ADVFN - Advanced Financial Network.
HOME» NYSE » J » JPM Stock Price » JPM Stock News

Jp Morgan Chase Share News

 Jpmorgan Chase & Co. Stock Price
JPM Stock Price
 Jpmorgan Chase & Co. Stock Chart
JPM Stock Chart
 Jpmorgan Chase & Co. Stock News
JPM Stock News
 Jpmorgan Chase & Co. Company Information
JPM Company Information
 Jpmorgan Chase & Co. Stock Trades
JPM Stock Trades

J.P. Morgan Bows to Duration Risk in New CMBS, Investors Say

By Al Yoon J.P. Morgan Chase & Co. plans to sell about $1.3 billion in commercial mortgage-backed bonds next week that appear to be tailored to address investors' growing concerns about longer-duration securities, according to two investors familiar with the offering. In addition to limiting the size of its top 10-year fixed-rate debt class to about $430 million--smaller than in recent issues--the deal will include about $75 million of seven-year floating-rate notes. The structure acknowledges the reduced demand for 10-year debt, the largest portion of most CMBS. Buyers generally have shied away from 10-year bonds because interest rates have fallen so low that many investors believe they aren't being adequately compensated for the risk of owning such long-term securities. A J.P. Morgan spokesman declined to comment. Overall, investors have expressed concern that senior bonds in several upcoming deals could face a tough sell, Roger Lehman, head of CMBS strategy at Credit Suisse, said in a research note on Thursday. Deutsche Bank and UBS are expected to also sell large CMBS by early July. Softer demand for 10-year debt comes even as risk premiums on new CMBS have climbed this month to about 155 basis points--or 1.55 percentage points--over a benchmark, interest-rate swap rates, from about 125 basis points in May, according to Credit Suisse. Investors and rating firms have also become concerned about looser underwriting standards. Benchmark rates have plunged as global fiscal and economic worries sent investors into safer havens, such as U.S. Treasurys. "With yields so low at the top of the capital stack, there appears to be greater interest in moving down the new issue stack to the mezzanine tranches," Mr. Lehman said, summarizing sentiment from an industry conference earlier this week. J.P. Morgan's decision to offer seven-year floating-rate notes follows the introduction of that type of debt in a similar CMBS priced by Wells Fargo Securities and RBS last week. After a lengthy marketing period, Wells Fargo and RBS also reduced their top, 10-year class and increased the floating-rate class to help complete the sale, according investors briefed by the dealers. Still, that deal included nearly $600 million of 10-year debt. Write to Al Yoon at albert.yoon@dowjones.com

Stock News for Jp Morgan Chase (JPM)
DateTimeHeadline
10/31/201415:23:15A Top Pick in Brazil Oil and Gas -- Barron's
10/31/201413:51:07J.P. Morgan Found Hackers After Finding Breach of Race Website...
10/31/201411:18:06J.P. Morgan Found Hackers After Finding Breach of Race Website...
10/29/201412:51:54Deutsche Bank: Less Involved in FX Probes Than Other Banks
10/29/201407:07:19Xiaomi's $1 Billion Loan Draws 29 Banks
10/28/201418:39:29Jefferies Expected to Book up to $15 Million Loss on Toms Shoes...
10/28/201406:40:03Big Banks: Fourth-Quarter Outlook -- Barron's
10/26/201416:46:21Banks Demand That Law Firms Harden Cyberattack Defenses
10/23/201407:30:20Hong Kong Rules Out Protest Site Clearance For Now
10/23/201407:05:15Hong Kong Official Rules Out Clearing Protest Sites--for Now
10/21/201417:47:33Global X, J.P. Morgan to Launch Tactical ETFs
10/21/201417:46:49Global X, J.P. Morgan to Launch Two Tactical ETFs -- Update
10/21/201417:24:48J.P. Morgan Fined $92 Million by EU
10/21/201417:16:45NY Fed Overlooked J.P. Morgan "London Whale"
10/21/201417:16:11New York Fed Failed To Examine J.P. Morgan 'London Whale' Unit
10/21/201417:14:20JPMorgan Fined by EU Over Rate Rigging, Cartel
10/21/201417:03:28European Stock Markets Jump -- 2nd Update
10/20/201416:09:27Morgan Stanley Hires from Merrill, J.P. Morgan, UBS -- Street...
10/17/201420:26:15Big Banks Start Charging Clients for Euro Deposits -- 2nd Update
10/17/201416:14:09Big Banks Start Charging Clients for Euro Deposits -- Update

Jp Morgan Chase and other New York Stock Exchange stock quotes are delayed by at least 20 minutes.
All other stock price data is delayed by at least 15 minutes unless otherwise stated.
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Contact Us | Copyright 1999-2007 ADVFN PLC. | Privacy Policy | Investment Warning | Data accreditations | Investor Relations

ADVFNADVFN ItalyADVFN GermanyADVFN FranceADVFN BrazilADVFN JapanADVFN UKADVFN US noad