Ireland: a high-quality covered bond package

The Irish covered bond, endlessly promised and hyped for the past couple of years, is set to emerge in the new year. Some features that were unique attractions when the legal framework was first proposed in early 2000 have been nullified by other markets’ progress in the meantime – the amended German mortgage banking act, for example, allows the inclusion of assets from a wider range of countries in Pfandbrief covered pools.

Of all the new covered bond laws under preparation – others include Finland and Italy – this is the one likeliest to produce issuance within the next few months.