CMBS

Portfolio managers should consider choosing CLOs and ABS over corporate credit and agency MBS over Treasuries in 2025, says asset manager Janus Henderson.

The pass-through certificates are supported by a full pool of amortizing loans, which have no interest-only periods.

Top banks launch $1.2 billion deal for iconic Seagram Building

Tenants also have a high average credit quality, with 75.9% of them having at least an investment grade rating, and lease assets underlying the class A notes have a loan-to-value (LTV) ratio limited to 70%.

The multifamily property securities market is expected to stay resilient, despite weaknesses in certain markets due to cooling rent growth, higher vacancy, or oversupply.

Deal production has been a bright spot, but delinquencies could soon reach record highs, especially for office CMBS.

Despite shifts in work habits after COVID-19, the office building was 93.8% leased at the start of the month.

ABS overall should outperform, but risks remain in specific areas

Delay refinancing two loans prompts drop to below investment-grade for one class of CMBS