Issuance of U.S. collateralized debt obligation shut down after a rollercoaster year. While issuance in the first half of the year was set to surpass 2006, the number of new deals fell off a cliff by the middle of the year, marked by massive downgrades and defaulting deals. [This year total U.S. CDO issuance reached a mere $52 billion compared to $308 billion in $2007. Downgrades and defaults continue, but at a slower pace, and in 2009 the CDO headlines are likely to focus on litigation as investors fight over the allocation of limited revenues.]
One Year Ago In Securitization