Glen Fest

The Oak Brook, Ill.-based manager is adding interest-only notes as well as a subordinate, single-B rated tranche in an extension of a 2016 CLO.

The average exposure is well under the overcollateralization cushions for CLO managers, who also had plenty of notice about ATD's longstanding leverage concerns and supplier issues well before the Chapter 11 filing.

The deal benefits from lower credit enhancement requirements after pooling higher FICOs and more seasoned contracts; but residual values continue to decline for the German automaker.

Consumer Portfolio Services' fourth auto-loan securitization of the year has a 3.97% share of loans previously assigned to CPS asset-backed portfolios, compared to an 11.97% share in its last transaction.

DriveTime is making less-risky loans under a $750 million contract purchase agreement with Ally Financial; it appears that the sponsor is also funding some of this lending through its own securitization platform.

The firm's fourth deal of the year has loss projections less than half of its earlier deals, with an influx of aged, pre-crisis option ARM loans with little delinquency history.

Two of the three largest loans in the $951 million deal are $50 million slices of loans on the Aventura Mall in Florida and the Christiana Mall in Delaware.

A growing number of asset managers are waking up to the opportunity to lend to small and medium-sized companies, and much of this direct lending is making its way into the securitization market.

The four-year-old transaction is still in its original reinvestment period, but the collateral has had growing levels of defaulted and triple-C rated assets.

The spread on the AAA rated notes issued by KKR 23 CLO is unchanged from the manager's prior deal, but three of four subordinate tranches are priced wider than the June transaction.

Four new repriced portfolios from BlueMountain, CIFC, GoldenTree and HPS each exceeded 10x debt-to-equity ratio, compared to a three-month prior average of 9.16x on S&P rated deals.

Over three-quarters of loans in the €861.3 million transaction are loans in which borrowers are scheduled to repay almost half the principal in its final installment.

It can be a more efficient way to raise regulatory capital than relying solely on equity, but lenders that securitize this debt have struggled to get the market back off the ground.

Nearly 72% of attendees said their institutions were either only going to get involved “at the appropriate time” or “let the market figure out” how to move to a new benchmark.

Fannie Mae and Freddie Mac’s involvement in the single-family rental market may have been short-lived, but it still had a positive effective, according to Beth O’Brien, CEO of CoreVest.

Corevest CEO Beth O'Brien says that Fannie and Freddie's involvement in the single-family rental market both generated buzz and produced standardized documentation.

Auto loan securitization has been in overdrive this year, even if the global tussle over import tariffs is injecting a note of caution.

While banking regulators are currently looking the other way when corporate debt packages exceed 6.0 leverage, that could easily change under a new administration or Congress.

Look for more providers of property assessed clean energy financing for commercial buildings to follow CleanFund and Greenworks Lending into the securitization market next year.

The private-label card issuer has expanded into co-branded Mastercard accounts with several retailers, which have higher payment rates and fewer delinquencies than cards exclusive to partnering store chains.