Bangkok--7 Dec--Fitch Ratings Fitch Ratings says in its inaugural Structured Finance Asia Pacific Newsletter published today that the tentative recovery in the Australian primary securitisation market is set to gather pace, with a re-emergence of Australian and Asian investors providing a sound base for renewed growth in the sector for 2008. Although a healthy pipeline of deals is building, the agency notes that recent issuance has been restricted to the domestic market. The major cross-border market, a significant source of funding for the Australian market has yet to be tested. Furthermore the characteristics of the market have changed and investors have regained a position of strength. In the first half of the year the average transaction size was AUD1.3 billion; since the market re-opened in September, following a hiatus in issuance since mid-July, that figure has fallen to AUD300 million. Meanwhile, investors demand simpler structures, greater credit enhancement and better quality collateral. Fitch notes that 12 public transactions have closed since the market re-opened in late September. The agency anticipates that issuers that have so far remained on the sidelines observing the re-opening of the market will re-enter the market in early 2008 boosting activity further. The newsletter, published today, sees Fitch's Asia Pacific structured finance team comment on new developments and themes in the region's securitisation markets. Case studies in this report include an evaluation of back-up servicers and a review of a taxation issue affecting Japanese REITS. Analysts also discuss the performance of asset-backed securities in various jurisdictions including India, Korea, Singapore and Thailand. Recent topical research and upcoming Fitch hosted events throughout the region are also highlighted in the report. Fitch has more than 40 structured finance analysts in Asia Pacific with the majority concentrated in Tokyo, Sydney, Hong Kong and Mumbai. The agency has been providing structured finance ratings from the inception of the Asia Pacific market dating back to the mid-90s. The first edition of the Fitch Ratings Structured Finance Asia Pacific Newsletter is available on the website, www.fitchratings.com.