Australasian markets on hold as global concerns grow
For the third consecutive week, issuance markets in Australia and New Zealand were quiet as European sovereign debt concerns intensified and risk aversion took hold among global investors. However, there continue to be signs that – notwithstanding the explosive international volatility – confidence in domestic assets remains reasonably robust.
Resimac back in RMBS market with long-planned low-doc deal
A low-doc predominant residential mortgage-backed securities (RMBS) deal was launched by Resimac on May 5, with the issuer saying it has been exploring a trade for the past year. Premier Series 2010-1 Triomphe Trust (Premier 2010-1) is the first new mainly low-doc offering in almost two years, with 69.9 per cent of the loans in the pool being low-doc and the balance full documentation.Market development needed to fire up New Zealand's new local authority index
ANZ and the New Zealand Exchange (NZX) hope the new Local Authority Bond (LAB) Index launched on April 29 will become a benchmark for fixed interest investments in the local authority debt market. While investors say the index could be a useful information tool, the current setup of the market – with deal sizes often too small for inclusion in the index – means its adoption is likely to be a work in progress.Telstra follows investor update with seven-year Kauri launch
Having updated investors in New Zealand and offshore on April 30, Telstra (A/A2/A) launched a Kauri deal on May 3 with the material details of the transaction in line with expectations. The issuer is seeking a minimum of NZ$100 million (US$72.8 million) with room to upsize to a maximum volume of NZ$250 million in a deal which is expected to price on May 6.Aussie investors looking at local corporates on- and offshore
A denuded issuance week to April 30 was marked more by what did not happen in the Australian market than what did. With minimal domestic deal flow – by April 30 the week looked set to become the slowest for issuance in Australia so far in 2010 – investor attention was focused on three local corporates closing in on offshore transactions.