2024 was yet another positive year for the European & Australian Asset Backed Securities (ABS) markets with record issuance and continued robust performance and resilience. We review the year that was here, along with our key areas of focus for 2025.

Emerging markets are poised for a resurgence in 2025, driven by robust fundamentals, attractive valuations, and opportunities in key regions like China, Indonesia, and Vietnam, making this an opportune time for investors.

Proterra Investment Partners Asia (“Proterra Asia”), a private equity fund manager focused on investing in the transformative food and agriculture sectors, is pleased to announce the successful completion of 2024, having made three new investments during the year.

Named after Janus, the Roman god often depicted with two faces (one that looks to the past and one to the future), January is the month of new beginnings. The month we put lessons from the past year into action, and the month we navigate the economic predictions for the year ahead.

Asset-backed securities (ABS) are a type of structured credit instrument where bonds are backed by underlying pools of assets such as mortgages, loans or other corporate or consumer debt. A portfolio of comparable assets are grouped together and held by a Special Purpose Vehicle (SPV). These are then securitised with the bonds backed by the asset portfolio -sold to investors in the market.

A CLO is a type of structured finance product which is backed by a diversified pool of corporate loans. These are typically loans to businesses with sub-investment grade credit ratings. When a CLO is issued, a large number of loans are packaged together, structured into tranches with varying credit ratings and then sold to investors in the market.

With Trump trades flooding the equity market in the run up to the US elections; a sell-off in the treasury markets since then; and Bitcoin hitting an all-time high this month, it is fair to say, that for some investors at least, the last few months have been a bare-knuckle roller-coaster ride.

The environmental failures of water utilities across the UK and the financial failure of Thames Water, has rightly led to increased scrutiny of the entire water sector.

As we pass the halfway mark of 2024, the UK, and European asset-backed securities (ABS) markets continue to demonstrate robust performance and resilience. We review H1 2024 here and expectations for the rest of the year.