Sector developments and company hires

Renovation tax credit ABS closed
Banca Finint has completed an innovative securitisation backed by tax credits originating from energy efficient renovations of building stock under the Italian Ecobonus and Bonus Casa programmes, in collaboration with Easy Transfer, the platform that deals with transfers of credit deriving from tax deductions. The operation involves as transferors over 1,300 window and door companies participating in the platform.

The Easy Bonus SPV securitisation will become the transferee of these receivables as part of a monthly purchase programme. The platform currently manages monthly volumes of credit transfers of over €15m.

The Easy Transfer platform – which is a collaboration between Law & Tax Consulting and Ambrosi Partner - allows users to manage the accreditation process, as well as the collection and verification of documents necessary to obtain the discount on invoices and the assignment of the tax credits. In addition to structuring and servicing the transaction, Banca Finint has subscribed to a portion of the senior securities issued by the SPV. Banca Valsabbina participated as underwriter of the senior securities and as collection account bank.

ESG analytics acquisition
Sustainalytics is further investing in its digital innovation and enhancing its real-time ESG data analytics capabilities through an agreement with Toronto-based Act Analytics, whereby the Act Analytics team of portfolio management, machine learning and market data experts will join Sustainalytics. Founded by Zachary Dan in 2019, Act Analytics’ algorithms and natural language processing techniques use real-time news coverage and AI to identify ESG risk and opportunity signals for clients. Dan will assume the role of director of digital innovation at Sustainalytics.

ESG fund debuts
The TCW Group has launched the MetWest ESG Securitized Fund, which it describes as a first-of-its-kind dedicated ESG securitised fund in the US. The MetWest ESG Securitized Fund seeks to maximise current income and achieve above average total return while strategically investing across structured products that include RMBS, CMBS and ABS. Concurrently, the fund will opportunistically select securities with positive ESG factors based on TCW’s proprietary research and screening.

The firm says this flexible strategy leverages a well-diversified and broad opportunity set with access to multiple sources of return in seeking to achieve its performance goals and also support environmental and/or social initiatives. TCW is bringing this fund to market shortly after appointing Olivia Albrecht as global head of ESG, responsible for leading its ESG integration across the firm’s investment platform and business strategy.

The MetWest ESG Securitized Fund management team includes: Stephen Kane, generalist portfolio manager for TCW’s fixed income group; Mitch Flack, head of agency MBS; Harrison Choi, head of securitised trading; and Elizabeth Crawford, head of securitised research.

STS notification standards submitted
ESMA has submitted to the European Commission for endorsement its final report on technical standards specifying the content and format of the STS notification for on-balance sheet securitisations. The final report on draft RTS and ITS largely reflects the original proposals included in May’s consultation paper, considering the feedback received. It aims to ensure consistency between the STS notification frameworks for traditional and synthetic securitisations.