O’SULLIVAN As a service provider, it certainly feels that it has been very busy. The majority of Australian issuance continues to be RMBS [residential mortgage-backed securities] – it is around 80 per cent of the securitisation market.

But other asset classes are extremely active and growing – we are definitely seeing a much broader issuance spectrum come to market. However, it is not a bottomless pit. It really depends on the particular industry, our clients’ underlying volumes and lending strategies.

One thing we have found is that, although we are working through the deal process remotely, it has become an intimate relationship. We could speak to clients up to 10 times a day. Even on the quickest, briefest point, our phone is constantly ringing – especially in the lead up to a new warehouse or capital-market transaction.

WAGSTAFF We have seen the most activity ever in the securitisation market this year. A lot of issuers have completed public transactions earlier than they would have otherwise been able to do, because of government support and other factors.

On the nonmortgage side, auto finance has been particularly strong as banks have been moving away from financing these assets for certain types of risks. We are seeing specialist lenders setting up to fill the gap and we have seen some traditional mortgage lenders move into this space as well.

We have not seen a slowdown yet, but there is not a limitless list of clients. It is also interesting to see how long it takes clients to get to a warehouse and then put out a term deal.

It feels like the process is getting longer, actually. I do not know if this is COVID-19-related or the application process has got longer. There are lots of things to consider, but we also provide a lot of support to these issuers, particularly in the early days.

GOUMENIS Our experience is the same when it comes to supporting new clients putting warehouses in place or doing their first term transactions. The infrastructure is there and they have the benefit of service providers, like the trustees that are holding their hand through the process.

I agree that it is a very intimate relationship. I certainly do not think I have ever seen more of my clients than I do now. One of the comments I have heard on doing transactions virtually is that we are doing more of it face to face, even if it is virtual, than we probably would have in the past.

It certainly feels like there is still a lot of activity out there. To some extent this is already visible in the public securitisation market, but we are also still seeing a lot of activity in the warehousing space. I do not think I have seen this level of new entrants since before the financial crisis.

GAAL We are certainly seeing a lot of RFPs come across our desk from new entrants into the market. A lot of lenders are looking at syndicated warehouses to make their funding as efficient as possible.

But it is very competitive. The offshore banks are still very active in the market, and, depending on the asset class, are very competitive on price because they can access cheap funding – albeit the Australian banks probably have had a bit of an advantage from the term-funding facility.

There are lots of opportunities, subject to an organisation’s risk appetite and willingness to pursue them.