BRRD supersedes cover pool in Scope’s covered bond rating approach

GLOBALCAPITAL INTERNATIONAL LIMITED, a company

incorporated in England and Wales (company number 15236213),

having its registered office at 4 Bouverie Street, London, UK, EC4Y 8AX

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement | Event Participant Terms & Conditions

BRRD supersedes cover pool in Scope’s covered bond rating approach

Scope Ratings has issued a request for comment on its approach to rating covered bonds, which takes special account of the Bank Recovery and Resolution Directive. This should mean strong banks can get a top covered bond rating without necessarily taking into account the cover pool, as recourse to the pool is considered “extremely remote.” And because the agency does not set a sovereign rating cap, peripheral issuers should be able to get a top covered bond rating.

Unlock this article.

The content you are trying to view is exclusive to our subscribers.

To unlock this article:

Request a Free Trial or Login
Gift this article