French Pfandbriefe - Nouvelle et supérieure

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It didn't take long for France to notice the success of Germany's market in euro Pfandbriefe. In June, lawmakers in Paris copied and fine-tuned the German formula that investors love. But unlike Germany's Hypotheken and Landesbanks, the French issuers of obligations foncières don't rely on interest-rate punts to make a profit. French Pfandbriefe work how the German original was supposed to. Marcus Walker reports