Please Note
We brought you to this page based on your search query. If this isn't what you are looking for, you can continue to Search Results for ""
The maximum number of items you can export is 3,000. Please reduce your list by using the filtering tool to the left.
Close
Close
Email Research
Recipient email addresses will not be used in mailing lists or redistributed.
Recipient's
Email

Use semicolon to separate each address, limit to 20 addresses.
Enter the
characters you see
Close
Email Research
Thank you for your interest in sharing Moody's Research. You have reached the daily limit of Research email sharings.
Close
Thank you!
You have successfully sent the research.
Please note: some research requires a paid subscription in order to access.
Already a customer?
LOG IN
Don't want to see this again?
REGISTER
OR
Accept our Terms of Use to continue to Moodys.com:

PLEASE READ AND SCROLL DOWN!

By clicking “I AGREE” [at the end of this document], you indicate that you understand and intend these terms and conditions to be the legal equivalent of a signed, written contract and equally binding, and that you accept such terms and conditions as a condition of viewing any and all Moody’s inform​ation that becomes accessible to you [after clicking “I AGREE”] (the “Information”).   References herein to “Moody’s” include Moody’s Corporation, Inc. and each of its subsidiaries and affiliates.

Terms of One-Time Website Use

1.            Unless you have entered into an express written contract with Moody’s to the contrary, you agree that you have no right to use the Information in a commercial or public setting and no right to copy it, save it, print it, sell it, or publish or distribute any portion of it in any form.               

2.            You acknowledge and agree that Moody’s credit ratings: (i) are current opinions of the future relative creditworthiness of securities and address no other risk; and (ii) are not statements of current or historical fact or recommendations to purchase, hold or sell particular securities.  Moody’s credit ratings and publications are not intended for retail investors, and it would be reckless and inappropriate for retail investors to use Moody’s credit ratings and publications when making an investment decision.  No warranty, express or implied, as the accuracy, timeliness, completeness, merchantability or fitness for any particular purpose of any Moody’s credit rating is given or made by Moody’s in any form whatsoever.          

3.            To the extent permitted by law, Moody’s and its directors, officers, employees, representatives, licensors and suppliers disclaim liability for: (i) any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with use of the Information; and (ii) any direct or compensatory damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud or any other type of liability that by law cannot be excluded) on the part of Moody’s or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with use of the Information.

4.            You agree to read [and be bound by] the more detailed disclosures regarding Moody’s ratings and the limitations of Moody’s liability included in the Information.     

5.            You agree that any disputes relating to this agreement or your use of the Information, whether sounding in contract, tort, statute or otherwise, shall be governed by the laws of the State of New York and shall be subject to the exclusive jurisdiction of the courts of the State of New York located in the City and County of New York, Borough of Manhattan.​​​

I AGREE
Related Issuers
Related Research
Announcement:

Moody's: EMEA Prime RMBS Stabilising in Most Countries, Except Ireland

16 Jul 2010

EMEA RMBS Prime Indices - May 2010

Frankfurt, July 16, 2010 -- EMEA Prime Residential Mortgage Backed Securities (RMBS) have recently stabilised in most countries with the exception of Ireland but uncertainties persist, says Moody's Investors Service in a new Special Report. The Dutch RMBS market has continued to demonstrate a stable performance, whereas mixed signs come from UK Prime RMBS, Italian Prime RMBS, Spanish Prime RMBS and Portuguese RMBS. Additionally, Moody's reports a slightly negative performance in the RMBS markets of Russia, the CIS and South Africa, and a negative performance for Irish Prime RMBS.

DUTCH PRIME RMBS

The Dutch RMBS market has demonstrated a stable performance, with Moody's 60+ days delinquency trend remaining broadly in the same range as in the pre-2008 period. Cumulative defaults continued to increase at a very low rate, with losses remaining negligible. According to Moody's, the economic conditions in the Netherlands are sufficiently strong to expect the recently observed stability to continue.

UK PRIME RMBS

Moody's reports a stable trend for the 90+ days delinquency index for UK Prime RMBS as well as for repossessions. The sector has been affected by rising unemployment and the weaker UK housing market, but low interest rates have provided support for strained borrowers. The total redemption rates (TRR) year-on-year rate have fallen further, implying that UK trusts have insufficient principal to redeem bonds at the expected maturity. Indeed, some originators had to make cash injections to meet principal repayments.

ITALIAN PRIME RMBS

The Italian RMBS market has continued to report a largely stable performance, although defaults have recently been increasing. Overall, Italian 90+ delinquency rates have decreased, but this improvement needs to be considered with caution as the development is partially due to the inclusion of more recent transactions in the index.

SPAIN PRIME

Moody's says that the performance of the Spanish RMBS market has continued to stabilise. Moody's cumulative defaults trend as well as the annualised constant prepayment rate (CPR) both remained stable, whereas the 90-days plus delinquency trend decreased.

PORTUGUESE RMBS

On 22 June 2010, Moody's placed on review for possible downgrade the Aaa and Aa ratings of 23 Portuguese RMBS transactions further to the rating agency's decision to place Portugal's government bond ratings and Portuguese banks' senior unsecured debt on review for possible downgrade. Moody's will conclude the review for the 23 transactions in the coming months, taking into account the reviewed ratings for banks (not yet concluded at this point) and for government bonds (which were downgraded to A1 from Aa2 on 13 July). The ratings of three RMBS transactions are on review for possible downgrade given the worse-than-expected performance.

While the economic environment in Portugal has deteriorated, the RMBS market delivered a mixed performance in April 2010: Moody's 60+ days delinquency trend index fell to 1.5% in April 2010 from 2.2% in April 2009, while the outstanding defaults trend increased slightly to 1.7% in April.

RUSSIA & CIS RMBS

The arrears levels of RMBS transactions in most Russian and Commonwealth of Independent States (CIS) have remained relatively stable in the 12 months up to May 2010. In most other CIS RMBS deals, outstanding defaults have levelled off over the past six months and loss rates remain negligible. However, Moody's cautions that an accurate assessment of performance is hampered by the differences in delinquency and default definitions, as well as the practice of originators repurchasing defaulted loans. Any comparison of transactions should therefore be made carefully.

The rating agency observes that the Russian economy is recovering, but notes that there are downside risks. Strong energy exports drove growth in early 2010, with government spending also contributing to the expansion. However, the strength of the rouble risks derailing the recovery in exports.

SOUTH AFRICA RMBS

The performance of the South African RMBS markets continued to deteriorate in Q1 2010. Moody's 90+ days delinquency trend index increased to 2.39% of the balance recorded in March 2010 from 1.01% in March 2009. The weighted-average cumulative loss trend for RMBS increased to 0.29% of original balance, mainly from issuers under the Blue Granite Investments and Homes programmes. Moody's expects further negative pressure during the remainder of 2010 as high debt-to-income ratios continue to weigh on borrowers' ability to pay -- despite the 50bp cut in interest rates to 6.5% by the South African Reserve Bank (SARB) in March 2010 (from a peak of 12.0% in 2008).

Moody's expects GDP growth to reach 3.2% in 2010 and 3.6% in 2011, after a contraction of 1.8% in 2009. South Africa's inflation has been falling over the past year, and Moody's believes that the current rate of 4.6% sits comfortably within the SARB's target range of 3-6%.

IRISH PRIME RMBS

In contrast to other EMEA RMBS markets, Irish RMBS delinquencies have been recording a steady increase since the start of the recession, without showing any signs of abating so far. However, repossessions among Irish RMBS pools remain limited because Irish lenders are encouraged to assist cash-strapped borrowers in order to avoid repossession. Furthermore, the Code of Conduct on Mortgage Arrears imposes a one-year moratorium on repossession-related legal proceedings. Loans that have been delinquent for more than 360 days -- a measure that is used as a proxy for defaults -- accounted for 0.9% of the outstanding portfolios in March, up from 0.4% a year earlier.

Although the recently published GDP increase of 2.5% quarter-on-quarter in Q1 2010 officially ended the recession, there is consensus that sustainable growth will not return until late 2011. Unemployment rose over the past two years from 6.2% to reach 13.1% currently. Irish house prices are more than 33.1% below the peak value recorded in late 2006.

EUROPEAN ECONOMY

In most markets covered in this report, the unemployment rate has been increasing and is expected to continue to rise during 2010. Eurozone unemployment stood at 10.0% in May 2010, up from 9.4% a year earlier. Most of the euro area is undergoing a sluggish economic recovery. As many countries step up their efforts for fiscal consolidation, household disposable incomes will become compressed due to higher taxes and lower benefits. This will have a dampening impact on short-term cyclical conditions. Only in a few markets, such as the Netherlands, are the conditions sufficiently strong to expect the recently observed stability to continue.

The total outstanding pool balance of the EMEA RMBS market rated by Moody's Investors Services stands at EUR946.10 million as of July 2010, and has been on a flat trend since the end of 2009. Markets like Portugal and Spain, amongst others, experienced slight contractions, whereas to Russia and the CIS as well as Italy reported increases in comparison to the total outstanding pool balance the year before.

The new report entitled, Moody's: EMEA Prime RMBS Stabilising in Most Countries, Except Ireland, is now available on www.moodsy.com.

http://v3.moodys.com/viewresearchdoc.aspx?docid=PBS_SF211065

Frankfurt
Marie-Jeanne Kerschkamp
MD - EMEA Structured Fin
Structured Finance Group
Moody's Deutschland GmbH
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454

Frankfurt
Giuseppe Zuccala
Senior Associate
Structured Finance Group
Moody's Deutschland GmbH
JOURNALISTS: 44 20 7772 5456
SUBSCRIBERS: 44 20 7772 5454

Moody's: EMEA Prime RMBS Stabilising in Most Countries, Except Ireland
No Related Data.
© 2018 Moody’s Corporation, Moody’s Investors Service, Inc., Moody’s Analytics, Inc. and/or their licensors and affiliates (collectively, “MOODY’S”). All rights reserved.

CREDIT RATINGS ISSUED BY MOODY'S INVESTORS SERVICE, INC. AND ITS RATINGS AFFILIATES (“MIS”) ARE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND MOODY’S PUBLICATIONS MAY INCLUDE MOODY’S CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES. MOODY’S DEFINES CREDIT RISK AS THE RISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL, FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT. CREDIT RATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CREDIT RATINGS AND MOODY’S OPINIONS INCLUDED IN MOODY’S PUBLICATIONS ARE NOT STATEMENTS OF CURRENT OR HISTORICAL FACT. MOODY’S PUBLICATIONS MAY ALSO INCLUDE QUANTITATIVE MODEL-BASED ESTIMATES OF CREDIT RISK AND RELATED OPINIONS OR COMMENTARY PUBLISHED BY MOODY’S ANALYTICS, INC. CREDIT RATINGS AND MOODY’S PUBLICATIONS DO NOT CONSTITUTE OR PROVIDE INVESTMENT OR FINANCIAL ADVICE, AND CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PURCHASE, SELL, OR HOLD PARTICULAR SECURITIES. NEITHER CREDIT RATINGS NOR MOODY’S PUBLICATIONS COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PARTICULAR INVESTOR. MOODY’S ISSUES ITS CREDIT RATINGS AND PUBLISHES MOODY’S PUBLICATIONS WITH THE EXPECTATION AND UNDERSTANDING THAT EACH INVESTOR WILL, WITH DUE CARE, MAKE ITS OWN STUDY AND EVALUATION OF EACH SECURITY THAT IS UNDER CONSIDERATION FOR PURCHASE, HOLDING, OR SALE.

MOODY’S CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY’S CREDIT RATINGS OR MOODY’S PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER.

ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY’S PRIOR WRITTEN CONSENT.

CREDIT RATINGS AND MOODY’S PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT COULD RESULT IN THEM BEING CONSIDERED A BENCHMARK.

All information contained herein is obtained by MOODY’S from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, all information contained herein is provided “AS IS” without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY’S is not an auditor and cannot in every instance independently verify or validate information received in the rating process or in preparing the Moody’s publications.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability to any person or entity for any indirect, special, consequential, or incidental losses or damages whatsoever arising from or in connection with the information contained herein or the use of or inability to use any such information, even if MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers is advised in advance of the possibility of such losses or damages, including but not limited to: (a) any loss of present or prospective profits or (b) any loss or damage arising where the relevant financial instrument is not the subject of a particular credit rating assigned by MOODY’S.

To the extent permitted by law, MOODY’S and its directors, officers, employees, agents, representatives, licensors and suppliers disclaim liability for any direct or compensatory losses or damages caused to any person or entity, including but not limited to by any negligence (but excluding fraud, willful misconduct or any other type of liability that, for the avoidance of doubt, by law cannot be excluded) on the part of, or any contingency within or beyond the control of, MOODY’S or any of its directors, officers, employees, agents, representatives, licensors or suppliers, arising from or in connection with the information contained herein or the use of or inability to use any such information.

NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY SUCH RATING OR OTHER OPINION OR INFORMATION IS GIVEN OR MADE BY MOODY’S IN ANY FORM OR MANNER WHATSOEVER.

Moody’s Investors Service, Inc., a wholly-owned credit rating agency subsidiary of Moody’s Corporation (“MCO”), hereby discloses that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by Moody’s Investors Service, Inc. have, prior to assignment of any rating, agreed to pay to Moody’s Investors Service, Inc. for appraisal and rating services rendered by it fees ranging from $1,500 to approximately $2,500,000. MCO and MIS also maintain policies and procedures to address the independence of MIS’s ratings and rating processes. Information regarding certain affiliations that may exist between directors of MCO and rated entities, and between entities who hold ratings from MIS and have also publicly reported to the SEC an ownership interest in MCO of more than 5%, is posted annually at www.moodys.com under the heading “Investor Relations — Corporate Governance — Director and Shareholder Affiliation Policy.”

Additional terms for Australia only: Any publication into Australia of this document is pursuant to the Australian Financial Services License of MOODY’S affiliate, Moody’s Investors Service Pty Limited ABN 61 003 399 657AFSL 336969 and/or Moody’s Analytics Australia Pty Ltd ABN 94 105 136 972 AFSL 383569 (as applicable). This document is intended to be provided only to “wholesale clients” within the meaning of section 761G of the Corporations Act 2001. By continuing to access this document from within Australia, you represent to MOODY’S that you are, or are accessing the document as a representative of, a “wholesale client” and that neither you nor the entity you represent will directly or indirectly disseminate this document or its contents to “retail clients” within the meaning of section 761G of the Corporations Act 2001. MOODY’S credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securities of the issuer or any form of security that is available to retail investors. It would be reckless and inappropriate for retail investors to use MOODY’S credit ratings or publications when making an investment decision. If in doubt you should contact your financial or other professional adviser.

Additional terms for Japan only: Moody's Japan K.K. (“MJKK”) is a wholly-owned credit rating agency subsidiary of Moody's Group Japan G.K., which is wholly-owned by Moody’s Overseas Holdings Inc., a wholly-owned subsidiary of MCO. Moody’s SF Japan K.K. (“MSFJ”) is a wholly-owned credit rating agency subsidiary of MJKK. MSFJ is not a Nationally Recognized Statistical Rating Organization (“NRSRO”). Therefore, credit ratings assigned by MSFJ are Non-NRSRO Credit Ratings. Non-NRSRO Credit Ratings are assigned by an entity that is not a NRSRO and, consequently, the rated obligation will not qualify for certain types of treatment under U.S. laws. MJKK and MSFJ are credit rating agencies registered with the Japan Financial Services Agency and their registration numbers are FSA Commissioner (Ratings) No. 2 and 3 respectively.

MJKK or MSFJ (as applicable) hereby disclose that most issuers of debt securities (including corporate and municipal bonds, debentures, notes and commercial paper) and preferred stock rated by MJKK or MSFJ (as applicable) have, prior to assignment of any rating, agreed to pay to MJKK or MSFJ (as applicable) for appraisal and rating services rendered by it fees ranging from JPY200,000 to approximately JPY350,000,000.

MJKK and MSFJ also maintain policies and procedures to address Japanese regulatory requirements.