ABS Markets
All Update archive
SCI ABS Markets covers International ABS providing Australian, European and UK ABS, CMBS and RMBS deal-focused news and data. It covers both the primary and secondary markets for such cash securitisations, which are tranched bonds that offer investors notes with different levels of seniority backed by a range of assets or receivables. ABS, or asset-backed securities, reference non-mortgage assets such as: auto loans/leases; consumer loans/credit cards; commercial finance, equipment and transport leases; NPLs; and SME loans. CMBS, or commercial mortgage-backed securities, and commercial real estate CLOs, or CRE CLOs, are backed by commercial mortgages or other commercial real estate assets. RMBS, or residential mortgage-backed securities, are backed by residential loans including: buy-to-let, non-conforming, NPL and Prime mortgages.
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ABS Markets Deal Alert - 6 August 2024, 15.35 UK time
Citi has been mandated as sole arranger and sole lead manager for a UK BTL RMBS deal, London Wall Mortgage Capital 2024-1. The preplaced transaction is expected to price subject to market conditions.
Collateral highlights
References a pool of 87% buy-to-let and 13% owner-occupied mortgages originated by Fleet Mortgages, The Mortgage Lender and One Savings Bank via its subsidiary Charter Court Financial Services ...
6 August 2024
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ABS Markets Deal Alert - 6 August 2024, 10.55 UK time
STS UK prime RMBS Holmes Master Issuer 2024-2 has been formally announced along with set of final spreads. Pricing is expected tomorrow via sole arranger Santander alongside JLMs Barclays, BofA, Deutsche and Lloyds.
Holmes Master Issuer 2024-2
6 August 2024
ABS Markets Daily - 5 August 2024
*Europe and Australia remain quiet
Primary
Europe/UK
Another slow start of the week, with no deal updates to report. The European issue pipeline remains empty.
Australia
Today's market landscape continued to be quiet. However, tomorrow promises more activity, with three deals set to price. The visible Australian new issue pipeline looks currently like this:
5 August 2024
ABS Markets Daily - 2 August 2024
*Active secondary *Europe and Australia exhibit similar quiet trends
Active secondary amid seasonal slowdown
In July, Australian new issuance activity was noticeably slower because originators were and are still waiting for buyers from the northern hemisphere to return from their summer holidays, says an Aussie trader.
“New issue margins were fairly steady. Secondary trading of triple-A and double-A lines is reasonably active ...
2 August 2024
ABS Markets Daily - 1 August 2024
*Europe continues its holiday season *No Australian movements
Green SPO securitisation surge
European SPO (second-party opinions) securitisation issuance in 2024 had a strong start, reaching €2.9bn across five transactions, surpassing last year's €2bn, according to a report by Morningstar DBRS’ European structured finance researchers.
Morningstar DBRS notes that RMBS has consistently dominated with significant green deals annually since 2016. While, geographically, the ...
1 August 2024
ABS Markets Daily - 31 July 2024
*Europe stays still *One Australian mandate and one update
Primary
Europe/UK
Three days in a row without activity for Europe, leaving its new issue pipeline blank.
Australia
One new deal makes its appearance and one provides an update.
Zip has mandated Goldman Sachs and NAB (arranger) to engage with investors in relation to Zip’s Master Trust Programme. Investor call and pricing timeframes for Zip Master ...
31 July 2024
ABS Markets Monthly - July 2024
Reverse RMBS’ growing interest faces slow uptake
As the global population ages and life expectancies rise, more retirees are turning to reverse mortgages to access the equity in their homes and fund their living expenses.
A recent report by S&P Global Ratings indicates that lenders and investors are showing increased interest in securitising these reverse mortgages, fostering competition among lenders and ...
31 July 2024
ABS Markets Daily - 30 July 2024
*No European deal developments *Two Aussie deals take interest
Primary
Europe/UK
Another day of market inactivity, with the European new issue pipeline remaining empty.
Australia
An uptick in activity today with two deals taking indication of interest.
Prime RMBS Series 2024-2 REDS Trust’s pricing is targeted for next Tuesday, with the potential to upsize.
Series 2024-2 REDS Trust
30 July 2024
ABS Markets Daily - 29 July 2024
* August activity shifts *Europeans, as Australians stay subdued
European lull, Aussie surge
In a report published today, BofA global research strategists anticipate changes in market activities between Europe and Australia as we move through August. The bank expects a "slow-down in European activity between now and the last week of August and a pick-up in Australian activity in between."
Reflecting on ...
29 July 2024
ABS Markets Daily - 26 July 2024
*Europe and Australia remain silent
Primary
Europe/UK
With the summer season upon us, market activity continues to be subdued, yielding no updates for today. However, last evening witnessed the pricing of the UK prime BTL RMBS Bletchley Park Funding 2024-1, which left the European new issue pipeline stays empty.
Bletchley Park Funding 2024-1
26 July 2024
ABS Markets Daily - 25 July 2024
*One European deal prices *A new entry in Australia
Primary
Europe/UK
Bletchley Park Funding 2024-1 looked certain to price today, but at 17:35 UK time was still stuck at the release of its spreads:
25 July 2024
ABS Markets Deal Alert - 25 July 2024, 17.25 UK time
UK prime BTL RMBS Bletchley Park Funding 2024-1 has set its spreads and released a book update. Pricing will follow shortly.
Bletchley Park Funding 2024-1
25 July 2024
ABS Markets Deal Alert - 25 July 2024, 11.00 UK time
UK prime BTL RMBS Bletchley Park Funding 2024-1 has released guidance and a book update. Pricing is targeted for later today.
Bletchley Park Funding 2024-1
25 July 2024
ABS Markets Daily - 24 July 2024
*Record-breaking Australian ABS issuance *European deal updates *Australia quiet
Unprecedented Aussie ABS issuance
The Australian ABS and MBS market is experiencing a significant surge in issuance, with a total of A$43.9bn printed in the first half of 2024. This trend, as highlighted by portfolio manager Desmond Lai in a piece published today on the TwentyFour Asset Management blog, is expected to ...
24 July 2024
ABS Markets Deal Alert - 24 July 2024, 14.05 UK time
UK prime BTL RMBS Bletchley Park Funding 2024-1 has released a book update. Pricing is expected tomorrow.
Bletchley Park Funding 2024-1
24 July 2024
ABS Markets Daily - 23 July 2024
*In Europe one deal talks *One Australian introduces itself
Primary
Europe/UK
The activity level has picked up slightly with Bletchley Park's deal, which opened its books today.
23 July 2024
ABS Markets Deal Alert - 23 July 2024, 10.25 UK time
UK prime BTL RMBS Bletchley Park Funding 2024-1 has opened its books and released initial price talk. Pricing is expected as early as Thursday.
Bletchley Park Funding 2024-1
23 July 2024
ABS Markets Daily - 22 July 2024
*June Factsheets in *Europe and Australia show no movements
June factsheets in
All the ABS funds we monitor in Europe and the UK have now released their June 2024 factsheets. These collectively highlight a vibrant and resilient ABS landscape throughout the month.
Aegon ABS Fund’s managers state: "amidst this volatile environment, European ABS markets performed strongly, and spreads across sectors continued to ...
22 July 2024
ABS Market Daily - 19 July 2024
*Favourable market conditions *Asimi Funding 2024-1 prices
Primary
Europe/UK
Reflecting on the activity seen in the European/UK primary market this week, one ABS/MBS trader highlights “favourable market conditions.”
Referring specifically to the UK with Plata Finance’s Asimi Funding 2024-1 and QML’s Bletchley Park Funding 2024-1 – both inaugural trades – the trader points to the ongoing strong appetite for the asset class. He says: “Unfamiliar ...
Market Moves19 July 2024
ABS Market Daily - 18 July 2024
*Upsized deal *Australia deal prices *Dutch pre-placed deal
Primary
Europe/UK
UK STS Prime RMBS Economic Master Issuer 2024-1 has priced today. The deal was eventually upsized from £350m to £500m. The single-offered, 1.8x covered (on £350m deal size coverage is 2.5x) class A tranche landed at SONIA+47bp, down from initial price talk of low 50s. Comparatively, Silverstone 2023-1 1A Re-offer landed at SONIA+43bp.
Economic ...
Market Moves18 July 2024
ABS Market Daily - 17 July 2024
*German deals price *UK updates *another UK deal joins the pipeline
Primary
Europe/UK
Execution moved at a solid pace today in the primary European/UK market, with the pricing of German mandates STS auto loan ABS FinanceHero 2024-1 and STS consumer loan Noria DE 2024. In both cases, investor appetite was evident with aggressive tightening and healthy coverage across the capital stack.
Regarding FinanceHero 2024-1 however, ...
Market Moves17 July 2024