By David Lopez, Adam E Fleisher, Julian Cardona

1. What types of debt securities offerings are typical, and how active is the market?

The most common debt securities offerings in the Portuguese market consist of bonds, notes, covered bonds, commercial paper and certificates of deposit. In general, debt securities in Portugal are issued by corporates as non-subordinated, unsecured and with floating interest rates, and financial entities issue instruments of this nature as well as more structured products including hybrids, covered bonds and securitisations.

The past few years have seen activity in this area, including private placements (both with and without listing). In the financial sector, Caixa Geral de Depósitos SA issued €500 million (additional Tier 1 instruments) within the context of its recapitalisation programme. In early 2019, Banco Comercial Português SA, issued perpetual subordinated bonds for the total amount of €400 million (additional Tier 1 instruments).