24/7/2023 Research EN
Covered Bond Quarterly: H1 primary deluge leads to market strains
The covered bond market saw USD 187bn-equivalent primary supply YTD to 19 July. The pace of issuance caused some strains at the end of Q2 as buyers succumbed to fatigue, pushing issuers to adopt a more cautious approach to pricing into the summer break.
13/7/2023 Research EN
Scope updates its Counterparty Risk Methodology
Existing ratings are not impacted
6/7/2023 Research EN
Inflation fuels real house-price declines across Europe
House prices fell in real terms in all but two countries of the EEA in the year to Q1 2023, led by Sweden with a 15.2% decline and Germany with 14%. Across Europe, there was a real weighted average fall of 8.4%.
24/5/2023 Research EN
Scope updates its covered bond rating methodology
The updated methodology, now final following a call-for-coment period, will apply to all covered bonds ratings.
16/5/2023 Research EN
US woes reveal where covered bonds are most vulnerable
Recent events regarding Credit Suisse and US regional banks have a direct read-across to covered bonds in that it was not credit quality but liquidity that led to the banks’ downfall, plus the crystallisation of market-value losses on high-quality assets.
9/5/2023 Research EN
Party over for European homeowners
The uncertain economic environment continues to push European house prices lower. But challenges are also crystallising in net residential mortgage lending, which nosedived to almost zero in the half year to February 2023, only slowly reverting in March.
3/5/2023 Research EN
Italy paves the way for revived covered bond issuance
Italy’s full transposition of the EU Covered Bond Directive paves the way for Italian issuers to return to the covered bond market. The updated legal framework is credit neutral to our governance support, allowing issuers to achieve the highest ratings.
27/4/2023 Research EN
Real Estate Insight - April 2023
European residential real estate firms face price, interest-cover pressure; refinancing risk intensifies for CMBS; covered bonds to shine as go-to product in troubled times; higher rates challenge open-ended real estate funds.
29/3/2023 Research EN
Scope updates its covered bond rating methodology and calls for comments
Changes to the methodology will not impact existing ratings if implemented as proposed. Market participants can submit comments on the proposed methodology until 29 April 2023.
23/1/2023 Research EN
2023 Covered Bond Outlook: credit stability despite growing challenges
The European banking sector emerged unscathed from the Covid crisis and (so far) from the war in Ukraine, but 2023 will be another year of challenges. Covered bonds will once again shine as the go-to product in stormy times.