SMHL Securitisation Fund 2017-1: 24 September 2017
A prime residential mortgage-backed pass-through securities transaction from originator Members Equity, where the collateral consists of fully amortising Australian dollar loans secured by first-registered mortgages over Australian residential properties.
The portfolio consists of 7,017 consolidated housing loans (10,418 actual loans) where the average housing balance is A$213,766, and only 14 loans of greater than A$750,000 in the pool (representing 0.76% of current balances). Mortgage Loans by Occupancy (current balances): owner-occupied 75.80%, investment 24.20%. Loan Purpose: purchase 39.89%, re-finance 30.89%, other 29.22%. Mortgage Loans by Interest Option (current balances): Variable – Amortising 54.75%, Fixed Rate – Amortising 30.70%, Fixed Rate - Interest Only 10.95%, and Variable - Interest Only 3.60%. Mortgage Insurer: Genworth Financial 43.80%, QBE 0.41%, HLIC 0.37%, uninsured 55.42%. The WA current LTV is 59.93% (original LTV 52.64%) and the WA seasoning is 79.30 months. Regional concentration (by current balances): Vic-Metro 23.22%, WA-Metro 13.07%, NSW-Metro 12.51% and ACT-Metro 9.28%.
CRR/405: ME Bank will retain a material net economic interest of not less than 5.0% in the securitisation in accordance with the text of each of Article 405 of Regulation (EU) No. 575/2013 and Article 51 of Regulation (EU) No. 231/2013. As at the issue date, such interest will be comprised of certain randomly selected exposures held on the balance sheet of the Principal Approved Seller as required by the text of each of the Capital Requirements Regulation and the AIFM Regulation. Any change to the manner in which such interest is held will be notified to Bondholders.
Compare/contrast: SMHL Securitisation Fund 2015-1, Medallion Series 2017-1, Torrens Trust (Series 2017-2P)