Long Term Securities Issuance in First Quarter 2017 $1.9 Trillion, Up 13.1% Year/Year

New York, NY, May 17, 2017 – SIFMA today published its Research Quarterly for the first quarter of 2017.  Long-term securities issuance totaled $1.90 trillion in 1Q’17, an 18.7 percent increase from $1.60 trillion in 4Q’16 and a 13.1 percent increase year-over-year from $1.68 trillion. Issuance increased quarter-over-quarter across all asset classes except for municipal, mortgage-related and asset-backed securities.  Year-over-year growth was positive in all asset classes except municipal debt.

Long-term public municipal issuance volume including private placements for 1Q’17 was $90.5 billion, down 13.7 percent from $104.9 billion in 4Q’16 and down 9.4 percent from 1Q’16.

The U.S. Treasury issued $654.1 billion in coupons, FRNs and TIPS in 1Q’17, up 44.8 percent from $451.6 billion in the prior quarter and 13.1 percent above $578.2 billion issued in 1Q’16.

Issuance of mortgage-related securities, including agency and non-agency passthroughs and collateralized mortgage obligations, totaled $406.5 billion in the first quarter, a 27.3 percent decline from 4Q’16’s $558.9 billion but a 12.3 percent increase from the $361.9 billion issued in 1Q’16.

Corporate bond issuance totaled $468.7 billion in 1Q’17, up 79.0 percent from $261.8 billion issued in 4Q’16 and up 17.9 percent from 1Q’16’s issuance of $397.4 billion. Of all 1Q’17 corporate bond issuance, investment grade issuance was $381.0 billion, or 81.3 percent of total, while high yield issuance was $87.7 billion, or 18.7 percent.

Long-term federal agency debt issuance was $151.2 billion in the first quarter, a 49.1 percent increase from $101.4 billion in 4Q’16 and a 2.5 percent increase from $147.4 billion issued in 1Q’16.

Asset-backed securities issuance totaled $75.8 billion in the first quarter, a decline of 3.5 percent quarter-over-quarter but a 37.5 percent increase year-over-year.

Equity underwriting increased by 23.4 percent to $57.7 billion in the first quarter from $46.8 billion in 4Q’16 and up 29.4 percent from $44.6 billion issued in 1Q’16. Of the total, “true” initial public accounted for $10.7 billion, up 144.8 percent from $4.4 billion in 4Q’16 and up tenfold from $1.2 billion in 1Q’16.

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SIFMA is the voice of the U.S. securities industry. We represent the broker-dealers, banks and asset managers whose nearly 1 million employees provide access to the capital markets, raising over $2.5 trillion for businesses and municipalities in the U.S., serving clients with over $18.5 trillion in assets and managing more than $67 trillion in assets for individual and institutional clients including mutual funds and retirement plans. SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (GFMA). For more information, visit http://www.sifma.org.