Danske Bank fights back after Moody’s attack

As the largest bank in Denmark, Danske is a test case for funding under an active resolution regime — when Amagerbanken failed early this year, senior bondholders were told to expect a 41% loss. Even the 200 year old covered bond market, which has quasi-religious significance for funding officials in Denmark, is under threat, with Moody’s determined to cut ratings of established programmes. Owen Sanderson reports.