Pfandbrief issuers scramble to supply long end

Muenchener Hypothekenbank issued a tightly priced nine year Pfandbrief on Wednesday, just as Commerzbank mandated leads for a 10 year. The deals are likely to be followed by others from core Europe and especially from borrowers looking to fund at the long end, where execution risks may become elevated in the run up to the European Central Bank’s meeting on September 7.