ABS

  • Solvency II proposals critiqued

    The European Insurance and Occupational Pensions Authority (EIOPA) has published its proposed capital rules for Solvency II, albeit it is labelled as a working document to allow insurance companies to carry out quantitative impact studies. European asset-backed analysts at RBS note that in the aggregate the requirements are now fairly well-specified, with a few issues remaining open.

    "Important among these .......

    News 2 November 2012

  • Putting money to work

    Quarterly review and outlook for European ABS

    We asked Lloyds Bank, the winners of SCI's 2011 arranger award for European consumer/credit card ABS, its views on activity in Q3 and expectations for Q4 in the sector. Below are SCI's questions and the responses from Bob Paterson, head of ABS syndicate, Lloyds Bank Wholesale Banking & Markets.

    Over the past quarter, what have been the key trends in .......

    News Analysis 1 November 2012

  • Swiss Re preps cat bond first

    Swiss Re is in the market with what is being hailed as a catastrophe bond first. The senior tranche of the reinsurer's second Mythen Re transaction is exposed to both a catastrophe peril and mortality risk.

    Rated by S&P, the dollar-denominated deal comprises 4.2-year single-B plus class A notes and four-year single-B minus class Cs. The class A notes will .......

    News Round-up 31 October 2012

  • Argentine sub-sovereign deals downgraded

    Moody's has downgraded the ratings of five Argentine securitisations linked to sub-sovereign entities. The move follows its downgrade of the ratings of Argentine provinces and municipalities on 17 October.

    The rating action affects: Fideicomiso Financiero de Infraestructura Electrica - Serie I and III; Fideicomiso Financiero Programa Federal Plurianual de Construcción de Viviendas - Provincia del Chaco - Serie I and .......

    News Round-up 29 October 2012

  • Multi-disciplinary approach

    Hansol Kim, md in FTI Consulting's structured finance practice, answers SCI's questions

    Q: How and when did FTI Consulting become involved in the securitisation market?
    A:     FTI is a multi-disciplinary consulting firm that is well known in the restructuring world, which falls under our corporate finance group. But we also have robust and established practices in forensic and litigation, economic, strategic communications and technology consulting. I run the .......

    Provider Profile 29 October 2012

  • Market seizes credit card paper

    Secondary US ABS supply took off yesterday. SCI's PriceABS BWIC data shows that a number of credit card ABS tranches were covered at tight levels during the session.

    The tightest level was achieved for Banc One Capital Markets' BOIT 2003-A4 A4 tranche, which was covered at 2bp over Libor. The widest level in the PriceABS archive was seen .......

    Market Reports 26 October 2012

  • Up-tick for FFELP consolidation prepays

    The effects of a short-term White House plan intended to relieve some pressure on student borrowers are starting to surface in the student loan ABS sector. Fitch believes an up-tick in consolidation prepayments in some recent FFELP transactions is largely the result of students taking advantage of the Direct Loan Consolidation Program that President Obama invoked by executive authority in .......

    News Round-up 26 October 2012

  • ILS fund to target Japanese investors

    Asuka Asset Management Co has established a Bermuda insurance-linked securities (ILS) investment fund, with an initial seed investment of approximately US$40m. The master-feeder fund structure, dubbed Asuka ILS Opportunities Unit Trust, will feed into a Bermuda master mutual fund company called Asuka ILS Opportunities Fund.

    The fund will initially target sophisticated and institutional investors in Japan. It will be sub-managed .......

    News Round-up 26 October 2012

  • CFPB report 'mixed' for SLABS

    The Consumer Financial Protection Bureau (CFPB) has released its first annual report on private credit student loans. The agency's proposals are largely benign for the student loan ABS market, although there are some areas of concern.

    Citi ABS analysts note that the recommendations introduce three main risks for the market. While the proposals could encourage adverse selection resulting from CFPB's .......

    News 24 October 2012

  • Punch restructuring underway

    Punch Taverns has released its results for the year ended 18 August. The pub operator also indicated that its debt restructuring process is finally underway.

    The board has conducted an extensive review of the capital structure and determined that both securitisations (Punch A and B) are over-levered and unsustainable in their current form. It states that the restructuring should include .......

    News Round-up 24 October 2012

  • Extra data for SF analysis platform

    Interactive Data will now provide independent evaluated prices on RMBS, ABS and CMBS for use within Intex's INTEXcalc service. The data can be used as inputs for a range of single security and portfolio analytics reports, offering transparency and speed in analysing securities.

    .......

    Job Swaps 23 October 2012

  • Auto ABS performance strengthens

    US auto ABS loss rates have risen by 12% from levels seen in August, though performance was notably stronger in September than in past years to close out the third quarter, according to Fitch's latest index results for the sector. The agency notes that the sector continues to be bolstered by solid borrower credit profiles present in securitised auto loan .......

    News Round-up 22 October 2012

  • Card charge-offs continue to decline

    US securitised credit card charge-offs decreased to 4.11% in September from 4.19% in August, according to Moody's Credit Card Indices. The agency expects the charge-off rate index to continue declining modestly.

    "This month's improvement continues the steady declines since charge-offs peaked in the first quarter of 2010," comments Jeffrey Hibbs, a Moody's avp and analyst. "In September, the strong credit .......

    News Round-up 22 October 2012

  • RBA preps loan-level requirements

    The Reserve Bank of Australia is introducing new eligibility criteria for RMBS in its operations. Issuers of RMBS will be required to provide more detailed information than is currently the case. The new information covers both transaction-related data as well as information on the underlying assets.

    Currently, the information required by the Reserve Bank for RMBS to be repo-eligible is .......

    News Round-up 22 October 2012

  • Colombian receivables programme debuts

    Alianza Valores has structured the first trade receivables securitisation in the Colombian market. Originated by Coltejer, the COP22bn public placement exceeded the pre-agreed minimum amount of COP20bn for the first tranche of an issue for an aggregate amount of COP35bn.

    The triple-A rated five-year revolving programme will be managed by Alianza Fiduciaria. It features daily reporting of Coltejer's commercial invoice .......

    News Round-up 15 October 2012

  • Lebanese auto ABS launched

    Bemo Securitization (BSEC) has arranged an auto ABS for T. Gargour & Fils (TGF), the exclusive distributor for the Levant of Mercedes-Benz passenger and commercial vehicles, as well as other car brands. Dubbed TGF Star, the main purpose of the transaction is to enable the company to enhance the structure of its clients' portfolio, as well as create an off-balance .......

    News Round-up 15 October 2012

  • ABS gets CPO exemption

    The CFTC Division of Swap Dealer and Intermediary Oversight last week issued interpretative guidance letters to equity real estate investment trusts and asset-backed securities funds. The guidance states that such funds that meet certain criteria are not included within the definition of 'commodity pool' and their operators are not 'commodity pool operators' under the Commodity Exchange Act and the CFTC's .......

    News Round-up 15 October 2012

  • South African ratings hit

    Moody's has downgraded to A1 the ratings of 56 securities across 17 South African RMBS and ABS, prompted by the weakening of the South African government's credit profile. The agency recently downgraded South Africa's government bond rating to Baa1 from A3 and lowering its local currency ceiling to A1.

    Concurrently, Moody's has placed on review for downgrade the ratings of .......

    News Round-up 12 October 2012

  • Spanish sovereign ceiling lowered

    S&P has taken various credit rating actions on 116 tranches in 87 Spanish securitisations. The move follows the lowering of its long-term sovereign rating on the Kingdom of Spain to triple-B minus from triple-B plus in light of the country's deteriorating economic conditions.

    Specifically, the agency has: lowered its ratings on 63 tranches in 51 RMBS; lowered its ratings on .......

    News Round-up 12 October 2012

  • Auto ABS performance indices launched

    Wells Fargo Securities has introduced auto ABS credit performance indices for prime and subprime auto ABS transactions. The indices calculate average default rates, net loss rates and loss severities at the sector level over time.

    The latest readings of the indices indicate that default rates are bottoming out, while net loss rates remain relatively low in both the prime and .......

    News Round-up 11 October 2012

  • Timeshare ABS criteria published

    Kroll Bond Rating Agency (KBRA) has released its methodology for rating US timeshare ABS transactions. The methodology incorporates an analysis of the quality and expected performance of the underlying collateral, the originator and servicer's business model and operational strength, and the transaction terms.

    KBRA's approach emphasises a focus on prevailing industry and credit trends, the integration of originator and servicer .......

    News Round-up 11 October 2012
×