Apollo Series 2017-1 Trust: 22 March 2017

Another Australian RMBS transaction from originator Suncorp Metway, which is one of Australia's leaders in banking, insurance, investment and superannuation, and focuses on retail customers and small to medium businesses. The banking division provides a full range of banking services including loans, savings and investment accounts, credit cards and foreign currency services for retail and small to medium business customers.

As at 1 March 2017 (the cut-off date), the mortgage pool consists of 4,550 mortgage loans. Eligibility criteria for inclusion in the pool (include): the loan has been advanced and is repayable in Australian Dollars; is secured by a mortgage which is either: (A) a first ranking mortgage; or (B) a second ranking mortgage where: (1) there are 2 mortgages over the land securing the Mortgage Loan and the Seller is the first mortgagee, and (2) the first-ranking mortgage is also being acquired by the Trustee; is secured by a mortgage over land which is residential property; has a loan-to-value ratio not exceeding 95% determined as at the cut-off date; is a fully verified income loan; is not in arrears of greater than 30 days; is a loan whose interest rate has been fixed for a period greater than 5 years.

The average current balance is A$274,725, with the highest being A$999,625, and there are 42 loans in the pool with greater than A$750,000 outstanding (representing 2.86% of total current balances). Owner-occupiers account for 79.26% of total balances, variable rate loans account for 87.58% and interest-only for 14.08%. Insurance provider: No Insurance 68.59%, QBELMI 31.41%. The current WA LVR is 64.65% (original LVR was 62.95%), with WA seasoning of 52.00mnths. Regional concentration (by outstanding balances): Brisbane Metro 22.64%, Sydney Metro 21.49%, Queensland – Non-Metro 12.15% and Melbourne Metro 11.18%.


CRR 405: Suncorp-Metway (as original lender) will undertake to hold, in accordance with the Retention Rules, an interest in randomly selected exposures equivalent to no less than 5% of the aggregate principal balance of the securitised exposures in accordance with paragraph 1(c) of Article 405 of the CRR.


Compare/contrast: Apollo Series 2015-1 Trust, Medallion Series 2016-2