The Japanese securitization market was relatively quiet in the first half of April after the rush to close deals in the run-up to the financial year-end on April 1. The most significant deal was the first domestic, public residential mortgage-backed securitization (ASRI 4/10/2000 p.1). The transaction, originated by Fuji Bank and arranged by Fuji Securities, was called Mortgage Asset Return Investment Opportunity Corp. and worth 32.9 billion ($316 million).

The deal was split into six senior tranches rated Aaa by Moody's Investors Service and a subordinated tranche rated A2. The senior tranches had maturities from 10 months to five years and 10 months and paid interest rates from 0.265% to 1.626%. The subordinated tranche has a maturity of eight years and four months and a coupon of 2.09%. All were placed with investors, a Fuji bank official said.

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