DBRS Confirms Ratings of Four HERO U.S ABS Transactions

DBRS, Inc. (DBRS) reviewed the ratings of six publicly rated securities issued by four HERO U.S. ABS securitization transactions. The ratings of all six of the securities were confirmed. Credit enhancement levels were sufficient to cover DBRS’s expected losses at their current respective rating levels.

HERO Funding Trust 2015-3
-- Class A Notes confirmed at AA (sf)

HERO Funding 2016-4
-- Class A1 Notes confirmed at AA (sf)
-- Class A2 Notes confirmed at AA (sf)

HERO Funding II 2016-4B
Class B Notes confirmed at BBB (sf)

HERO Residual Funding 2016-1R (Cayman)
-- Class A-1 Notes confirmed at BBB (high) (sf)
-- Class A-2 Notes confirmed at BBB (high) sf)

The ratings are based on DBRS’s review of the following analytical considerations:
-- Transaction capital structure, proposed ratings and form and sufficiency of available credit enhancement.
-- The transaction parties’ capabilities with regard to origination, underwriting and servicing.
-- The credit quality of the collateral pool and historical performance.

Notes:
All figures are in U.S. dollars unless otherwise noted.

The principal methodology is DBRS Master U.S. ABS Surveillance Methodology, which can be found on dbrs.com under Methodologies.

The rated entity or its related entities did participate in the rating process. DBRS had access to the accounts and other relevant internal documents of the rated entity or its related entities.

Please see attached appendix for additional information regarding sensitivity of assumptions used in the rating process.

For more information on this credit or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.