Banca Popolare di Milano, the eight largest Italian banking group in terms of total assets, issued its second Obbligazioni Bancarie Garantite (Italian law based covered bond) following on from their first issue, the inaugural OBG.

The cover pool is comprised of very high quality assets, represented by prime Italian residential mortgages with an extremely low average LTV of 53%.

BPM is the only issuer to have launched two OBG transactions, illustrating a commitment to the covered bond market and objective to become a frequent issuer.