The $500 million securitization is backed by proceeds from future remittance transactions sent from within the U.S. to Mexico.

Attendance at the ABS East conference hit another record this week, with investors showing strong demand for structured finance products. Issuance is expected to remain elevated, helped by interest rate moves.

Issuance of vehicle ABS is nearing another record and spreads remain tight, indicating that there’s plenty of investor demand for the asset. There are some concerns about performance, particularly for subprime auto ABS.

Residential MBS transactions will likely experience a spike in delinquencies, but performance will return to pre-storm levels within a year, according to Moody’s.

The key vehicle ABS sector slowed in the third quarter and business-finance securitization stalled. But issuance in the first nine months of 2024 was up 22.9% from last year. (Includes three data tables.)

Goldman Sachs analysts said investments in MBS and ABS are looking good heading into 2025.

Two home improvement ABS hit the market, one from a new issuer and one from a returning issuer.

Morningstar plans to create the first ratings criteria specifically for securitization of loans for home improvement projects.

The securitization will retire a similar transaction that was issued a year ago. Rating services raised some concerns about changes in streaming and risks from songs generated with AI.

While impairments initially rise following a hurricane, borrowers with loans in ABS typically get back on track, according to dv01.