ABS

Virtually the entire pool is financing used cars. Even that might leave the pool vulnerable to reduced recovery costs, should prices for used cars drop notably.

The alchemists of Wall Street came up with a solution for investors who needed fatter yields: complex products that spun extra basis points out of markets.

Based on the securitized utility tariff property, the security of the notes will depend on the number of customers in the utility's service area.

Aside from equipment leases, the collateral will include interest certificates and equity interests in entities formed to own aircraft leases and related aircraft.

The dollar resumed declines on Monday in New York amid a rebound in U.S. equities and other risk assets ahead of inflation data and the mid-terms elections.

The CLO is preparing to raise $494.5 million from the capital markets, with a reinvestment period of 2.9 years, and a a weighted average (WA) recovery assumption of 77.03%.

It said just over $1.2 billion of dollar notes had so far been accepted for purchase with six days still remaining for investors to sell back their holdings.

Should Libor become unavailable most CLO loans are already written to fall back to the prime rate. Managers will have to monitor their CLOs' legacy Libor loans.

The percentage of extended-term loans, 80.9%, is near the higher end in recent historical deals, but higher FICO scores are also a bigger portion of the pool.

Wednesday afternoon was full of drama as traders first took hope from the central bank's statement but then slumped following stern comments by Chair Jerome Powell.