Nordea Bank Finland300 Nordea’s new Finnish covered entity mulls Q4 debut after demerger

Nordea Mortgage Bank, a new Finnish issuing entity established following a demerger of Nordea Bank Finland, is looking into possibilities in the euro market and could launch its first euro covered bond in the fourth quarter of 2016, according to an official at Nordea.

From Crédit Agricole CIB

Eu175bn of benchmarks to return covered to net growth in 2016

As always around this time of year, the focus of investors and issuers – as well as analysts – starts to shift towards their expectations for the coming year, writes Florian Eichert, head of covered bond and SSA research at Crédit Agricole CIB.

How much repricing do we need in covered bonds?

In this article Florian Eichert, senior covered bond analyst at Crédit Agricole CIB, tries to assess at what point we will have a more normal covered bond market again that does not just rely on what the Eurosystem does or does not do.

Exiting CBPP3: Who could suffer most if it stops in 2016?

We know we are not even half way through the CBPP3, so talking about the impact an exit in September next year might have could seem a little premature, to say the least, write Crédit Agricole CIB covered bond and SSA analysts Florian Eichert and Stephan Dorner.

Negative yields, tight spreads push investor sentiment to new lows

In the latest edition of their Covered bond Sentiment Index (CSI), Crédit Agricole CIB analysts Florian Eichert and Stephan Dorner found investor sentiment at an all-time low – although the issuer index is close to an all-time high.

Norway

OBOS hovedkontorlogoOBOS-logo vårblomsterHammersborg torg 1 OBOS sells Nkr4bn debut covered bond, ‘high growth rate’ foreseen

OBOS Boligkreditt issued its first covered bonds on Monday, selling two Nkr2bn FRNs while its parent repurchased Nkr2.9bn of senior unsecured debt, and an official at the new Norwegian issuer said it expects “a high growth rate” in the coming years after establishing its name in the market.


Market

SvenskaHandelsbanken300 Stadshypotek Finnish covered kick-off draws Eu1.5bn amid pulled deals

Stadshypotek issued its first covered bond out of a Finnish cover pool today (Tuesday), selling a thrice-subscribed Eu500m 10 year issue that progressed smoothly, in contrast with more turbulent conditions in other markets, with NordLB pulling a senior trade amid pressure on European banks.


Ratings

finanstilsynet Proposed mortgage rules positive for Norwegian covered, says Moody’s

Tighter mortgage underwriting standards proposed by Norway’s FSA are credit positive for Norwegian covered bonds and banks, Moody’s said yesterday (Monday), highlighting a cap on loan-to-income ratio limits and lower LTV ratios.


Denmark

JyskeFacade_aften300 SKK1.25bn tranche ‘cherry on cake’ of debut Jyske AT1

A debut, dual tranche DKK1.5bn equivalent AT1 for Jyske Bank on 7 September was more than twice oversubscribed, and comprised the first benchmark Swedish krona AT1 from a non-domestic name, with a Jyske official deeming the result a testament to years of work in the Swedish market.


Sweden

DBRS new app Risks highlighted in DBRS’s first Swedish analysis ‘not uncommon’

DBRS published a first Legal & Structuring Framework (LSF) assessment of Swedish covered bonds yesterday (Thursday), highlighting some shortfalls but noting these are “not uncommon” and have mitigating factors, while also citing covered bonds’ connectedness to the economy as a strength.


Industry Moves

Jesper Berg ECBC plenary Copenhagen 2016 ECBC to tackle RWA floors, Realkreditrådet calls for ‘disconnect’ from Basel

The European Covered Bond Council will in the coming months focus on addressing the impact of risk-weight floors for mortgages being proposed by the Basel Committee, which representatives of the Danish FSA and issuers questioned at an ECBC plenary yesterday (Thursday).


Finland

Nordea Bank Finland300 Nordea’s new Finnish covered entity mulls Q4 debut after demerger

Nordea Mortgage Bank, a new Finnish issuing entity established following a demerger of Nordea Bank Finland, is looking into possibilities in the euro market and could launch its first euro covered bond in the fourth quarter of 2016, according to an official at Nordea.