The paper discusses risk of mortgage loan financing. Two basic financing structures are considered: mortgage loans and mortgage backed securities, including covered bonds. Three main types of risk are covered: credit risk, interest rate risk and property price risk. For each type of risk...

The paper presents the theoretical framework related to the so called property derivatives. The main feature of these financial structures comes from the fact that value of property derivative depends on the value of the underlying property. In the paper two types of property derivatives are...