Fitch Cites 1st-of-its-Kind Mexican CDO

A first-of-its-kind, mortgage-related, Mexican collateralized debt obligation is being launched, according to Fitch Ratings.The deal, which is being issued in the local markets of Mexico, is a repackaging of the senior tranches of five Mexican residential mortgage-backed securities transactions, Fitch said. Sam Fox, a senior director at Fitch, told listeners during a March 1 teleconference that the groundbreaking CDO is expected to be somewhat effective in improving liquidity in the secondary market for Mexican MBS and broadening the investor base in that market.