Australian Finance Group (AFG) announced it has priced its inaugural Residential Mortgage Backed Securities (RMBS) transaction, following a two-week soft sounding process.
The AFG 2013-1 Trust priced with 10 investors both onshore and offshore, AFG stated. The pool was made up of 943 loans, with a weighted average LVR of 64.2 per cent.
The $275 million pool of home loans originated through the AFG network, managed by the AFG Home Loans and AFG Securities teams.
Investment loans represented 23.7 per cent of the pool and the weighted average seasoning is 7.3 months, according to AFG.
"We are delighted with the outcome and see this as a key milestone for AFG. We plan to be a regular issuer of RMBS and we will be back in the market in the coming months," said Paul O'Donnell, general manager of AFG Home Loans.
