- In third quarter of 2022 outstanding amount of debt securities issued by euro area FVCs engaged in securitisation decreased to €1,698 billion, from €1,709 billion in previous quarter
- Net redemptions of debt securities by FVCs during third quarter of 2022 amounted to €14 billion
- Euro area FVCs disposed €12 billion of securitised loans in third quarter of 2022, with outstanding amounts totalling €1,265 billion
The outstanding amount of debt securities issued by euro area FVCs was €1,698 billion at the end of the third quarter of 2022, €11 billion lower than at the end of the previous quarter. Over the same period, transactions amounted to a net redemption of €14 billion (see Chart 1). The annual growth rate of debt securities issued, calculated on the basis of transactions, decreased to 4.7% in the third quarter of 2022, from 5.5% in the previous quarter.
Euro area FVCs’ holdings of securitised loans – accounting for most of the assets backing the debt securities issued – decreased to €1,265 billion at the end of the third quarter of 2022, from €1,277 billion at the end of the previous quarter. The change was accounted for by net disposals of €12 billion (see chart 2). Net disposals of securitised loans originated by euro area monetary financial institutions (MFIs) amounted to €11 billion.
Turning to the borrowing sector of securitised loans, loans to euro area households amounted to €734 billion at the end of the third quarter of 2022, with a net disposal of €8 billion during the third quarter of 2022, while loans to euro area non-financial corporations amounted to €397 billion, with a net disposal of €4 billion.
Among the other assets of euro area FVCs, deposits and loan claims amounted to €182 billion at the end of the third quarter of 2022, predominantly claims on euro area MFIs (€92 billion). There was also a net disposal of deposits and loan claims of €9 billion during the quarter. Holdings of debt securities amounted to €469 billion at the end of the third quarter 2022, while net acquisitions amounted to €11 billion. Other securitised assets held by FVCs – including for example trade, tax and other receivables – amounted to €107 billion, with negligible net transactions.