The Federal Deposit Insurance Corp. may force underwriters and raters of asset-backed securities created by banks to be compensated based on the bonds’ performance, an agency official said.
Such a requirement may be part of new rules for bank securitizations that the FDIC staff proposes at an agency board meeting next month, Michael Krimminger, special adviser for policy to FDIC Chairman Sheila Bair, said today in a telephone interview.
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Aladdin Capital, a U.S.-headquartered boutique investment bank, has bought the structured credit business of European specialist credit management firm Solent Capital, the bank said on Tuesday.
The acquisition includes nine synthetic collateralised debt obligations (CDO) managed by Solent Capital, which was one of the largest synthetic CDO credit businesses in Europe
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Australia’s securities regulator is in the process of designing a range of disclosure and transparency rules to inject confidence into the domestic securitization market and ensure regulatory oversight moves in step with global peers, an official said Wednesday.
The measures are part of a concerted global push to restore faith in securitization markets and reduce the kind of exposures which brought the global financial system to a shuddering halt in 2007 as investors fled structured products.
Read the whole story @ WSJ
Italian online fashion retailer Yoox, which is backed by European venture firm 360° Capital Partners and UK private equity firm Balderton Capital, has begun an IPO that could value it up to €225m, according to reports.
Read the whole story @ AltAssets
A Georgia hedge fund fraudster will spend five years in prison for ripping off investors to the tune of more than $2 million.
Gary Hutcheson had faced up to 40 years in prison even after cutting a plea deal with prosecutors. His accomplice, Saundra McKinney Pyles, was sentenced to seven months in prison and seven months home confinement as part of the agreement. The two have been ordered to pay more than $1.6 million in restitution.
Read the whole story @ FINalternatives