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THE KINGDOM of Spain this week successfully launched a 30 year euro fungible deal, the longest yet in the nascent single currency.

* Toyota Motor Credit Corp Rating: Aaa/AAA

* Japan Finance Corp for Municipal Enterprises Guarantor: Japan

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INVESTMENT banks are furiously pitching for one of the market's most prized mandates as the World Bank mulls its contribution to the new generation of super liquid bonds. The Washington-based supranational has confirmed to Euroweek that, following exploratory talks with bankers last week, it is considering issuing a large dollar denominated global benchmark transaction in US dollars at between $3bn and $5bn in size.

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TWO of the big three US car companies came to market with jumbo loan securitisations on successive days this week. Merrill Lynch brought a $1.25bn fixed rate deal for Chrysler Corp on Wednesday. "The deal was at least twice oversubscribed and came at the tight end of price talk," said Ashley Kibblewhite of Merrill's London asset backed syndicate desk. "There is very little paper available in the secondary market and a lot of pent up demand for auto bonds. With a flat yield curve it makes sense to buy an amortising note and take the pickup over a bullet."

ABBEY National, one of the UK's largest and best known banks, this week launched its first securitisation in a move which signalled the arrival of mortgage backed securities in the mainstream of Britain's home lending industry. Launched via JP Morgan, the £247.5m deal also marked the Abbey's switch from the buy side to the sell side.

CSFB launched the first CLO backed by project finance loans yesterday (Thursday). The $617m deal through Project Funding Corp 1 will be priced this morning in New York. "The deal has gone extremely well," said a syndicate official at sole manager CSFB in New York. "The triple-A, single-A and triple-B tranches are all oversubscribed and the double-B has gone fairly well. A lot of CLO investors have come into the deal, as well as accounts which buy fixed rate project finance bonds.

FRENCH franc investors had their first chance to buy notes backed by a guaranteed investment contract this week, as Paribas brought the latest deal from SunAmerica's multi-currency MTN programme. SunAmerica Institutional Funding III Ltd issued Ffr1.5bn of notes repackaging a GIC written by SunAmerica National Life Insurance Co (Sanlic), the triple-A rated derivative product company owned by SunAmerica Inc.

* Bank America Robertson Stephens yesterday launched syndication of the first revolving term securitisation in the Mexican peso market. The Ps1bn deal for Elektrafin, the finance subsidiary of discount retail chain Grupo Elektra, is backed by consumer finance loans extended to Elektra's customers. The three year revolving deal is expected to price at 300bp over Cetes and close at the end of March.

The discussion in part one of this Learning Curve (DW, 2/2) has shown that it is possible to obtain a significant terminal de-correlation amongst rates even in the presence of perfect instantaneous correlation.