraded the Mortgage Funding 2008-1 class A1 notes (to AA/AA from BB/B- respectively) and assigned ratings to additional classes of A2, A3 and B1 notes. The move reflects the further restructuring of the non-conforming RMBS on 19 November, following the first phase of restructuring on 23 August.

    Under the second master restructuring agreement, the existing class .......

    News Round-up 22 November 2013

  • OGX issuer substitution info requested

    ISDA's Americas Determinations Committee is set to reconvene today (22 November) to continue its discussions about the OGX Petróleo e Gás Participações S.A. bankruptcy credit event and related CDS auction (SCI 11 November). The reference entity is understood to have ceased to be the issuer of the 8.500% senior notes due 2018 issued by OGX Petróleo e Gás Participações as .......

    News Round-up 22 November 2013
×