Securitization

The initial collateral for J.G. Wentworth XLII Series 2018-2 is 97.4% structured settlements, up from 96.6% for the prior deal and the highest concentration of any deal over the past five years.

Four new repriced portfolios from BlueMountain, CIFC, GoldenTree and HPS each exceeded 10x debt-to-equity ratio, compared to a three-month prior average of 9.16x on S&P rated deals.

Zephyrus, which is owned by Virgo Investment Group (98%) and Seabury (2%), is marketing $336.6 million of fixed-rate loans with a final maturity of 2038 and a preliminary A rating from Kroll Bond Rating Agency.

Fitch and S&P recently trimmed default expectations for payment plans of customers with various tenures; this allows the carrier to offer less credit enhancement on its next securitization; Moody's is also rating the deal for the first time.

Over three-quarters of loans in the €861.3 million transaction are loans in which borrowers are scheduled to repay almost half the principal in its final installment.

The £571.6 million Elvet Mortgages 2018-1 is the first mortgage bond offering rated by Moody's Investors Service to include loans that were originated using a mobile phone application.

It can be a more efficient way to raise regulatory capital than relying solely on equity, but lenders that securitize this debt have struggled to get the market back off the ground.

Fannie Mae and Freddie Mac’s involvement in the single-family rental market may have been short-lived, but it still had a positive effective, according to Beth O’Brien, CEO of CoreVest.

Corevest CEO Beth O'Brien says that Fannie and Freddie's involvement in the single-family rental market both generated buzz and produced standardized documentation.

Three of the loans backing the $868.4 million BSPRT 2018-FL4 representing 18.4% of the collateral are either still under construction or have yet to be redeveloped, according to Kroll Bond Rating Agency.

Auto loan securitization has been in overdrive this year, even if the global tussle over import tariffs is injecting a note of caution.

While banking regulators are currently looking the other way when corporate debt packages exceed 6.0 leverage, that could easily change under a new administration or Congress.

Moody's sees $10.7 billion of securitized commercial mortgages at risk, Morningstar just $1.49 billion; both say loans in Freddie Mac K-deals account for a significant portion of exposure.

A conflict between risk retention rules and prohibitions against self-dealing were limiting options for some lenders to hold skin in the game; a no-action letter issued to Golub Capital creates a "clear path" to compliance.

Tetragon Credit Income Partners is considering a move outside its niche CLO equity investment strategy in expanding its portfolio management team.

The report from an advocacy group that focuses on college affordability says that schools need to do a better job of educating students about their eligibility for federal loans, which typically carry lower interest rates than loans from banks and other private-sector lenders.

Approximately 81.5% of the borrowers in the latest deal have more than one mortgaged property; those with three or more mortgages (with a maximum of 10) represent 45.5% of the pool and generally show considerable income and liquid reserve.

The sponsor acquired all three, Riverchase Galleria in Hoover, Ala., Columbiana Centre in Columbia, S.C.. and Apache Mall in Rochester, Minn., through its purchase of GGB Nimbus in August.

Progress 2018-SFR3 is backed by 3,459 single-family homes, of which 3,418 homes (98.8% by broker price opinion) were previously securitized in 2016. And 1,492 of those properties (44.4%) were first securitized in 2014.

The Boston-based firm has refinanced two existing deals within the last 10 months, but hasn't printed a new deal since October 2015, well before U.S. risk retention rules took effect.