KBRA Assigns Preliminary Ratings to Aqua Finance Issuer Trust 2026-A

Asset-backed securitization collateralized by marine, recreational vehicle, and home improvement contracts

Published on Mar. 4, 2026

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KBRA has assigned preliminary ratings to four classes of notes issued by Aqua Finance Issuer Trust 2026-A, an asset-backed securitization collateralized by $426 million of marine, recreational vehicle, and home improvement contracts. The notes total $381.4 million and have initial credit enhancement levels ranging from 51.40% for the Class A notes to 10.98% for the Class D notes.

Why it matters

This securitization represents a significant transaction for Aqua Finance, a consumer finance company that was acquired by Athene Holding in 2022. The preliminary ratings from KBRA provide an independent assessment of the credit quality and risk profile of the notes, which is important for investors considering this offering.

The details

Aqua 2026-A will issue four classes of notes totaling $381.4 million, collateralized by $426 million of contracts. The credit enhancement is comprised of overcollateralization, subordination of junior note classes (except for the Class D notes), a cash reserve account, and excess spread. KBRA applied its Auto Loan ABS Global Rating Methodology, Consumer Loan ABS Global Rating Methodology, and other relevant methodologies in its analysis.

  • The securitization is scheduled to close on March 4, 2026.

The players

Aqua Finance, Inc.

A consumer finance company operating in all 50 states that was acquired by Athene Holding Ltd in 2022.

Athene Holding Ltd

A retirement services company that acquired a controlling stake in Aqua Finance in 2022.

Kroll Bond Rating Agency (KBRA)

A full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO.

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What’s next

KBRA will review the final operative agreements and legal opinions prior to the closing of the securitization.

The takeaway

This securitization transaction represents a significant milestone for Aqua Finance as it continues to grow its consumer finance business under the ownership of Athene Holding. The preliminary ratings from KBRA provide an independent assessment of the credit quality of the notes, which will be important for investors considering this offering.