Europe

Sell-side sources are hoping that Iberian ECM can return to its golden age with sellers prepping more issuance after two deals hit screens in the last week.

Jyske Realkredits sold a six year covered bond at a level that was flat to its existing curve on Tuesday, with an subscription ratio that was higher than any other Danish euro covered bond ever issued.

John McFarlane, chair of Barclays, said on Monday that he hoped the EU would not turn its back on London in the Brexit negotiations. However, he expected financial activity to move out of London to Europe, and thought that — on a global scale — faster-growing economies in Asia and the US, and big technology firms, could reshape the financial industry.

Danske Bank is hoping to place its first issue of green bonds this month, though the market is still awaiting the findings of a series of investigations into money laundering at its branch in Estonia.

French demand outweighed interest from UK accounts in an additional tier one deal for the first time this week when Erste Bank sold a €500m bond that it had first planned nearly a year ago.

UK financial institutions are returning to the debt markets ahead of a fresh vote on the Brexit withdrawal agreement next week, with Lloyds Banking Group hitting the US market on Tuesday and HSBC Holdings turning to sterling after a dollar transaction earlier in the week.

Greek covered bond issuers could be ready to return to the market this month, with banks expecting ratings upgrades following an upgrade for the sovereign last week. With the Hellenic Republic attracting strong demand for its 10 year on Tuesday, Greek issuers have the potential to extend their covered bond curves.

Koç Holding opened books for a six year dollar benchmark, returning to the bond market for the first time in three years. While market participants said that initial price thoughts looked generous, they expected the spread to be tightened aggressively before pricing.

Siberian Coal Energy Co (Suek) is expected to refinance an existing $1.5bn loan and, in doing so, set the benchmark as the first big Russian loan of the year. The transaction offers a sliver of hope in a painfully barren market and will determine the depth of lenders’ appetite for Russian debt.

M&G Prudential is creating a single unit for global investments and has picked Prudential plc’s group treasurer, Jack Daniels, to lead it. The moves comes ahead of Prudential’s plan to carve out its UK and European savings arm.

Julian Ide has been picked as the new CEO of active equity investment firm Martin Currie.

Nokia had much to be thankful for on Monday when it issued a €750m seven year bond at 170bp over mid-swaps — the same level at which its older five year bond was trading at the beginning of this year.