Coming soon! Shortlists for The Cover Awards 2016 will be unveiled on the 11th July, when voting will also begin.

Market wrap

  • Santander UK takes £500m as euro supply and more QE to follow

    The UK subsidiary of Santander issued a £500m three year floating rate deal on Friday in an exercise that suggested UK banks still have good access to wholesale funding. The deal comes as several banks line up with euro benchmarks next week, and amid growing signs that a further expansion of quantitative easing is on the way.

  • Covered bonds set for restart

    Several covered bond borrowers are eyeing the market for possible issuance next week from a range of eurozone and non-eurozone countries.

Rating news

  • Fitch overhaul measures covered bond bail-in risk

    Fitch has revamped its covered bond rating rules to reflect differences between national resolution frameworks that could allow covered bond liabilities to be partly bailed-in, in some jurisdictions. Upgrades are likely in low investment grade countries, and downgrades in high investment grade countries.

In-depth analysis and interviews

  • Covered bonds stirred by Brexit, not shaken

    The covered bond market reacted stoically to the surprising outcome of the UK’s referendum to leave the European Union with the primary market expected to restart in two weeks.

Regulatory developments


  • Will corporate euphoria give way to ennui?

    When the covered bond purchase programme (CBPP3) began in October 2014, valuations had become severely overstretched, and not long after the purchasing began, the market came under considerable pressure. Valuations are once again looking overstretched across the board but more so in the corporate sector where eurosystem buying has also only just begun.

  • The Cover Awards 2016 – shortlist nominations

    The Cover invites market participants to submit 200 word pitches, or nominations, which will form the basis of shortlists that will be voted on in this year’s annual awards.

Analyst research

  • Swedish and Norwegian covered bonds face higher capital charges

    Bank investors of Norwegian and Swedish covered bonds will be obliged to hold more capital against their investments from next week. Though this is likely to have implications for a considerable number of noteholders, the absolute change is small and is unlikely to affect demand, said analysts at Danske Bank research.

Secondary market

  • UK covered bonds edge wider

    In the devastating aftermath of Friday’s UK referendum result, UK covered bonds have been marked wider in contrast to peripheral national champions that have benefitted from some short covering interest at the long end.

Deal reviews

  • PKO looks to euros after second zloty success

    PKO Bank Hipoteczny, Poland’s largest mortgage lender, has issued its second covered bond since the country’s updated legal framework came into force. The well oversubscribed, tightly priced and broadly distributed deal sets a strong prelude for an expected inaugural euro benchmark later this year.

  • BRFkredit extends curve at tighter spread

    The Danish covered bond issuer extended its curve and priced a larger deal well inside where its inaugural five year was issued in March and with a fair oversubscription ratio.

Mandates & deal pipeline

  • Fortis brings Belgian Pandbrieven family to four

    Belgian bank BNP Paribas Fortis has successfully registered its residential covered bond programme with the central bank, suggesting it could soon be ready to issue its first deal.

  • TSB will issue covered bonds

    After recently issuing its debut RMBS, TSB Bank, the UK bank that was spun off from Lloyds, has filed vehicles suggesting it will turn to covered bonds.

RMBS primary news

  • Bumper book size boosts market's first green RMBS deal

    Strong demand helped two Dutch issuers bring €500m RMBS deals this week, with Obvion opting to boost the deal size of its market-first green RMBS after building a bumper order book dominated by dedicated green investors.

  • Delta Lloyd benefits from technical demand

    Delta Lloyd Bank’s €500m Dutch RMBS deal was priced on Tuesday and benefitted from strong technical support as investors scramble for paper. The swapless bonds also feature more than usual credit enhancement as well as low risk NHG-guaranteed collateral that may soon become scarce.

People moves

  • Hagen takes helm at vdp

    Dr. Louis Hagen will succeed Jan Bettink as president of the Association of German Pfandbrief Banks (vdp).

Deals tracker

Priced Deals

Search the full priced deals table here

Deals pipeline

Search the full deal pipeline table here

Book runner

Covered bonds €500m+ YTD to June 10  2016

Lead manager Amount
No of Issues Share %
1 Credit Ag'  6.86 31 7.7
2 LBBW 6.53 36 7.4
3 Commerzbank 5.80 36 6.5
4 UBS 5.59 24 6.3

 league table builder

All covered bonds YTD June 10 2016

Lead manager Amount
No of Issues Share %
1 UBS 7.88 41 6.0
2 Credit Ag' 7.78 34 5.9
3 LBBW 7.52 41 5.7
4 HSBC 7..12 38 5.4

 league table builder