Macquarie's return to the Australian capital markets is in the form of a cash securitisation of car leases, hire purchase agreements and equipment loans and leases extended to borrowers located in Australia. All receivables were originated by Macquarie Leasing Pty Limited, a wholly owned subsidiary of Macquarie Bank Limited.According to a Moody's pre-sale report yesterday, this is the thirtieth securitisation under Macquarie Leasing's SMART program, and their first auto loan securitisation issuance for 2016. The transaction marks the first SMART ABS transaction to have all tranches Australian dollar-denominated since the May 2015 SMART 2015-2. It consists of A$500 million in notes, essentially two tranches that are rated and a subordinated A$5 million tranche of sellers' notes.A Moody's pre-sale report noted that the transaction structure is somewhat similar to the SMART 2015-2 transaction - the most recent SMART transaction, which was to be entirely sold to AUD investors. The current transaction features an additional one per cent credit enhancement to the Class A and Class B Notes.The pool includes a high percentage of novated leases (38 per cent), which exhibit a lower level of risk than other contract types. At the same time, the deal is predominantly backed by motor vehicles (95 per cent), with some equipment assets (five per cent).According to a Fitch pre-sale note, "The collateral backing the SMART ABS Series 2016-1 Trust transaction is of similar credit quality to prior pools securitised under the SMART program." Fitch added that: "The pool comprises lease and loan receivables backed by motor vehicles and equipment, with weighted-average seasoning of 6.2 months and average receivable size of A$33,104. Novated contracts contributed to the relatively low arrears levels on prior SMART transactions and make up 38.1 per cent of the current transaction pool."