Portuguese RMBS performance relatively stable
The performance of the Portuguese residential mortgage-backed securities (RMBS) market remained relatively stable in the three-month period ended in September, according to the latest indices published by Moody’s Investors Service.
In September, 60+ day delinquencies decreased to 1.15% of the current portfolio balance from 1.20% in June, representing a 4.60% drop. Meanwhile, 90+ day delinquencies remained stable during the three-month period at 0.86%. Outstanding defaults (360+ days overdue, up to write-off) increased to 3.28% of the current balance in September from 3.17% in June, a 3.55% increase.
The prepayment rate of Portuguese RMBS slightly increased to 2.08% in September from 1.81% in June.
As of September, Moody’s rated 32 transactions in the Portuguese RMBS market, with a total outstanding pool balance of EUR 14.51 bln compared with EUR 14.79 bln in June.