BBVA issues its twentieth mortgage loan securitization fund
On June 14, 2021, BBVA registered its second fund this year, BBVA RMBS 20 FT, a fund whose assets are made up of first-lien residential mortgage loans, representing the twentieth fund in this asset type.
The fund consists of two unique Series of Bonds, for a total of 2,500 million euros and a Reserve Fund for 125 million euros. The transaction is self-retained by BBVA in order to use the senior tranche as collateral in operations with the Eurosystem. The capital structure, which has a credit enhancement of 11%, has made it possible to maximize the amount of the senior tranche, as well as to obtain ratings of “AA (high) (sf)”, “AA (sf)” and ” AAAsf by DBRS, S&P and Scope, respectively. Likewise, the ratings assigned to the subordinated tranche by these three rating agencies are in the investment grade category.
More than fourteen years have passed since the first BBVA Mortgage Loan Fund was registered on February 19, 2007. Fourteen years continuing to build and manage Securitization Funds adapting to regulatory changes and economic conditions, optimizing structures and maximum agency ratings. We are proud to accompany BBVA with the establishment of its 20th Mortgage Loan Fund and we will continue working and innovating to continue creating Funds for many more years.
Europea de Titulización, S.A., S.G.F.T.
June 2021