Posts tagged 'Bad Banks'

The pictorial ‘RBS Capital Resolution Group’

Meet the new £38bn RBS internal bad bank same as the old Non-Core bank:

 Read more

Soy Sareb

It includes an almost 80 per cent haircut on buying foreclosed land assets from banks. (“The transfer price is not a reference for the valuation of nontransferred bank assets.” – OK then) Useful to remember that pricing will be based on “real economic value” – which Ireland’s Nama showed can be an elastic term – but the presentation also says further “adjustments” will be made on top of that.

There’s also a “conservative” target of 14 to 15 per cent return on equity over 15 years for working out loans… while Sareb will spend €45bn on a first wave of loans transferred from Bankia and other particularly weak banks.

Keeping Nama where it is

Ireland: Eurostat is withdrawing a specific reservation, expressed in April 2012, on the data reported by Ireland, relating to the statistical classification of National Asset Management Agency Investment Limited (NAMA-IL). On the basis of documents provided by the Central Statistics Office of Ireland, NAMA-IL is majority privately-owned, following the sale by Irish Life of its stake in NAMA-IL to a private investor. This is a necessary condition for a special purpose entity to be classified outside the General Government sector, pursuant to Eurostat’s decision of 15 July 2009 on public interventions during the financial crisis.

That’s from Monday’s Eurostat release on European government debts and deficits. Monday, perhaps not coincidentally, also saw names put on the announced sale of Irish Life’s 17 per cent stake in Nama Investment Ltd. Read more

Nama and El Nama

How far will Spain’s bad bank be like Ireland’s?

There’s a superficially similar structure. Read more

Reforming financial services — some details

FT Alphaville finally got its hands on a nice, fat hard-copy of the UK’s 2010 Budget on Wednesday, freshly couriered over from Westminster.

We were intrigued by this section of the Budget Report, on ‘reforming financial services’ (emphasis in the original): Read more