Complete news archive

  • Cengage results in

    The final price of Cengage Learning Acquisitions Inc LCDS was determined to be 74 during yesterday's auction. Nine dealers submitted initial markets, physical settlement requests and limit orders to the auction. Due to a zero net open interest, there was no subsequent bidding period, so the inside market midpoint value is the final price.

    .......

    News Round-up 7 August 2013

  • UBS settles over ACA 07-2

    The US SEC has charged UBS Securities with violating securities laws while structuring and marketing the ACA ABS 2007-2 CDO by failing to disclose that it retained millions of dollars in upfront cash it received in the course of acquiring collateral for the CDO. UBS agreed to pay nearly US$50m to settle the charges.

    The SEC's investigation found that UBS .......

    Job Swaps 7 August 2013

  • BofA charged with fraud

    The US SEC has charged Bank of America and two subsidiaries with defrauding investors in an RMBS by failing to disclose key risks and misrepresenting facts about the underlying mortgages (SCI 5 August). The SEC alleges that the bank failed to tell investors that more than 70% of the mortgages backing the offering - called BOAMS 2008-A - originated through .......

    Job Swaps 7 August 2013

  • Securitisation chief named

    Mark Pain has joined Santander Consumer Finance UK as head of securitisation, responsible for its ongoing auto ABS programme. Before a year's stint as a consultant, he worked in a variety of front office roles with the US and European principal finance business of Investec Bank. His role included credit analysis and cashflow modelling of granular cashflow transactions, including RMBS, .......

    Job Swaps 7 August 2013

  • Wave of Irish restructurings forecast

    Fitch expects long-term restructurings of Irish mortgages to become more prevalent now that a cohesive and credible framework for dealing with arrears has taken shape. The agency anticipates that tools such as split mortgages or trade-down products for borrowers in negative equity will be used first, followed by personal insolvency arrangements (PIAs). Repossession or voluntary surrender is likely to be .......

    News Round-up 6 August 2013

  • Sustainable future for BTR investing

    Mortgage strategists at Morgan Stanley believe that the burgeoning buy-to-rent (BTR) business is sustainable and has a long runway for growth. Institutional players are buying assets below replacement cost and realising material home price appreciation (HPA) today, with the prospect for strong cashflow growth over time.

    Although initial net yields - at 5%-6% after capex - may fall short of .......

    News 6 August 2013

  • Timeshare relative value touted

    Investors seeking incremental yield in ABS typically move down in credit or expand into non-benchmark sectors. Another potential source of incremental yield can be found in structural inefficiencies that create cheaper-than-expected cashflows and good relative value opportunities.

    Exploiting differences between assumed and realised prepayment speeds - especially in new issue deals - is one way of achieving this outcome, according .......

    News Round-up 6 August 2013

  • Aussie advisory felled by lawsuits

    Australian advisory firm Oakvale Capital entered voluntary administration at the end of July after 25 years of operation. The company faces five lawsuits filed against it by local councils in New South Wales - three of which were filed as recently as June - and consequently was no longer able to operate, according to a client memo from Amicus.

    "Following .......

    Job Swaps 6 August 2013

  • Ginnie launches loan-level initiative

    Ginnie Mae has begun releasing loan-level data for newly issued single-family MBS on a daily basis. The disclosure file will contain 36 data elements, including information regarding borrowers' debt-to-income ratios and credit scores.

    "We are committed to increasing the transparency of the mortgage loans backing Ginnie Mae securities," comments Ginnie Mae president Ted Tozer. "Improving our securities disclosures helps us .......

    News Round-up 6 August 2013

  • Drop in bankruptcies buoys consumer ABS

    US personal bankruptcy filings are poised to drop for a third consecutive year in 2013 and may in fact fall to a level seen only twice before in the last two decades, according to Fitch. Personal bankruptcy filings totalled 532,290 at the end of 1H13, 13.7% lower than a year earlier (616,911).

    Fitch senior director Steven Stubbs attributes the sizeable .......

    News Round-up 6 August 2013

  • ICE unveils SEF plans

    IntercontinentalExchange is set to launch a swap execution facility (SEF) - dubbed ICE Swap Trade - in 3Q13. So far, Citi, Morgan Stanley, SG and UBS have signed up to provide firm pricing for the platform.

    ICE Swap Trade will offer index and single name CDS across North American and European corporates and sovereigns, with a choice of trading cleared .......

    News Round-up 6 August 2013

  • Bifurcated AJ prices observed

    US CMBS AJ prices appear to be bifurcating in the wake of recent principal write-downs hitting two originally triple-A rated legacy bonds for the first time (SCI passim), according to Interactive Data. Generally, higher evaluated prices are observed for bonds with higher LCR and lower special serviced percentages, and vice versa. While this relationship held true for most bonds with .......

    News Round-up 6 August 2013

  • Currency swap criteria updated

    Fitch has updated its criteria for rating currency swap obligations of an SPV in structured finance transactions and covered bond programmes. The updated criteria are not expected to result in rating actions.

    The key driver for the rating of swap obligations is the rating of the related reference notes. SPV obligations to swap counterparty and noteholders should and usually rank .......

    News Round-up 6 August 2013

  • Due diligence firm adds in management

    Rockstead has recruited Jane Bebb as operations manager, heading up a team of analysts and auditors. She was formerly senior project leader/auditing consultant at Clayton Euro Risk.

    .......

    Job Swaps 6 August 2013

  • MBS portfolio manager named

    Cerberus Capital Management has appointed Daniel Choquette as a mortgage portfolio manager in its MBS group. He was previously md and portfolio manager, US securitised mortgage products at Putnam Investments.

    .......

    Job Swaps 6 August 2013

  • Asset manager beefs up

    Douglas Charleston joined TwentyFour Asset Management last month as a portfolio manager. He has seven years of ABS structuring and fund management experience, most recently at Lloyds.

    Another recent addition to the team is Luca Beldi, who has been recruited as an analyst. He is a Masters graduate in economics from the University of Milan.

    In addition, the firm's heads .......

    Job Swaps 6 August 2013

  • Abenomics strategy outlined

    The impact of the Japanese government's revitalisation strategy on consumer loan ABS in the country is credit positive, according to Moody's Structured Thinking Asia Pacific report. Disclosed on 14 June as part of the 'Abenomics' initiative, the government will promote smooth job transitions for workers - in particular, irregular employees - through subsidies and support programmes under the strategy. The .......

    News Round-up 5 August 2013

  • Aussie swap risk highlighted

    Moody's notes in its latest Structured Thinking Asia Pacific publication that a number of Australian RMBS closed in or prior to 2007 are at risk of additional expected loss due to a high reliance on swap providers. Swap documentation for the affected deals don't have adequate remedial actions to reduce the likelihood of a transaction becoming unhedged upon the initial .......

    News Round-up 5 August 2013

  • CMBS pay-offs hit five-year high

    The percentage of US CMBS loans paying off on their balloon date registered 74.1% last month, the highest reading in almost five years, according to Trepp. December 2008, which saw 84.9% of loans paying at maturity, was the last month with a higher level.

    The July reading was more than 15 points better than June's 58.5% and is well above .......

    News Round-up 5 August 2013

  • New cat bond sponsors, peril welcomed

    S&P has rated US$3.55bn of natural peril catastrophe bonds so far this year, compared to US$2.1bn, US$1.6bn and US$3.3bn for the same period in 2010, 2011 and 2012 respectively. Full-year issuance totals for 2010, 2011 and 2012 were US$4.3bn, US$3.8bn and US$4.8bn.

    The first seven months of 2013 saw five new sponsors enter the ILS market: American Coastal Insurance Co, .......

    News Round-up 5 August 2013

  • Survey blasts CLO retention rules

    The Loan Syndications and Trading Association has submitted a comment letter to the Fed, the OCC, the FDIC, the SEC, the FHA and the Department of Housing and Urban Development. The letter prominently features a new survey - polling 35 CLO managers that collectively manage US$228bn in 509 CLOs - conducted by the LSTA, which shows that new risk retention .......

    News Round-up 5 August 2013
×