Mission

Mission:  We promote the free dissemination and open exchange of information about covered bonds among stakeholders of all sizes who seek funding and investment opportunities grounded in secured on-balance sheet lending.

Scope:  Our focus is on the United States, with occasional “border crossings” into other markets in the Western Hemisphere.  Our news, analysis, and resources will include developments in Europe and other parts of the world to the extent that they may contribute to a better understanding of covered bonds here.

View:  We agree with those who believe that covered bonds can play a potentially constructive and important role in U.S. finance.  We agree it is beneficial for loan originators to retain an on-balance sheet position while accessing secondary market capital.  By closely documenting the development of covered bonds as they take root and grow in American soil—without charging the high subscription fees typical for structured finance publications—we believe we can help cultivate that growth.

With the current financial turmoil, the push for covered bonds here has slowed, but this also provides useful breathing space.   To quote Tim Skeet of Merrill Lynch:  “[It is] imperative that we as an industry use the extra time wisely to design and refine the U.S. covered bond product to maximize the chances of its success and energize investors to support the project once the worst of this market dislocation is behind us.”