ISIN.com update courtesy of Feb 2015 Global Issuance Report profiling new securities issuance trends and insights and compiled by US-based CUSIP Global Services (CGS). The report provides an analysis of securities issuance activity on a sector-by-sector, asset class-by-asset class and regional basis, offering an early indicator of nascent market trends and burgeoning hot spots of new capital creation. The report profiles CUSIP issuance, and ISIN code issuance is not referenced, as many ISIN codes are issued in connection with local private placements in upwards of 115 regions across the world. As such, readers should be cautious as to how to best extrapolate the findings below.
If expectations about upcoming securities offerings are indeed tied to the direction of security identifier orders, then the prospects for capital markets activity might be tempered if based on the initial order flow for recent CUSIP demand. An examination of January 2015 CUISP orders for a variety of security classes reveals a slight downward drift, based upon information provided by CUSIP Global Services. In the area of corporate securities, including domestic corporate debt and equity as well as Canadian corporates, 2,566 identifier requests were processed in January 2015, off by more than 26% from the year ago tally of 3,497. With regard to specific asset classes, US domestic corporate equity CUSIP demand dropped to 822 in January 2015 from 1,052 a year ago, while US domestic corporate debt CUSIP activity fell to 657 from 724, or 9.3%. One bright spot for domestic corporate CUSIP activity was in certificates of deposit (CDs) with maturities of less than one year. CUSIP requests for the asset class moved higher in early 2015 as 255 identifiers were sought compared to 206 in the opening month of 2014.
One of last year’s more robust areas for CUSIP requests came from upcoming international securities. For all of 2014, identifier requests for upcoming securities in this asset class rose by about 50%. However, at the start of 2015, identifier orders in this area remain somewhat restrained. International equity CUSIP orders eased slightly, to 383 at the start of the year compared to 392 a year ago. Likewise, international debt CUSIP demand slipped slightly to 177 last month compared to 186 a year ago. Also starting the year on a soft note was PPN CUSIP, which saw 172 identifier orders processed compared to 244 a year ago.