Deutsche Pfandbriefbank has kicked off its roadshow in Zurich, with a view to garnering investor support for a jumbo pfandbrief issuance later this month.

The roadshow, which will run until 16 September, will take in cities such as Frankfurt, Munich, Zurich, Vienna and Barcelona, as well as locations in France, the UK, Scandinavia and the Netherlands, a spokesman told PropertyEU.

‘It will probably be a medium-term issuance with a maturity of three-to-five years and, most likely, a benchmark issue,' he said. The issuance is likely to take place in the second half of September, although the final decision will be made once feedback from investors has been received. The issuance will also depend on market conditions, which are currently ‘not easy’, the spokesman added.

Deutsche Pfandbriefbank's issuance would be the second jumbo pfandbrief placement in almost as many weeks. In August, Eurohypo, a subsidiary of Commerzbank, issued its third jumbo pfandbrief this year, placing a two-year jumbo mortgage pfandbrief with a benchmark volume of EUR1 bn within a few hours.

Around EUR 47 bn in pfandbriefe were issued in the first six months of 2011, according to a spokesman for the Association of German Pfandbrief Banks (VDP). Of the total, roughly half - or EUR 19.8 bn worth - took the form of jumbo bonds. The VDP expects total issuance this year to be around EUR 90 bn, slightly up on last year’s EUR 87 bn.