TD Securities is in the first stages of structuring a USD1 billion managed synthetic collateralized debt obligation. "Only a few of these deals have been done," said a market official. TD will actively manage the portfolio of credit-default swaps through the asset management arm of the bank, TD Waterhouse, according to the official. The deal is expected to hit the market in the next three months.
Joe Hegener, head of investment banking and securities in the U.S for the Canadian bank, said the firm is currently structuring a couple of different synthetic CDO products, but declined to elaborate.
