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.
