Bermuda-based Syncora Holdings Ltd. has hired JP Morgan as an adviser during the bond insurer's negotiations with counterparties.

In August this year, Syncora, formerly known as Security Capital Assurance, entered into an agreement with 17 bank counterparties to commute, terminate, amend or restructure, existing credit default swap (CDS) and financial guarantee contracts.

"Engaging JP Morgan to assist Syncora's legal advisers in their ongoing analysis of Syncora Guarantee's CDS and financial guarantee exposures is an important step in moving forward with the next phase of our strategic plan," Syncora's acting chief executive officer Susan Comparato said.

"Their expertise will help to identify and quantify the best possible solutions with our bank counterparties and aid Syncora in reaching a resolution that is in the best interest of our policyholders and our shareholders."

Syncora's financial guarantee portfolio includes collateralised debt obligations of asset-backed securities.