Securitization

Bank of America, Morgan Stanley and Citigroup could be downgraded next year, according to a Dec. 6 report published by Nomura Securities International that warned that downgrades for any of the three could impact their ability to operate readily in the commercial paper and repo markets and chase up funding costs.

Investors holding securities wrapped by Financial Guaranty Insurance Co. (FGIC) recently formed a policyholder group in an effort to negotiate a restructuring and avoid the insurer’s liquidation.

Joseph Herbst, a top executive at two large corporate credit unions that failed under the weight of risky mortgage investments, emerged last week after being hired as the new CEO for CUMAnet, a mortgage lending credit union services organization (CUSO) based in Basking Ridge, N.J.

Until recently, much of the attention surrounding "put-back risk" has focused on the legal aspect, notably whether judges will require lenders to repurchase loans they sold to securitizers.

Wells Fargo Bank has filed an S-3 with the Securities and Exchange Commission to issue under its Wells Fargo Mortgage Securities Trust.

That the recession has been over officially for more than a year is of little solace to downtrodden mortgage brokers. But a Fannie Mae economist said that if loan jockeys are patient, things will get better.

A restructuring proposal for the REC Plantation 5 Plc CMBS deal was released last week.

The Bank of England (BofE) published detailed data and other requirements for securitizations to remain eligible under its discount window.

Manager Activity: Autos Book Runner Amount (US$ Mil) Rank Mkt.

Americold Realty Operating Partnership is in the market with a $600 million securitization backed by cold storage facilities. The deal is called Americold 2010 Trust Series 2010-ART.

Federal regulators took another beating on Capitol Hill Thursday for not getting ahead of problems in the mortgage servicing industry and not taking greater steps to stem foreclosures.

Phoenix Capital is offering an $816 million package of Fannie Mae servicing rights owned by a West Coast mortgage company called Just Mortgage.

As regulators try to collaborate on new securitization rules, a fissure has emerged in bankers' own thinking on the subject.

The removal of FFELP is a going concern for certain student loan issuers/servicers that have predominantly existed for the purpose of purchasing,originating,and servicing loans under the program, a Fitch Ratings report said.

After a record 2010, covered bond supply is expected to drop in 2011 as banks begin to choose other alternatives, Societe Generale analysts said.

Thomas F. O'Neill, a founding principal of Sandler O'Neill Partners, unveiled plans to retire from the New York banking firm — but join a financial services company controlled by MBS co-inventor Lew Ranieri.

Moody's Investors Service placed the 'Aaa(sf)' ratings on six Irish residential RMBS and one balance sheet CLO on review for possible downgrade.

Tradeweb and three Wall Street firms this week launched technology designed to mitigate the risk of failed to-be-announced (TBA) MBS trades in situations where deals can be resolved by delivery through tri-party arrangements.

Freddie Mac reported further increases in mortgage rates for the week ending Dec. 2 following the latest sell-off.

Cole Real Estate Investments hired Jeffrey Holland as head of capital markets and executive vice president.