Securitization

Fitch Ratings has introduced a new index called Fitch Solutions probability of default index, which was derived from the equity implied ratings and probability of default model (EIR).

McKee Nelson has assembled the first covered bond team to advise issuers and underwriters on the sector.

U.K. whole business pub securitizations are expected to withstand some of the most challenging trading conditions facing the pub sector, Fitch Ratings analysts said.

Like their peers elsewhere, Spanish mortgage originators are staggering through a tough year, but the economic headwinds they face are especially daunting.

The June remittance reports offered no surprises, as usual. The reports did not show any notable change in the direction of subprime delinquencies as well as losses, UBS analysts said.

Investors should be cautious when looking at re-REMIC offerings, said Fitch Ratings.

Hannover Re said last week that it had completed its first insurance-linked securities (ILS) transaction.

The recent ratings action that saw Moody's Investors Service downgrade Ambac and MBIA to Aa3' and A2', respectively, and XL Capital Assurance/XL Financial Assurance to B2' from A3' is causing further concerns for the European banking sector.

As recessionary economic conditions roil on, market participants can't help but look for the next shoe to drop.

For months politicians and consumer advocates have complained that mortgage servicers have been too slow to modify the mortgages of troubled borrowers, and their calls for the industry to reduce principal balances have been met with skepticism.

The devastating number of layoffs in the structured finance industry - and on Wall Street in general - has industry participants tossing around terms like "bloodbath" or "pinstripe massacre" to depict the jarring consequences of the current economic outlook.

Considering the undisputed negative outlook for subprime mortgages, is it still possible for the ABX to overestimate expected losses on these loans? Experts say it is.

Issuance was relatively quiet last week, as the ABS market edged closer to the end of the quarter and the Fourth of July holiday.

UniCredit Markets & Investment Banking's euro-denominated ABCP conduit named Salome Funding got the green light from the European Central Bank (ECB) to begin using its repo facility.

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

RBS Asset Management, a subsidiary of the Royal Bank of Scotland, appointed Kate O’Neill as head of distribution.

London-based working capital management specialist Demica has released new research on the supply chain finance (SCF), citing changes over the past year and current banking attitudes toward them as a service offering.

A Goldman Sachs analyst estimates that Citigroup will face an $8.9 billion write-down in its second quarter earnings.

In a report about the June remittance reports relased this morning, JPMorgan Securities said that whether June remittance reports were good, bad or ugly depended on who was asked.

Bankers and securities industry representatives are pushing the Federal Deposit Insurance Corp. (FDIC) to go further in encouraging covered bonds as an alternative to securitization.