Jan
24
U.K.’s Open Door for Foreign Buyers Closing on Mortgage Bonds
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New type of issuer selling mortgage-backed securities
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Deals are less likely to include notes in euros, dollars
Just about anything in the U.K. — from football clubs to shopping malls and houses — can be acquired with ease by foreign investors. That’s changing for mortgage bonds.
The U.K.’s 70 billion-pound ($100 billion) market for the securities may soon become largely off limits to buyers from outside the country, according to JPMorgan Chase & Co. That’s because Britain’s biggest banks, which use securitization vehicles to transform their pound-denominated mortgage loans into securities priced in dollars or euros, are being replaced by issuers that can’t issue in those currencies as easily…
U.K.’s Open Door for Foreign Buyers Closing on Mortgage Bonds
