RMBS

  • Secured warehouse use broadens

    Be-Spoke Loan Funding (SCI 3 October), a direct lending warehouse facility set up as a cashflow securitisation, exemplifies one of the ways in which secured warehouse financing continues to evolve. While the sector has already demonstrated adaptability, rising interest rates could pose a significant challenge.

    Warehouse funding is mainly used as either an acquisition bridge facility, a private facility for .......

    News Analysis 1 November 2017

  • Euro secondary strengthens

    Levels continue to strengthen across the European securitisation secondary market.

    October has been another month of more of the same and November looks unlikely to differ in the short term as technicals still hold sway and volumes remain relatively light. Demand continues to outstrip supply with holders unwilling to release seemingly ever-improving paper and other participants, especially dealers, very keen .......

    SCIWire 31 October 2017

  • Risk transfer round-up - 27 October

    Rabobank has sold a €600m portfolio of 3,600 loans that it originated. The loans all have the benefit of an NHG guarantee, backed by De Stichting Waarborgfonds Eigen Woningen (WEW).

    WEW is a foundation that acts as a home ownership guarantee fund backing the NHG programme. The transaction is Rabobank's first Dutch mortgage portfolio distributed to non-Dutch investors.

    Sources note .......

    News 27 October 2017

  • Job swaps round-up - 27 October

    Australia

    RMS has hired Pierre Wiart as md to its Sydney office, working on client relationships and market development. He was previously principal at Convergence Partners in Sydney.

    EMEA

    Goldman Sachs has hired Alex Snow as md to its structured finance division. He was also previously md at RBS in structured finance.

    North America

    Axis Capital has hired Brad Livingstone .......

    Job Swaps 27 October 2017

  • Libor replacement a "steep challenge"

    A transition to a replacement reference rate away from Libor by 2021 will be a "steep challenge" within structured finance documentation, according to S&P. The rating agency says the ultimate impact will depend on a number of factors, including whether current IBORs will be maintained for existing transactions until final maturity or whether existing transactions need to shift benchmarks.

    There .......

    News 24 October 2017

  • ABS rating effect explored

    Rating changes can have a significant impact on an ABS bond's price and value. While investors are less reliant on ratings than they were before the financial crisis, rating agencies continue to play a significant role in bond pricing.

    An analysis by TwentyFour Asset Management of the 10-year Portugal sovereign bond reveals that larger rating changes correlate to larger spread .......

    News 24 October 2017

  • Job swaps round-up - 20 October

    Australia

    Baker McKenzie has recruited Duncan McGrath as a partner in its corporate group in Sydney. McGrath was previously a partner at Gilbert + Tobin, where he established and headed the firm's DCM and securitisation practice. His experience includes leveraged and general finance, peer-to-peer lending, insolvency and restructuring, blockchain and smart contracts.

    EMEA

    Orchard Global Asset Management has hired Shawn .......

    Job Swaps 20 October 2017

  • Mortgage ILS landmark imminent

    United Guaranty is in the market with Bellemeade Re 2017-1 (see SCI's deal pipeline). The mortgage insurance securitisation is the first of its type to be publicly rated, potentially opening the gates for an increase in similar issuance.

    The US$368.11m mortgage insurance-linked securitisation (mortgage ILS) has been rated by Morningstar Credit Ratings. The agency has assigned a preliminary .......

    News 18 October 2017

  • Participation interest deal prepped

    Freddie Mac is in the market with the first in a new series of risk transfer RMBS, backed by a US$1.252bn portfolio of 3,231 conforming and super-conforming fixed-rate mortgages. Dubbed STACR 2017-SPI1, the collateral is housed in a participating interest (PI) trust, which will issue certificates for every loan in the form of pass-through certificate (PC) participation interests and credit .......

    News 17 October 2017

  • Job swaps round-up - 13 October

    Acquisition

    Navient has entered into an agreement to acquire online student lender Earnest for US$155m in cash. Earnest will continue to operate under its current brand and be led by its current management team. Navient has suspended its remaining share repurchase programme through year-end 2018 to allocate capital towards growing its education lending business and building book value. Closing of .......

    Job Swaps 13 October 2017

  • Mortgage funding facility formed

    Natixis has established a secured funding facility in the form of an SPV, dubbed Rembrandt Dutch Mortgages. The facility will fund mortgage loans, with the borrower exiting the vehicle via a securitisation or a whole loan portfolio sale.

    Rembrandt Dutch Mortgages will purchase loans funded through the issuance of senior and junior variable funding notes (VFNs), provided a stop purchase .......

    News 12 October 2017

  • Treasury report supports securitisation

    The US Treasury has released a report recommending a number of regulatory changes that could make it easier for companies to issue and invest in securitisations. The second in a series on boosting the US financial system, the report stresses the importance of securitisation to a strong economy and suggests repealing elements of the Dodd-Frank Act and lightening other regulatory .......

    News 9 October 2017

  • C-PACE lender breaks new ground

    Greenworks Lending has privately placed the first rated securitisation of purely commercial PACE assets. While the firm intends to tap the market again in the near future, potentially with a public C-PACE deal, the present emphasis is on origination of high quality assets by meeting the needs of commercial real estate property owners.

    Greenworks Lending's US$75m ABS was arranged by .......

    News Analysis 9 October 2017

  • Job swaps round-up - 6 October

    North America

    Roy Guthrie is to succeed JP McNeill - who is transitioning into a long-term strategy role as vice-chairman of the board - as chairman and ceo of Renovate America. Among his previous roles, Guthrie served as cfo and evp of Discover Financial Services and as president and ceo of various Citigroup businesses. Renovate America has also appointed Ari .......

    Job Swaps 6 October 2017

  • Rating agency opens in Europe

    KBRA has opened its first European office, located in Dublin, Ireland, and intends to expand into further jurisdictions (SCI passim). Several new hires and some existing staff will support the European effort, which will have a concerted focus on infrastructure and aviation securitisation, along with traditional core business areas.

    Kate Kennedy, senior md at the rating agency, comments: "With the .......

    News 5 October 2017

  • New dawn for bank funding strategies?

    The European securitisation market faces what is expected to be an "interesting" year ahead, as low-cost central bank liquidity dries up and banks adopt new funding strategies. Together with boosting primary ABS issuance, Bank of England and ECB tapering will likely impact the volume of paper being retained.

    In the UK, the drawdown periods for the Funding for Lending Scheme .......

    News Analysis 4 October 2017

  • Pre-funding mechanism highlighted

    Belmont Green Finance (BGF) is in the market with an inaugural £201.53m UK non-conforming RMBS. Dubbed Tower Bridge Funding 1, the securitisation comprises newly-originated first-lien mortgages originated through the Vida Homeloans brand.

    Moody's and DBRS have assigned provisional ratings to the transaction of Aaa/AAA on the class A notes, Aa2/AA (High) on the class Bs, A1/A (High) on the class Cs, Baa2/BBB .......

    News 4 October 2017

  • Euro secondary sustained

    Activity levels continue to be sustained if not spectacular in the European securitisation secondary market.

    "Secondary is still fairly quiet," says one trader. "New issues are coming through at a good steady rate and occupying people's minds."

    Overall, the trader adds: "The market feels pretty firm and spreads are holding up across the board. That's being backed up by decent .......

    SCIWire 3 October 2017

  • Rated RPL deal debuts

    Chimera Investment Corp is marketing its first rated re-performing loan RMBS, dubbed CIM Trust 2017-7. The US$512.45m securitisation is backed by 3,548 seasoned performing and re-performing first-lien mortgage loans, with US$34.4m of the pool balance comprising non-interest bearing deferred principal amounts.

    Fitch and DBRS have assigned provisional ratings to the transaction of AAA/AAA on the US$264.17m class A notes, AA/AA .......

    News 2 October 2017

  • Legacy non-conforming collections fall

    Average collection rates on loans in arrears backing some UK RMBS transactions are showing signs of weakening. At the same time, the average repossession rate for UK non-conforming RMBS has risen to 0.7%, although this is from post-crisis lows.

    Bank of America Merrill Lynch European securitisation analysts highlight that the main transactions affected by deteriorating collection rates on loans in .......

    News 28 September 2017

  • Bear-flattener trades advocated

    The Fed announced last week that it would unwind the System Open Market Account (SOMA) balance sheet, starting next month. This is part of a range of measures suggesting a tightening of monetary policy, in which case investors may wish to prepare for a flattening in the US yield curve, with several trade options available.

    US$4bn of MBS will be .......

    News 26 September 2017
×