Mizuho Securities USA is positioning itself to become a familiar name in U.S. CDO-ville, with former Calyon cash CDO head Alexander Rekeda leading the Japanese bank's foray into CDO issuance out of New York. Rekeda was a driving force behind Calyon's growth as a U.S. CDO underwriter, according to Mizuho. Now as Mizuho's head of U.S. structured credit, Americas, Rekeda said the company's sizable balance sheet, its flexibility and its presence as a global distributor position the bank for growth within the sector.
Mizuho is planning to enter the ABS CDO and CLO markets in the first half of 2007, followed by a shift toward commercial real estate and synthetic CDO transactions, Rekeda said. "We believe there will be some change in investor appetite from ABS CDOs to CLOs, Rekeda said, "That is where Mizuho can play the strong card," he said, referring to Mizuho's strong Japanese distribution network.