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KBRA Releases Research – European Securitisation: Quiet End to 2022

LONDON–(BUSINESS WIRE)–#KBRA–KBRA UK (KBRA) releases a research report examining the European securitisation market in fourth-quarter 2022.

Primary bond markets across Europe were heavily impacted by the rising rate environment and economic slowdown in 2H 2022. European securitisation markets were no exception, and they were further impacted by the reversal of quantitative easing. A strong start helped support primary issuance numbers for full-year 2022. However, Q4 was one of the lowest in nearly 10 years. This quarterly KBRA report provides insight into the types of transactions circulated into the European securitisation market.

In terms of total issuance, it was the slowest Q4 for European securitisation since 2014, with only EUR61.3 billion in total issuance (Q4 2014 saw only EUR59.2 billion). In terms of transactions sold to investors, it was the slowest Q4 since 2012, with only EUR15.9 billion of newly circulated securitisations (excluding refinancing, reset, reissuance, and retentions) in Q4 2022, compared to EUR14.8 billion in Q4 2012. In the post-global financial crisis environment, retained securitisation volumes were in line with prior years, with EUR45.4 billion in Q4 2022 versus EUR44.4 billion in Q4 2021.

Key Takeaways

  • Circulated volumes have dropped, but retained transactions remain a part of the market’s fabric.
  • Strong levels of issuance in 1H 2022 support full-year numbers, but 2H demonstrates slowdown. Even auto ABS volumes are down, with their lowest volume for the year since 2011.
  • Collateralised loan obligations (CLO) have declined from their very strong levels in 2021. For the market outside of CLOs and sold to investors, it has been the weakest Q4 in 14 years.

Click here to view the report.

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About KBRA

KBRA is a full-service credit rating agency registered in the U.S., the EU, and the UK, and is designated to provide structured finance ratings in Canada. KBRA’s ratings can be used by investors for regulatory capital purposes in multiple jurisdictions.


Gordon Kerr, Head of European Research

+44 20 8148 1020

Business Development Contacts

Mauricio Noé, Co-Head of Europe

+44 20 8148 1010

Miten Amin, Managing Director

+44 20 8148 1002

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