Argentine issuance rose in the last few months, not in the least bit scraped by a spike in interest rates. Yet the future isn't as bright, with tighter regulatory scrutiny of consumer ABS (see story below) and poor diversity away from that asset class likely to take a toll.
In light of the global climate, however, growth has been impressive. Domestic issuance of ABS and MBS hit Ps7.3 billion ($2.3 billion) in the first 11 months of 2007, up 23% from the same timeframe last year, according to Gainvest Asset Management. Even after global turmoil forced average yields on senior tranches of ABS past 10% in August (see table), issuance proved resilient, with volumes up 34% in November year-on-year.