ABS
ABS or asset-backed securities are bonds or notes created via securitisation that are backed by a range of assets or receivables. Generically, all securitisations can be labelled ABS and it is often used as a coverall term; in some cases in SCI, ABS will be used in this manner. However, in many cases, ABS are taken to exclude mortgage-backed securities (MBS) and structured credit instruments, such as CDOs. If so, then asset-backed securities or ABS are taken to include consumer ABS, such as credit card securitisations, auto loan or dealer floorplan ABS, student loan securitisations, project finance/infrastructure securitisations and equipment leasing-based transactions. ABS originators are typically loan issuers, such as banks, credit card companies, auto finance and consumer finance firms, but can be any institution that generates regular, quantifiable future income flows (or cashflows), which includes governments. To create asset-backed securities, institutions sell pools of their loans to a special-purpose vehicle, or SPV, which then sells the loans to a trust. The trust then repackages the loans as interest-bearing securities and issues them. This true sale of the loans to the SPV ensures that the ABS is treated as being bankruptcy-remote from the originator.
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NPL SPV established
Barclays financing portfolio acquisition
Barclays, Varde Partners and Guber Banca have acquired a €1.4bn non-performing loan portfol...
News 12 July 2018 -
SCI Start the Week - 9 July
A look at the major activity in structured finance over the past seven days
Pipeline With 4 July having a typically big impact on the issuance calendar, the pipeline was ligh...
News 9 July 2018 -
Article 14 negotiations begin
Amendment to reduce securitisation compliance requirements
Trilogue discussions between the European Parliament, the European Commission and the European Counc...
News 9 July 2018 -
Landmark UTP deal completed
Inaugural large-scale, pure UTL transaction inked
Bain Capital Credit has acquired a portfolio of unlikely-to-pay (UTP) corporate loans, dubbed Projec...
News 4 July 2018 -
SCI Start the Week - 2 July
A look at the major activity in structured finance over the past seven days
Pipeline The pipeline has been dominated by UK transactions ahead of the Independence Day holiday....
News 2 July 2018 -
Barclays engineers comeback
Further impetus added to Colonnade programme
Barclays has returned to the risk transfer market with Colonnade Global 2018-1, a £34.2m c...
News 2 July 2018 -
Green ABS branches out
Commercial PACE and renewables gain traction as green ABS expands
PACE is catching on in both the US and Europe. An April whitepaper from the New York State Energy Re...
News Analysis 29 June 2018 -
Multi-seller GACS deals pending
Large portfolio sizes facilitate critical mass
Multi-seller GACS securitisations brought by smaller Italian banks are emerging, with at least two t...
News Analysis 29 June 2018 -
Market moves - 29 June
CLO manager acquired THL Credit Advisors has acquired the collateral management business of Kramer...
Market moves 29 June 2018 -
Trade finance CRTs gather pace
Transactions offer multiple benefits to issuers and investors
Interest is growing in synthetic securitisations backed by trade finance receivables - collateral th...
News Analysis 28 June 2018 -
NPL issuance surging
Italian lenders look to beat GACS deadline
Banco di Sardegna has completed a €253m non-performing loan securitisation called 4Mori Sar...
News Analysis 28 June 2018 -
Securitisation to support PPP growth
The Argentinian government recently announced plans for a number of infrastructure projects and has...
News Analysis 26 June 2018 -
SCI Start the Week - 25 June
A look at the major activity in structured finance over the past seven days
Pipeline The securitisations remaining in the pipeline at the end of last week were fairly evenly s...
News 25 June 2018 -
PRA's tough stance continues
Banks have been reviewing the PRA’s significant risk transfer (SRT) consultation, which pr...
News Analysis 22 June 2018 -
Mortgage SRT booster voted down
MEP Caroline Nagtegaal’s amendment 596 to Article 234 of the CRR was rejected by the Europ...
News Analysis 22 June 2018 -
Risk transfer round-up - 22 June
Intesa Sanpaolo is rumoured to be prepping a capital relief trade referencing corporate assets, with...
News 22 June 2018 -
Market moves - 22 June
Europe Axa Investment Managers has hired Hans Stoter to global head of fixed income and interim he...
Market moves 22 June 2018 -
Questions remain over insurer participation
The European Commission recently published the Delegated Act on Solvency 2, which improves the capit...
News Analysis 21 June 2018 -
PE players driving growth
Australian ABS and RMBS issuance saw record volumes of over A$8bn and A$37bn respectively in 2017, a...
Talking Point 19 June 2018 -
Capital computation
The complexity involved in executing capital relief trades is driving increased focus on the operati...
News Analysis 18 June 2018 -
SCI Start the Week - 18 June
A look at the major activity in structured finance over the past seven days
Pipeline A mixed bag of securitisations remained in the pipeline at the end of last week. ABS once...
News 18 June 2018