CCR Magazine

CCRi banner ad
You are here  :Home arrow News arrow Institutional investors predict growth of SME asset backed securitisations
Contact Us Newsletter Signup RSS Feeds

Latest News Headlines

Headlines

 
Commercial Credit News

Headlines

 
Institutional investors predict growth of SME asset backed securitisations PDF Print E-mail
Tuesday, 01 September 2015

As traditional bank lending to small and medium sized enterprises continues to remain constrained, a new study reveals that seven in ten (69%) European institutional investors believe there will be an increase in the issuance of SME finance-related asset backed securitisations (ABS) over the next two years.

The research was commissioned by Amicus Finance Plc (“Amicus”), a leading specialist in short term lending solutions which last week completed a £100m short-term mortgage-backed securitisation. The study showed that three-quarters (73%) of institutions believe there will be growing appetite for investing in securitisations providing access to SMEs’ underlying cash flow assets.

Investor types most attracted to SME securitisations are likely to be insurance companies, private sector pension funds followed by private equity investors and hedge funds, according to the study.

When asked to identify which cash flow assets will be most in demand among institutions, 53% of investors selected traditional property finance, closely followed by trade finance (52%), leasing (44%) and property bridging finance (44%).

Given the continued high demand for property bridging finance spurred on by the buy-to-let market, 60% of investors anticipate growth in demand for short term syndication of this debt through bond issuance.

John Jenkins, CEO of Amicus commented: “Investors are clearly bullish about the prospects of the SME securitisation market and this is welcome news to specialist lenders such as Amicus which last week completed a £100m short-term mortgage-backed securitisation to broaden our funding sources.

“Many long term investors see the attractions of accessing the rapidly growing non-bank SME lending sector and with greater standardisation and transparency we are likely to see greater numbers of securitisations coming to the market.”

Amicus’ first £100m short-term UK MBS (mortgage-backed security), Amicus Mortgage Finance 2015-1, is a regulated non-rated entity with a scheduled maturity  of July 2018, comprising a portfolio of quality short term loans with a weighted average loan to value of 60%; the term of the loans ranges from 6-18 months.

Amicus offers short term, property-based lending solutions to private and corporate borrowers, which include landlords, developers and owner-occupiers.

(Source - Amicus Press Release)
 

 
CCRI
3 October - Guoman Tower Hotel, Central London 

CCRInteractive, in association with Marston Holdings , is the largest and leading one-day conference from the publishers of CCRMagazine – a truly national and international event for the credit industry.

This landmark event allows delegates to: Learn best practice of how to increase profitable sales in today’s economy. Understand the key compliance issues and how they will impact upon you. Discuss the legislative and regulatory framework and how it will effect you. Consider the potential effects of Brexit on your business. Discover the latest innovations in the market to improve your collections. Motivate your staff to achieve ever improved results.

To book to attend in 2017, contact Stephen Kiely  or Alison Lucas. To find out more about being part of this landmark event, please contact Gary Lucas
CCRI 

 Forums International Ltd

Forums International Ltd

 Attendance at your first meeting is free of charge, and please quote reference 'CCR2016' to receive the special 10% discount off of your first annual subscription.

Find out more here.

latest issue

CCR Cover

The latest edition of CCR Magazine, the leading editorial publication in the UK credit industry, is out.

Read the latest issue online

The Credit Excellence Awards

Awards 

Tuesday 3 October - Guoman Tower Hotel, Central London


Do not miss your chance to meet and network with the Winners and Finalists at the Credit Excellence Awards, in association with Hoist Finance.


To book your place to attend, please contact Alison Lucas.


subscriptions

CCR is the premier magazine for consumer and credit professionals. It provides an independent voice to the industry, breaking major news stories and running in-depth features.

As a magazine, it works with and campaigns on behalf of the credit industry to promote its importance as a centre of potential profit and business development to the wider business world.

Subscribe to CCR Magazine

CCR World Magazine


 

Providing information and analysis for thousands of senior credit professionals worldwide, every quarter.

Find out more

GTS Media Ltd
81 Cambridge Road
Southend-on-Sea
Essex
SS1 1EP

Registered in England No: 05483197