At least three benchmarks are set to hit the covered bond market tomorrow (Wednesday), with Deutsche Pfandbriefbank (pbb) due to launch the first dollar benchmark in over three months, and Jyske Realkredit and UniCredit HVB set to launch €500m no-grow long six and 15 year transactions, respectively.

Such supply would represent a welcome boost to covered bond supply, with only two euro benchmarks having hit the market in the first seven trading days of the year: a €500m Aareal reopener on Tuesday of last week and a €1.5bn Caffil deal yesterday.

Deutsche Pfandbriefbank (pbb) is set to launch a three year benchmark-sized dollar mortgage Pfandbrief tomorrow after announcing its plans today (Tuesday).

The new issue will be the first US dollar benchmark covered bond since Fédération des caisses Desjardins du Québec (CCDJ) launched a $750m (€616m) three year deal in September. Pbb’s last dollar benchmark was in May 2019, while its last benchmark covered bond was a £500m (€555m) Pfandbrief in September.

Pbb is likely to do well, said a syndicate banker away from the leads, considering it is a regular issuer in dollars.

“It’s one of these players that have to almost certainly go to either sterling or dollars,” he said.

A lead banker put fair value for the new issue at around 15bp+/-1bp based on where paper from CCDJ and HSBC Canada was trading.

“The question is, what is the curve and what is the pick-up?” he said. “But it looks pretty strong in terms of what else is out there and that’s the other point – there’s nothing out there.

“Looking at how successful its Sonia deal was last year,” he added, “you can really see pbb really excels in these kinds of markets.”

Citi, Credit Suisse, Goldman Sachs and NatWest have the mandate.

Jyske Realkredit is set to launch a long six year (October 2027) €500m no-grow covered bond tomorrow, after announcing its plans today.

The new issue will be the first Danish euro benchmark in over a year and Jyske’s first euro benchmark covered bond since March 2019.

According to pre-announcement comparables circulated by the leads, its outstanding July 2024s and April 2025s were at 5.25bp and 6.75bp, respectively, and its October 2026s at 7bp.

“It’s a strong, rare, high quality issuer,” he said. “I would be stunned if a lot of premium – if any – is needed to get a €500m no-grow out the door.

“It’s also a no-grow from an established issuer away from the Eurozone,” he added, “so I’m quite positive. They probably didn’t even need to take a two day approach.”

BNP Paribas, Danske, DekaBank and Swedbank have the mandate.

UniCredit Bank AG (HVB) is expected to launch a €500m no-grow 15 year Hypothekenpfandbrief tomorrow after announcing the mandate today. BayernLB, Crédit Agricole, DekaBank, Erste and UniCredit have the mandate.

The German issuer’s last euro benchmark, a €1bn eight year, was launched in September.

Komerční banka meanwhile remains in the pipeline for its inaugural five year euro benchmark, which another syndicate banker said could also hit the market tomorrow.