[Verse 1] When banks need funding but want to keep their loans They've got a special trick to call their own European style securities that stay right on the books While giving investors safety with protective looks [Chorus] Covered bonds, covered bonds Dual recourse is the key Bank balance sheet, collateral sweet Double protection for you and me Stay on books, stay on books European way to go Covered bonds, covered bonds That's the safest way to grow [Verse 2] Unlike securitization where assets leave the bank These bonds keep mortgages within their rank The issuer stays responsible for every payment due But collateral pool backs it up if troubles come through [Chorus] Covered bonds, covered bonds Dual recourse is the key Bank balance sheet, collateral sweet Double protection for you and me Stay on books, stay on books European way to go Covered bonds, covered bonds That's the safest way to grow [Bridge] If the bank fails you've got two ways to win First the issuer then the pool within Mortgages and loans all bundled tight Making investor dreams come true at night [Verse 3] Germany and Denmark led the way Pfandbriefe bonds still popular today Lower funding costs for banks to see Higher safety ratings guarantee [Chorus] Covered bonds, covered bonds Dual recourse is the key Bank balance sheet, collateral sweet Double protection for you and me Stay on books, stay on books European way to go Covered bonds, covered bonds That's the safest way to grow [Outro] Remember the difference from ABS clear Assets stay put while safety's here Covered bonds, the European choice Let this knowledge be your guiding voice
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