SBA Update

July 16, 2018

SBA activity continues to be focused on floating rate equipment pools offered at par and premium pricing as yields on SBA floating rate pools moved higher last week.  Investors are also active in DCPC fixed rates, which are trading at the widest yield spreads in over a year.  SBA prepayments were mixed:  real estate loan pools slowed, while equipment loan pools experienced faster speeds.


SBA Prepayment Speeds

Mixed prepayment results left overall CPRs for SBA pools above their year-to-date average and also above the average since the October procedural changes. Real-estate pools slowed by a greater amount than equipment loans sped up, and for the first time in several months overall speeds for real-estate pools trailed equipment-loan pools.  For additional charts and SBA prepayment commentary, click on the link.



Floating-Rate 7(a) Pools


Fixed-Rate (DCPC and SBIC) Pools





Government Guaranteed Loan Trading



Dan Stimpson, CPA

Senior Vice President

Vining Sparks

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