News & Analysis: issuance

  • News: Issuance
    RBC Issues New Covered Bond - Update #3
    Issue is RBC's second Canadian dollar-denominated CB
    03/09/2010

    Royal Bank of Canada (RBC) has launched a new Canadian-dollar covered bond issue.  Pricing was reported as 40.9 basis points over the relevant Government of Canada benchmark bond curve, compared to initial price guidance in the area of 45 basis points.

    Although initial reports put the planned issue size at C$500, the final size rose to C$850 million (USD $825.8 million).

    The issue will not be eligible for sale into the U.S.

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  • News: Issuance: Lessons From Outside North America: Ratings News
    Covered Bond Roundup - Week Ending February 26
    New issues from UK and Italy; downgrades in Greece
    03/01/2010

    Barclay's and Banco Populare launch jumbos ... Fitch downgrades three Greek mortgage covered bonds ... concerns raised about German public sector covered bonds ... and more.

    Some items of covered bond news do not rate their own story in this publication — often because they relate to geographic areas outside our focus, North America.  Even so, readers who want to keep up with covered bond news in general might find them interesting.

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  • News: Issuance: Lessons From Outside North America
    Financial Times: CBs Among "Best Performing Asset Classes"
    €30 billion in jumbo covered bond issuance so far in 2010
    02/24/2010

    Britain's Financial Times (Feb. 24) proclaimed that covered bonds — "once an obscure form of bank funding" — have become "one of the best performing asset classes of the past year."

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  • News: Issuance: Lessons From Outside North America: Ratings News
    Covered Bond News Roundup - Week Ending Feb. 19
    Issues from France and Germany; "sovereign jitters"
    02/20/2010

    New covered bond issues from WestLB, BNP Paribas, Dexia and WL Bank ... possible rating downgrades for Greek CBs ... concerns about "sovereign jitters" ... and more.

    Some items of covered bond news do not rate their own story in this publication — often because they relate to geographic areas outside our focus, North America.  Even so, readers who want to keep up with covered bond news in general might find them interesting.

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  • News: Issuance: Lessons From Outside North America: Ratings News
    Covered Bond News Roundup - Week Ending February 12
    New issues from "core" countries; Australian CBs closer to approval?
    02/12/2010

    Despite a volatile financial climate, covered bond issues proceed in "core" countries (principally France and Germany), while an Italian bank puts plans on hold ... increasing optimism that Australian regulators will approve covered bond issuance there ...  German cover pools face exposure from Greek crisis ... and more.

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  • News: Issuance
    Deutsche Bank: CIBC "Not a Kick-off of USD Covered Bonds Yet"
    Pricing of strong $2 billion bond tightened to 18 bps in secondary market
    02/09/2010

    The "Canada" section of Deutsche Bank's new 142-page Market Guide on covered bonds (Feb. 8) includes a paragraph on last month's $2 billion issuance of U.S. dollar-denominated covered bonds by Canadian Imperial Bank of Commerce (CIBC).

    As we have noted previously, the CIBC issue priced at 30 basis points over mid-swaps.  In the secondary market, pricing in the secondary market tightened to 18 basis points over mid-swaps in the first week, according to Deutsche Bank.

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  • News: Issuance: Lessons From Outside North America: Ratings News
    Covered Bond Roundup - Week Ending February 5

    New issue from France; downward ratings pressure for 2010
    02/06/2010

    Concern over "seepage" from sovereign downgrades ... predictions of continuing downward ratings pressure this year ... a benchmark covered bond from France ... UK "mortgage rationing"? ... and more.

    Some items of covered bond news do not rate their own story in this publication — often because they relate to geographic areas outside our focus, North America.  Even so, readers who want to keep up with covered bond news in general might find them interesting.

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  • News: Issuance
    WSJ: CIBC USD Covered Bond "Pioneering and Successful"
    Globe and Mail: U.S. investors "developing an appetite"
    02/03/2010

    Last week's landmark issuance of $2 billion in U.S. dollar-denominated covered bonds by Canadian Imperial Bank of Commerce (CIBC) spurred a flurry of postive media comments as to what this may indicate for a possible future U.S. covered bond market.

    A sample:

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  • News: Issuance: Lessons From Outside North America: Ratings News
    Covered Bond Roundup - Week Ending January 29
    New issues; "scramble for cash"; downgrade under revised S&P methodology
    01/29/2010

    Issuance in Austria, France and Germany ... a "scramble for cash" aiding investor's market  ... a downgrade under S&P's revised methodology ... and more.

    Some items of covered bond news do not rate their own story in this publication — often because they relate to geographic areas outside our focus, North America.  Even so, readers who want to keep up with covered bond news in general might find them interesting.

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  • News: Issuance
    CIBC Prices USD $2 Billion Covered Bond - Update
    Start of a trend by non-U.S. banks?
    01/27/2010

    Canadian Imperial Bank of Commerce (CIBC) priced its USD $2 billion, three-year landmark dollar-denominated covered bond at 66 basis points over the 1.375% U.S. treasury bond maturing January 2013, according to Reuters (Jan. 27).  That is equivalent to 30 basis points over mid-swaps (the price reported in the Financial Times).  The yield is slightly over 2%.

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