ST Asset Management, a subsidiary of Singapore's state-owned investment company Temasek, is expected to start managing a $344m (€238m) Asian collateralised debt obligation, despite the implosion of structured credit funds in recent months.

Moody's said in a report today the value of ST Asset Management's new synthetic CDO, which repackages credit derivatives instead of cash securities like other CDOs, is to be based on the derivatives trading on the bonds of 60 Asian companies and governments in Hong Kong, China, India and Australia.