The Hong Kong Mortgage Corporation (HKMC) is preparing to launch its first mortgage-backed securitization this fall. "We should be ready to issue after late September or early October. If we can secure at least one bank willing to do this, we'll do one issue as a pilot and then some more," said Pamela Lamoreaux, senior vice president of operations, adding that the HKMC was talking to several interested sellers.
The debut issue would be at least HK$1 billion ($130 million) and targeted to domestic investors. No decision has yet been made as to whether the HKMC would arrange the transaction itself or mandate an outside bank. Since the issue will be denominated in local currency, no credit rating would be sought, Lamoreaux added.