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  • A research analyst in the US has filed a Sarbanes-Oxley complaint against his former employer, Wachovia Securities, for alleged attempts to influence his work. In the complaint Arturo Cifuentes, a collateralised debt obligation research analyst, claims his employers tried to influence and at times stop his research reports.
  • On Thursday morning, against the backdrop of a chaotic market, with almost no trading in any asset class, Deutsche Bank managed to price a collateralised loan obligation for Avoca Capital at startlingly aggressive levels.
  • Deutsche Bank this week officially launched its new index of European floating rate ABS, as revealed by EuroWeek in mid-June. As expected, the rules based index samples only the most liquid bonds in the market — triple-A rated bonds in the RMBS, lease, government asses, credit cards, CMBS, auto loans and consumer loan sectors. Each asset class has a minimum issue size ranging from Eu250m for CMBS to Eu700m for government assets.
  • Royal Bank of Scotland has priced a CDO of US RMBS managed by RWT Holdings, a subsidiary of Redwood Trust. Acacia CDO 8 pools 81% mezzanine RMBS, with some CMBS and a 3% CDO bucket.
  • The CDO sector, which is more closely correlated with the unsecured credit markets, was more directly affected by the attacks than the rest of the structured credit markets.
  • EPFR Fund Allocations Monitor
  • IMF Management decides to postpone Board meeting
  • Bonds backed by auto loans could face a rocky road in the months ahead as the downgrades of Ford Motor Co. and General Motors to sub-investment grade status continue to reverberate throughout the credit markets.
  • Magnetar Capital, the startup launched by a former principal at Citadel Investment Group, will engage in direct lending and distressed debt investing when it launches its fund this fall.
  • Psychiatric Solutions' $150 million "B" loan broke for trading in the low 101 territory last week.
  • Buildings Materials Holding Corp. has amended its credit facility to increase it from $350 million to $500 million with the possibility of expanding it a further $150 million.
  • Compensation packages for fixed-income derivatives marketers, structurers and originators are skyrocketing in the Asia-Pacific region as banks struggle to staff nascent bond and credit derivatives groups.