Share the article
twitter-iconcopy-link-iconprint-icon
share-icon
AmericasApril 2 2006

Debut deals pave way for US market

The US has watched the rapid development of the covered bond market in Europe and elsewhere from afar. Now, with questions hanging over the country’s giant mortgage-backed securities providers and tempted by insatiable investor appetite, US issuers are about to dip their toes in the water. Michael Marray reports.
Share the article
twitter-iconcopy-link-iconprint-icon
share-icon

The internationalisation of the covered bond market has been one of the major trends of the past few years. Investors routinely compare and buy bonds in different countries and issuers are becoming less reliant on domestic investors.

Until now, however, this dynamic development has bypassed the US. With no domestic covered bonds in existence only a few US investors have even taken the trouble to understand the product and, although a small number of European tranches have been sold in the US, it is a negligible investor base for the asset class.

To continue reading, join our community and benefit from

  • In-depth coverage across key markets
  • Comments from financial leaders and policymakers worldwide
  • Regional/country bank rankings and awards
Activate your free trial