Overview Overview Structure of MBB Securitization Benefits of MBB What is MBB(Covered Bond, CB)? MBB(CB) stand for Mortgage-Backed Bonds, which refer to covered bonds, of which issuance is recently on the rise in Europe. Financial institutions, such as banks, transfer the mortgage loans to ‘KHFC’, which issues MBB(CB) with the loans as collateral. Financial institutions, such as banks, transfer the mortgage loans to ‘KHFC’. KHFC issues MBB(CB), a debt instrument with the loans as collateral. MBB(CB) Issuance Structure Through MBB(CB) issuance, KHFC works as an intermediary between investors in the capital market and borrowers in the housing finance market, benefitting all the involved parties in the process, including mortgage borrowers, financial institutions and investors. For more information as to how MBB(CB) benefit all the involved parties, please go to ‘Benefits’ tab. Mortgage loans are bonds that bestow the lenders(financial institutions) with the right to collect debt payment from the borrowers, with houses as collateral.