Securitization

Manager Activity: AutosFull Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market

Joseph Murin, the president of the Ginnie Mae, says his agency could fill a gap left by federal programs designed to resolve the housing crisis. All the agency needs is a little help from Congress.

The Islamic finance market continues to expand with the issuance of innovative Shari'a compliant securities.

Jefferies & Co., the principal operating subsidiary of Jefferies Group, hired three senior MBS and ABS institutional sales professionals to the Firm’s growing fixed-income sales and trading platform.

Financial consulting firm Kensington Blake Capital (KBC) has assembled team of structured products and derivatives professionals. KBC offers expertise and analysis to firms that have exposure to the structured products and derivatives markets.

Mortgage rates continued to set new record lows this week in response to the Federal Reserve's buying program.

CastleOak Securities hired Robert Bacon as director in investment banking and capital markets.

Guy Carpenter Co. appointed Charlie Higham Chairman and CEO of Reinsurance Solutions LLC (RSL), a unit which specializes in providing tailored insurance and reinsurance services.

Fitch Ratings yesterday downgraded $10 billion and affirmed $435.9 million of rated notes across 16 CDOs backed primarily by trust preferred securities (TruPS), senior and subordinated debt issued by REITs, homebuilders and financial institutions that specialize in mortgage lending.

Hannover Re transferred a portfolio of life and annuity reinsurance to the international capital market.

Bank of America said that it will remain in the wholesale channel and even sees some potential growth in the broker lending niche.

Deutsche Bank reduced its exposure to problematic commercial real estate loans to less than half its previous size in 4Q08, but it still estimates it will take a €4.8 billion ($6.3 billion) after-tax loss for the period from other writedowns.

Despite the significant volume decline seen in 2008, the long-term perspectives for global sukuk issuance are still good, said Standard & Poor's in a report called Sukuk Market Declined Sharply In 2008, But Long-Term Prospects Remain Strong.

Citigroup Global Markets analysts suggested that there will be further significant declines in home prices despite historically low mortgage rate levels.

Three CAT bonds are expected to be brought to market in late January or in February, according to a publication called The Insurance Insider, boosting the insurance-linked securities (ILS) pipeline.

Barclays said Tuesday it is cutting 2,100 jobs in its wealth management, asset management and investment banking groups.

Fitch Ratings stated that the outlook for private U.S. mortgage insurers remains negative.

Standard & Poor's said in a report that 2009 is likely to present the greatest pressure on European structured finance collateral performance since the market's inception.

Though the current administration has shut the door on using the Troubled Asset Relief Program (TARP) to buy illiquid assets from banks, policymakers are increasingly turning to the idea again as other efforts to stem the financial crisis sputter.

The commercial real estate market is facing its worst year since the S&L and banking crisis of the early 1990s, according to a new report by Merrill Lynch.