OREANDA-NEWS. June 23, 2015. There are signs of increasing optimism about European structured finance issuance this year, according to a survey conducted by Fitch Ratings at Global ABS 2015 in Barcelona.

Asked if they expected publicly-placed European structured finance issuance volumes to rise or fall in 2015 compared with 2014, 59% of respondents said they expected issuance to rise in 2015 indicating rising confidence in the market.

Of those surveyed, 46% thought issuance would rise between 10% and 25%, while 13% thought it would rise by 25% or more. Just 1% of respondents expect a fall in issuance of more than 25%, while 5% were less pessimistic, expecting a fall in volumes of between 10% and 25%. 35% expected 2015 volumes to be largely in line with 2014 levels of EUR80bn.

37% of respondents thought consumer ABS, such as credit card and car loan securitisations, would see the largest increase in issuance volume in Europe this year, followed by 31% for CLOs. The segment expected to see the smallest increase in issuance was CMBS, with 12%, below the 20% who voted for RMBS.

When asked to choose between regulatory treatment, economic activity, declining yields, quantitative easing or limited assets, 60% said regulatory treatment was the biggest challenge facing the European structured finance market this year.

14% then voted for economic activity, whilst of less concern were declining yields (11%), limited assets (10%) and finally quantitative easing (5%).

Marjan van der Weijden, Fitch's EMEA Head of Structured Finance said: "Confidence is a key part of a healthy structured finance market and our survey results show it continues to return, albeit issuance levels are coming from a very low base. The survey results also support our own opinion that greater clarity and consistency on the regulatory treatment of securitisations remains an important challenge to address before the market can return to its potential."

The Fitch Global ABS survey was conducted between 16 - 18 June, comprising 76 responses from investors, bankers, issuers and other related market participants who attended Global ABS in Barcelona.

Fitch's full suite of Global ABS commentary and videos can be accessed here: http://info.fitchratings.com/eurosf/