Former Head Of Morgan Stanley Residential Business During Financial Crisis Eyes Canadian Alt-A Mortgages

Former Morgan Stanley veteran Frank Pallotta is targeting a mortgage-backed securitization program of up to C$1.2 billion ($860 million) as Canada opens up its mortgage market to private players, seemingly unconcerned with the recent collapse of Home Capital Group . Pallotta’s Steel Curtain Capital Group LLC, based in Ramsay, N.J., is among the first overseas players to enter Canada since last year’s privatization move. The firm’s Canadian subsidiary, SC Canadian Mortgage, has “begun work on a debut transaction through which it would securitize about C$250 million ($180 million) of uninsured loans” by the yearend, the ABAlert.com, which monitors asset-backed securitization…