ABS

  • Pension fund increases risk transfer mandate

    The New Mexico Educational Retirement Board has been steadily increasing its foothold in the risk transfer market. Indeed, the pension fund's mandate has broadened since its first investment in the sector back in 2008.

    Under cio Bob Jacksha, the New Mexico Educational Retirement Board has invested US$350m in risk transfer transactions to date. Encouraged by the track record of the .......

    News 21 July 2017

  • Spanish card ABS prepped

    A Spanish credit card ABS rated by both Fitch and DBRS has started marketing (see SCI's deal pipeline). €518.8m of notes will be offered to the market, with the the rating agencies provisionally rating the senior notes at double-A plus and double-A.

    The rated class A notes of Wizink Master Credit Cards 2017-01 have been sized at €451.1m. An .......

    News 20 July 2017

  • Swedish regulations to limit risk transfer

    Finansinspektionen, Sweden's financial supervisory authority, recently released new securitisation guidelines in an attempt to tackle what it sees as flow-back risk, or the possibility of credit risk flowing back onto bank balance sheets. The guidelines are expected to reduce issuance of Swedish capital relief trades.

    Traditionally, Swedish systemic lenders have funded themselves cheaply through covered bonds rather than securitisations. Yet, .......

    News Analysis 20 July 2017

  • Robo-advisors could boost RMBS quality

    Robo-advisors could improve consumer loan and mortgage affordability and strengthen pool quality in associated securitisations. Moody's suggests that by enabling consumers to switch to a lower-rate mortgage more easily, robo-advisors could improve mortgage prepayments and therefore boost credit enhancement for prime UK RMBS transactions.

    Moody's indicates that robo-advisors could become challengers to traditional intermediaries in the UK consumer loan and .......

    News 19 July 2017

  • 'Brighter year' for securitisation recruitment

    The structured finance industry has seen one of its best years in terms of hiring since the financial crisis, according to recruiters. While ABS was the standout sector for recruitment in the US in 1H17, CLO hiring activity continued to be strong in Europe.

    One headhunter believes that 2017 has been particularly buoyant for the UK and Europe. "In various .......

    News Analysis 19 July 2017

  • Legal disputes weigh on NCSLT payoffs

    Ongoing legal disputes between several National Collegiate Student Loan Trust (NCSLT) transaction parties are credit negative for the affected private student loan ABS, due to the risk of servicing transfers and litigation expenses. Most senior tranches in the securitisations are expected to pay off, however.

    The crux of the NCSLT disputes are misaligned interests of the securitisation residual interest holder .......

    News 19 July 2017

  • Swiss auto ABS taps Euro appetite

    BMW has priced its first public securitisation of Swiss auto lease receivables to feature a euro-denominated class A note. The €431.6m-equivalent Bavarian Sky Europe Compartment Swiss Auto Leases 2 is collateralised by 13,430 fixed-rate auto lease contracts and comprises a €325m floating-rate class A note and a Sfr97.8m fixed-rate class B note.

    Fitch, Moody's and S&P assigned ratings of AAA/Aaa/AAA .......

    News 18 July 2017

  • Synthetic expected loss approach outlined

    Scope has published research that offers a technical illustration of how the expected loss framework described in its general structured finance rating methodology can be implemented for tranches of simple synthetic securitisations. Further, the report describes how expected loss can be calculated in practical cases.

    Simple synthetic securitisations generally allocate losses from a reference portfolio of assets, for which an .......

    News 18 July 2017

  • Job swaps round-up - 14 July

    North America

    Mortgage Capital Trading has hired Bill Berliner to the newly created role of director of analytics. He was previously mortgage community manager at Thomson Reuters.

    BlueMountain Capital Management has hired Lee Kempler as coo for investments. He was previously md at Blackrock.

    FS Investments has hired Michael Carter as evp, head of strategy. He will be based in .......

    Job Swaps 14 July 2017

  • Inaugural NPL ABS launched

    Credit Valtellinese and Credit Siciliano have tapped the market with their first Italian non-performing loan securitisation. Dubbed Elrond NPL 2017, the €526.6m transaction is backed by an NPL portfolio with a gross book value (GBV) of €1.405bn, of which €30.8m is cash in court.

    The collateral comprises loans extended to 3,682 defaulted borrowers and is a mix of secured residential .......

    News 14 July 2017

  • Servicer consolidation boosts NPL recoveries

    The Italian servicing industry is experiencing a strong growth trend. Italian non-performing loan recoveries are expected to benefit as a result.

    Sources agree that growth in the servicing industry is the trend with the most positive impact on Italian NPL recoveries, given the widening of the scope of servicer activities and the growth in the volume of servicer-managed NPLs. Many .......

    News Analysis 13 July 2017

  • Generali launches cat bond first

    GC Securities has priced the first 144A catastrophe bond that provides indemnity protection against multiple European perils and the first to cover European flood. The €200m Lion II Re transaction provides Assicurazioni Generali with four years of per occurrence cover against windstorms and floods affecting selected European countries, as well as earthquakes affecting Italy.

    The deal marks the third time .......

    News 13 July 2017

  • Final STS document welcomed

    The European Parliament's economic and monetary affairs committee yesterday approved, as expected, the new STS securitisation framework by a substantial majority. The final document indicates an overall positive impact for the securitisation market, although the lack of a third-party regime and complex grandfathering provisions may constrain issuance in post-Brexit UK and the EU respectively.

    According to the final STS document, .......

    News Analysis 12 July 2017

  • Attica deal unlikely to be replicated

    Greek bank Attica has announced a securitisation of €1.3bn of non-performing loans. Although rare, the transaction is unlikely to become a template for larger systemic banks, as control of servicing and the portfolio remains an issue.

    Attica will transfer €1.3bn of non-performing loans to an SPV, which will in turn issue a senior bond of a nominal value of €525.2m .......

    News 7 July 2017

  • Job swaps round-up - 7 July

    North America

    Mayer Brown has hired Jay Kallas as counsel in its Chicago office, focusing on structured insurance and reinsurance transactions. He was previously counsel at Drinker Biddle & Reath.

    Cadwalader has hired Peter Morreale as partner in the capital markets team in the Washington, DC office. He was previously at Goldman Sachs, where he was md and associate general .......

    Job Swaps 7 July 2017

  • ESBies unlikely to boost ABS

    The securitisation market is unlikely to see any benefit from the issuance of European safe bonds (SBBS or ESBies), despite a recent European Commission paper supporting their development. This follows an earlier proposal to create a European 'safe bond' akin to US Treasury bonds (SCI 26 October 2016), but questions remain over the product's viability, along with investor appetite.

    Simon .......

    News Analysis 7 July 2017

  • Risk transfer round-up - 7 July

    The second quarter appears to have been a quiet period in the risk transfer market, with only two capital relief trades completed. "Most of the pipeline is scheduled for September or December, with approximately 20 transactions being worked on so far," states one source. "Delays in the CRR regulation mean that many issuers don't feel pressured to bring trades this .......

    News 7 July 2017

  • Short-term STC consultation underway

    The Basel Committee and IOSCO have released consultative documents outlining criteria for identifying simple, transparent and comparable (STC) short-term securitisations and their proposed capital treatment. The criteria take account of the characteristics of ABCP conduits, such as the short maturity of the CP issued, the different programme structures (multi-seller and single seller) and the existence of multiple forms of liquidity .......

    News 7 July 2017

  • Carige NPL deal unveiled

    Banca Carige has launched its keenly-anticipated non-performing loan securitisation (SCI 1 March). Dubbed Brisca Securitization, the €309.7m transaction is backed by an NPL portfolio with a total gross book value of €938.3m.

    The assets comprise 5,001 loans extended to 2,069 borrowers by Carige, Banca Cesare Ponti and Banca del Monte di Lucca. The collateral is primarily located in the northern .......

    News 6 July 2017

  • Atlante II role confirmed in MPS deal

    The European Commission has approved a €5.4bn precautionary recapitalisation of Monte dei Paschi di Siena under EU state aid rules, which is conditional on a five-year restructuring plan that includes the disposal of a €26.1bn non-performing loan portfolio via securitisation. Atlante II is expected to share the funding of the junior and mezzanine tranches with an undisclosed group of investors, .......

    News 5 July 2017

  • Retail woes could hit card ABS

    Store closures across the US are expected to negatively impact credit card ABS trusts, due to their exposure to the private-label card market and co-branded card accounts. Consumers could be more willing to default on a credit card from a retailer without local stores because they won't expect to make future purchases at its other locations or online.

    The private-label .......

    News 4 July 2017
×