The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Banking

FIG Watch: B&B takes back ownership

Bradford & Bingley’s treasurer, Peter Green, and head of capital markets and securitization, Mark Winter, want to regain ownership from investment banks of their institution’s dialogue with investors. They are following a simple strategy of diversifying the investor base. Allied to a remarkable level of transparency during the printing of new issues, this is already reaping its rewards. Alex Chambers reports.

Peter Green and Mark Winter, Bradford and Bingley
Peter Green (left) and Mark Winter: seeking greater control over the marketing and sales of Bradford & Bingley’s bonds

It was not so long ago that Bradford & Bingley was an unloved, at least by the wholesale markets, former building society. The bank was maligned by investors’ poor understanding of the true nature of its business and was under pressure from the rating agencies for its business strategy, in particular its shift into specialist mortgage lending. Furthermore, following a precipitous drop in funds raised via deposit in 2003, its short-term rating was subsequently cut from A1 to A2 by Standard & Poor’s; Fitch reduced its long-term rating by one notch to A. “One impact of the S&P downgrade was to reduce the potential size of the market for B&B Eurobonds. We had already issued standalone securitizations and issued our first covered bond the week after the B&B rating adjustment,” says Peter Green, treasurer.

Bradford & Bingley re-engineered its retail funding both through the branch network and by the introduction of an internet offering.

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree