Main findings:

• In Q3 2017, EUR 48.1 billion of securitised product was issued in Europe, a decline of 33.5% from Q2 2017 but an increase of 4.6% from Q3 2016.
  
  Of the EUR 48.1 billion issued, EUR 22.9 billion was placed, representing 47.6% of issuance, compared to the 56.5% of issuance in Q2 2017 and the 46.2% of issuance in Q3 2016. 
  
  CLO refinancing (“refis”) activity continued at a brisk pace in Q3 2017, with approximately half of all CLO issuance since the end of third quarter of 2016 a refi or repricing. Due to the robust issuance, CLOs also led by EUR volume among placed asset classes in Q3 2017. 

• Outstanding volumes declined to EUR 1.20 trillion outstanding at the end of Q3 2017. Of this, approximately EUR 696.3 billion, or 57.8%, was retained. 
   
• Credit quality: In Europe, upgrades outpaced downgrades in Q3 2017, with upgrades concentrated in European CLOs and prime RMBS.
   
• European asset backed commercial paper (ABCP) issuance was EUR 67.2 billion in Q3 2017, a decline of 1.8% QoQ (from €68.4 billion in Q2 2017) and 50.5% YoY (from €135.8 billion in Q3 2016). Multiseller conduits continue to dominate as the largest category of issuer in the ABCP market, particularly from Ireland and France. 
   
• Regulatory update: On 20 November 2017, following approval by the European Parliament, the European Council adopted the new framework aimed at facilitating the development of a securitisation market in Europe: the “Simple Transparent and Standardised” (STS) securitisation regulation and the related adjustments to capital charges for securitisation product.