Securitization - Article Archive

  • Prospect plans summer smash with P2P ABS

    The hottest new asset class in US securitization is set for a scorching summer, with at least two more marketplace lending ABS expected in the coming weeks after Citi and SoFi tapped the market this week.

    • 30 Jul 2015
  • Ashurst brings in Goldman CLO founder after exodus

    Eric Bothwell has joined Ashurst’s New York CLO practice as a senior consultant and is looking to rebuild after the firm lost nine senior lawyers in two months.

    • 30 Jul 2015
  • US autos continue push as summer approaches

    CarMax and AmeriCredit are set to defy the summer ABS slowdown next week, as the auto market continues its recent run of issuance.

    • 30 Jul 2015
  • Pramerica and Babson mark a busy CLO day with pricing

    Babson Capital and Pramerica Investment Management capped a busy Thursday for the CLO market, pricing their respective vehicles and seemingly confirming 135bp as the clearing level for senior notes.

    • 30 Jul 2015
  • Pramerica and Babson mark busy CLO day with pricings

    Babson Capital and Pramerica Investment Management capped a busy Thursday for the CLO market, pricing their respective vehicles and seemingly confirming 135bp as the clearing level for senior notes.

    • 30 Jul 2015
  • Unlocking potential of RMBS key for China securitization

    Ever since China started its securitization market a decade ago, there has been a lot of talk about the vast potential for the product. And while it’s true that securitization has been developing strongly, the country’s true potential lies in the still mostly untapped residential mortgage-backed security (RMBS) sector.

    • 30 Jul 2015
  • China ABS going strong despite slowdown

    This year Chinese securitization has struggled to continue the momentum it showed at the end of 2014, failing to come close to the increased Rmb500bn ($82bn) quota from regulators. While there is more than one reason behind why issuance has been slow, market participants are still confident the budding asset class will come good by the end of the year.

    • 30 Jul 2015
  • China securitization outlook, Part II: Unlocking the true potential of RMBS

    Ever since China started its securitization market a decade ago, there has been a copious amount of talk about the vast potential for the product. While it’s true that securitization has been developing strongly, the country’s true potential lies in the yet mostly untapped residential mortgage-backed security (RMBS) sector.

    • 30 Jul 2015
  • CarMax files amid quieter week for auto ABS

    CarMax is looking to bring its third auto ABS of the year as the summer lull begins to take hold. Meanwhile, Flagship Credit Acceptance has priced its latest subprime deal.

    • 29 Jul 2015
  • Goldman alumni look to issue non-QM RMBS

    Shelter Growth Capital Partners, an investment manager that three Goldman Sachs alums founded in 2013, plans to securitize non-qualified mortgages.

    • 29 Jul 2015
  • MBS litigation veteran joins Atlanta law firm

    Crisis-era mortgage expert Brian Olasov has joined Carlton Fields Jorden Burt’s real estate and commercial finance practice group as executive director of financial consulting services.

    • 29 Jul 2015
  • Barclays folds remainder of European ABS team into credit

    Barclays has put several members of its European ABS business at risk, and is folding those left on the trading desk into its European fixed income credit trading group.

    • 29 Jul 2015
  • CMBS hots up in Europe as GS readies Logistics

    Goldman Sachs came out with initial spread thoughts on its CMBS backed by UK industrial assets, including Amazon warehouses, while BNP Paribas has quietly placed a CMBS backed by an Italian retail property.

    • 29 Jul 2015
  • Macquarie MD heads west to CommonBond

    CommonBond, the online student loan financier and recent ABS sponsor, has recruited a former Macquarie Capital managing director as its new CFO, the firm has announced.

    • 29 Jul 2015
  • WinWater 'killed' by last RMBS deal

    Bank of America Merrill Lynch and Credit Suisse were unable to shift a large chunk of WinWater Mortgage Loan Trust's last jumbo RMBS, said market participants.

    • 28 Jul 2015
  • SolarCity: new structure, adds BAML for new ABS

    SolarCity has opted for a different structure for its fourth securitization, a deal that market participants say is a sign the market is evolving and should lead to more frequent solar ABS issuance.

    • 28 Jul 2015
  • Commercial real estate lender welcomes two senior hires

    An CRE origination pioneer and CMBS expert have joined Hunt Mortgage Group, according to the company website.

    • 28 Jul 2015
  • Hatteras closes in on first jumbo RMBS

    Real estate investment trust Hatteras Financial Corp has engaged a bank and been in talks with ratings agencies for its first jumbo RMBS issuance.

    • 28 Jul 2015
  • Synthetic is not a synonym for bad in securitization

    Regulators, politicians and investors are right to be sceptical about synthetic securitizations as a tool for transferring risk. Pre-crisis deals were rife with confusing, and at times dishonest, documentation. But with the right approach, these deals can help banks reduce their risk and give qualified investors access to much needed yield.

    • 28 Jul 2015
  • Senior PM joins Connecticut structured finance investor

    Aaron Garvey is joining Marinus Capital Advisors, a specialised structured finance investor, as a senior macro trader.

    • 28 Jul 2015
  • Raiffeisen leads way for synthetic securitization cure

    Synthetic securitization, long taboo with investors and regulators, could be making a quiet comeback as yield hungry hedge funds help banks find ways to increase capital and reduce risk weighted assets, writes Graham Bippart.

    • 28 Jul 2015
  • China securitization outlook, Part I: Sluggish volumes are no cause for concern

    This year Chinese securitization has struggled to continue the momentum it showed at the end of 2014, failing to come close to the increased Rmb500bn ($82bn) quota from the regulators. While there is more than one reason behind why issuance has been slow, market participants are still confident the budding asset class will come good by the end of the year.

    • 28 Jul 2015
  • AES brings first utility-sponsored solar ABS

    Virginia-headquartered energy provider AES Corporation is set to become the first utility company to tap the growing market for securitizations of solar assets, the company has confirmed.

    • 27 Jul 2015
  • Driven Brands whole business ABS well oversubscribed

    Roark Capital’s whole business securitization of Driven Brands was well oversubscribed on Friday, allowing Roark to refinance debt it used to acquire Driven Brands.

    • 27 Jul 2015
  • Flagship to launch subprime auto deal

    Flagship Credit Acceptance has hit the market with its second auto transaction of the year.

    • 27 Jul 2015
  • AIG affiliate sells CRT RMBS through Bermudan company

    AIG's United Guaranty Corp was close to pricing a credit risk transfer issuance tied to residential mortgage insurance contracts early this week.

    • 27 Jul 2015
  • Investors get Hero at a discount

    The second property assessed clean energy (Pace) securitization from Hero Funding Trust this year was priced on Monday.

    • 27 Jul 2015
  • Three deals priced before China disrupts market

    It seemed that after the Greek crisis abated, however nominally, the European securitization market was ready to make a last sprint before heading towards the door for the summer holidays. On Friday, two ABS deals went into investors' pockets.

    • 27 Jul 2015
  • Deutsche Bank offers up juicy spread for CMBS

    Deutsche Bank is offering investors a juicy premium for its multi-jurisdictional Deco 2015-Charlemagne CMBS .

    • 27 Jul 2015
  • UBS is 'Back in Black'

    The Swiss bank was mandated for a French RMBS for Crédit Foncier de France – perhaps a surprising move for some who thought the bank was fully out of the securitization business.

    • 27 Jul 2015
  • Freddie prices first jumbo CRT RMBS

    Freddie Mac’s first ever credit risk transfer securitization tied to jumbo mortgages was priced on Thursday.

    • 23 Jul 2015
  • Strong demand for US auto deals continues

    Prime and subprime auto ABS deals encountered strong investor demand this week, with another transaction expected to be launched soon.

    • 23 Jul 2015
  • JPM director retires from finance to work on DJ biz

    Abhishek Mistry, JP Morgan’s executive director of mortgage research, has left the banking industry to focus on his DJ software business, a person at the bank has confirmed.

    • 23 Jul 2015
  • Bavarian Sky to follow E-Carat in autos

    Opel Bank (formerly part of what was GMAC) looked to wrap the sale of its E-Carat 8 deal this week, and BMW Bank announced it will follow with a deal from its Bavarian Sky German auto loan securitization shelf.

    • 23 Jul 2015
  • RMBS issuers try different tactics to woo investors

    Taking their cue from the successes of Precise and Paragon’s UK buy to let RMBS trades last week, three more RMBS issuers hopped into the market this week.

    • 23 Jul 2015
  • Law firm copes with partner's departure

    Cadwalader Wickersham & Taft is dealing with the departure of long-time US structured finance partner Robert Ughetta after several brushes with the law.

    • 23 Jul 2015
  • Babson gives CLO price guidance

    Babson Capital has given price guidance on its €416.2m Euro CLO 2015-1 BV, its third, with price guidance for its floating triple-A notes at 135bp over Euribor.

    • 23 Jul 2015
  • Auburn oversubscribed thanks to discounts and bigger step-ups

    Lead managers on Capital Home Loans post-crisis debut RMBS had books oversubscribed across all tranches on the new Auburn 9 by Wednesday afternoon, before increasing the deal size and pricing on Thursday.

    • 23 Jul 2015
  • US Treasury reviews marketplace lending

    The US Treasury is looking into regulation of the burgeoning marketplace lending sector, raising the possibility of ‘skin in the game’ rules for platforms and potentially ushering in the development of a secondary market.

    • 23 Jul 2015
  • Goldman joins DB in CMBS pipeline

    Goldman Sachs has announced it intends to sell a £646m loan to Logicor, a unit of private equity giant Blackstone, on a portfolio of 42 industrial properties in the UK.

    • 23 Jul 2015
  • SoFi adds CS as joint lead for next ABS

    Marketplace lender SoFi is set to bring its latest securitization in the next few days, adding Credit Suisse as a joint lead manager alongside Morgan Stanley and Goldman Sachs, according to a person familiar with the transaction.

    • 23 Jul 2015
  • Basel firms up rule for simple securitizations

    The Bank for International Settlements on Thursday released its final criteria for simple, transparent and comparable securitizations, standards which should lower capital charges for deals that qualify.

    • 23 Jul 2015
  • Chew departs RHB structured finance team

    Paul Chew, head of structured finance for RHB Bank Singapore has left the firm.

    • 23 Jul 2015
  • Citi and Prosper advance P2P ratings but triple-A still challenging

    Citi has received a single-A rating from Moody’s for a securitization of consumer loans originated through online lending platform Prosper, the second deal of its type to be publicly rated.

    • 22 Jul 2015
  • Former head trader at RBS joins minority investment bank

    Patrick Beranek has been hired by the Mischler Financial Group’s capital markets division as the managing director of structured products, according to the company website.

    • 22 Jul 2015
  • New subprime auto deal on the way

    Flagship Credit Acceptance is bringing its second subprime auto transaction of the year, four months after its last outing.

    • 22 Jul 2015
  • Freddie Mac close to first jumbo risk transfer deal

    Freddie Mac is close to selling a securitization of jumbo mortgages in what market participants are calling a threat to one of the only remaining parts of the US non-agency market.

    • 22 Jul 2015
  • Tikehau keeps CLO momentum with hire

    Tikehau has followed the pricing of its debut €354.7m CLO with a new hire for the business, as it builds up its team for a €1bn-€2bn programme.

    • 22 Jul 2015
  • Initial price thoughts out for Towd Point RPL RMBS

    Bank of America Merrill Lynch and JP Morgan sent initial price thoughts to potential investors in Towd Point Mortgage Trust’s new securitization of re-performing mortgages on Wednesday.

    • 22 Jul 2015
  • Lloyds appoints head of New York ABS syndicate

    Lloyds Bank has promoted a senior ABS trader in New York to be head of its North America ABS syndicate, according to an announcement from the firm.

    • 22 Jul 2015
  • Securitization taps on full flow

    Taking their cue from the successes of Precise and Paragon’s UK buy to let RMBS trades last week, three more RMBS issuers plan to price their deals this week.

    • 22 Jul 2015
  • E-CARAT 8 adds to pipeline purge

    Along with the three RMBS deals that have IPTs on screen, the successful pricing of German auto ABS E-CARAT 8 will virtually empty the visible European securitization pipeline.

    • 22 Jul 2015
  • RBC bringing its first aircraft ABS

    RBC Capital Markets has grabbed its first engagement as a bookrunner on an aircraft ABS issuance, according to a source close to the deal.

    • 21 Jul 2015
  • Cap markets head leaves Carlyle real estate sub

    Capital markets head Doug Lee has left Carlyle Group subsidiary Metropolitan Real Estate, according to a source at the company.

    • 21 Jul 2015
  • Deutsche, Morgan Stanley launching new PACE deal

    Deutsche Bank and Morgan Stanley have started marketing a new PACE securitization from HERO Funding Trust, according to a source working on the transaction.

    • 21 Jul 2015
  • Members Equity sells its second post-crisis Oz RMBS

    Members Equity Bank priced a A$1.5bn Australian RMBS, its first of the year.

    • 21 Jul 2015
  • DB losing account bank biz on downgrade

    Deutsche Bank has been removed as account bank from at least two securitizations following Standard & Poor’s downgrade of the bank’s credit rating to BBB+.

    • 21 Jul 2015
  • Legacy non-agency RMBS widens on big sales

    Legacy non-agency RMBS spreads widened last week as some investors took advantage of new liquidity to sell legacy paper.

    • 20 Jul 2015
  • CFPB could tap auto ABS enforcer as new number two

    The architect of the US Consumer Financial Protection Bureau’s enforcement strategy against non-bank auto lenders could take over as the agency’s deputy director, sources say.

    • 20 Jul 2015
  • New round of US auto transactions flood market

    Bankers working on NextGear’s $433.33m dealer floorplan ABS are planning to price the issuance midweek, amid another surge of deals for the asset class.

    • 20 Jul 2015
  • Cerberus tweaks Auburn to cut extension risk

    The capital structure on Auburn 9, the new buy-to-let RMBS sponsored by Cerberus Capital Management, has been tweaked to increase the step-up margin, reflecting investor nervousness about extension of the bonds.

    • 20 Jul 2015
  • Center Parcs to buy back 'B' notes with £560m bond

    Center Parcs UK, the holiday resort group being bought by Brookfield Property Group, issued a £560m high yield bond this week.

    • 20 Jul 2015
  • RMB FX reforms to boost RMB usage, says HSBC

    Reforms in China's foreign exchange system and capital account will see the renminbi take on a greater role in the global economy, leading to an "inevitable" inclusion of the currency in the Special Drawing Rights (SDR) basket of the International Monetary Fund (IMF), HSBC said in a July 20 report.

    • 20 Jul 2015
  • Oil price casts shadow over Mexico’s ambitious energy reforms

    Mexico’s energy reforms are a game-changer, with some saying oil and gas output could be doubled over the next 10 years, meaning the country could become one of the top five producers in the world, rivalling the likes of Iraq and China. However, the oil price needs to recover first for the ambitious programme to be fully realised. Philip Moore reports.

    • 20 Jul 2015
  • Structured finance expert joins solar finance company

    Khalil Qasimi, a former mergers and acquisitions head at Exelon, has joined commercial solar finance company Empower Energies as senior director of structured finance.

    • 17 Jul 2015
  • Three banks propose social addition to Green Bond Principles

    Three banks will publish on Monday a set of principles for social and sustainability bonds, which they suggest should be added as an appendix to the Green Bond Principles.

    • 17 Jul 2015
  • Three banks propose social addition to Green Bond Principles

    Three banks will publish on Monday a set of principles for social and sustainability bonds, which they suggest should be added as an appendix to the Green Bond Principles.

    • 17 Jul 2015
  • Intex Solutions sets up shop in Shanghai

    Structured finance analytics provider Intex Solutions has set up an office in Shanghai as it looks to meet the demands of China’s emerging securitisation market.

    • 17 Jul 2015
  • Ravenous investors push GSE risk transfer spreads tighter

    Fannie Mae’s third credit risk transfer securitization of the year was well oversubscribed and tightly priced, as more investors than ever pile into the asset class.

    • 16 Jul 2015
  • Atlanta MBS lawyer takes two to Bryan Cave

    Former name partner Rick White of Busch White Norton has rejoined Bryan Cave's real estate capital markets team in Atlanta, Georgia, bringing two colleagues with him.

    • 16 Jul 2015
  • Carlyle rides out volatility, prices CGMS CLO 2015-2

    Carlyle’s €414m Carlyle Global Market Strategies CLO 2015-2 priced late last Friday as the vehicle bore through a bumpy final two weeks of its marketing period.

    • 16 Jul 2015
  • Fast-growing SFR ABS sponsor hires CFO

    B2R Finance, which issued its first single-family rental ABS deal earlier this year, has hired a former senior executive at American Express and Fannie Mae as its CFO.

    • 16 Jul 2015
  • Spark lit in ABS market as pipeline builds

    The ABS pipeline in Europe is emptying fast, with deal after deal being announced on Thursday as issuers look to make up for lost time.

    • 16 Jul 2015
  • Deutsche to serve up second multijurisdictional CMBS

    Deutsche Bank is looking to sell what would be the second multijurisdictional CMBS in Europe since the crisis, a month after JP Morgan sold the first, backed by DoubleTree hotel properties in the UK and Amsterdam.

    • 16 Jul 2015
  • Paragon and Precise reignite Europe's securitization market

    Paragon Group and Precise Mortgages both launched and priced their UK buy-to-let RMBS deals on Thursday, paying higher spreads than on their last such deals.

    • 16 Jul 2015
  • Fannie prices risk transfer deal, increases size

    Fannie Mae’s third credit risk transfer securitization of the year has been priced, with the final size exceeding the sponsor's initial target.

    • 16 Jul 2015
  • New US auto deals hit the road after busy week

    World Omni Financial and Enterprise Fleet Management are marketing new auto deals which may go live next week, following a bumper week for the asset class.

    • 15 Jul 2015
  • Freddie close to full risk-off on all STACRs

    Freddie Mac is close to obtaining reinsurance coverage for all of the retained portions of its risk transfer securitizations, a vice-president at the firm told GlobalCapital.

    • 15 Jul 2015
  • Blythe Masters to chair subprime auto ABS sponsor

    Blythe Masters will serve as non-executive chairman of the board of directors at Santander Consumer USA Holdings, the consumer lender and subprime auto loan securitizer has announced.

    • 15 Jul 2015
  • There are ways to fix FFELP ABS, says Deutsche

    Issuers do have some options to improve the performance of FFELP student loan ABS, according to research analysts at Deutsche Bank.

    • 15 Jul 2015
  • ICG announces two senior hires for European loans business

    Intermediate Capital Group, the specialist asset manager, has made two additions to its 35-strong credit fund management team in Europe.

    • 15 Jul 2015
  • TwentyFour brings in £250m for fund

    TwentyFour Asset Management has raised £250m for its UK Mortgages Fund, which will invest in whole loans with an aim to securitize them in the future.

    • 15 Jul 2015
  • Precise remains at initial levels as leads offer guidance

    Precise has issued a capital stack and guidance on its buy-to-let RMBS, with the senior class remaining at the spread offered at the initial thoughts stage.

    • 15 Jul 2015
  • Amex upsizes after large reverse enquiry

    Strong investor demand after a couple of quiet weeks in ABS allowed American Express and Capital One to increase the size of credit card deals this week.

    • 14 Jul 2015
  • More agency RMBS coming as banks up originations

    Banks have disclosed that they originated more residential mortgages last quarter, but market participants say the loans will only be securitized in agency deals.

    • 14 Jul 2015
  • 400 Capital hires former RMBS banker

    Structured credit investor 400 Capital Management has hired a new director with a background in investing and banking within residential and commercial mortgage debt.

    • 14 Jul 2015
  • Paragon’s offered spread jumps 30bp from March

    In the four months since Paragon priced its last UK buy to let RMBS, the lender’s outstanding bonds — along with much of the rest of the market — have drifted lower in price as Greece cast the pall of uncertainty over global capital markets.

    • 14 Jul 2015
  • Auburn gets a makeover as Cerberus nears acquisition

    The Auburn UK buy-to-let RMBS platform is making its return under a new owner, months after Lloyds TSB attempted to sell Auburn 8 but pulled the deal.

    • 14 Jul 2015
  • Santander Consumer brings Drive deal in busy week for autos

    Santander Consumer USA is bringing a new deal this week off its recently resuscitated Drive Auto platform for deep subprime auto loans.

    • 13 Jul 2015
  • Issuer under ratings review launching new FFELP ABS

    Nonprofit student lender Access Group Inc is launching a new Federal Family Education Loan Program (FFELP) ABS issuance, at the same time as Fitch Ratings is reviewing some of its earlier deals for downgrades.

    • 13 Jul 2015
  • CLO manager replaces outgoing CFO

    US middle-market lender and CLO manager Fifth Street Finance has promoted Steven Noreika to CFO, replacing Richard Petrocelli, who is leaving the firm.

    • 13 Jul 2015
  • Barclays launching new whole business deal

    Barclays plans to launch a $460m whole business securitization by auto services company Driven Brands next week, a source at the bank said.

    • 13 Jul 2015
  • Greece wins a stay of execution, but pipeline still frozen

    Despite having marketed their deals weeks ago, ABS issuers seem to still be sitting on the sidelines at the moment though markets reacted exuberantly to the news that Greece had struck a deal with its creditors.

    • 13 Jul 2015
  • Macquarie Bank grinds spreads in on German RMBS

    Macquarie became the only issuer to hit the European ABS market last week when it priced a €186.54m German RMBS deal.

    • 13 Jul 2015
  • Carlyle rides out volatility to price CGMS CLO 2015-2

    Carlyle’s €414m Carlyle Global Market Strategies CLO 2015-2 priced late Friday as the vehicle bore through a bumpy final two weeks of its marketing period.

    • 13 Jul 2015
  • European ABS hits a milestone, says S&P

    European ABS has hit a post-crisis marker, as default rates continue to decrease and deals are upgraded, according to S&P.

    • 13 Jul 2015
  • Mortgage bond PM departs Citadel

    Sam Choi, a mortgage bond portfolio manager at Citadel in New York, is no longer working for the firm, according to a GlobalCapital source.

    • 10 Jul 2015
  • New rule could mean FFELP prepays, says Deutsche

    The US government's proposal to expand student debt relief could mean better recoveries for investors in securities backed by student loans, according to Deutsche Bank.

    • 10 Jul 2015
  • Investors oversubscribe to Cabela's credit card ABS

    A $400m securitization of Cabela’s credit card receivables was oversubscribed by the time it was priced late on Wednesday, a source familiar with the deal said.

    • 09 Jul 2015
  • Wyndham priced too tight for some investors

    Wyndham Consumer Finance’s timeshare ABS issuance was priced a little too tightly for some investors in a slow week for ABS.

    • 09 Jul 2015