Company hires and sector developments

Australia

Mortgage House has hired Steven Mixter as head of securitisation and structured finance. He was previously head of funding at Latitude Financial Services, responsible for maintaining its securitisation funding programmes.

CDS reform proposal

An ISDA working group has been discussing proposals to amend the 2014 ISDA Credit Derivatives Definitions to address issues relating to narrowly tailored credit events (NTCEs). NTCEs are arrangements with corporations that cause a credit event leading to settlement of CDS contracts while minimising the impact on the corporation. The definition of the failure to pay credit event will be amended to add a requirement that the relevant payment failure result from or in a deterioration in creditworthiness or financial condition of the reference entity. This requirement would apply to corporate and financial reference entities but would not apply to sovereign reference entities. To provide additional clarity to apply the new test, a guidance memo will be published. The guidance memo will set out the purpose of this requirement and a non-exhaustive list of factors that should be taken into account in making a determination under the new test. ISDA is asking for responses to the proposals by Wednesday 27 March, 2019.

ILS

Hannover Re has named Silke Sehm as a member of its executive board, resulting in changes in the responsibilities for property and casualty reinsurance at the board level. Along with the areas of structured reinsurance and ILS, Sehm will take responsibility for French-speaking and Nordic markets in Europe, as well as Central and Eastern Europe and the firm’s catastrophe business.

US

Hitachi Capital America has appointed Christopher Norrito as director, structured credit and operations, reporting to Jim Giaimo, vp and chief credit officer, commercial finance. In his new role, Norrito is responsible for reviewing, underwriting and processing new asset-based lending and corporate finance transactions in the US$250,000-US$25m range. He will also assist in formulating and strengthening credit procedures and implementing additional underwriting and portfolio management policies. He previously held positions at HVB Capital Credit and as credit leader at EverBank.