La Trobe Financial starts marketing its first RMBS transaction of 2018

Wednesday, 21 March 2018

On 21 March, La Trobe Financial began taking indications of interest for its potential residential mortgage-backed securities (RMBS) transaction, La Trobe Financial Capital Markets Trust 2018-1 (LFCMT 2018-1). The deal has a total volume of A$496.5 million (US$382.2 million).

LFCMT 2018-1 indicative price guidance and structure:

TrancheIndicative volume (A$m) Expected ratings (S&P/Moody's) Weighted-average life (no. of years)Indicative price guidance (bp/1m BBSW)
A1S 100 AAA/Aaa 0.34 70 area
A1L 250 AAA/Aaa 2.7 120-125 area
A2 89 AAA/Aaa 2.7 160-165 area
B 20 AA/NR 3.7 200 area
C 15.5 A/NR 3.7 low 300s area
D 11 BBB/NR 3.7 low 400s area
E 6.5 BB/NR 3.7 600 area
F 4.5 B/NR 2.9 700 area

Source: Macquarie Bank 21 March 2018

Macquarie Bank is leading.