CDOs/CLOs

Deals, trends and research in structured finance and asset-backed securities for the week of May 7-13

Flatt said the combination of strong markets and asset sales means there’s enough capital on hand for its planned $6.5 billion privatization of Brookfield Property Partners LP, and the repurchase of its own shares, to soak up some of the new equity being issued in the transaction.

More opportunistic borrowers may come as investors continue to pour money into U.S. leveraged loan funds, which have seen the longest positive streak since 19 weeks between February and June 2018.

Deals, trends and research in structured finance and asset-backed securities for the week of April 30-May 6

The existential challenge distressed debt investors face may not be new after a decade of easy-money policies that encouraged companies to refinance debt at reduced costs. But the swift rebound from the depths of the pandemic has taken many by surprise.

The difference between yields on investment-grade debt and junk bonds doesn’t bode well. It’s a sign that leverage in the system is rising.

Outstanding middle-market U.S. collateralized loan obligations in the first quarter had a significantly reduced concentration of near-default loans being held in portfolios compared to year-end 2020

In his annual letter to CEOs in January, he stressed the need for companies to respond to racial injustice, economic inequality and environmental degradation -- all issues traditionally left to government.

Both agencies cited the increasingly sunny economic outlook driven by the reach of COVID-19 vaccination efforts.

Demand is booming this year for securitized debt, as sales have not only recovered following last year’s Covid-induced dip, but are even eclipsing the pace of previous strong years.