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Vice Chairman and CIO Neal Neilinger said he made the cutsto the company’s collateralized debt and loan obligation desk,trimming global headcount to about 75 staffers obama washington wizards . “We are going back to good old-fashioned investing,”Neilinger said in an interview wizards basketball . Neilinger, who joined the firm in October from Calyon, thecorporate and investment banking arm of the Credit Agricolegroup, said the moves are part of a restructuring plan to buildits advisory and investment banking businesses wizard basketball ticket Wizards Verizon Center tickets . He does notanticipate significant origination of CDOs or CLOs in the next18 months washingtonwizards . Global issuance of CDOs plunged to $60.9 billion in 2008,versus $442.5 billion in 2007 and a record $478.8 billion in2006, according to Thomson Reuters data. That drop in business has spurred massive job cuts andrestructuring across the financial industry impacting WallStreet, rating firms and asset managers.
Corporate bonds in the United States and Western Europeoffer good value, Neilinger said, after corporate bond spreadsrecently hit record wide levels wizards washington schedule . High-grade corporate bond spreads have rallied over thepast month, narrowing to 560 basis points through Wednesday,from a record 656 basis points in December, according toMerrill Lynch & Co data etan thomas . Sales of investment-grade bonds slid almost 35 percent to$645 billion in 2008, from $986.8 billion in 2007, according toThomson Reuters data wizards michael . After a four-month freeze on new issuance following thefirst half of 2008, the primary market has reopened on the backof an FDIC plan to guarantee the new debt wizards watch Wizards Verizon Center tickets – nba . Companies sold $44 billion of debt in November, $16 billionof which was backed by the FDIC. In December, the number roseto $86 billion, of which $63 billion was backed by the FDIC.
In 2009, companies have sold $52 billion of debt, $9billion of which was backed by the FDIC . “I see tons of value in investment-grade corporate bonds,certain sectors of the levered loan market, agency and mortgageproducts,” he said He said he sees less value in U Wizards Verizon Center tickets – washingtonwizards .S Treasuries wizard basketball tickets . “The name of the game in the last year was Treasuries,”Neilinger said “Now you have to watch that market wizards season tickets . It has thecharacteristics of a bubble all over it.” Benchmark 10-year note yields, which move inversely toprices, are trading not far above December’s five-decade low of2.04 percent and could fall back to that area if stress in thefinancial system should rise and signs of economic distressintensify, analysts have said .
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