Issuer Focus: Bank of Queensland

Bank of Queensland is set to issue an euro benchmark covered bond under its AUD$6bn Soft Bullet covered bond programm e . Founded in 1874, Bank of Queensland is a leading regional bank in Australia providing banking services mainly to retail, small and medium enterprise (SME) and commercial clients. As of end February 2025, total assets amounted to AUD 100.4 bn. The bank is rated Baa1 / A- (negative outlook/ A- by Moody’s, S&P and Fitch. In line with its Australian peers, the issuer uses a SPV (Special Purpose Vehicle) model. The covered bond issuer transfers the cover assets to a SPV (the Covered Bond Guarantor) by way of equitable assignment. The covered bonds issued by BOQ are rated Aaa/AAA by Moody’s and Fitch. T he covered bonds benefit from a 12-month extendable maturity if the guarantor has insufficient funds to repay covered bonds on maturity date. The covered bonds issued by Bank of Queensland are eligible as level 2A in the LCR portfolio and benefit from a 20% risk weighting.