Finance

The widening in structured finance spreads is not yet a cause for credit concerns, according to a weekly outlook by Standard & Poor’s.

American International Group is on the market with a $125 million of five-year catastrophe bonds providing reinsurance against U.S. storms and earthquakes.

Standard & Poor’s downgraded several CMBS transactions this week and said it expects to lower the ratings on more of these deals.

Unicredit plans to issue a securitization backed by short-term euro loan receivables made to large corporates, small and medium sized enterprises (SME); and self-employed individuals based in Germany.

Royal Bank of Canada and Canadian Imperial Bank of Commerce launched the first programs under the new covered bond framework in Canada.

Ares Management is prepping a $500 million collateralized loan obligation, according to a presale report by Moody’s Investors Service.

Against the backdrop of a much calmer market this week, Citi priced $662.9 million of Louisiana Tobacco Settlement Financing Corp. asset-backed refunding bonds.

Final bank capital rules are likely positive for non-agency remics and mildly positive for some other assets, such as bonds backed by student loans, according to Barclays.

GoldenTree Asset Management appears to have added a €59 million subordinated class to a European collateralized loan obligation it is marketing.

Redwood Trust issued its ninth prime residental mortgage-backed securitization from its Sequoia trust of the year, worth $431.157 million.

GC Securities completed the latest catastrophe bond transaction for Munich Re. The deal, called Queen Street VIII Re Ltd., is the first cat bond in this series to feature Australian cyclone risk.

The issuance of non-agency residential mortgage-backed securities (RMBS) so far in 2013 is approaching the $11 billion mark, according to Standard & Poor's.

The Trepp CMBS Delinquency Rate posted a 42-basis-point drop to 8.65% in June, the lowest level in almost three years.

U.S. residential mortgage backed securities serviced by Nationstar will recognize about $1 billion of losses as the result of loan modifications, according to Fitch Ratings.

Standard & Poor’s assigned 'BB-' ratings to the class A notes issued by Renaissance Re and DaVinci Re $150 million catastrophe bond called Mona Lisa Re (Series 2013-2).

The doubling of interest rates on new government guaranteed student loans could actually benefit some holders of bonds backed by existing loans, according to Fitch Ratings.

Two commercial backed mortgage securities conduits, one offered by JP Morgan and another by Deutsche Bank, Cantor Fitzgerald and UBS, priced this week at wider spreads than recent deals.

Springleaf Financial is issuing a $875.499 million subprime mortgage-backed securitization.

Horizon Technology Finance Corp., a specialty finance company, has issued $90 million of notes backed by secured loans to technology and healthcare start-ups.