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RMBS

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  • Bank of America has reached a settlement with Assured Guaranty over repurchase claims related to alleged representations and warranties involved 29 residential mortgage-backed securities guaranteed by the bond insurer.
  • Democrat and Republican lawmakers have criticized the Financial Stability Oversight Council for the lack of specifics it has disclosed regarding the criteria it is using to determine which financial firms are systemically important.
  • Rising interest rates over the next several years could pose risks to both investors in mortgage-backed securities and mortgage lenders, warns Fitch Ratings.
  • Lloyds Banking Group’s Permanent 2011-1 and Obvion’s Storm 2011-III residential mortgage-backed deals both priced this week.
  • The bid for short-dated paper in the U.K. residential mortgage-backed securities sector is strengthening as investors head for safety, according to a London-based asset-backed securities trader.
  • FIG
    The ‘A2’ tranche on Banca Popolare Vicenza’s Italian RMBS Berica 9 was only 0.7 times covered on Thursday morning, in contrast to recent multiple oversubscriptions in deals from Northern Rock, Aegon and Obvion.
  • FIG
    Obvion’s Storm 2011-3 RMBS closed on Wednesday at a tighter level than any other RMBS this year, hitting a price of 90bp for the Eu150m two year ‘A1’ tranche and 125bp for the Eu550m five year ‘A2’ tranche.
  • FIG
    Strong demand from US investors helped the European ABS market take down £3.1bn equivalent of a new Permanent RMBS deal from Lloyds Banking Group on Thursday.
  • The report by the Senate Permanent Committee on Investigations on the causes of financial crisis has singled out Deutsche Bank and Goldman Sachs for their subprime-related activities.