ABS

Velocity has seven classes of securities divided into 25 subclasses, including 15 that are entitled to principal and interest, seven to only interest, and one to any remaining excess cash.

Government and corporate bonds globally have already lost 4.4% this year, the biggest decline for any similar period since 2005, according to a Bloomberg index.

The current deal uses a capital structure virtually identical to the 2021-NMQ2, with three classes of senior notes with ratings ‘AAA’ to ‘A’, that will pay on a pro rata basis.

The transaction is a $340.0 million interest-only, floating-rate mortgage loan with an initial three-year loan term and two successive one-year extension options.

Toyota Motor Corp. plans to invest $3.4 billion in the U.S. through 2030 to establish a new company and build its first U.S. battery plant, becoming the latest global automaker to accelerate the transition to electric vehicles through a battery push.

Blowout results from the big U.S. banks may spur even more bond issuance from the financial sector, with borrowing costs still attractive even as some market rates rise. The bond deal comes as risk premiums in corporate debt remain low.

The size of the current deal stems mostly from the ‘AAA’ piece, which was $210 million, compared to $162 million in the last ABS. Earlier deals hovered around $250 million.

The bonanza from Wall Street operations is a source of relief for banks struggling to earn more from traditional lending operations, which have suffered from lukewarm demand and a prolonged period of low interest rates.

Collateralized loan obligations may have to wait until 2022, because the market is seeking price discovery -- but has little incentive to jump first.

Not even Dunkin' is immune to the labor shortage perplexing the restaurant sector, even though its business model relies heavily on drive-up locations and takeout dining.