Deutsche Bank Told to Add Securitized-Debt Collateral
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Deutsche Bank AG needs to find extra collateral to remain a counterparty for top-rated asset-backed debt that’s tied to anything from mortgages to car loans, according to Fitch Ratings.
The bank’s credit rating, which Fitch downgraded last week, is no longer sufficient for AAA structured notes and Deutsche Bank needs to put up additional collateral for some notes within 14 days, according to a statement on Tuesday. The lender has already decided to do so in one transaction backed by Dutch mortgages, according to a separate statement.