In a new report, the Structured Finance Association said 2021 green auto ABS deals totaled $3.5 billion and detailed how rating services weigh emissions when considering ESG factors.

Moody’s Investors Service estimates more than $22 billion of utility cost recovery charge securitizations will be issued in 2022 and 2023.

Non-agency MBS hit the market ahead of Thanksgiving; rating upgrades possible with new commercial MBS methodology at Moody’s; timeshare securitization performance stable; Fitch extends comment period for proposed criteria to rate shipping container ABS; California launches tobacco-settlement securitization.

After a lapse at the beginning of the pandemic, commercial PACE lending and the associated ABS offerings have grown steadily.

At one point during the pandemic, used car prices were up 50% year over year. Now, appreciation is around 20%, prompting speculation that auto ABS performance will take a hit.

The two restaurant chains will use the ABS proceeds to largely pay down their previous deals. The Taco Bell issuance received a higher rating than Hooters.

During a Capitol Hill hearing, House Democrats focused on credit rating shortcomings that allowed for the subprime crisis of 2007-2008 and inadequate reforms that followed.

Asian auto ABS issuers fare better on greenhouse gas scores because they have relatively lower truck/SUV concentrations than U.S. companies, according to KBRA.

One of the five draft bills proposed by the House Democrats this week seeks to establish a board that would be responsible for assigning rating services to provide grades on MBS and ABS.

Many auto ABS market participants believe subprime lenders will be subject to new laws requiring them to ensure borrowers have the ability to pay.