Fitch Ratings says a total of 133 Asia-Pacific (APAC) structured finance (SF) tranches were affirmed in 3Q15. No ratings were upgraded, downgraded or withdrawn during the quarter.Of the total, 53 were prime and non-conforming RMBS backed by Australian or New Zealand properties, 47 were CMBS backed by Japanese properties, 14 were ABS backed by loans in New Zealand. The remaining affirmations were to ABS ratings from Korea (5), Singapore (5) and India (3), structured credit ratings (4), a CMBS rating from Singapore and an RMBS rating from Japan.APAC economies continue to be supportive of SF asset performance. In particular, Fitch considers the macroeconomic situation in Australia to be such that mortgage arrears are about as low as they will ever get even if rates were cut further. In Australia, significant increases in unemployment or decreases in property prices will inevitably have a negative effect on asset performance, although ratings will likely remain unchanged in the medium term.Most long-term ratings in APAC have Stable Outlooks. The exceptions are three Australian RMBS tranches placed on Rating Watch Negative in June 2015 and three Australian ABS tranches, which have Positive Outlooks.
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