Securitization

The U.K. is one of the few countries in Europe where securitization remains a significant funding source for mortgage originators but cheap central bank funding schemes and renewed economic deterioration could crowd out issuance and push up arrears, according to a Standard & Poor's report.

Increased new issue volumes and near record lows in the consumer ABS spreads have led to slightly wider spreads in both the primary and secondary markets, according to two securitization market reports.

Kroll gave the $189.2-million A tranche of the $272.75 million transaction a ‘AAA (sf)’ rating.

Natixis will acquire McDonnell Investment Management, the Oak Brook, Illinois-based investment advisor with approximately $13.5 billion in assets under management, the company said today in a press release.

A buoyant primary market in securitizations in the auto sector could fuel a 47% annual growth in issuance in 2012, said Standard & Poor’s.

Two equipment trust deals from Macquarie Equipment Finance and General Electric Capital Corp. will add $257.6 million and $714.6mln respectively to the ABS primary pipeline this week.

Shellpoint Partners LLC today filed a shelf registration statement with the Securities and Exchange Commission to issue private label residential mortgage-backed securities.

Texas-based loans used as collateral in seasoned RMBS have a high weighted average coupon (WAC) given its housing market's stability.

S&P said that due to overlaps in exposure, synthetic collateralized debt obligations in Europe were at a heightened risk of synchronized ratings moves.

Moody’s Investors Service said Monday that it had given a provisional rating of ‘Aaa (sf)’ to roughly $750 million in a Nissan auto securitization.

The Public Utilities Commission of Ohio approved an application by FirstEnergy to securitize approximately $555 million in previously approved deferred energy costs costs.

GuardianInvestment Banking and Real Estate today said that Hernan Magarinos joins the New York office as managing director.

The Federal Reserve's plan to buy an unlimited amount of mortgage securities until jobs rebound has helped contribute to higher trading volumes at JP Morgan Chase but the promise to keep rates low through at least mid-2015 has hurt the investment bank's margins, Chairman and Chief Executive Jamie Dimon said during a Oct.12, conference call.

Financity Corporation completed the first trade receivables securitization in the Colombian market,for Coltejer S.A., the financing company said today in a press release.

U.S. CMBS delinquencies declined for the fourth straight month according to the latest index results release today from Fitch Ratings.

The U.S. Commodity Futures Trading Commission yesterday said that certain securitization structures would be eligible for exclusion from commodity pool regulation.

Standard & Poor's is betting on the resurgence of the private label U.S. RMBS market.

World Omni Financial Corp. and Nissan Motor Acceptance Corp are both in the market with auto securitization deals sized at $683 million and $750mn respectively.

The qualified residential mortgage rule that determines which privately issued mortgages are subject to risk retention has been on the regulatory backburner for months and may even be repealed.

Securitizations of REO single family homes that have been converted to rentals could come as early as next year, Dash Robinson, managing director at Wells Fargo Securities.