Compass Banca in consumer loans securitisation

Compass Banca - a bank that serves customers in Italy has securitised €2bn of its consumer loans [defined by the Regulatory Technical Standards as: credit facilities to individuals for personal, family or household consumption purposes] originated by the bank to customers in Italy (Quarzo 2020 Securitisation).

Being consumer loans, the transaction has a revolving period during which new loans may be added to replenish the pool.

Interestingly, and according to PCS, the revolving period may end if "the Originator fails, during the Revolving Period, to offer for sale Subsequent Portfolios to the Issuer for 3 (three) consecutive Offer Dates, (unless such event is attributable to the Covid-19 emergency)." [ my emphasis].

The portfolio and the Notes pay fixed rate (DBRS Morningstar) and there is also no currency risk.