Asset-Backed Securities Market Report 2026

The asset-backed securities market size has grown strongly in recent years. It will grow from $2.58 trillion in 2025 to $2.75 trillion in 2026 at a compound annual growth rate (CAGR) of 6.3%. The growth in the historic period can be attributed to growth in consumer lending activity, expansion of auto and equipment leasing, increasing use of mortgage-backed instruments, rising institutional investment demand, development of structured finance markets.

The asset-backed securities market size is expected to see strong growth in the next few years. It will grow to $3.62 trillion in 2030 at a compound annual growth rate (CAGR) of 7.1%. The growth in the forecast period can be attributed to increasing demand for yield-generating assets, rising focus on digital securitization platforms, expansion of green and sustainable abs issuance, growing adoption of ai-based credit analytics, increasing participation of non-bank lenders. Major trends in the forecast period include increasing use of structured asset securitization, rising demand for diversified fixed-income instruments, growing adoption of data analytics in abs structuring, expansion of sme-backed securitization, enhanced focus on transparency and risk disclosure.

The growth of real estate activities is expected to drive the expansion of the asset-backed securities market in the coming years. Real estate refers to property comprising land, buildings, or natural resources and includes a wide range of properties such as residential, commercial, and industrial buildings. Asset-backed securities are employed in the real estate sector to raise capital, manage risk, and enhance liquidity. For example, in June 2025, the U.S. Census Bureau, a US-based government agency, reported that the seasonally adjusted estimate of new houses for sale at the end of May 2025 was 507,000, representing a 1.4 percent increase (±1.3 percent) from April 2025’s estimate of 500,000 and an 8.1 percent rise (±5.5 percent) compared to May 2024’s estimate of 469,000. As a result, the expansion of real estate activities is fueling the growth of the asset-backed securities market.

Major companies in the asset-backed securities market are focusing on technological advancements, such as investment strategies, to enhance risk assessment and improve liquidity management. Investment strategies refer to a set of rules, behaviors, or processes that guide investors in allocating their capital across various assets to achieve specific financial goals. These strategies can vary widely, including approaches like value investing, growth investing, index investing, or technical analysis. For example, in September 2024, Legal and General Investment Management Limited, a UK-based corporation, launched the L and G US Securitized Fund and the L and G US Securitized Plus Fund. These funds aim to provide a diverse range of investment opportunities in US investment-grade securitized credit and offer significant benefits for UK Defined Benefit (DB) pension schemes, including enhanced liquidity that allows schemes to access cash when needed. Additionally, they provide diversification across various asset-backed securities, helping to mitigate risks associated with traditional corporate credit investments. The funds also target returns that exceed those typically offered by conventional fixed-income assets, aiming to generate income for investors.

In October 2025, Barclays Delaware Holdings LLC, a US-based consumer banking and financial services provider, acquired Best Egg Inc. for $800 million. Through this acquisition, Barclays aimed to expand its asset-backed securities (ABS) pipeline by incorporating Best Egg’s large-scale personal loan origination platform, which produces loan portfolios that can be pooled and securitized into ABS products. Best Egg Inc. is a US-based consumer lending fintech company that offers direct-to-consumer personal loan origination services used to generate securitizable loan assets.

Major companies operating in the asset-backed securities market are Bank of America Corporation, Citigroup Inc., Wells Fargo and Company, BNP Paribas, Morgan Stanley, HSBC Group, Goldman Sachs Group Inc., ING Group, Capital One Financial Corporation, UBS Group AG, Barclays Plc, Deutsche Bank AG, Societe Generale S.A., Mizuho Financial Group Inc., BlackRock Inc., Fidelity Investments, State Street Corporation, The Vanguard Group Inc., Franklin Templeton Investments, Janus Henderson, Aegon Asset Management, WisdomTree Inc., Conning Holdings Limited, Fitch Ratings Inc., Eaton Vance Corp.

North America was the largest region in the asset-backed securities market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the asset-backed securities market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the asset-backed securities market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The asset-backed securities market includes revenues earned by entities by providing services such as mortgage-backed securities, funding services, collateralized debt obligations, collateralized loan obligations, and cash flow generation services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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