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| {{fwmdtt|nickname=Covered bond|title=Covered bond|tagline=[[The Volvo of ABS. Boxey — but safe.]]|documentation=Bond issuance: lots of trust deeds, indientures, fiscal agency arrangements, security documents and prospectuses. Juicy ground for [[mediocre lawyer|willing attorneys]] 7|booklets=Nope. 0|customisability=Not much: really designed for mortgage finance. 4|asset classes= Mortgages, credit card receivables, debt instruments. 4|amendability=Low. But usually little need. 2|transferability=Pretty good. 8|tenor=7-7 years average term 5|leverage=Nope fully funded. 0|collateral=|longevity=Been around a while now. 6|frightometer=Well it's mortgage backed so there's a little squeaky bummism there but basically snoresville. 3}}[[Covered bond]]s are [[Debt security|debt securities]] issued by a financial institution and [[secured]] against a pool of assets designed to cover bondholder claims at any point of time. The assets stay on the bank’s balance sheet but, by dint of the security arrangements in favour of bondholders, are preferred claims in the insolvency of the issuer. They are excluded from the ravages of {{tag|BRRD}}, among other things (see [https://eba.europa.eu/regulation-and-policy/single-rulebook/interactive-single-rulebook/-/interactive-single-rulebook/toc/2602/article-id/2920 Art 44(2)]). | | {{fwmdt|Covered bonds}} |
| | [[Covered bond]]s are [[Debt security|debt securities]] issued by a financial institution and [[secured]] against a pool of assets designed to cover bondholder claims at any point of time. The assets stay on the bank’s balance sheet but, by dint of the security arrangements in favour of bondholders, are preferred claims in the insolvency of the issuer. They are excluded from the ravages of {{tag|BRRD}}, among other things (see [https://eba.europa.eu/regulation-and-policy/single-rulebook/interactive-single-rulebook/-/interactive-single-rulebook/toc/2602/article-id/2920 Art 44(2)]). |
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| ===Compared with [[ABS]]=== | | ===Compared with [[ABS]]=== |