Structured Finance Consulting | FTI Consulting
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Structured Finance

The Structured Finance group consists of seasoned deal execution professionals with commercial and residential investment banking, monoline insurance and accounting backgrounds. They focus on all aspects of structured finance and securitization-related matters, covering ABS, CLO, RMBS, TruPS, CMBS, CDO, and esoteric ABS. These individuals have extensive knowledge and experience in credit assessment, modeling, structuring, diligence, negotiation, and ultimate execution of a wide range of structured finance products. They also possess the ability to analyze, quantify, value, and risk-mitigate underlying collateral backing these transactions, such as corporate debt (leveraged loans, high yield bonds), consumer assets (credit card, auto, student loan), residential and commercial mortgages, and off-the-run assets (oil and gas, life insurance, subsidies). The group works closely with the restructuring/workout, litigation, and transaction advisory practice areas to provide this array of services. Our clients include issuers, financial institutions, investment banks, hedge funds, private equity funds, and government agencies.

Our Service Offerings

Securitization Control Party/Administrator/Master Servicer

  • Act as risk manager in highly structured transactions
  • Manage key credit areas such as triggers and the related consequences (conditional cash trap/release)
  • Address contingent situations such as servicer replacement or third-party vendor defaults
  • Analysis of key performance metrics
  • Cash flow verification to ensure proper P&I payments
  • Review of loss allocation, servicer advances/reimbursement, and other factors crucial to performance
  • Assessment of servicing compliance or effectiveness (disposition strategy, loss severity)
  • Experience with term transactions, ABCPs, warehouses, and other revolving structures
  • Extensive knowledge of rating agency methodologies and approaches

Collateral/Receivable Analysis

  • Portfolio and historical data analysis to construct default and loss curves
  • Portfolio optimization
  • Analysis of less granular assets using stochastic models
  • Asset disposition advisory
  • Cash flow projection


  • Valuation and loss analysis of receivables and complex securities
  • Securities ranging from CLO equities to Trust Preferred Securities
  • Level III assets
  • Mark-to-model valuation overlaid with flow pricing data
  • Negative or positive assurance letters to address internal credit, regulatory, or accounting purposes

Regulation AB II: Asset Representation Reviewer

  • Act as ARR to determine compliance with transaction/program representations and warranties
  • Identification of key representations and warranties
  • Development of methodologies for the review

Transactional Support

  • Confirmatory due diligence (e.g., “tape-to-file” testing)
  • Transaction modeling
  • Offering documents diligence
  • Reporting requirements development
  • Manager/Servicer fee assessment

Back-Up Management

  • Serve as Back-Up Manager in whole business securitizations

Litigation Support

  • Expert or testifying witness
  • Strategic advisory based on direct market knowledge
  • Damages assessment/loss from action or inaction
  • Pro forma modeling of “what-if” scenarios


  • Analysis and valuation of swaps and derivatives (interest rate, credit default swaps, credit linked notes)
  • Hedging strategy advisory
  • Origination/servicing platform assessment and best practices
More Info

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