Finance

Capstead Mortgage Corp., a REIT that invests in GSE-backed MBS, is warning that higher prepayments will hit the market in the second and third quarters because of efforts by Fannie Mae to "buy out" delinquent loans from MBS pools.

The Carlyle Group has acquired $4.2 billion worth of CLOs and $950 million worth of managed accounts from Stanfield Capital Partners, increasing the size of its credit assets under management to $18.1 billion from $13 billion.

Manager Activity: Autos Book Runner Amount (US$ Mil) Rank Mkt.

Wells Fargo Securities has expanded its RMBS platform. The RMBS group now offers a full suite of advisory, structuring, research, distribution and trading services to the firm's residential origination and investing clients and to Wells Fargo Home Mortgage (WFHM).

Treasury secretary Timothy Geithner said today that mortgage servicers are not doing enough to help distressed homeowners, according to a Reuters report.

Redwood Trust officials said its groundbreaking prime jumbo residential mortgage securitization did better than expected in the market, suggesting that there is a considerable amount of pent-up demand for this type of product.

Cohen & Co. hired Rob Cestari to the mortgage securities trading unit.

The mortgage assumptions used to derive risk-based capital (RBC) charges under the new 'RMBS Initiative' approach are similar to those used in Fitch Ratings' U.S. RMBS Recovery Rating (RR) analysis, according to a study by Fitch's Insurance and RMBS groups of the National Association of Insurance Commissioners' (NAIC) RMBS Initiative' results.

GMAC subsidiary Ally Bank priced its dealer floorplan securitization. The $546.9 million Ally Master Owner Trust 2010-2 transaction is lead managed by Credit Suisse.

A Republican alternative to Sen. Chris Dodd's massive financial services bill gives the mortgage banking industry hope that Congress understands the dire need for an exemption on MBS risk retention.

The full Senate is closer to taking up the financial services regulatory reform bill now that Sen. Richard Shelby, R-Ala., has declared an impasse in his negotiations with Sen. Christopher Dodd, D- Conn.

Escalating troubles at Ambac Assurance Corp. and the resulting inability of the bond insurer to make even less of a partial payment on claims than it previously expected caused U.S. Central Federal Credit Union to restate its fourth quarter results for 2009, adding $274 million in losses that came from MBS investments.

WASHINGTON — A plan to ban proprietary trading — once considered a long shot — is now almost certain to be enacted as part of a regulatory reform bill, thanks in part to a hearing Tuesday where Goldman Sachs Group Inc. executives came under withering allegations of betting against the firm's own clients.

For the third time in as many days, Republicans voted to block debate from starting on a regulatory reform bill.

Fitch Ratings said that the number of defaulted European CMBS loans is likely to increase, despite recent improvements in the sector.

American Express is marketing a $804.5 million in asset-backed securities from its American Express Credit Account Master Trust.

Managing Director Paul Vambutas and Director James Murphy have left the student loan ABS group at Deustche Bank, the investment bank has confirmed. Sources told ASR that the duo is heading over to UBS.

Ed Raice, a former president of EMC Mortgage Corp., the nonprime mortgage arm of Bear Stearns, has raised private equity money and is in the hunt for a bank, preferably one near his home in Connecticut.

BMW Auto Leasing llc has filed a shelf registration for a new auto lease securitization deal, BMW Vehicle Lease Trust.

The Committee of European Banking Supervisors (CEBS) this week published its principles for disclosures that serve as a guide for financial institutions preparing public disclosures which incorporate lessons learned from the financial crisis.