Securitization

The Securities and Exchange Commission (SEC) could hurt the housing recovery if it imposes tighter restrictions on real estate investment trusts that purchase and securitize mortgages, according to industry comments filed with the agency.

A new Senate bill proposing to wind down the GSEs by at least 10% a year also includes a provision that would replace the private MERS System with an identical platform run by the Federal Housing Finance Agency (FHFA) — along with new national standards for mortgage title transfers.

The New York banking department has reached an agreement with Morgan Stanley to implement new mortgage servicing standards after signing a similar deal with Goldman Sachs in September.

Fortress Investment Group appears to be the winning bidder on a $50 billon package of mortgage servicing rights being peddled by Bank of America, according to industry analysts watching the deal.

The Royal Bank of Scotland filed with the Securities and Exchange Commission yesterday to issue a CMBS under its Commercial Mortgage Passthrough Certificates trust.

The European Central Bank's (ECB) new €40 billion ($55 billion) covered bond purchase program (CBPP2) kicked off yesterday with a €1 billion dual tap issuance from Credit Mutuel Arkea's program.

MBIA presented a brighter picture of its future on Thursday.

With CLO issuance on the rise, it’s easy to forget that there are a number of regulatory threats to this important source of liquidity for corporate loans.

The Oklahoma Police Pension and Retirement System has sued U.S. Bancorp alleging that the bank failed to ensure that the securities sold to the fund were backed by loans properly transferred to trusts, according to a Bloomberg report.

Regulators have identified how borrowers may have been harmed by a multitude of foreclosure errors, but they are largely leaving it to the servicers and their consultants to figure out how to fix it.

Home prices, which have fallen nearly 6% over the past four quarters (ending June 30), could fall another 3.6% by 2Q11, according to analysts at Fiserv, which owns and generates the Case/Shiller house price indexes.

The RMBS and related CDO sectors lead the pack in both realized and expected future credit losses from U.S. structured finance issuances, according to Fitch Ratings.

Volkswagen is going to issue a $750 million auto lease transaction under its Volkswagen Auto Lease Trust 2011-A.

Ocwen Financial Corp. this morning said it would raise $375 million of new equity and use some of the proceeds to buy $15 billion of mortgage servicing rights from JPMorgan Chase.

The three largest tobacco companies last week exempted 12 states and four territories from arbitration that would force the municipalities to refund money from 2003 settlement overpayments the companies believe they made.

Policymakers who stood by and watched the mortgage bubble inflate, and then explode, ought to pay attention to what's happening in the student loan market.

Wells Fargo this week launched a new unit to provide financial services to publicly traded REITs involved in commercial properties.

Foreclosure filings increased 7% in October from the prior month with servicers and banks recording default notices, scheduled auctions, and lender repossessions on 230,678 U.S. properties, according to new figures compiled by RealtyTrac.

Alliance Data Systems Corp. completed its $350 million credit card deal called World Financial Network Credit Card Master Note Trust.