Powered by MOMENTUM MEDIA
subscribe to our newsletter
Major aggregator settles $300m RMBS deal

Major aggregator settles $300m RMBS deal

The Australian Finance Group has successfully completed a $300 million residential mortgage-backed securities issue.

The AFG 2016-1 Trust RMBS transaction is the Australian Finance Group's (AFG) first issuance since 2014, and is broken into seven tranches, ranging from $220 million to $450,000 in size.

The transaction, which was arranged by National Australia Bank Limited (NAB) with joint lead managers from ANZ and NAB, will settle on November 4.

Advertisement
Advertisement

AFG chief operating officer David Bailey said the securitisation program is an important contributor to the company’s overall growth strategy.

He said: “To execute a transaction under the terms achieved, in a market which has been relatively volatile in 2016, is very pleasing. The other positive aspect was that we were able to welcome some new investors to our programme.

“The success of [this] issue reflects the confidence of domestic and offshore investors in the high-quality lending standards that AFG Securities apply.”

Adding that a “strong RMBS market it vital to ensure a greater level of competition and choice into the Australian mortgage market”, Mr Bailey concluded: “The performance of any mortgage starts and ends with the credit policies and appetite of the lender. Our AFG Securities programme has consistently delivered a strong performance and it is this performance which has helped underpin the success of our latest transaction.”

[Related: Major aggregator posts strong growth amid market headwinds]

Major aggregator settles $300m RMBS deal
mortgagebusiness
  • 23
    Days
  • :
  • 07
    Hours
  • :
  • 54
    Minutes
  • :
  • 01
    Seconds

EARLY BIRD CLOSING SOON
Have you secured yours?

Latest News

Mitigating drivers of misconduct in the financial services industry will be a key area of focus for regulators in the Asia-Pacific region in...

Financial institutions in Asia Pacific will face myriad challenges and risks in 2019 and Australia is no exception, a new S&P report ha...

Regulatory reform proposed by the federal government would remove barriers to enhanced competition in the banking sector, COBA has said. ...

FROM THE WEB
podcast

LATEST PODCAST: The broking industry hits new heights

Is enough being done to ensure responsible lending?