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:

Tranche	Indicative 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.