Covered Bonds

Latest News

  • French banks may pre-fund with covered bonds

    French banks may pre-fund with covered bonds

    French banks have been among the most active issuers of covered bonds so far this year but, with the pace of mortgage origination expected to slow and deposit inflows rising, further supply is less certain with pre-funding for next year becoming an option with doubts over the longevity of the prevailing strong market conditions.

  • Lower covered bond issuance increased OC levels, says Fitch

    Lower covered bond issuance increased OC levels, says Fitch

    Overcollateralisation (OC) levels have increased on covered bond pools since last year for European issuers, Fitch Ratings said this week. But while issuers in some countries, like the UK, showed a rise above the average, borrowers that have participated in central bank funding, like those in Germany, have managed to keep OC levels down.

  • Nykredit readies last tap of biggest ever covered

    Nykredit readies last tap of biggest ever covered

    Danish covered bond auction season is underway with Nykredit and Nordea announcing sales. August’s auctions also provide the last opportunity to buy certain 30-year callable bonds, of which one is the largest covered bond ever issued.

  • Squeeze tightens but no room for complacency

    Squeeze tightens but no room for complacency

    European Central Bank covered bond buying and mounting covered bond redemptions will exacerbate a technical squeeze — but with Bunds set to underperform swaps, issuers cannot afford to be complacent.

  • Renovation revolution spurs green covereds

    Renovation revolution spurs green covereds

    The refurbishment of existing housing stock promises to deliver big strides in cutting global carbon emissions and will provide issuers with a large new stream of green collateral to issue green covered bonds.

  • A close call for this year’s covered bond awards

    A close call for this year’s covered bond awards

    Just a few few votes separate the leading contenders in some of the categories in GlobalCapital’s Covered Bond Awards 2020 survey and, with the outcome uncertain, market participants that have not voted yet are encouraged to do so soon.

  • LCR amendment could disrupt Lux covereds

    LCR amendment could disrupt Lux covereds

    The European Commission’s proposed amendment to the Liquidity Coverage Ratio Delegated Act suggests covered bonds, such as those issued by NordLB Luxembourg and others, could be excluded, which could extinguish banks’ demand for them. However, it is likely that a solution referencing the covered bond directive will be found.

  • Covered frameworks using SPVs clearer and safer for bondholders, says Fitch

    Covered frameworks using SPVs clearer and safer for bondholders, says Fitch

    Covered bond issuers using programmes containing a special purpose vehicle (SPV) have more guidance on the treatment of bad loans and protect bondholders further compared with those using integrated templates, Fitch said this week when assessing the risk coronavirus era mortgage payment holidays pose to the asset class.

  • National adoption of covered bond directive still on track

    National adoption of covered bond directive still on track

    The transposition of the covered bond directive into national legislative frameworks is expected to have been completed by all member states within the next six months. But the clock is ticking, and a decision on whether to postpone implementation will be discussed in September.

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THE EUROMONEY ECBC VIRTUAL COVERED BOND CONGRESS 2020

Video

  • On September 9-10, 2020 Euromoney and the ECBC will host the eighteenth annual meeting for the international covered bond market, virtually.

    In this video, Toby Fildes, managing editor of GlobalCapital, and Richard Kemmish, editorial consultant at GlobalCapital Conferences, outline some of the discussions for the Congress.

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Roundtable

  • Covered bonds through Covid: the French issuers’ perspective

    Funding officials from Caffil, Credit Mutuel Arkéa and La Banque Postale gathered in early July to take part in a roundtable to discuss how they navigated their way through the peak of the crisis when covered bond market volatility was at its highest, and how they expect to manage funding in its aftermath, as the pernicious impact of the pandemic takes its toll.