Securitization - Article Archive

  • Court Greenlights MBIA’s Fraud Claim

    A New York state trial judge has refused to dismiss fraud claims brought by a unit of MBIA against Countrywide Financial and Bank of America in connection with 15 securitization of billions in home-equity lines of credit.

    • 30 Apr 2010
  • Feds Said To Launch Criminal Probe Of Goldman

    The U.S. Attorney’s Office in Manhattan reportedly is in early stages of a criminal investigation into Goldman Sachs based on fraud charges brought against the firm by the U.S. Securities and Exchange Commission.

    • 30 Apr 2010
  • U.S. CMBS Defaults Up 8.2% In Q1

    Fitch Ratings reports that the default rate of loans in U.S. commercial mortgage-backed securities rose in the first quarter was 8.2%, and is likely to continue to climb through the end of the year.

    • 30 Apr 2010
  • New-Issue Commercial TALF To End

    Improving economic conditions have prompted the Federal Reserve’s Federal Open Market Committee to close its Term Asset Backed Securities Facility for new-issue commercial mortgages June 30, as scheduled.

    • 30 Apr 2010
  • Non-Current, Real Estate-Owned Mortgages Up 19.3%

    The number of non-current or real estate-owned mortgages in the U.S. rose 19.3% in March compared with a year ago, according to the Lender Processing Services Mortgage Monitor Report. The

    • 30 Apr 2010
  • Middle Market CLOs Seen Taking Up Syndicated Slack

    Several middle market collateralized loan obligations are in the pipeline, proving the asset class is making a stronger showing than the much-ballyhooed return of broadly syndicated CLOs.

    • 30 Apr 2010
  • Texas Teachers Tap Neuberger To Manage MBS Mess

    The $94 billion Teacher Retirement System of Texas has hired Neuberger Berman to run a $1.2 billion residential mortgage-backed bonds allocation.

    • 30 Apr 2010
  • Sequoia Reviews Offer Preview Of New SEC Rules

    Standard & Poor’s unsolicited comments on the Sequoia Mortgage Trust 2010-H1 deal this week offer a preview of what is likely to come from Securities and Exchange Commission’s new rules, market players said.

    • 30 Apr 2010
  • "The mortgage-backed securities markets suffered from a unanimity of opinion from the three leading agencies in the years leading up to 2008. It seems the thrust of the SEC's proposed [asset-backed securities] regulation is that it's encouraging investors to form their own opinions and stop relying on rating agencies."

    --Michael Youngblood, principal at mortgage research, analytics and advisory company Five Bridges in Bethesda, Md., on the Securities and Exchange Commission's new rules requiring rating agencies to provide data to each other so that they can offer independent comment.

    • 30 Apr 2010
  • One Year Ago

    Deutsche Bank closed the $1.69 billion Blue Ridge collateralized loan obligation, only the fourth CLO to close last year.

    • 30 Apr 2010
  • The Future Of The Real Estate Market--Bankruptcies, Special Servicers And The World's Governments

    Amid the glow of the French Riviera, MIPIM 2010--one of the biggest real estate conferences in the world with nearly 18,000 in attendance--just ended.

    • 30 Apr 2010
  • Aussie Lenders Seek OK To Sell Covered Bonds

    Major Australian lenders are making a second attempt to get the government to grant them permission to sell covered bonds.

    • 30 Apr 2010
  • Moody’s Cites Factors For CIS Bank Failures

    Risky lending contributed to bank failures in the Commonwealth of Independent States but was not the leading cause, according to Moody’s Investors Services.

    • 30 Apr 2010
  • Building Societies Press For Tough Arrears Supervision

    The U.K.’s Building Societies Association has called on the Financial Services Authority to make sure that new rule proposals related to arrears are not just empty threats.

    • 30 Apr 2010
  • Dutch Bank Names ABS Head

    Dutch Bank Names ABS Head Amsterdam Trade Bank has appointed Hans Tamm to head corporate finance, according to International Finance Review. In his new position, Tamm, who previously worked at Al Rajhi Capital, will be responsible for asset-backed and structured-commodity finance.

    • 30 Apr 2010
  • Irish Lending To Non-Financials Slips Again

    The Central Bank and Financial Services Authority of Ireland reports that lending to non-financial corporations (NFC) fell for the third consecutive month in March.

    • 30 Apr 2010
  • U.S. Investors Taking Big Bites Of U.K. RMBS

    U.S. investors could serve to anchor future issuance in the primary U.K. residential mortgage-backed securities market, according to market officials.

    • 30 Apr 2010
  • Search Directory

    • 30 Apr 2010
  • Italian Banks Look To Tap RMBS Mart

    Two Italian banks have been soft sounding the market recently for a possible issuance, according to an Italian investor.

    • 30 Apr 2010
  • Arkle charges as ABS soldiers through crisis

    The malaise affecting the broader credit markets has yet to be fully felt in Europe’s securitisation markets, secondary spreads and primary issuance are showing.

    • 29 Apr 2010
  • CRE recovery not enough as refinancing mountain looms

    Some 111 loans backing European CMBS are due to mature in the next year and most will face severe refinancing difficulties, according to Fitch.

    • 29 Apr 2010
  • Moody’s prepares ground for new operational risk criteria

    Moody’s is about to launch a consultation on new ‘Aaa standards’ for operational risk in structured finance.

    • 29 Apr 2010
  • ECB starts work on loan level data requirements

    The European Central Bank will go ahead with plans to require loan level disclosure for ABS submitted to its liquidity facilities.

    • 29 Apr 2010
  • Traders Covet CF Bonds Despite Covenants

    Demand for CF Industries $1.6 billion in high-yield bonds is strong, despite what investors said were weak covenants, as accounts look to put capital to work.

    • 29 Apr 2010
  • Money Manager Adds MBS PM

    Edge Asset Management has hired Ryan McCann as a mortgage-backed securities portfolio manager.

    • 29 Apr 2010
  • Wells Fargo Ramps Up RMBS

    Wells Fargo has added three new spots to its residential mortgage-backed securities platform.

    • 29 Apr 2010
  • Goldman Eyes Settlement With Hedge Fund

    Goldman Sachs reportedly is in early stages of settlement talks with a hedge fund that is trying to be compensated for massive losses from its investment in a collateralized debt obligation sold by the bank.

    • 29 Apr 2010
  • House Committee Approves FHA Reform Act

    The House Financial Services Committee approved the FHA Reform Act of 2010, giving the Federal Housing Administration the authority to adjust its premium structure for new borrowers as a way of improving the agency’s financial position.

    • 29 Apr 2010
  • Ambac’s Problems Deepen Credit Union’s MBS Losses

    The U.S. Central Federal Credit Union reports it had to restates its 2009 fourth-quarter results because Ambac Assurance’s difficulties have restricted its ability to pay bond claims.

    • 29 Apr 2010
  • Distressed Debt Could Be A Return Winner

    Investments in distressed debt could return up to 20% this year, according to James Dondero, one of the founders of Highland Capital Management.

    • 29 Apr 2010
  • Public Hospitals Back French ABS Deal

    CHU Joint Issuance, a French special purpose vehicle, has closed a €167 million (17.56 million) asset-backed securitization of French public hospitals.

    • 29 Apr 2010
  • Lloyds Opens Books On Arkle Deal

    Lloyds Banking Group released price and size guidance for its latest Arkle Master Trust issuance, which is expected to close tomorrow.

    • 29 Apr 2010
  • France Finds No Goldman CDO Investors

    Autorité des Marchés Financiers, the French regulator, says it has not identified any domestic investment managers that put money into the Goldman Sachs collateralized debt obligation at the center of fraud charges brought by the U.S. Securities and Exchange Commission.

    • 29 Apr 2010
  • Aussie Securitization Market Looking Healthier

    The Australian securitization market is looking healthier than a year ago, but is still a long way from a total recovery, say market experts.

    • 29 Apr 2010
  • Dutch Securitization Seen Leading Recovery

    The Dutch securitization market has remained robust throughout the global financial crisis and may serve as a model for other countries, according to Sjoerd van Kuelen, chairman of the Holland Financial Centre.

    • 29 Apr 2010
  • Moody’s Downgrades Greek ABS

    Moody’s Investors Service has lowered the ratings on nearly €30 billion ($39.72 billion) in structured-finance transaction backed by Greek assets.

    • 29 Apr 2010
  • Whole Business ABS On Horizon?

    A whole business securitization may come to market at the end of 2010 or early 2011.

    • 28 Apr 2010
  • Cestari Heads to Cohen & Co.

    Philadelphia-based Cohen & Co. has hired veteran commercial mortgage-backed securities trader Rob Cestari as a managing director.

    • 28 Apr 2010
  • Principal Write-Down Remains Controversial

    Writing down principal for borrowers who are underwater continues to fuel debate among mortgage-securities investors, according to DBRS, the credit ratings agency.

    • 28 Apr 2010
  • Post-Bankruptcy CIT Scores Profit

    CIT Group reported a $97 million profit in its first quarter after exiting from bankruptcy last year.

    • 28 Apr 2010
  • Goldman Trader Denies Misleading CDO Investors

    Fabrice Tourre, the Goldman Sachs trader at the center of the fraud charges filed by the U.S. Securities and Exchange Commission, says he did not mislead investors in ABACUS 2007-AC1, the synthetic collateralized debt obligation linked to subprime residential mortgage-backed securities.

    • 28 Apr 2010
  • Transfer of Agency MBS To GSEs Urged

    The Shadow Financial Regulatory Committee, a group of private-sector policy analysts, is urging the Federal Reserve to have Fannie Mae and Freddie Mac handle its supply of agency mortgage-backed securities.

    • 28 Apr 2010
  • Undercapitalized Banks Suffer Commercial RE Problems

    Undercapitalized banks appear to have at least on thing in common: They largely have high concentration of commercial real estate loans.

    • 28 Apr 2010
  • Republicans Plan Tougher Reform Legislation

    Republican senators are said to be planning to introduce financial reform legislation that they say is in some ways tougher than measures proposed by the Democrats.

    • 28 Apr 2010
  • Securitization On Drawing Board For Business Service Provider

    Newtek Business Services, a provider of business services and financing to small-to medium-sized businesses, is planning its first securitization.

    • 28 Apr 2010
  • BarCap Credit Strategy Chief Exits

    Robert McAdie, London-based head of European credit strategy at Barclays Capital, resigned last week.

    • 28 Apr 2010
  • Spanish Regulator Delays VW Auto ABS

    Comisión Nacional del Mercado de Valores, the Spanish financial regulator, has delayed the launch of Volkswagen’s latest auto securitization.

    • 28 Apr 2010
  • Ireland Issues Bank Governance Proposals

    Ireland’s Central Bank and Financial Regulator has issued a consultation paper with its proposals for corporate governance standards for banks and insurers.

    • 28 Apr 2010
  • Deutsche Bank Downplays CDO Lawsuit Report

    Stefan Krause, cfo of Deutsche Bank, tried to downplay reports that it may be facing a lawsuit in the U.S. over collateralized debt obligations linked to mortgage-backed securities.

    • 28 Apr 2010
  • U.K. Buy-To-Let Market Improves

    The U.K.’s buy-to-let market has improved as landlords have greater access to financing than they did a year ago, according to David Whittaker, managing director of Mortgages for Business.

    • 28 Apr 2010
  • Ireland Issues Bank Governance Proposals

    Ireland’s Central Bank and Financial Regulator has issued a consultation paper with its proposals for corporate governance standards for banks and insurers.

    • 28 Apr 2010
  • Deutsche Bank Downplays CDO Lawsuit Report

    Stefan Krause, cfo of Deutsche Bank, tried to downplay reports that it may be facing a lawsuit in the U.S. over collateralized debt obligations linked to mortgage-backed securities.

    • 28 Apr 2010
  • London Tops In U.K. Repos

    London was by far the U.K. city recording the most residential repossessions in the first quarter, according to Spicerhaart Corporate Sales.

    • 28 Apr 2010
  • U.K. Buy-To-Let Market Improves

    The U.K.’s buy-to-let market has improved as landlords have greater access to financing than they did a year ago, according to David Whittaker, managing director of Mortgages for Business.

    • 28 Apr 2010
  • Clayton Utz Adds Securitization Attorney

    Clayton Utz, the Australian law firm, has named Andrew Jinks as a partner in its banking and finance practice.

    • 28 Apr 2010
  • London Tops In U.K. Repos

    London was by far the U.K. city recording the most residential repossessions in the first quarter, according to Spicerhaart Corporate Sales.

    • 28 Apr 2010
  • Clayton Utz Adds Securitization Attorney

    Clayton Utz, the Australian law firm, has named Andrew Jinks as a partner in its banking and finance practice.

    • 28 Apr 2010
  • Fitch Expects Issuance Flurry Before SEC Rule

    Europe could see a spurt of primary securitization issuance before the introduction of the U.S. Securities and Exchange Commission’s reforms, according to Fitch Ratings.

    • 28 Apr 2010
  • 24 Hour Fitness Investors Tired Out From Old Deal

    The new credit facility for 24 Hour Fitness is wrapped around its original issue discount OID of 98.5 in the secondary market, traders said Tuesday, showing a lack of investor interest in the recent launch of a new deal.

    • 27 Apr 2010
  • E-Mails Reveal Goldman View Of CDO

    The Senate Permanent Subcommittee on Investigations released e-mails that appear to reveal the view of at least one top executive of Goldman Sachs regarding collateralized debt obligations the firm sold.

    • 27 Apr 2010
  • Amex Offers First Non-TALF Bond Issue

    American Express is offering $805.5 million in bonds backed by credit card loans, its first deal following the expiration of the Federal Reserve’s Term Asset-Backed Securities Loan Facility on March 31.

    • 27 Apr 2010
  • Invesco Raises $1.46 Bln Mortgage Recovery Fund

    Invesco has held a final close of its Mortgage Recovery Fund with commitments of more than $1.46 billion.

    • 27 Apr 2010
  • Structural Issues Hinder Bank Lending

    Banks’ overreliance on real estate lending has left the industry unprepared for a sudden shift into commercial and industrial lending, according to a report by Greenwich Associates and credit manager FTRANS.

    • 27 Apr 2010
  • FDIC Eyes Lower Loan Guarantees

    The Federal Deposit Insurance Corp. appears to be moving away from guaranteeing 80% of potential losses on assets at failed banks.

    • 27 Apr 2010
  • Unison Spins Unique Cell Tower Securitization

    Cell tower site acquisition company Unison Site Management is rolling out the first-ever securitization of ground rents from cell tower operators with a $196 million deal expected to be priced this week.

    • 27 Apr 2010
  • LeasePlan Completes Sale Of Senior ABS deal

    Slough, England-based LeasePlan has privately placed another €594.3 million ($908 million) of its Bumper Three Finance asset-backed securitization of auto-receivables recently.

    • 27 Apr 2010
  • Deutsche Bank Hit With U.S. Mortgage-Linked Class Action

    Deutsche Bank says some of its affiliates are facing a class action in the U.S. related to mortgage securities it arranged.

    • 27 Apr 2010
  • Rising Impaired Loans Help Sink Kiwi Bank Profits

    A surge in impaired loans has helped sink net profits at New Zealand banks by 90%.

    • 27 Apr 2010
  • Most Irish CFOs Approve Of NAMA

    Most Irish cfos have a positive view of the government’s National Assets Management Agency, Ireland’s recently launched “bad bank,” according to a Deloitte survey.

    • 27 Apr 2010
  • EC Orders Ireland To Rein In NAMA

    The European Commission has ordered the Irish government to curb some of the powers it had granted to the National Assets Management Agency, the country’s bad bank.

    • 27 Apr 2010
  • CEBS Issues Disclosure Principles

    The Committee of European Banking Supervisors has published its principles for disclosures in times of stress.

    • 27 Apr 2010
  • U.K. Bank Mortgage Lending Up

    Net mortgage lending by U.K. banks grew at an annual rate of 4.5% in March, well above the 1% rate for the entire market in February, according to the British Bankers Association.

    • 27 Apr 2010
  • Class B Utility Success to Encourage More Issues

    The success of Yorkshire Water Services’ large public £450 million ($691 million) issuance of class B subordinated debt last week will encourage similar deals from U.K. utilities, according to a market official.

    • 27 Apr 2010
  • Ally To Wrap Up First Fixed-Rate Dealer Floorplan ABS

    Ally Bank will close Thursday the first fixed-rate securitization of auto dealer floorplans.

    • 26 Apr 2010
  • Centaur Gaming Preps Restructuring

    Horse racing and gaming facility company Centaur Gaming, which filed for bankruptcy last month, is in talks with lenders to restructure $600 million of senior secured debt, consisting of roughly $400 million in first lien debt and $200 million in second lien debt, Kurt Wilson, cfo in Indianapolis, Ind., told TSCI.

    • 26 Apr 2010
  • SEC To Investigate Its Goldman Charges

    David Kotz, the Securities and Exchange Commission’s inspector general, has acceded to requests by Republican lawmakers to investigate the decision to charge Goldman Sachs with fraud relating to collateralized debt obligations it sold.

    • 26 Apr 2010
  • HSBC, US Bancorp Settle FINRA Charges

    HSBC Securities and US Bancorp Investments have settled charges brought buy the Financial Industry Regulatory Authority relating to auction rate securities that became illiquid when the auctions froze up two years ago.

    • 26 Apr 2010
  • Conn. AG Blasts Credit Raters

    Richard Blumenthal, the attorney general of Connecticut, has called credit rating agencies “enablers of wrongdoing” for awarding high ratings to financial instruments to please big clients.

    • 26 Apr 2010
  • Treasury Threatens Underperforming HAMP Servicers

    The Department of the Treasury has warned mortgage servicers that they risk losing incentives or may be forced to return incentives they received for not following guidelines for modifying loans.

    • 26 Apr 2010
  • Goldman Rivals Reviewing Their CDOs

    Goldman Sachs’ competitors have taken to reviewing their collateralized debt obligations that pre-date the financial crisis, following fraud charges brought against the investment firm by the U.S. Securities and Exchange Commission.

    • 26 Apr 2010
  • Universal Comes Back For Pricing Cut

    Universal City Development Partners is shaving 50 basis points off a $900 million term loan, cashing in on improved valuations and tightening spreads in the market.

    • 26 Apr 2010
  • Ireland Planning Tough New Banks Regs

    The Central Bank of Ireland is planning tough new regulation for the banking sector.

    • 26 Apr 2010
  • U.K. Brokers Back Replacing FSA As Mortgage Regulator

    Eight out of 10 U.K. brokers polled support replacing the Financial Services Authority as mortgage-industry regulator.

    • 26 Apr 2010
  • Mortgage Lending In Spain Rises In Feb.

    Mortgage lending in Spain rose in February for the first time in 2-1/2 years, according to the National Statistics Institute.

    • 26 Apr 2010
  • Ex-RBS Bankers Rev Up Debt Hiring

    Former Royal Bank of Scotland bankers who have set up broking boutiques in the past 12 months have revved up their hiring this year to respond to growing investor appetite in debt markets.

    • 26 Apr 2010
  • Tories Eye Economic-Crimes Agency

    U.K. businesses could face scrutiny from a “super-detective” agency that the Tories would create if they win the General Election next month.

    • 26 Apr 2010
  • ABS Down As Preferred ECB Repo Asset

    The use of asset-backed securities as collateral in the European Central Bank’s repurchase facility decreased in 2009, knocking the instrument off the top of the preferred asset list.

    • 26 Apr 2010
  • Barclays Names Securitization Group Co-Heads

    Jay Kim and Cory Wishengrad have been named co-heads of the asset securitization group at Barclays Capital, replacing Michael Wade, who has left the bank.

    • 26 Apr 2010
  • Greek Debt Woes Blow Out RMBS Spreads

    Greece’s sovereign debt crisis caused spreads on its AAA five-year residential mortgage-backed securities to finish last week 100 basis points wider at 450 bps over Euribor.

    • 26 Apr 2010
  • Moody’s prepares new criteria for operational risk

    Moody’s is about to launch a consultation on new “Aaa standards” for operational risk in structured finance.

    • 25 Apr 2010
  • TAIPAN: Asian loans add to structured finance revival

    I was pleasantly surprised last week to see Standard Chartered flying the flag for synthetic securitisation, and only days after the SEC came out fists flying trying to take down Goldman Sachs for a synthetic CDO from back in 2007.

    • 24 Apr 2010
  • CMBS Spreads Fluctuate On Goldman Suit

    Spreads on commercial mortgage-backed securities saw considerable fluctuation this week that was driven in part by the Securities and Exchange Commission’s civil suit against Goldman Sachs.

    • 23 Apr 2010
  • Credit Ratings Agencies Blasted Over Tactics

    The Senate Permanent Subcommittee on Investigations has lashed out at credit rating agencies for some of the tactics they appeared to have use that led them to give higher ratings to mortgage-backed securities and collateralized debt obligations than was warranted.

    • 23 Apr 2010
  • Houses Committee Passes Rural Mortgage Guarantee Bill

    The House Financial Services Committee has unanimously passed a bill that would require lenders to pay mandatory fees to fund a mortgage program for rural housing that currently is backed by the U.S. government.

    • 23 Apr 2010
  • Merrill Sued Over Goldman-Like CDO

    The Dutch Rabobank has filed suit against Merrill Lynch, charging the firm allegedly engaged in “precisely same type of fraudulent conduct” that resulted in Goldman Sachs fraud charges brought by the U.S. Securities and Exchange Commission.

    • 23 Apr 2010
  • Wentworth Completes $252 Mln Securitization

    J.G. Wentworth, the Pennsylvania-based specialty finance firm, has completed $252 million securitization of structured settlement and annuity-backed receivables.

    • 23 Apr 2010
  • PennyMac Names Chief Servicing Officer

    Private National Mortgage Acceptance Co. (Pennie Mac) has appointed Steve Bailey chief servicing offer.

    • 23 Apr 2010
  • ASF Taskforce To Take Shape In Two Weeks

    The American Securitization Forum, which received more than 500 responses the day after the Securities and Exchange Commission released its proposed asset-backed securities rules, will pull together the taskforce on the proposal in two weeks.

    • 23 Apr 2010
  • Morgan Stanley Seen Prowling For CMBS Buildup

    Morgan Stanley is looking to rebuild its commercial mortgage-backed securities team as the sector’s vital signs improve.

    • 23 Apr 2010
  • "When you combine the limited lien asset scope with the carve-outs, you don't have any protection... The covenant might as well not be there."

    --Alex Dill, senior covenant officer at Moody's Investors Service, on the covenants on CF Industries' $1.6 billion high-yield bond issue.

    • 23 Apr 2010