Complete news archive

  • US insurer CLO exposure 'relatively small'

    Sector developments and company hires

    US insurer CLO exposure ‘relatively small’
    The NAIC has released stress testing results on US insurers' exposure to CLOs, as of year-end 2020. The stress tests examined the resilience of CLOs under three different scenarios and mirrors findings from the year-end 2019 stress test, wherein normal CLO single-A rated tranches experienced losses under the worst-case scenario. In comparison, .......

    Market Moves 8 October 2021

  • Provisioning relief

    Second Stage 2 SRT finalised

    News 8 October 2021

  • Landmark guarantee inked

    ThinCats and BBB seal agreement

    The British Business Bank and alternative lender ThinCats have finalised a guarantee agreement via the former’s ENABLE Guarantee programme. The guarantee will provide up to £300m of additional funding for UK SMEs and midcaps. The transaction features a warehouse facility provided by Citi and it is the first under the ENABLE programme to facilitate lending to smaller businesses from .......

    News Analysis 8 October 2021

  • Green light

    Record second-hand car prices fuel RV opportunities

    Rising used car prices are positive for auto ABS transactions with exposure to residual values (RVs). Indeed, opportunities could emerge for deals with RV risk to outperform rating agency assumptions, which could – in turn – lead to rating upgrades.

    Car values usually start depreciating as soon as they leave forecourts, but figures from Auto Trader - an automotive advertising .......

    News Analysis 7 October 2021

  • CSS refocuses on GSE MBS issuance

    Sector developments and company hires

    CSS refocuses on GSE MBS issuance
    Common Securitization Solutions (CSS) is undertaking a series of actions to better align its corporate governance structure with its core mission of supporting the infrastructure for Fannie Mae and Freddie Mac MBS issuance. Matthew Feldman has been named chairman of the board of managers at CSS to assist in this transition on an interim .......

    Market Moves 7 October 2021

  • Chopra on the march

    CFPB to expand its role and come down harder on securitisation

    The securtisation market will see a more aggressive CFPB under the leadership of recently appointed director Rohit Chopra, with “more frequent enforcements and bigger fines,” according to Rachel Rodman, a partner with Cadwalader, Wickersham and Taft.

    Rodman was speaking yesterday (5 October) at the annual SFA conference in Las Vegas on a panel addressing the future of housing .......

    News 6 October 2021

  • Risk transfer round-up - 6 October

    CRT sector developments and deal news

    News 6 October 2021

  • Untapped markets

    French NPLs gaining attention

    Southern European jurisdictions continue to witness strong activity in the non-performing loan space, especially in Greece and Cyprus. At the same time, investor interest in French NPLs is on the rise.

    “Investors are looking further afield for opportunities in such markets where others aren’t necessarily looking. They are exploring opportunities everywhere that they can,” observes Amo Chahal, md .......

    News 6 October 2021

  • CRT seminar line-up finalised

    Fireside chat, awards on the agenda

    SCI’s 7th Annual Capital Relief Trades Seminar is taking place in-person on 13 October at the London offices of Allen & Overy. The event will explore the introduction of the STS synthetics regime and publication of the EBA’s final SRT report, as well as examine the latest trends and activity across the market.

    The seminar begins with .......

    News 6 October 2021

  • Libor warnings

    Senior Fed governor spells things out for the SFA

    Federal Reserve vice chair of supervision Randal Quarles fired a shot across the bows – very close to the bows – of the structured finance market this morning (October 5th) when he addressed the SFA conference in Las Vegas on the topic of Libor transition.

    “The year of magical thinking is over,” he said, quoting the title of Joan Didion’s book on .......

    News 5 October 2021

  • Regions boosts CRE capability

    Sector developments and company hires

    Regions boosts CRE capability
    Regions Bank has entered into a definitive agreement to acquire Sabal Capital Partners, one of the top originators of Fannie Mae and Freddie Mac small-balance commercial real estate loans with a growing presence in non-agency CMBS loan origination. Regions plans to incorporate Sabal into its growing real estate capital markets division.

    Based in Irvine, California, .......

    Market Moves 5 October 2021

  • What is the future for US office space?

    Steve Jellinek, head of CMBS research at DBRS Morningstar, e...

    On a national level, the US office market is likely to see a rebound from the coronavirus pandemic-induced recession, even as net absorption has underperformed and construction remains elevated. The amount of sub-leasable space continues to shrink, declines in vacancy were seen in some major metropolitan areas in 2Q21, and office-using employment continues to grow amid the reopening economy.

    Talking Point 5 October 2021

  • CRT crush

    Mayer Brown working with 'many' imminent issuers

    Mayer Brown is currently working on “many” US private label capital relief trades which will “come to fruition” in the near future, according to partner Carol Hitselberger. She was speaking yesterday (4 October) at the Structured Finance Association (SFA) annual conference in Las Vegas.

    Two US regionals – Texas Capital Bank and Western Alliance Bancorporation – have issued .......

    News Analysis 5 October 2021

  • CIFC, TRS launch leveraged loan partnership

    Sector developments and company hires

    CIFC, TRS launch leveraged loan partnership
    Teacher Retirement System of Texas (TRS) and CIFC Asset Management have established a new leveraged loan investment fund platform known as Texas Debt Capital (TDC). A CIFC affiliate is the general partner and investment manager of TDC, while TRS is the anchor investor limited partner and has committed significant equity to the fund. The .......

    Market Moves 4 October 2021

  • SCI Start the Week - 4 October

    A review of SCI's latest content

    Last week's news and analysis
    CRTs in the air
    Another two US warehouse loan banks said circling the market
    Dual-currency debut
    Rare European CRE CLO prepped
    Freddie prints again
    The seventh STACR of 2021 and third HQA prices
    Lack of clarity
    Positive signs for Indian ABS, but challenges remain
    Libor risks
    Securitised products with swaps at most risk when Libor dies
    Mobilising capital
    Call for risk transfer .......

    News 4 October 2021

  • Capitalising Mobility-as-a-Service

    SDG Investments partner Stefan Bund and senior structurer To...

    The trade-off between urbanisation, individualisation and sustainability has led to the emergence of new business models around individual and micro-mobility. New mobility providers enter the market and shape the urban landscape with their cars, mopeds, bicycles and scooters.

    To cover the associated capital requirements, they need financing solutions that are as sustainable as the business models themselves. This offers the .......

    Talking Point 4 October 2021

  • Libor risks

    Securitized products with swaps at most risk when Libor dies

    While the potential damage to US securitized markets inflicted by the abolition of Libor appears less than seemed likely only a few months ago, pockets of concern remain, say credit analysts.

    Deals which include swaps, particularly cross currency swaps, are most vulnerable. Any interest rate swap incorporates a floating rate leg indexed against Libor, while a dollar versus yen cross currency swap, .......

    News Analysis 1 October 2021

  • Dual-currency debut

    Rare European CRE CLO prepped

    Starz Realty Capital has mandated leads for a rare European dual-currency static CRE CLO named Starz Mortgage Securities 2021-1 (see SCI’s Euro ABS/MBS Deal Tracker). The transaction has no reinvestment ability but allows the issuer to modify performing loans, as well as sell credit risk and defaulted assets, and it also features note protection tests.

    The transaction .......

    News 1 October 2021

  • SFA paper supports agency CRT

    Sector developments and company hires

    SFA paper supports agency CRT
    The SFA has published a white paper on the economics of credit risk transfer at Fannie Mae and Freddie Mac. The paper responds to an earlier FHFA report that had questioned the economic benefits of CRT (SCI passim) and illustrates how CRT has been - and can continue to be - an effective credit risk .......

    Market Moves 1 October 2021

  • Lack of clarity

    Positive signs for Indian ABS, but challenges remain

    The Indian ABS market has demonstrated resilience during the Covid-19 pandemic. However, going forward, the lack of a central data depository and secondary market poses challenges to the growth of securitisation in this jurisdiction.

    “The Indian securitisation market has crossed 30 years of existence – since then we have come a long way. The Indian market has grown .......

    News 1 October 2021

  • CLO ETF moves down cap stack

    Sector developments and company hires

    CLO ETF moves down cap stack
    Janus Henderson Group has filed a preliminary registration statement with the US SEC for the Janus Henderson B-BBB CLO ETF (JBBB) for US investors. The exchange-traded fund - which is expected to be the first ETF focused on providing exposure to single-B to triple-B rated CLO tranches - will be managed by portfolio managers .......

    Market Moves 30 September 2021
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