With so much CLO investment capacity going offline over the next few years, the loan market is getting creative in structuring deals to accommodate this waning investor class.

Many investors in CDOs and similar products were taken by surprise when a U.S. bankruptcy court declined to dismiss an involuntary chapter 11 case filed against CDO-squared issuer Zais Investment Grade Ltd. VII (a.k.a. ZING VII). A test of the so-called bankruptcy-remoteness of offshore issuers was perhaps inevitable given the volume of distressed CDO securities in the market today. From a pure bankruptcy law perspective, the court's decision is not revolutionary; it simply confirms the reality that entities can still wind up in bankruptcy even if they were structured to avoid it. But for investors in the lower tranches of distressed CDOs hoping to see values rebound over time, the ZING VII bankruptcy makes the prospect of future "tranche warfare" in chapter 11 seem inevitable. It remains to be seen whether the dismissal will be affirmed on appeal, whether ZING VII's senior noteholders will succeed in confirming their chapter 11 plan, and most importantly, whether ZING VII is merely the first of many CDO bankruptcy cases to come. Regardless of ZING VII's ultimate outcome, the bankruptcy court's analysis in denying the motion to dismiss should be considered carefully as market participants structure, sell or buy into future CDOs.

On Oct. 24, the Federal Housing Finance Agency (FHFA), along with Fannie Mae and Freddie Mac, announced significant changes to the Home Affordable Refinance Program (HARP).

The PrimeX indices experienced a sharp dip in October that drew a lot of attention.

The market for public sector and corporate bonds in Hong Kong's offshore renminbi market hit boom mode in about July 2009. The Chinese government removed some currency restrictions, and issuance accelerated. But the effect was only fully articulated in 2010, when RMB140 billion ($22 billion) in bonds were printed, from RMB40 billion the previous year.

The unpaid invoices that the Spanish regional governments owe medical companies have, by all accounts, grown to unwieldy levels. Combined pharmaceutical and medical technology companies are waiting on about €9.7 billion ($13.8 billion) in past-due bills of this nature (see tables below).

The ABS market faces myriad new regulations causing disruption in some securitization sectors, including the creation of new ABCP conduits.

With most banks still flush with deposits and reluctant to lend, the need for advances from the Federal Home Loan Banks continued to drop sharply during the third quarter, according to a report released Friday by the Office of Finance.

The Securities and Exchange Commission (SEC) is now requiring alternative investment fund managers to provide a lot more details on their operations.

MountainView Servicing Group said it has completed the sale of a $442 million package of Fannie Mae bulk servicing rights.

Fannie Mae Monday morning confirmed to ASR sister publication National Mortgage News that its multifamily unit is the subject of an Inspector General probe being conducted by the Federal Housing Finance Agency (FHFA).

Obvion issued a €744.3 million ($1.3 billion) Dutch RMBS dubbed STORM 2011-IV B.V.