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 - 20 January 2023 16.15 UK time
Once again this year, a UK RMBS deal has performed well and shown strong investor demand, with Tower Bridge Funding 2023-1 pricing just now.
The offered B, C and D tranches all priced well within their IPTs. Similarly, those tranches displayed successful coverage at 5.7x, 6.1x, 4.8x oversubscription, respectively.
Tower Bridge Funding 2023-1
20 January 2023
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ABS Markets Deal Alert - 19 January 2023 17.00 UK time
Following initial price talk yesterday guidance has been released for RMBS Tower Bridge Funding 2023-1, as follows:
Tower Bridge Funding 2023-1
19 January 2023
ABS Markets Daily - 18 January 2023
*Primary surge
*New issue activity
*Regulatory noticesPrimary surge
With one deal pricing and clear signs of a growing pipeline this week, primary UK and European ABS/MBS activity finally appears to be taking off.
“We are seeing a lot of demand in the primary,” notes one European ABS/MBS trader. “Sterling deals are proving to really successful, with excellent investor demand ...
18 January 2023
ABS Markets Deal Alert - 18 January 2023 10.15 UK time
Another RMBS transaction has hit screens this morning, with specialist Dutch lender RNHB in the market with Dutch Property Finance 2023-1. This latest mandate is the tenth BTL transaction from the Dutch Property Finance programme.
RNHB is looking to sell a full capital stack of rated notes from AAA to just-about IG. Barclays, BNP Paribas, HSBC, and Natixis ...
18 January 2023
ABS Markets Deal Alert - 18 January 2023 11.30 UK time
Initial price talk has been released for UK non-conforming RMBS Tower Bridge Funding 2023-1, as follows:
Tower Bridge Funding 2023-1
18 January 2023
ABS Markets Daily - 17 January 2023
*December factsheets in
*Active primary
*Regulatory noticesDecember factsheets in
According to the latest ABS/MBS fund factsheets European and UK ABS/MBS issuance was – as expected and reported – light last December. With the primary market almost shutting down entirely. 2022 ended with total issuance volume of €53bn for European ABS, down 30% compared to the volume issued in 2021.
If ...
17 January 2023
ABS Markets Deal Alert - 17 January 2023 17.00 UK time
Economic Master Issuer Series 2023-1 has priced at SONIA plus 56bp. The deal’s single tranche was 3.2x covered.
Such strong demand and increasingly positive market sentiment ensured the deal priced comfortably inside last week’s Brass No. 11 Re-offer, which saw a 63bp DM. Unsurprisingly, though, it was significantly wider than the last deal from the platform – Economic Master Issuer Series 2021-1, ...
17 January 2023
ABS Markets Deal Alert - 17 January 2023 12.30 UK time
Guidance has been released for Economic Master Issuer Series 2023-1 at 58bp-60bp. The single tranche on offer is 2.8x covered at initial price talk and pricing is expected as early as today.
Economic Master Issuer Series 2023-1
17 January 2023
ABS Markets Deal Alert - 17 January 2023 12.00 UK time
Belmont Green Finance Limited (BGFL) is in the market and offering Tower Bridge Funding 2023-1, a securitisation of owner-occupied and buy-to-let mortgages backed by properties in the UK. BofA Securities and Santander are acting as arrangers, joined by Barclays, Macquarie and NatWest as joint lead managers.
BGFL is open to investor calls from today, with pricing targeted for Friday, 20 January.
Tower Bridge ...
17 January 2023
ABS Markets Deal Alert - 16 January 2023 14.00 UK time
Initial price talk has been released for Economic Master Issuer Series 2023-1 at low-60s, suggesting the deal will price inside the 63bp level of last week’s Brass No. 11 Re-offer. Books are now open and pricing is expected as early as tomorrow.
Economic Master Issuer Series 2023-1
16 January 2023
ABS Markets Daily - 13 January 2023
*Waiting for the pipeline
*Primary market activity this weekWaiting for the pipeline
Following a quiet restart to the year, activity and volumes were once again subdued in the primary UK and European ABS/MBS markets this week. Nevertheless, the new issue pipeline and anticipation is starting to build.
“Primary activity is still relatively non-existent for now,” notes one European ...
13 January 2023
ABS Markets Deal Alert - 12 January 2023 14.40 UK time
Coventry Building Society (CBS) is back in the market today with the third issue from its Economic Master Issuer programme – Economic Master Issuer 2023-1. The STS RMBS consists of a £2.12bn portfolio of prime, first-lien, owner-occupied UK residential mortgage loans. HSBC is acting as arranger, joined by Barclays and Citi as joint lead managers.
CBS is open to ...
12 January 2023
ABS Markets Daily - 10 January 2023
*Brass priced
*RMBS resiliencePrimary market
Yorkshire Building Society’s secondary placement of the class A1 notes from Brass No.11 priced this afternoon. The reoffering of this prime RMBS showed solid spread tightening with the A1 notes printing with a 63bp DM, tightening from initial price talk in the 70 area. This solid performance highlights the ongoing strong investor appetite for ...
10 January 2023
ABS Markets Daily - 6 January 2023
*Slowly picking up
*Bridgegate first
*Brass is back
*Polish auto ABS launchedSlowly picking up
As the new year gets underway, the general view from the UK and European ABS/MBS markets appears to be that the ‘worst is behind us’. Unsurprisingly, for the first week of the year activity and volumes have been faint, with new issuance only beginning to come to life today ...
6 January 2023
ABS Markets Deal Alert - 6 January 2023 15.15 UK time
VW is marketing a new auto lease ABS via Santander – VCL Master Poland. The deal references a PLN 2,138.2m – as of October 2022 pool cut-off date – portfolio of lease receivables from contracts extended to retail lessees located in Poland.
The leases were originated by Volkswagen Financial Services Polska. The notes are expected to be rated AAA ...
6 January 2023
ABS Markets Deal Alert - 6 January 2023 12.30 UK time
Yorkshire Building Society (YBS) has mandated Barclays and HSBC as joint intermediary re-offer banks for a secondary market placement of the class A1 notes from Brass No.11. The transaction – a prime UK STS RMBS of residential mortgages originated in England, Wales and Scotland – was previously fully retained due to volatile market conditions (SCI 30 September).
6 January 2023
ABS Markets Deal Alert - 6 January 2023 09.45 UK time
The Mortgage Business has publicly announced and priced the first European and UK ABS/MBS new issue of 2023. UK RMBS Bridgegate Funding’s senior tranche was not offered and the remainder of the capital stack was preplaced via Citi and Lloyds.
Bridgegate Funding
6 January 2023
ABS Markets Monthly - December 2022
2022 in numbers
The political and economic headwinds that beset the European and UK ABS/MBS markets in 2022 are well-documented elsewhere, so there’s no need to go into them in-depth in this review of the primary market’s year. Here, we will focus on the numbers as provided by SCI’s Euro ABS/MBS Deal Tracker.
Overall
Total ...
3 January 2023
ABS Markets Daily - 30 December 2022
*New NPL ABS
*Regulatory noticesMarket update
The European and UK ABS/MBS primary and secondary markets have been extremely quiet over the past two weeks, as is usually the case over the Christmas holiday period. However, one new deal did price yesterday – Luzzatti POP NPLs 2022.
The NPL ABS came via Banca IMI/Intesa Sanpaolo and was originated by 15 ...
30 December 2022
ABS Markets Daily - 19 December 2022
*New private SME ABS
*Secondary slowing but strengtheningPrimary market
A private Italian SME ABS closed today via JPMorgan and illlimity Bank – Colt SPV. The deal is collateralised by a portfolio of non-mortgage floating rate loans granted to Italian corporates and SMEs by illimity.
The loans benefit from a guarantee issued by either SACE (76.2% of the portfolio ...
19 December 2022
ABS Markets Daily - 16 December 2022
*Year-end?
*Retained auto deal
*New warehouseYear-end?
With European and UK ABS/MBS primary activity coming to a standstill, the market’s long-awaited year-end feels as if it has finally arrived at least for public deals. Though private deals continue to slip out.
“The focus now is clearly on January,” notes one European ABS/MBS trader. “We expect a few transactions ...
16 December 2022