SBA Update

July 31, 2017

Portfolio managers quickly picked up new issue equipment-backed floating-rate SBA pools last week.  In addition, investors continued to focus on adding par handle real-estate-backed floating-rate SBA pools to their portfolios. Fixed-rate SBA investment continues to be limited as the supply of DCPC paper in the secondary market continues to be scarce.


Floating-Rate 7(a) Pools

Fixed-Rate (DCPC and SBIC) Pools

Guaranteed Loan Trading


Trading continues to be healthy in par handle SBA floating-rate pools, while investment in fixed-rate SBA is limited as supply of DCPC may be a challenge until the next auction. Portfolio managers continue to diversify SBA holdings by adding well-structured new issue pools when available.  Loan trading activity continues to be robust, with YTD government guaranteed loan origination volumes continuing to outpace last year’s totals.


Greg Roll, CFA

Senior Vice President

Vining Sparks

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