Core covered bonds show value despite tapering expectations

Investors believe core covered bond spreads have the scope to tighten. but the underlying mood is still fragile, investors lack confidence and are fearful that volatility will return, especially in the peripheral markets. There is also a risk that the European Central Bank proves to be more hawkish than expected at this Thursday’s policy meeting.

  • By Bill Thornhill
  • 13 Jun 2018

It is not improbable that investors and bank traders will be incentivised to take profits, or lighten up on trading inventory, ahead of the third quarter — particularly in Italian covered bonds. 

Even so, in the opinion of some investors, near term spread prospects are constructive. That ...

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Bookrunners of Global Covered Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 HSBC 2,007.05 8 8.12%
2 Barclays 1,682.54 7 6.80%
3 UniCredit 1,541.65 8 6.23%
4 RBC Capital Markets 1,529.57 5 6.18%
5 Credit Agricole CIB 1,434.09 6 5.80%

Bookrunners of Global FIG

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 BNP Paribas 3,754.46 8 8.10%
2 Citi 3,099.14 12 6.68%
3 SG Corporate & Investment Banking 2,856.43 6 6.16%
4 Bank of America Merrill Lynch 2,525.67 10 5.45%
5 UBS 2,487.84 9 5.37%

Bookrunners of Dollar Denominated FIG

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 BNP Paribas 2,661.03 2 13.95%
2 JPMorgan 2,252.50 9 11.81%
3 Goldman Sachs 2,017.50 5 10.58%
4 Bank of America Merrill Lynch 1,985.76 6 10.41%
5 Citi 1,860.53 7 9.75%

Bookrunners of Euro Denominated Covered Bond Above €500m

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Natixis 1,277.72 4 8.80%
2 Barclays 1,252.42 5 8.62%
3 Credit Agricole CIB 1,206.85 4 8.31%
4 SG Corporate & Investment Banking 1,183.61 4 8.15%
5 UniCredit 1,182.66 4 8.14%

Global FIG Revenue

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 02 May 2016
1 Morgan Stanley 365.83 497 7.62%
2 JPMorgan 332.66 618 6.92%
3 Bank of America Merrill Lynch 299.89 590 6.24%
4 Goldman Sachs 276.71 375 5.76%
5 Citi 264.54 592 5.51%

Bookrunners of European Subordinated FIG

Rank Lead Manager Amount €m No of issues Share %
  • Last updated
  • Today
1 JPMorgan 201.08 2 18.64%
1 Bank of America Merrill Lynch 201.08 2 18.64%
3 UniCredit 113.58 1 10.53%
3 SG Corporate & Investment Banking 113.58 1 10.53%
3 Citi 113.58 1 10.53%