Structured covered bonds: The long arm of the law

(This article appears courtesy of International Financial Law Review, sign up for a free trial on their site) 




Basel II may have cast a pall over the securitization market, but in its shadow covered bonds are undergoing a remarkable growth.

At the close of 2006, global issue volume for the year stood just shy of €180 billion. Predictions of a market slowdown this year could also prove rash, with banks lining up to issue across Europe. And covered bonds are making waves in the US.