Speakers today at a Fitch Ratings Web conference on the Challenges in U.S. RMBS & CMBS said that it won’t be as easy to find bonds that are obvious candidates for resecuritizations.
Speakers at the event estimated that that issuance is at $90 billion currently and said that, for the rest of the year, the market could see another $10 billion a month.
However, speakers said that next year it will become increasingly harder to sell some securities that will take away supply and drive volumes down.
Next year the market will have to focus on those not so obvious candidates that could come from market players that would want to get capital relief by selling a portion of their portfolios.
