Covered Bonds Comprise Big Share of Europe’s 'Refinancing Risk'

Bloomberg.com, in a story based on a Standard & Poor’s report, notes that “Germany has the largest amount of financial company debt that may need refinancing” through 2011 – and that almost all of Germany’s financial-company secured debt is in the form of covered bonds.  There is nothing in the story indicating a problem with covered bonds as a finance vehicle per se;  they only loom large because so much outstanding debt is already in that form.

Read the story on Bloomberg.com: “Debt Due in Europe Totals $2.1 Trillion Through 2011, S&P Says"