Redwood Trust's recent RMBS deal has been lauded by Fitch Ratings as implementing several important structural features that further reduced credit risk exposure for its senior bond investors. These are an improvement over 2005-2007 vintage prime deals.

According to Fitch, the transaction utilizes a traditional senior subordinate structure, shifting the interest for the distributions of principal and interest and allocation of losses. 

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.