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RMBS

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  • Issuers are preparing two new UK RMBS deals, with leads giving initial price thoughts on Kensington Mortgage Company’s specialist RMBS deal, while price guidance and a book update have been released for Paragon’s No.4 transaction.
  • The latest single family rental ABS offering, the $301m multiborrower B2R 2015-2, is being pitched at wider spreads than the last deal in the asset class.
  • Kensington Mortgage Company is launching a new £281m UK RMBS deal, the lender's second of the year from the Gemgarto shelf.
  • TSB's UK prime RMBS programme made a solid start on Wednesday afternoon, as the bank placed a debut £537m equivalent deal in sterling and euros.
  • TwentyFour Asset Management’s UK Mortgages Limited fund has signed its first transaction. The deal will invest in notes backed by £310m of UK buy-to-let non-member mortgages from Coventry Building Society Group, with the issuers looking to the RMBS market as the next funding step.
  • TSB's UK prime RMBS programme made a solid start on Wednesday afternoon, as the bank placed a debut £537m-equivalent deal in sterling and euros. The issuer retained over two thirds of the sterling tranche despite offering a decent spread pick-up, but the euro tranche priced strongly.
  • Participants in the agency CMBS market have been caught off guard by a proposed rule that lumps them in with single family mortgages and would require them to post margin against future multifamily securitizations.
  • A rule to be published next month that is set to ramp up the cost of holding inventory for ABS dealers could seriously hamper secondary trading, hastening the retreat of banks from market making in more capital intensive sectors.
  • Initial price thoughts have been indicated for TSB’s first UK prime RMBS deal, with the transaction offering a pick up on both the euro and sterling tranches for investors, compared to more established issuers.