07 August 2012 6:49am

Mortgage lender Firstmac will pay 160 basis points and 210 basis points over swap on the respective top two tranches of its latest issue of residential mortgage-backed securities.

On Friday, Firstmac placed A$300 million of notes, the 1-2012 Residential Mortgage Backed Securities Issue. It will pay 160 basis points over the 30-day bank bill swap rate for the $144.5 million A1 tranche, which has a weighted average life of 1.4 years.

And it will pay 210 basis points over the 30-day bank bill swap rate for the $131.1 million A2 tranche, which has a weighted average life of 6.1...