#14 - Covered Bond Research

Summer break ended buoyantly, with €6.75 bn euro benchmark covered bond transactions launched since the beginning of the week . On 1 August 2025, LBBW completed its strategic realignment in the commercial real estate finance sector . As part of the merger, all operations have been consolidated under a new entity operating under the Berlin brand, with LBBW taking over the role of issuer from Berlin Hyp AG. On 7 August 2025, the Council of Financial Regulation (CFR) in Australia published a report examining small and medium-sized bank competition. The CFR recommends increasing the c overed b ond i ssuance c ap and recognizing AUD c overed b onds as H igh-Quality Liquid Assets (HQLA) . On 25 July 2025, S&P published its updated Covered Bond rating methodology . The impact is limited in terms of rating action as S&P updated by one notch one covered bond programme .