This article examines the practicalities of performing one's own assessments across the structured finance business to address Article 122a investor due diligence and reporting requirements.

Douglas Long, evp business strategy, discusses how addressing today's investor due diligence requirements demands operational control to perform the necessary work across the credit investment business.

Read the full results of Principia's new 2011 Survey from the ASF conference, as covered in HousingWire, Total Securitization, Structured Credit Investor and a number of other trade publications.

Investor interest in ABS is back, according to a
survey conducted by Principia Partners. But in an industry known by outsiders more for its hubris
than its humility, many bondholders admit that
they are now ill-equipped to invest in securitized
products. In the post-crisis world of intensive
regulation they will have to raise their game.

This contribution to HousingWire explores the US approach to reducing investor's reliance on credit ratings in the due diligence process and considerations for alternatives to credit ratings being considered.

As part of the ECB’s newly tightened eligibility criteria for repo’ed securitisations, issuers
must provide additional loan-level data and, controversially, disclose cashflow models.
Principia Partners looks at the likely impact of the new measures and the role central banks can play in aiding investor due diligence.

Principia receives Credit magazine's Technology Innovation Award for the third consecutive year.

Over 500 structured finance market participants from 200 organizations took part in Principia's survey. The results focus on investor due diligence requirements as the market returns. What are the most important aspects of satisfying due diligence requirements? How well does the industry currently perform in these areas? What best practices can investors adopt?

The industry is connecting some of the dots between what has been done already and what still needs to be done for a sustainable investor base to return in earnest.

Housing Wire covers an opinion piece by Douglas Long examining the need for a coordinated regulatory response to restabilize securitization.

Structured Credit Investor profiles Principia in this in depth interview covering the operational challenges facing investors today.

Principia receives Credit magazine's Technology Innovation Award for the second year running in recognition of product developments in 2009.

Asset managers with a long-term commitment to structured finance investments are coming under increased pressure to respond to recent regulatory directives relating to infrastructure.

The interpretation of transparency takes on a different meaning depending on your perspective or involvement in the day to day management of structured finance operations.

Too much information, in many different formats, has made it a challenge at the portfolio management level to interpret collateral information from multiple sources in standardized ways.

Principia's EVP Sales Mark Kahn gives an exclusive 'man on the ground' account of keynote sessions and developments of the 2009 ASF Conference in Las Vegas.

"Governments, policymakers and industry working groups are understandably eager to redesign and reregulate the global financial system.

There is an opportunity to take a proactive lead from recommendations that have already been made and prepare for the market of the future."

“The barrier to entry for people who need to manage these products has changed across the board. The move to on-balance sheet management has broadened our market considerably: credit investment desks within bank treasuries, opportunistic distressed debt funds and insurance companies with investment portfolios they need to manage. Before they either relied on internal development - databases they built themselves - or their existing treasury systems. The market needs what we've been providing for years.”

Principia is one vendor that has updated its offering in an attempt to address such demands, by introducing Principia SFP V6. The offering is expected to be implemented by a range of organisations - managers within bank treasuries, off-balance sheet operations and investment funds, and especially those that have to quickly adapt themselves to the new environment.

“Principia’s operational processing platform is designed for structured finance institutions who are required to have on-demand sophisticated portfolio management and portfolio risk reporting for their structured credit investments..."

“But investors will not be given mandates to invest in this area unless they have the appropriate controls and sophisticated risk management techniques in place.“

“Effective capture and storage of data in such a way that it can be used to ensure compliance with trading limits and operational guidelines is at the heart of a CDPC’s operational requirements.“

“The only way to manage this change effectively and make the most out of new opportunities will be to have a strong and flexible operational infrastructure securely in place. “