MPS 10 year fails to match April’s super seven year

Banca Monte dei Paschi di Siena (MPS) took advantage of its new position among covered bond investment grade borrowers to take a 10 year benchmark to market on Tuesday. Given its €1bn seven year tap in April attracted one of the highest oversubscriptions of any covered bond of that size this year, expectations for Tuesday’s deal were high. But on that basis the deal disappointed, despite it delivering another €1bn for the issuer.