NTTC funding requirement steps down but keeps it in busy territory
Northern Territory Treasury Corporation (NTTC) has revealed an estimated borrowing programme for the 2019/20 financial year of A$1.1 billion (US$771.4 million). The requirement is a step down from NTTC’s A$1.75 billion requirement in the 2018/19 financial year, reflecting a lower level of maturing debt, but remains elevated compared with historical funding requirements.
Fixed-income investor survey: neighbourhood watch
The domestic housing market has soared as a risk factor in the minds of Australian fixed-income investors according to the latest Fitch Ratings (Fitch)-KangaNews Australian Fixed Income Investor Survey. A deeper look at the data suggests investors believe risk is contained, but the survey as a whole points to expectations of a slowing economy.
Read more: Fixed-income investor survey: neighbourhood watch
Troubled deals place noninstitutional high yield under the microscope
High-profile difficulties experienced by some issuers in Australia’s high-yield bond market have brought the value and distribution of such securities into question. Institutional market participants say there is nothing fundamentally wrong with the high-yield sector but argue that troubled transactions reaffirm the need for securities to be properly valued and appropriately distributed.
Athena plans to deploy flexible funding strategy as it bids for prime business
Athena Home Loans (Athena) is planning a multitrack approach to wholesale funding as it rolls out an ambitious plan to compete with the major banks for prime home-loan business. Public residential mortgage-backed securities (RMBS) issuance is part of the strategy but Athena is also targeting funding via a mortgage fund and direct loan sales, to reach investors that do not participate in the securitisation market.
Read more: Athena plans to deploy flexible funding strategy as it bids for prime business
Samurai loans a new addition to the Australian corporate funding toolkit
According to senior executives at MUFG Bank (MUFG), appetite for Australian assets from Japanese and Asian investors has shown no sign of slowing. The range of funding markets open to corporate Australia continues to expand as a result, with the burgeoning Samurai loan market a particular focus for the bank.
Read more: Samurai loans a new addition to the Australian corporate funding toolkit