Increased access to the capital markets has seen the return of aircraft ABS deals far sooner than anyone had predicted with issuances in 2021 close to pre-pandemic levels. The return has seen seasoned issuers as well as new entrants achieve a number of firsts, from the SALT 2021-1 transaction using a blend of traditional aircraft ABS and CLO technology to securitise aircraft loans, to the AASET 2021-2 deal secured against 100% new technology aircraft. This trend looks set to continue with a number of deals already in the pipeline for Q1 2022. There has also been significant consolidation in the aviation market with high profile acquisitions of existing businesses and stand-alone portfolios. All of this is underpinned by the growing involvement of investment funds and investment managers in all sectors, which we expect will continue throughout 2022.

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