Reform for the Covered Bond Industry on the Horizon

March 03, 2011
On the heels of the Administration’s report to Congress outlining its objectives for reforming the housing finance market, new legislative action is in the works that would encourage the issuance of covered bonds as a new means to provide mortgage and other credit. This update summarizes the recent discussion draft of the “United States Covered Bond Act of 2011,” a bill expected to be introduced later this year that would establish standards for covered bond programs and a covered bond regulatory oversight program.