Nordics

Stadshypotek this (Thursday) morning reopened the Swedish covered bond segment with a five year benchmark, while Caja Madrid will this afternoon price its first issue of the year, a Eu1.75bn seven year cédulas hipotecarias. Meanwhile, UBS has announced the mandate for its debut.

Moody’s on Friday placed BRKkredit’s covered bonds and Nykredit Realkredit’s junior covered bonds on review for downgrade.

Moody’s yesterday (Tuesday) downgraded several Scandinavian financial institutions that either issue covered bonds or are closely linked to issuers, concluding reviews for possible downgrade that were initiated on 22 July.

Norwegian internet bank Gjensidige Bank has established a mortgage bank for the issuance of covered bonds, Gjensidige Bank Boligkreditt.

DnB Nor Boligkreditt issued a Nkr1.25bn (Eu145m) five year floating rate covered bond today (Wednesday) that it is not swapping with the central bank.

Nordea Hypotek has issued a Nkr750m (Eu86m) five year covered bond, catering to Norwegian krone investors that need triple-A securities but are struggling to find paper from domestic issuers.

Fitch yesterday (Wednesday) changed Pohjola Bank’s outlook from stable to negative, while affirming the bank’s issuer default, individual and support ratings and support rating floor.

Norway’s Sparebanken Øst has set up a covered bond issuer.

Fana Sparebank has become the twelfth Norwegian bank to set up a covered bond issuer.

Moody’s yesterday (Wednesday) placed on review for possible downgrade the long term ratings of several Nordic covered bond issuers.

Danish mortgage banks’ tradition of holding auctions once a year in December to refinance covered bonds that fund one year adjustable rate mortgages is facing changes.

Danske Bank is set to price its third euro benchmark covered bond and its first since June 2008 this (Wednesday) afternoon at the tight end of guidance.