A newcomer in the mutual fund fee private-placement arena, CIBC World Markets recently closed its first 12b-1 privately placed securitization. The $15 million, single-tranched deal, which closed in April, was rated triple- B by Standard and Poors Ratings Services.
"We have several underlying programs for which we warehouse 12b-1 assets that were used in this private placement recently executed. Additional tranches will be used in future private placements," said Michael Hopson, executive director of CIBC's securitization group in New York. Last year, these programs originated roughly over $100 million, collectively.