New issue progress reports

• Postbank’s public debut attracts staggering book

  Deutsche Postbank is this (Friday) morning understood to have built a book for its debut jumbo public sector Pfandbrief that is believed to be by far the largest for a covered bond in more than a year and one of the biggest ever.

Regulatory & structuring developments

• ECB programme to start with details unclear

  The European Central Bank has given few new details as to what it will buy or how it will operate when its Eu60bn covered bond purchase programme officially starts on Monday, despite releasing the official eligibility criteria yesterday (Thursday).

Credit & ratings news

• Fitch applauds Spanish update, to revise D-Factors

  Fitch said today (Friday) that recent Spanish legislative changes have improved the country’s covered bond framework and that it will amend the Discontinuity Factors it assigns cédulas hipotecarias.

Mandates & deal pipeline

• Postbank puts KfW-backed mortgages in public pool

  Deutsche Postbank is planning a debut public sector covered bond transaction, expected next week, that will be half-backed by mortgages guaranteed by KfW, an arrangement that promises to extend the amount of collateral that can be viably used as cover for German Pfandbriefe. Meanwhile, Deutsche Kreditbank’s mortgage covered bond programme has been rated by Moody’s.

UnderCover

• Letter from Berlin: Losing Louis

  They may have gathered to mark the members’ meeting of the Association of German Pfandbrief Banks, but the occasion was surely the departure of the vdp’s Louis Hagen. One erstwhile sparring partner at last Thursday’s soirée was moved to pen his own unique tribute to the departing champion of the Pfandbrief.

Uncovered

• The SG Covered Bond Roundtable 2009

  In this roundtable discussion, sponsored by Société Générale, representatives of leading issuers and investors debate the impact of the European Central Bank’s planned purchase programme, the implications of changes to rating agency methodologies, and how covered bonds now fit into investors’ and issuers’ strategies.

Hiring, firing, and M&A

• Four new board members at the vdp

  Four new members were appointed to the Association of German Pfandbrief Banks’ board at the association’s member meeting in Berlin on Friday, and Jens Tolckmitt took over the position of general manager.

Primary market

• Swedbank strikes the right note in Swissies

  Swedbank Hypotek issued a two year Swiss franc mortgage backed covered bond yesterday (Wednesday).

Secondary market news

• Eurex sets date for pilot auctions launch

  Eurex Bonds will go live with the pilot phase of its daily auctions for covered bonds on 20 July.