JP Morgan Chase and UOB Asset Management close $1.7 billion synthetic CDO

The latest offer is referenced on a portfolio of 145 credit default swaps worth a notional amount of $1.7 billion. As part of the transaction, special purpose vehicle United Global Investment Grade CDO II is issuing two tranches of credit-linked notes rated by Moody’s Investors Service. There is also a funded unrated equity tranche and two unfunded Aaa and super-senior tranches.

The unfunded Aaa and super-senior tranches make up 93% of the transaction. JP Morgan Chase declined to give the breakdown of the unfunded tranches. The funded tranches comprise $34 million of Aa2-rated credit-linked notes, $34 million of Baa2-rated credit-linked notes and $51 million of unrated equity.

The portfolio is 10% of Asian names, with the rest split nearly equally between the US and Europe. Credits in the portfolio are all investment grade and their average rating is Baa1.

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here