Intesa gives in to demand with longest peripheral in a year

Intesa Sanpaolo has given in to perennial investor appetite for long dated peripheral issuance, tapping into excessive demand with a €1.25bn 10 year covered bond — the first in this tenor from a peripheral issuer in over a year. Though the cost of funding is more expensive than the underlying assets, the losses are not as high as they would have been if the deal had come three months ago.