November 29, 2013 Japan Securities Dealers Association Japanese Bankers Association
Securitization Market Trends Survey Report —Issuance Trends in the First Half of Fiscal 2013—
The following report is a summary of the results of the “Securitization Market Trends Survey” (see JSDA’s website at <http://www.jsda.or.jp/en/index.html>), conducted monthly by the Japan Securities Dealers Association (JSDA) and the Japanese Bankers Association (JBA), for the first half of fiscal 2013, the period from April 1, 2013 to September 30, 2013. For chart data, please see the appendix “Chart Data at a Glance.”
I. Overall Issuance Trends for Securitization Products
Looking at the issuance trends for securitization products in the first half of 2013, amount of issues declined year on year. Total issuance amount was ¥1,294.1 billion, declining 16% from the first half of fiscal 2012, while the number of issues was 53, up 39% year on year (Chart 1).
Ref.: The total issuance amount of corporate straight bonds during the first half of fiscal 2013 was ¥4,866.9 billion (provisional figure).
Chart 1. Securitization Product Issuance Amount and Number of Issues
2.3 2.9 3.4 4.8 4.6 5.2
3.4 3.4 2.3
1.4 1.6 1.3
1.2 1.4 1.9
1.5 1.5 1.3 1.3 138 158 145 167 146 168 134 127 110 94 79 67 54 53 48 43 38 52 53 0 20 40 60 80 100 120 140 160 180 0 1 2 3 4 5 6 7 8
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
（¥trillion) （issues）
Issuance amount (left scale)
II. Issuance Trends by Underlying Assets
Looking at the securitization product issuance amount for the first half of fiscal 2013 by underlying assets, the amount of CDO, leases, shopping credits increased. In contrast, RMBS, CMBS, sales receivables/commercial bills and others decreased. There were no consumer loans issues (see Chart 2).
Chart 2. Securitization Product Issuance Amount by Underlying Assets
* YoY change in CDO is shown as “—“ because there were no issues in the same period last year.
Reference: The specific types of underlying assets for each securitization product category are as follows.
RMBS (Residential Mortgage Backed Securities): Housing loans and loans to individuals to build
commercial apartments
CMBS (Commercial Mortgage Backed Securities): Commercial real estate collateralized loans, commercial
real estate
CDO (Collateralized Debt Obligations): Corporate loans, corporate bonds, credit default swaps, and others
Leases: Lease credits
Consumer loans: Consumer loans, bank card loans
Shopping credits: Shopping loans, credit card loans, automobile loans
Sales receivables/Commercial bills: Sales receivables, commercial bills
Others: Fund receivables, business cash flow, medical fee receivables, and others
0 1 2 3 4 5 6
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
（¥trillion)
Others
Sales receivables/Commercial bills
Shopping credits
Consumer loans
Leases
CDO
CMBS
RMBS
RMBS CMBS CDO Leases Consumer
loans
Shopping credits
Sales receivables/
Commercial bills
Others Total
Issu an c e amo u n t（ \ 1 0 0 millio n ） 1 0 ,7 6 0 5 1 3 285 0 1 ,0 0 7 3 6 0 5 1 0 1 2 ,9 4 1
Ye ar o n ye ar c h an ge （ \ 1 0 0 ▲3 8 7 ▲1 3 5 1 3 6 5 ▲5 2 0 28 ▲1 5 ▲1 ,4 9 2 ▲2 ,4 4 4
Ye ar o n ye ar c h an ge （ % ) ▲3 ▲9 6 - ( ※) ＋3 0 ▲1 0 0 ＋3 ▲4 ▲7 5 ▲1 6
% Ｃｏｍｐｏｓ ｉｔｉｏｎ 8 3 0 0 2 0 8 3 4 1 0 0
RMBS Issuance Trends (i) By Originator
Looking at the RMBS issuance amount (¥ 1,076.0billion) by originator, the Japan Housing Finance Agency (JHF) accounted for 78% (¥844.3 billion) of the total (Chart 3).
Chart 3. RMBS Issuance Amount by Originator
(ii) Product Type
Looking at the RMBS issuance amount (¥1,076.0 billion) by product type, bonds accounted for 82% (¥877.3 billion) of the total (see Chart 4).
Chart 4. RMBS Issuance Amount by Product Type 0
1 2 3 4
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
Others
Nonbanks
Regional banks
Commercial /trust banks
Japan Housing Finance Agency
0 1 2 3 4
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
Others
Bonds
(iii) Repayment Method
Looking at the RMBS issuance amount (¥1,076.0 billion) by repayment method, all repayments were pass-through repayments (see Chart 5).
Chart 5. RMBS Issuance Amount by Repayment Method
(iv) Spread at Issuance
The launch spread (difference between the RMBS coupon rate and Japanese government bond yield at time of fixing issuing conditions) for JHF RMBS (monthly issuance bonds) contracted to July and expanded in September 2013(see Chart 6).
Chart 6. JHF RMBS Launch Spread 0
1 2 3 4
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
Not noted
Installment repayments
Lump sum repayments at maturity
Pass-through repayments
0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8
III. Issuance Trends by Product Type
Looking at the securitization product issuance amount (¥1,294.1 billion) by product type, bonds accounted for 72% (¥927.3 billion), followed by trust beneficiary rights with 22% (¥282.3 billion) (see Chart 7).
Chart 7. Securitization Product Issuance Amount by Product Type
IV. Issuance Trends by Repayment Method
Looking at the securitization issuance amount (¥1,294.1 billion) by repayment method, pass-through repayments accounted for 89% (¥1,145.9 billion) of the total. (see Chart 8).
Chart 8. Securitization Product Issuance Amount by Repayment Method
0 1 2 3 4 5 6
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
0 1 2 3 4 5 6
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
Others
Bonds
Trust beneficiary rights
Not noted
Installment repayments
Lump sum repayments at maturity
V. Issuance Trends by Planned/Average Term to Maturity
Looking at the securitization issuance amount (¥1,294.1 billion) by planned/average term to maturity, “Not noted” accounted for 94% (¥1,215.1 billion), followed by “5 year to 7 years” with 4% (¥50 billion) (see Chart 9).
Chart 9. Securitization Product Issuance Amount by Planned/Average Term to Maturity
VI. Issuance Trends by Credit Rating
Looking at the securitization issuance amount (¥1,294.1 billion) by credit rating, AAA accounted for 92% (¥1,185.1 billion (see Chart 10).
Chart 10. Securitization Product Issuance Amount by Credit Rating 0
1 2 3 4 5 6
04/1H 04/2H 05/1H 05/2H 06/1H 06/2H 07/1H 07/2H 08/1H 08/2H 09/1H 09/2H 10/1H 10/2H 11/1H 11/2H 12/1H 12/2H 13/1H
Not noted
7 years or more
5 years to 7 years
3 years to 5 years
1 year to 3 years
Under 1 year
1 2 3 4 5 6
Not noted
Short-term rating
CCC
B
BB
BBB
A
AA
