Fitch has also assigned the following rating effective as of today:
The issuances are ultimately backed by a pool of residential mortgages originated by
KEY RATING DRIVERS
OPIC Guaranty: The timely payment of interest and ultimate payment of principal of the class A-1 certificates are guaranteed by OPIC, a U.S. agency backed by the full faith and credit of the U.S. (rated 'AAA' with a Stable Outlook by Fitch); this allows the certificates to reach 'AAAsf'.
Credit Enhancement: The series A notes benefit from 9% credit enhancement (CE) in the form of subordinated notes, an interest reserve account equivalent to 1% of the balance of the series A notes, and excess spread.
Sequential Pay Structure: The series A notes benefit from a sequential pay structure, where the target CE level is senior to interest payments and to the target principal payments on the series B notes.
Low Historical Loss Levels: Historical vintage data on
Subsidy Expiration and Floating-Rate Mortgages: Approximately 73.5% of the mortgage pool benefits from
Sovereign Macroeconomic Performance:
The ratings assigned to the series A notes and class A-2 certificates are sensitive to changes in the credit quality of
The rating assigned to the class A-1 certificates is sensitive to changes in the credit quality of the U.S. sovereign, as OPIC is an agency of the U.S.
For more details on the transactions, see Fitch's new issue report 'La Hipotecaria Panamanian Mortgage Trust 2014-1' and related representations and warranties appendix available shortly on Fitch's website.
Additional information is available at 'www.fitchratings.com'.
--'Rating Criteria for RMBS in
--'Global Structured Finance Rating Criteria' (
--'Counterparty Criteria for Structured Finance and Covered Bonds' (
--'Criteria for Rating Securitizations in Emerging Markets' (
Criteria for Rating Securitizations in Emerging Markets
Counterparty Criteria for Structured Finance and Covered Bonds
Global Structured Finance Rating Criteria
Rating Criteria for RMBS in
Source: Fitch Ratings
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