Latest news
Latest news
ABS primary market performs well after Iran strikes and fall of MFS
Timeline of collapse that rocked the UK bridging loan market
As well as deals backed by new loans, it will call and refinance 2023 deals
More articles
More articles
-
Bondholders in Eurosail-UK 2007-4BL, a UK non-conforming RMBS devastated by the collapse of swap counterparty Lehman Brothers, are considering a termination of its swap agreements and the filing of claims against Lehman. Lehman provided interest rate, basis and currency swaps to the £850m deal. Its sudden bankruptcy and subsequent currency movements have left the transaction facing massive principal shortfalls (see UK mulls guarantees for SME loan securitisations, EW 1086) unless sterling recovers strongly and quickly against the dollar and euro.
-
Royal Bank of Scotland sent shockwaves around the loan market yesterday (Thursday) when it announced it was shutting down its leveraged and project finance lending operations, two areas in which the bank had previously been a market leader. RBS’s business restructuring, details of which were revealed alongside the £24.1bn loss in the bank’s full year results, confirmed widespread fears among project finance and leveraged specialists in Europe that these markets are in for further pain as big providers of underwriting commitments and capital start to signal their complete withdrawal.
-
The European Securitisation Forum launched its long awaited issuer transparency principles this week, having garnered the endorsement of most UK RMBS issuers and two large Dutch originators.
-
The Obama administration unveiled the second part of its financial stability plan this week, comprising a package of support for homeowners and incentives for lenders and servicers to modify loans.
-
The Republic of Italy plans to liquidate its struggling real estate securitisation, the second Societa’ Cartolarizzazione Immobili Pubblici, in April.
-
The Bank of England and the European Central Bank have absorbed £287bn and roughly Eu600bn respectively of asset backed and covered bonds, according to statistics published this week.
-
UK prime RMBS will withstand a 30% fall in house prices largely unscathed, Fitch Ratings claimed this week.
-
The UK government this week revealed that it plans to guarantee mortgage backed securities issued by banks, building societies and specialist lenders in a move hailed by market participants as the first step in resuscitating the moribund securitisation market. Success of the plan though will depend on the details, yet to be finalised by the government.
-
Northern Rock’s Granite mortgage master trust breached its non-asset trigger this week, causing it to enter early amortisation. Though widely expected almost since nationalisation, the breach led to renewed selling of Granite paper as many investors now face extension risk.