The first round of CMBS TALF saw no takers. However, the lackluster reception isn't indicative of a lack of appetite. Market sources said it's just a matter of dealing with a more complex asset class that has required more work and, consequently, will take more time to gather momentum under the Federal Reserve program.

"The program is very well developed, and the Fed has spent lots of time on it, but there are still some issues that need to be worked out," a CMBS expert said. Issues like aggregate risk and hedging risk make the finalization of the program challenging."

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