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’Issuers object (again) to proposed RegAB changes
The SEC’s proposed overhaul of RegAB is intended to bring added transparency to securitisations, but right now one of the proposals is just bringing confusion.
Or so market players would have you believe,
Back to the future, with US covered bonds
You’d think America was welcoming a new European immigrant to its debt markets from the way the House passed the United States Covered Bonds Act 2010 last week.
Here’s the abstract of a timely new NBER paper from University of North Carolina economic history professor Kenneth Snowden (emphasis ours):
Citi’s super senior subprime SEC slip
One of these is a draft version of a third-quarter pre-earnings announcement Citigroup considered making in the credit-crunched October of 2007, in reference to its subprime exposure. The other is what actually went out.
Macro-prudence, macro-unintended consequences
With a tip of the hat to Simon Johnson, here’s a Harvard paper with a curious take on two hot topics of the financial future: macro-prudence and shadow banks.
Getting the first wrong might create (more) perverse incentives in the second.
ECB haircuts are trimmed, ABStylish
On Wednesday the European Central Bank whipped out its scissors to trim a little more off the top of eurozone banks’ repo collateral, as well as restyle certain market segments.
The ECB released its long-trailed revisions to the discounts financials have to take on the assets they provide the central bank in return for its liquidity.
Phantom European securitisation del día
Is Bloomberg trying to tell us something about the ICO’s new €23bn CLO?
July 26 (Bloomberg) — Instituto de Credito Oficial, a Spanish government agency that lends to businesses, plans to issue 14.8 billion euros ($19.22 billion) of bonds backed by company loans .
HMT’s very own synthetic CDO
It exists.
And it’s detailed in the first ever annual report from the UK’s Asset Protection Agency (APA).
It covers the period from December 2009 to the end of March 2010, and features some great bits of detail on the UK government’s Asset Protection Scheme (APS),
Sigma-tised – death of a SIV
The saga of Sigma Finance — God’s gift to structured finance writers, with its shadow banking connotations, Gordian Knot connection and ‘event’ associations — is lurching to its end.
On Monday, liquidators of the erstwhile $27bn SIV issued their final statement.
Quantifying the ECB overdraft
Barclays Capital have done something clever.
They’ve used banks’ retained covered bonds and asset-backed securities — that is, loans that have been converted into ABS or covered bonds, but kept on the banks’ balance sheets — as a gauge for which financials could be using central bank funding facilities the most.
Eternal sunshine of the securitisation mind
It’s conference time!
The 2010 Global ABS meet is currently taking place at the Hilton Metropole, just across from the Marks & Spencer on Edgware Road in London. This is rather a fall from grace,
Ambaaaac! Trouble in mezzanine tranches of CDOs, that is
Here’s a structured finance blast from the past; some trouble in mezzanine tranches of ABS CDOs.
Last week the ailing (in fact, almost dead) bond insurer Ambac announced it would commute its remaining $16.4bn of of exposure to Collateralised Debt Obligations of Asset-Backed Securities.
Phantom securities at the BoE
The Bank of England, it turns out, is looking to change the type of collateral it accepts at its discount window facility (DWF), according to a consultative paper published on Wednesday.
The main proposal
Moody’s does δομημένη χρηματοδότηση
Bad news for Greece.
Moody’s, the only rating agency that still has Greece at the A level, has just placed almost every single triple-A rated Greek structured finance and covered bond deal on review for a downgrade.
Europe’s ABS currency-swap exposure
Back in January, a US court rather controversially decided that claims of a Lehman Brothers special purpose vehicle — to which the bank was a counterparty — should not be subordinated to other creditors.
Europe’s auto-ABS revival
We’re not talking about automatic breaking systems either.
Last week it emerged Ford and BMW would be breathing life back into the European market for asset-backed securities by issuing more than €1bn of debt backed by automobile loans and leases.
Let them eat equity tranches – for real
Lo and behold — the draft Financial Stability Improvement Act worked out between the US Treasury and the House Financial Services Committee.
Of particular interest for structured finance watchers is this bit:
How the Basel II capital cliff begets resecuritisation
Basel II banking regulations are sooooo boring.
But Basel II’s effects on securitisation are fascinating, right?
Let’s begin.
Rating agency Fitch is guiding us through the Basel II regulations,
Just a little more off the top, Talf-man
So says, perhaps, the Federal Reserve with regards to the Talf programme’s haircuts.
Asset-Backed Alert reports:
The Federal Reserve is thinking about increasing the down payments it requires from investors that buy certain types of bonds with financing from its Term Asset-Backed Securities Loan Facility.
No green shoots in structured finance
That’s according to ratings agency Fitch, who have just revised their outlook for European structured finance – ABS, CMBS, CDOs and the like.
Here’s the press release:
Fitch Ratings-London-15 July 2009:
ECB move aims to revive market for asset backed securities
The European Central Bank is pushing for an increase in the amount of information that has to be disclosed about asset-backed securities as part of efforts to revive a market that has collapsed since the start of the credit crisis in August 2007,