Morningstar Credit Ratings Assigns Preliminary Rating for LSTAR Securities Investment Ltd. 2015-7 (LSTAR 2015-7)

Jul 17, 2015, 13:49 ET from Morningstar, Inc.

NEW YORK, July 17, 2015 /PRNewswire/ -- Morningstar Credit Ratings, LLC today assigned a preliminary rating to one class of residential notes from LSTAR Securities Investment Ltd. 2015-7 (LSTAR 2015-7), a resecuritization of previously issued residential mortgage-backed securities (RMBS). The preliminary rating is based on information known to Morningstar as of July 17, 2015.

Preliminary Ratings (as of July 17, 2015)


Class

Balance/Notional Amount ($)

Morningstar Preliminary Rating

Class A

286,000,000

A

Class B

361,743,432

NR




NR – Not Rated

The collateral backing the LSTAR 2015-7 notes consists of previously issued RMBS backed by seasoned Alt-A, prime, and subprime residential mortgages. The rating of Class A reflects the credit enhancement provided by Class B and the quality of the underlying assets. Morningstar did not rate the Class B notes. The principal balance of the Class B notes represents the amount of overcollateralization with respect to Class A. The initial principal balance of the Class B notes is approximately 55.85 percent of the aggregate principal balance of the underlying securities, as of their distribution dates in June 2015.

Morningstar's Preliminary Analysis Package, including the Ratings Bulletin, Rule 17g-7 Disclosures and Certification, and the Representations, Warranties, and Enforcement Mechanisms, is available under the RMBS tab in the Ratings Reports section at https://ratingagency.morningstar.com. Morningstar could receive subsequent information that may result in final ratings that differ from the preliminary ratings.

About Morningstar Credit Ratings, LLC and Morningstar, Inc.
Morningstar Credit Ratings, LLC is a Nationally Recognized Statistical Rating Organization (NRSRO) that specializes in structured credit research and ratings and offers a wide array of services including new-issue ratings and analysis, operational risk assessments, surveillance services, data, and technology solutions.

Morningstar Credit Ratings, LLC is a subsidiary of Morningstar, Inc. (NASDAQ: MORN), a leading provider of independent investment research in North America, Europe, Australia, and Asia.

Morningstar, Inc. offers an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors. Morningstar provides data on approximately 500,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 15 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had more than $179 billion in assets under advisement and management as of March 31, 2015. The company has operations in 27 countries.

Morningstar, Inc. is not an NRSRO, and its credit ratings on corporate issuers are not NRSRO credit ratings.

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Media Contact:   Michelle Weiss, +1 267-960-6014 or michelle.weiss@morningstar.com

 

SOURCE Morningstar, Inc.



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