Bank of American is asking the Justices to overturn lower court rulings that mortgage loans with a secondary lien on a debtors asset can be "stripped down" to zero when the collateral is completely underwater. The decision could affect an even wider range of second liens.
Non-U.S. banks don't have to sell holdings of collateralized loan obligations that don't comply with the Volcker Rule; U.S. banks still need to divest or amend the terms of such deals, however.
Prolonged trade settlement times are a thorn in the side of the leveraged loan market; there are some recent signs of improvement, though settlement times still vary widely by agent bank.
Many would love to do more multi-currency deals, which would make it easier, and cheaper, to source collateral. But theres not much demand for sterling tranches.
The firm had originally expected issuance to be as high as $120 billion as managers rushed to complete deals before risk retention rules take effect in 2016; so far that isn't really happening.
The limited number of buyers able to write big tickets allows them players to dictate terms.
Risk-retention rules could thin the ranks of CLO managers; the industry was hoping for a workaround, but what it got is pretty much unworkable.
The U.S. market for collateralized loan obligations would shrink by 75% if proposed risk-retention rules are implemented, according to the Loan Syndication and Trading Association.
DFG Taps Goldman Vet, Barclays Bulks Up on CMBS, Ares Adds Jeffrey Kramer and the ASF Retains Mike Williams as Policy Adviser
A shift in the leveraged loan market has intensified grumbling among CLO managers about the way Standard & Poors rates the senior tranches of these deals.
Firm: 3i Debt Management
State attorneys general continue to aggressively investigate Ocwen Financial's mortgage servicing practices, but they are also mindful that too much enforcement could cripple the company and cause major headaches for millions of homeowners whose loans Ocwen services.Current Issue