In Q1 2013, EUR 32.5 billion of securitised product was issued in Europe, a decline of 49.1% and 45.2%, respectively, from Q4 2012 (EUR 63.9 billion) and Q1 2012 (EUR 59.3 billion). Of the EUR 32.5 billion is-sued, EUR 16.7 billion was placed, representing 51.4%, compared to EUR 27.2 billion placed in Q4 2012 (representing 42.5%) and EUR 18.9 billion placed in Q1 2012 (representing 31.9%).

Although placed issuance rose during Q1 2013, volumes have been driven lower by cheaper funding replacements (e.g., Bank of England’s Funding for Lending Scheme). Individual issuance has also been sporadic.

Net issuance in the first quarter remained negative. At the end of Q1 2013, EUR 1.65 trillion was outstanding, of which EUR 861.6 billion (52.2% of outstanding) was retained, presumably for repo or other secured financing.

Dutch RMBS and German auto continue to dominate placed issuance. For the first time we can remember, there was no placed UK RMBS issuance during the quarter. UK CMBS and WBS deals were also issued.

About the Report

The AFME / ESF data report, done in partnership with AFME / ESF, is a quarterly report that consolidates both U.S. and European data for the securitisation markets:

• issuance activity;
• deal sizes;
• outstanding balances;
• rating changes;
• credit spread changes;
• index data;
• ABCP issuance; and
• highlights and commentary.

For more information on AFME’s efforts in the European structured finance sector, please visit AFME.

Credits

AFME / ESF

• Managing Director: Richard Hopkin
• Associate: Vicenzo Anghelone

SIFMA Research

• Managing Director, Director of Research: Kyle Brandon
• Assistant Vice President, Research: Sharon Sung