It's a busy time for Dutch mortgage bonds.
Aegon priced a 1.3 billion ($1.6 billion) securitization of Dutch residential mortgages and ABN AMRO’s announced plans to issue additional securities from its Dolphin RMBS master trust.
Aegon’s Saecure 15 sold 360 million of 2-year, class A1 notes, rated AAA’ by Standard & Poor’s, at a spread of 25 basis points over three month Euribor. The issuer priced its short-dated triple-A’s at the same level as the last Dutch RMBS to price, Obvion Storm 2014.
Aegon priced the five-year, AAA’ rated, class A2 notes at a spread of 40bps, five basis points wide of Obvion’s late September deal.
Deutsche Bank, HSBC, JP Morgan and Rabobank are the lead managers on the deal.
Of the loans included in the pool, 69% are fully guaranteed by the Dutch national mortgage guarantee scheme, Nationale Hypotheek Garantie (NHG). This guarantee covers certain losses realized after the foreclosure of a property, including the outstanding principal amount owed to the lender, unpaid accrued interest, repossession costs, and other miscellaneous costs.
New to the pipeline this week is ABN AMRO’s 500 million Dutch RMBS issued from the bank’s Dolphin Master Trust.
DBRS and S&P have assigned the single tranche offer a preliminary AAA’ ratings.
Proceeds from the Dolphin 2014-3 will be used to redeem 500 million of the series 2010-1 class A2 notes. The credit enhancement for the new Class A notes is expected to be maintained at the current level of 9.10%, according to the presale report.
Dolphin is a 50 billion RMBS program established in September 2007 and is backed by prime Dutch mortgage loans originated by subsidiaries of ABN AMRO. As of September 2014, the outstanding balance of collateralized notes is 30.14 billion.