Compagnie de financement foncier products, services and reviews

About Compagnie de financement foncier

Compagnie de financement foncier is a type of French specialised credit institution designed to refinance residential mortgages and certain public-sector or social housing loans by issuing secured covered bonds (obligations foncières) and other debt instruments; it operates under a dedicated legal and regulatory framework that requires segregation of eligible assets to secure bondholders, supervision by French prudential authorities, and compliance with capital and liquidity requirements specific to this vehicle, while relying on wholesale funding markets and investor appetite for long-term secured paper; typical counterparties are banks, institutional investors and pension funds, and the model exposes the company to interest-rate, prepayment and credit risk on the underlying loan pools as well as market and liquidity risk on its issuance program, with investor protections linked to statutory prioritisation of covered bond claims but also limitations tied to asset eligibility rules, counterparty concentration and changes in regulatory or legal frameworks, so prospective investors and stakeholders should review current prospectuses, legal documentation and regulatory filings and consider external credit assessments and stress scenarios before forming a view.