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Singapore's Straits Lion Asset Management, with over SGD13 billion (USD7.42 billion) under management, is currently in talks with several investment banks in regards to investing in synthetic collateralized debt obligations. "Everyone's been knocking on our door," said Teresa Chan, marketing manager. The firm is looking to invest in another CDO before year end, but Chan declined comment on the details of possible transactions.

Major asset managers in Thailand, including SCB Asset Management and Kasikorn Asset Management, are looking at offshore products such as synthetic collateralized debt obligations on the back of recent deregulation. Two weeks ago the Bank of Thailand announced it would ease exchange control regulations to allow institutional investors access to offshore markets.

Officials at several major derivatives houses are protesting a requirement to seek permission from JPMorgan and Morgan Stanley to structure trades on the TRAC-X index. They say the rule, required under licensing agreements, could stifle liquidity and innovation related to TRAC-X and prompt a move toward trades structured on arbitrary baskets.

Chris Pohle, managing director in institutional equity derivatives trading at UBS in Stamford, Conn., has left the firm. Pohle reported to Michael Mahaffy, managing director and head of equity derivatives, according to Kris Kagel, spokesman in New York. Mahaffy did not respond to messages.

Tresckow Capital Management will consider opting for non-recourse leverage for its recently launched Tresckow Partners risk arbitrage fund, which currently holds USD10 million in assets.Jonathan Choslovsky, partner in San Francisco, said the firm will look to leverage its positions as the fund grows and becomes involved in more merger and acquisition plays. By taking on non-recourse leverage Tresckow will be protected form any risk in the deal, with the leverage provider being responsible for the leveraged assets, he added.

Bradford & Bingley, a U.K. financial services firm, has converted a three-year EUR300 million (USD344 million) floating-rate note into a synthetic sterling-denominated liability. Peter Fullerton, head of dealing in Bingley, said, "The spread on sterling is marginally in our favor." The maturity of the swap will match that of the note.

Westdeutsche Landesbank has merged its equity derivatives and fixed income groups in Tokyo. Kei Mitsui, head of distribution in Tokyo, said the move follows the firm's closure of its cash equity business earlier this year. Mitsui said that salesmen from the fixed income side are now cross-marketing fixed income and equity products to corporates while specialists from the equity group are concentrating on securities firms.

Banks in Exelon Boston Generating's (EBG) $1.25 billion non-recourse loan facility have started prep work for taking control of the 2,400 MW generation portfolio from sponsor Exelon Corp. by hiring consulting firms to assess the value of the plants. Exelon last week signaled that it is looking to hand the plants back to the banks and will be writing off its $700 million equity investment.

This chart, provided by Citibank/Salomon Smith Barney Inc., tracks bid-ask prices for par credit facilities that trade in the secondary market. It also tracks facility amounts, ratings, pricing and maturities.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.