VDP secures priority claim on UK assets in post-Brexit world

The Association of German Pfandbrief Banks has developed a contract to ensure Pfandbrief investors’ priority claims on UK-based cover pool assets after Brexit.
As a result of the UK’s departure from the EU, courts in England and Wales can distribute the assets of a defaulting European Economic Area issuer to general creditors under English insolvency law, putting covered bond investors at risk.
Moody’s suggested issuers would mitigate material risks to ...Already a subscriber? Login