Securities dealers are asking investors to bid for collateralized debt obligations with a total face value of nearly $355 million this week, according to one New York dealer.
Already this month, dealers have sought bids on CDO debt with a face value of around $490 million, including debt backed by repayments on corporate loans, and debt backed by repayments on other asset-backed securities, the dealer said.
This week's bid lists include a list of 12 tranches of collateralized loan obligation debt with a total face value of $119.5 million, which is due to trade Wednesday, and a list of nine tranches of CDOs of asset-backed securities debt with a face value of $187.24 million.
Some CLO sellers have been taking profits this month after buying the debt at the bottom of the market earlier this year.
A smaller list of CDO debt backed by commercial real estate assets with a face value of $47.45 million was due to trade Tuesday.
The six items on this list could trade at a low percentage of their face value, the dealer said. Price talk on the different bonds varies from the mid-single digits to the low 30s.