Merx set to issue inaugural aircraft ABS

airplane landing
By Sasha Padbidri
24 Apr 2018

Merx Aviation Finance is in the market with a $506m securitization backed by mid-life narrow body aircraft, but the transaction’s high concentration of emerging market (EM) lessees poses risks.

Though aircraft asset-backed securities (ABS) was a top pick among ABS investors in 2017, the growing concentration of EM airline obligors in recent deals have raised some concern, as emerging market countries are more vulnerable to political and economic risk.

In the

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