WARNING: This is Version 1 of my old archive, so Photos will NOT work and many links will NOT work. But you can find articles by searching on the Titles. There is a lot of information in this archive. Use the SEARCH BAR at the top right. Prior to December 2012; I was a pro-Christian type of Conservative. I was unaware of the mass of Jewish lies in history, especially the lies regarding WW2 and Hitler. So in here you will find pro-Jewish and pro-Israel material. I was definitely WRONG about the Boeremag and Janusz Walus. They were for real.
Original Post Date: 2010-09-21 Time: 15:00:04 Posted By: News Poster
By Sure Kamhunga
Johannesburg – INVESTEC could become the first bank in Europe to conclude a deal to securitise £250m worth of prime mortgages since the financial crisis.
If successful, the deal would provide a benchmark for the success of similar transactions in a market that is slowly recovering from the crisis.
Yesterday, the head of investor relations at Investec, Ursula Nobrega, confirmed there was a “huge” appetite for the transaction, which could be concluded by the end of the month.
The planned securitisation was part of a strategic business decision by Investec to take advantage of a recovery in the mortgage markets after investor interest nose-dived during the global crisis.
Ms Nobrega said Investec was focusing on prime mortgages and not subprime mortgages. “There is a huge investor appetite and we are looking to test investor interest,” she said.
“I think this is because we have a strong team that is marketing this transaction, and also because of the Investec brand, which is strong in Europe.
“In addition, there are a lot (of) investors sitting with cash and there is confidence returning to the market, particularly now that there is more clarity on the liquidity requirements for banks and people are seeing more clarity on bank balance sheets,” she said.
Banks usually enter into securitisation deals – the bundling together of a number of loans into new bonds backed by repayments – not only to spread the risk but also to raise cheap funding.
In Investec’s case, Ms Nobrega said the lender wanted to benefit from being the first to take advantage of the recovering European mortgage and financial market. It intended to do this through its subsidiary Kensington, a mortgage business acquired about three years ago.
Investec CEO Stephen Koseff said last week the bank had no urgent need to raise capital as it was sitting on a cash pile of more than £10bn.
The cash was useful to fortify the balance sheet in the face of tighter capital requirements, and would give the bank flexibility to lend when demand for credit returned, he said.
The securitisation market collapsed as a result of the crisis, which was primarily blamed on sub- prime transactions in the US, where customers with poor credit ratings were given mortgage loans which they eventually failed to repay. In a signal that the market was still nervous, a recent attempted subprime securitisation in the UK worth close to £1bn by Bank of America Merrill Lynch had collapsed due to lack of demand at an acceptable price, the Financial Times reported yesterday.
An analyst said the Investec deal could pave the way for investors still hesitating despite signs of a recovery in financial markets.
Cadiz Asset Management analyst Rob Nagel said it was “great news” that a South African bank was attempting to close the deal. “I believe there could be one or two more (securitisation deals) which are much bigger ones coming and it means that the market is beginning to open again.”
Original Source: 
Original date published: 21 September 2010
Source: http://allafrica.com/stories/201009210651.html?viewall=1