Rated AAA/AA+ by Fitch Ratings and Standard & Poors respectively, the $387 million Class A notes issued by MHEAC Series 2014-1 priced at a spread of 68 basis points over one-month Libor
Standard & Poors said in a report today that it has declined assigning ratings to auto-loan securitizations from newer subprime issuers coming to market, which may not have the same level of experience or infrastructure as more established lenders.
Ford Motor Credit plans to issue a $1.5 billion securitization of closed-end leases on various Ford brand new vehicles.
Consisting of four tranches, the deal is for a total $1.18 billion. The underlying pool is made up of both fixed-rate unsecured, and auto-secured, loans.
United Auto Credit Corporation plans to issue $175.6 million in securities backed by subprime auto loans.
Regulation AB governs registration, reporting and disclosure requirements for all things asset-backed. The Securities and Exchange Commission appears to be ready to update it significantly, but, nearly four years after changes were originally proposed, its not clear exactly what the Commission will do.
The swelling trillion-dollar student loan market is missing key data and regulations necessary to head off another financial crisis, according to Rohit Chopra, the Consumer Financial Protection Bureaus top official in charge of dealing with student loans.
The proposal would introduce dissemination of trade prices for securities ranging from highly liquid credit card and auto ABS to smaller and more esoteric deals in asset classes such as time shares, to commercial mortgage-backed securities (CMBS) and highly structured CDOs and collateralized loan obligations.
Overall issuance growth will moderate in 2014, Fitch Ratings' managing director for asset backed securities says in the firm's outlook.
Direct exposure to either J.C. Penney or Sears is typically highest in seasoned deals where there are only a small number of loans remaining, and one is secured by a retail property.
Vice President of Regulatory Compliance
Firm: Clayton Holdings
In the news: How Ability-to-Repay Rules Could Reshape RMBS Market
Securitization of very large commercial mortgages is picking up again, and so is the leverage in some of these deals.Current Issue