Esoteric

The $254 million transaction is the first shipping container securitization of the year; the weighted average age of the vessels is 2.1 years.

Assured Guaranty indicated it is interested in reaching a deal on PREPA bonds rather than continuing its quest for a PREPA receiver.

The senior notes to be issued in the $867 million transaction also amortize more quickly, reducing investor exposure to a potential decline in the valuation of the assets.

The financial burden falls almost exclusively on lessees, so much so that some weaker airlines could eventually face financial difficulties; observers expect some pushback.

After spinning off its infrastructure-related businesses in November, it is more focused on rail manufacturing and leasing; the new deal is backed by 7% of its fleet.

Five EETCs totaling $3.9 billion have exposure to the type of jet involved in Sunday's crash; but there are none in lease ABS, which could benefit from higher valuations of replacement aircraft.

The $209.7 million FCI Funding 2019-1 also features unusually high exposure to vacant land, which is generally considered to be a riskier asset than residential or commercial property.

J.G. Wentworth first securitization of 2019 is backed by a similar mix of structured settlement and annuities receivables as its second deal of 2018, but the credit quality of the insurers making these payments is higher.

The rating agency has developed rating criteria for bonds backed by oil and gas royalties, though such deals would be capped at the 'A' rating category.

The online lender founded by Renaud Laplanche contributed half of the collateral for the $226.9 million transaction. It's also retaining a 5% economic interest in the deal.