New Zealand’s securitisation market could be set to proliferate as regulatory moves to kick-start a bank market progress. Mark Mountcastle, chief executive at Avanti Finance (Avanti) in Auckland, says the environment is also beneficial for nonbank lenders.
Avanti Finance printed New Zealand’s second residential mortgage-backed securities (RMBS) deal in just over a month, on 9 October – a feat that seemed highly improbable earlier in the year. Sound origination standards and technical tailwinds have caused interest in the asset class to jump, the issuer says.
On 6 October, Avanti Finance launched its residential mortgage-backed securities (RMBS) deal, Avanti RMBS 2020-1. Total capped volume for the transaction is NZ$250 million (US$166.1 million) and is expected to price on 9 October. Westpac New Zealand is sole lead manager.
On 1 October, Avanti Finance began taking indications of interest (IOI) for its residential mortgage-backed securities (RMBS) deal, Avanti RMBS 2020-1. The transactions has indicative volume of NZ$250 million (US$165.7 million) and may launch in the week beginning 5 October. Westpac New Zealand is sole lead manager.
On 14 September, Avanti Finance mandated Westpac New Zealand to arrange a series of investor meetings regarding a potential New Zealand dollar denominated residential mortgage-backed securities (RMBS) transaction.
nonbank Yearbook 2020
KangaNews's fourth annual guide to the business and funding trends in Australia's nonbank financial-institution sector.