Securitization

E-Carat S.A., Compartment 9 is comprised of two series of rated notes of undetermined size, backed by a pool of €513.5 million in loans.

The high volume of commercial mortgages maturing this year has left some property owners scrambling for funds to refinance. Not so for these eight borrowers, who took advantage of the strong price appreciation of their iconic office buildings, luxury hotels, super regional shopping malls, and even a portfolio of rental homes, to cash out … In some cases, the tune of hundreds of millions of dollars of equity.

Deutsche Bank may have to make additional legal provisions if a settlement with U.S. authorities over the sale of residential mortgage-backed securities exceeds $4 billion, according to analysts at JPMorgan Chase.

Synchrony Credit Card Master Note Trust 2016-3 Notes, an upsized $767.1 million structure of two senior classes of securitized bonds, priced near par on Wednesday at a coupon of 1.58% over Libor for the $700 million Class A notes stack, and 1.91% on a $49.9 million Class B notes slice.

JPMorgan is dipping into its toolbox for a type of financial engineering rarely seen these days: “re-remic,” or a securitization of real-estate mortgage investment conduits.

Goldman Sachs, Morgan Stanley and Bank of American Merrill Lynch are marketing two CMBS conduits totaling nearly $2 billion, according to rating agency reports.

Morgan Stanley and Barclays Bank are marketing $550 million of bonds backed by a mortgage on Merchandise Mart, a 24-story, four million square foot art deco landmark in downtown Chicago.

Chase Bank, Discover, RBC and Alliance Data Systems Corp. – through subsidiary Comenity Bank – each received preliminary triple-A ratings for their new card-backed securitizations. The largest of the deals, Chase’s $1.1 billion Chase Issuance Trust 2016-7 through its ChaseSERIES platform, closed Monday.

American Homes 4 Rent (AH4R) has repaid the $342.1 million loan that serves as collateral for its first securitization of single family rental properties.

SoFi Lending Corp. is in the market with another $436.67 million of notes backed by private student loans.

A fintech startup called Point is allowing consumers sell a piece of their home equity to investors, rather than borrowing against the value of their houses.

The $320.2 million securitization deal, dubbed HERO Funding 2016-3, will issue two tranches of class A notes with double-A ratings from both Kroll Bond Rating Agency and DBRS.

The Consumer Finance Protection Bureau has ordered Bridgepoint Education to refund $23.5 million to students it alleges were deceived into taking out private student loans that cost more than advertised.

Over the past year JPMorgan Chase has rapidly expanded its credit card business, in part by attracting new customers with spotty credit histories; But rest assured that the company is only dipping its toe into the pool of subprime borrowers, says Gordon Smith, chief executive of JPMorgan's consumer and community bank

Navitas Credit Corp. is pursuing its third securitization of small and mid-ticket commercial equipment lease and loan receivables in a $202.9 million notes structure.

The trailing 12-month U.S. speculative-grade default rate rose slightly to 5.7% in August, representing the market’s highest default rate since June 2010, according to Moody’s Investors Service.

Late payments on securitized commercial mortgages dipped in August, but there is a growing divide between the performance of loan originated before and after the financial crisis.

Orico (or Oriental Corp.), a Japanese finance company partly owned by Mizuho Financial Group, is structuring a $362.2 million asset-backed portfolio of U.S. dollar denominated notes backed by yen-denominated prime auto loans issued to individual and corporate borrowers in Japan

In October, roughly $40 billion collateralized loan obligations will become callable, giving managers with a required payment date only a month in which to refinance before the risk retention requirement kicks in.