Certain provisions in the deal allow for changes in the collateral pool, including allowing for discretionary substitutions of up to 2.0% of the number of properties.

There is a liquidity reserve account that will be fully funded to its required amount when the deal closes.

After passing the Federal Reserve's stress tests with high marks, large banks announced dividend increases. In some cases, they also said the Fed had conceded that certain prior calculations needed to be revised.

In 2021, banks pledged to wind down their support for oil and gas. Last year they made a $162 billion U-turn, according to a new report from a coalition of advocacy groups.

The deal is secured by a portfolio dominated by mortgage loans considered non-qualified or exempt from ability to repay rules.

DBRS noted that about 90.5% of the 4,011 loans receive payment through Automated Clearing House, which boosts payment capture rates and minimizes cash handling.

TALNT 2025-1's notes benefit from initial hard credit enhancement that totals 6.33% of the note balance.

The vehicles comprise the overcollateralization (OC), because of a highly liquid secondary market for them. That OC rate will shift according to the fleet mix.

1988 Asset Management has priced and closed $2.5 billion in CLOs in the U.S., and the partnership expects to issue CLOs regularly in Europe.

The US 10-year term premium — or the extra return investors demand to own longer-term debt instead of a series of shorter ones — has climbed to near 1%, a level last seen in 2014.

BAAT Auto Trust series 2025-1, has a super-prime underlying borrower base, as FICO scores exceeding 800 made up 55.2% of the pool.

The WA original term is about 68 months for all three pools. That is shorter than the term on the previous series, but within the range of terms on recent deals.

Industry diversification and strong borrower financials bode well for CLO prospects in uncertain times.

The transaction's senior, interest-only tranches, which are also initially exchangeable, pay a coupon of 0.50%.

Among its structural strengths, DEFT 2025-1 includes a non-declining reserve account representing 1.0% of the pool balance.

The structure includes credit enhancement from overcollateralization representing 16.4% of the pool balance.

The notes will be issued through series 2025-3 and 2025-4, and aside from slightly different maturity dates, they have similar initial overcollateralization and reserves.

Almost the entire pool of mortgages will fund primary residences and were underwritten using full documentation.

Fitch notes that 74.8% of the collateral pool, made up entirely of 3,103 loans, is backed by trucking—or transportation—equipment.

Total delinquencies as a percentage of John Deere's managed portfolio was 3.06%, an increase since 2022. That aligns with the decline in corn and soy prices in the same period.