RMBS

  • Chinese expansion predicted

    The Chinese auto ABS and RMBS markets have high potential for growth over the medium term and should expand on the success of CLOs in China, says Moody's. This is due to high demand for auto loans and mortgages in the country on the back of higher consumption and rapid growth in the housing sector.

    The result has left auto .......

    News Round-up 13 July 2015

  • Mortgage REIT diversity dawns

    Kroll Bond Rating Agency says there are signs that some traditional agency mortgage REITs are diversifying towards CRE securities. The agency says residential mortgage REITs could be faced with either increasing leverage or diversifying due to rising funding costs and margin compression.

    Strong investor demand has allowed mortgage REITs to significantly grow portfolios by issuing over US$50bn in equity and US$7.8bn in senior .......

    News Round-up 10 July 2015

  • CSP advisory group established

    Freddie Mac, Fannie Mae and Common Securitisation Solutions (CSS) have formed an Industry Advisory Group to provide feedback and share information on efforts to build the Common Securitisation Platform (CSP) and implement the single security. This follows the US FHFA's recent progress update on the single security, outlining the objective to finalise its structure in 2015 (SCI 18 May).

    In addition .......

    News Round-up 10 July 2015

  • Further ABSPP purchases detailed

    The ECB this week  provided an updated breakdown of its ABSPP holdings. As of the end of last month, the Eurosystem held €8.8bn in securities purchased under the programme - with €6.6bn purchased in secondary and €2.2bn from the eurozone primary market.

    The ECB previously provided an ABSPP breakdown for April at the start of June (SCI 2 June), so these .......

    News 10 July 2015

  • New players spurring UK RMBS

    Moody's says that new players in the UK's prime mortgage market and pre-crisis legacy assets hold the keys to deal issuance for the next 12 months. In the 18 months from January 2014 to June 2015, such pools accounted for almost half of all newly issued UK RMBS at 15 out of 33 deals, which is £8.2bn out of total .......

    News Round-up 9 July 2015

  • Greek RMBS prisoner to politics

    As well as the obvious implications of any exit from the euro, Greek RMBS could also be affected by another political decision: a fresh moratorium on home repossessions. Both political paths could be pursued, with negative RMBS consequences, say JPMorgan analysts.

    The Greek RMBS universe is around €2.2bn. There are three large shelves of €600m-€800m outstanding (Estia, Grifonas and Themelion) .......

    News 9 July 2015

  • House sales boost Dutch RMBS

    A recovery in house sales in the Netherlands will increase the proceeds that originators recover in cases of foreclosure, says Moody's. This should reinforce the stable performance of the Dutch RMBS market, with the agency forecasting a maximum house price increase of up to 5% in 2015.

    Available data shows that a 16% rise in house sales in the first five .......

    News Round-up 8 July 2015

  • RBS settlement losses expected

    RBS could face potential settlement fees totalling US$13bn (£8.3bn) relating to alleged violations linked to the sale of US$32bn of MBS to Fannie Mae and Freddie Mac, according to Fitch. The figure is outlined in court filings made on behalf of the US FHFA.

    Fitch says this latest round of conduct and litigation fines that may be imposed on RBS is already reflected in the bank's standalone viability .......

    News Round-up 6 July 2015

  • Post-crisis RMBS affirmed, upgraded

    Fitch has taken various rating actions on 791 classes from 47 US prime jumbo RMBS that were issued after 2010. The agency affirmed the ratings for 93% of the classes reviewed and upgraded the ratings for 7%.

    The rating actions reflect the high credit quality and the superior performance of the collateral. The transactions reviewed have an average FICO score .......

    News Round-up 3 July 2015

  • RFC issued on Polish RMBS

    Moody's is seeking feedback on the methodology it is proposing for analysing the credit risk of Polish RMBS. The agency plans to use the proposed approach in conjunction with its existing methodologies to rate RMBS and covered bonds in Poland.

    To derive the calibration of the country-specific values and assumptions for Poland, Moody's benchmarked the Polish residential real estate market .......

    News Round-up 3 July 2015

  • Canadian ABCP impact highlighted

    The Canadian government last month proposed regulations restricting the use of insured mortgages as collateral in non-CMHC-sponsored securitisation vehicles and requiring mortgages that are portfolio-insured after the effective date to be funded through CMHC securitisation programmes. The stated rationale of reducing taxpayer exposure, increasing market discipline and restoring portfolio insurance to its original purpose is consistent with previous measures taken .......

    News Round-up 3 July 2015

  • Greek sovereign ceiling lowered

    Fitch has downgraded 18 tranches across seven Greek RMBS, one ABS tranche and four covered bond programmes issued by Alpha Bank, National Bank of Greece and Piraeus Bank. The move follows the downgrade of Greece's IDR to double-C and the revision of the country ceiling to triple-C, as well as the downgrade of Greek banks.

    The RMBS tranches have been .......

    News Round-up 3 July 2015

  • Euro secondary holds up

    European securitisation secondary market spreads are holding up as the wait for the Greek referendum continues to keep most participants sidelined.

    Flows remained light yesterday and are expected to stay the same today especially given the US public holiday. Prime assets again saw the most activity though it was still very patchy and market sentiment has slightly improved in peripherals .......

    SCIWire 3 July 2015

  • US RMBS quiet for now

    The US non-agency RMBS secondary market has had a quiet start to July, but that could change as the month moves on.

    "It's been a very low volume week - we've seen around $50m per day in for the bid over the last couple of days and today's BWIC calendar is negligible," says one trader. "There aren't a lot of .......

    SCIWire 2 July 2015

  • Portuguese housing on the up?

    Fitch reports that recent sales of properties from the possession of lenders point to greater liquidity and transparency in the Portuguese housing market, as the economy continues to recover.

    The distressed sale discount to the indexed original valuation - the quick-sale adjustment (QSA) - has been on a declining trend, according to the agency. In 2014 the average QSA fell .......

    News Round-up 2 July 2015

  • Manager charged with fraud

    The US SEC has charged AlphaBridge Capital Management and its two owners with fraudulently inflating the prices of RMBS in hedge fund portfolios they managed. A Commission investigation found that the firm told investors and its auditor that it obtained independent price quotes from broker-dealers for certain unlisted thinly-traded bonds, but instead gave internally-derived valuations to broker-dealer representatives to pass .......

    Job Swaps 2 July 2015

  • Euro secondary seeks clarity

    The European securitisation secondary markets continue to suffer poor liquidity and lack of supply as participants await further news on Greece.

    "It's still very quiet with everyone sitting on the sidelines," says one trader. "We got through quarter-end OK and had hoped things would then pick up but it looks like no one is willing to do anything until we .......

    SCIWire 2 July 2015

  • Euro secondary stable

    The European securitisation secondary market remained stable yesterday amid the varying Greece headlines and is holding firm for now ahead of further news from the ECB later today.

    Yesterday once again saw very light flows as the majority of both buyers and sellers remain content to sit out the wider market volatility. Consequently, spreads were broadly unchanged on the day.

    SCIWire 1 July 2015

  • Granite reviewed on counterparty risk

    S&P has placed on credit watch negative its ratings on 90 Granite RMBS tranches. The move corrects an error made in February when the agency took various rating actions on a number of UK, German, Austrian and Swiss banks, following its review of government support. At that time, S&P placed 377 European structured finance ratings on credit watch negative, including .......

    News Round-up 1 July 2015

  • Greek arrears rising

    Greek mortgage arrears have risen during the prolonged negotiations between the country's government and its official creditors, Fitch reports. The agency suggests that a deteriorating economy and almost total absence of bank credit may have combined with retail borrowers withholding loan repayments during the extended period of uncertainty.

    "Some mortgage borrowers may already be strategically entering early-stage arrears as the .......

    News Round-up 30 June 2015

  • Euro secondary stays calm

    Tone continues to be weak across European securitisation secondary, but the market has remained calm.

    "Not much happened yesterday - as broader markets headed down volumes in ABS/MBS were very thin," says one trader. "Peripherals were better offered in the Street, but there was no panic selling from customers."

    Indeed, the trader adds: "There was very little customer activity at .......

    SCIWire 30 June 2015
×