Mexican issuance continues to move at a good clip. Recurring market visitor Su Casita closed its second fixed-peso RMBS via Credit Suisse on Nov. 16 for a total Ps703 million ($64 million). With a 26-year legal final, the Ps621 million A tranche secured triple-A national scale ratings from all three major rating agencies and priced at 8.66%. That was a yawning 149 basis points inside Su Casita's first fixed-peso issue, which amounted to Ps525 million, had a 25-year legal final and priced last April. The tightening suggests investors aren't having any problem stomaching the heavy volumes of real estate-related deals that have hit the market over the past several months.

The only other issuer in Mexico's market to collateralize its fixed-peso loan is state agency Infonavit. So far the overwhelming majority of RMBS have been in inflation-indexed units (UDIs), reflecting the denomination of most loans originated by the group of nonbank financial institutions known as Sofols.

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