Easing into October with a little tipple

With the summer holidays of the Another Fine Mezz team well and truly over, it was back to normal this week. Similarly, the European securitization market has eased into October with deal flow slowing to a much more manageable pace. 

WiZink bank completed a successful return to the market after a troubling debut in 2023 for its Portuguese credit card ABS. However, host Tom Lemmon argued that despite a much smoother ride this time around, the trade revealed familiar problems in European ABS. Despite a record year of issuance, the investor base is still far too small and doing the credit work takes far too long. 

Meanwhile in the UK, Tandem Bank's debut RMBS caught the attention of European ABS reporter, George Smith. It was a roaring success but the question is whether it's a further sign that UK challenger banks will start using the securitization market to help with capital management with trades not dissimilar to the large banks' significant risk transfer deals of recent years.

Finally, Tom's wine-tasting trips are bearing fruit as he explained how new businesses that aim to make it easier to invest in assets like wine, art or fancy cars are looking to use securitization technology and asset-backed lending to help them scale.