The phenomenal year-over-year growth of the European ABS market is set to continue in 2006. But as the market grows so has the number of players and new entrants have unleashed speculation among European investors about the make-up, motivations and expectations of the changing ABS community. Barclays Capital set out to pick at the psyche of the market via its first European ABS investor survey and published its results last week.
The impetus behind the survey was the generational schism between more seasoned buy-and-hold buyers and a new breed. "Most investors were intrigued that Barclays actually cared what they thought," said Hans Vrensen, CFA and member of Barclays research team as well as author of the survey. "A lot of investors have been asking what the other players have been doing - the older, more entrenched investors want to know what the new investors' objectives are."