CUA's RMBS prices in line with expectations
Pricing on Credit Union Australia (CUA)'s Harvey Trust Series 2009-1 (Harvey 2009-1) residential mortgage backed security (RMBS) transaction has been set at the levels anticipated by investors – 100 basis points and 140 basis points above BBSW for the two top-rated tranches respectively.
Smaller short-dated tranche on BEN RMBS
Third party investors may play a smaller role in the latest residential mortgage backed security (RMBS) transaction to receive a cornerstone bid from the Australian Office of Financial Management (AOFM), although the overall size of the deal is greater than the most recent previous transaction and the underlying mortgage pool is a particularly stable one.
Aussie banks shrug off Moody's outlook revision
The three major Australian banks that had their outlooks revised to negative by Moody's Investors Service (Moody's) at the start of the week have seen little immediate impact on either the secondary market for their bonds – including those not covered by the government guarantee – or, funding managers insist, on investor sentiment.