Posts tagged 'Tier 1'

I, Claudius, caller of bank bonds

Claudius was a Roman emperor from AD 41 to 54.

Claudius notes are Tier 1 instruments that were issued by Credit Suisse back in 2010 and which feature a call date that first comes into effect in December 2015. Except, as bank bond investors have experienced from time to time, the issuers of such securities have an unnerving tendency to sometimes behave unexpectedly. Credit Suisse made some noise when it released earnings last week that it may call the Claudius bonds thanks to something known as a “regulatory par call.” Read more

The world’s strongest bank is…

… Singapore’s Oversea-Chinese Banking, according to analysis published by Bloomberg Markets magazine on Monday:

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Spain’s smallish, wrongish, non-Basel III, bank steps

By Tracy Alloway and Joseph Cotterill

Just how Basel III is Spain’s recently-announced bank recapitalisation plan? Read more

A senior slaughtered credit cow


From sub-debt to equity and on to senior debt, then. We’re seeing some selling of Tier 1 European bank paper on Wednesday. The below from Suki Mann at SocGen: Read more

Standard Chartered is off to the capital races

How much money does one bank need, asks FT Alphaville. Out on Wednesday — a £3.25bn rights issue from Standard Chartered. It’s rather a surprise because StanChart undertook a £1bn share issue, also for capital-raising purposes, just 14 months ago — back in August 2009. And the international emerging markets bank has been über-keen to trumpet its “strong capital position.” Under the current Basel II regulatory framework, StanChart posted a core Tier 1 capital ratio of 9 per cent at the end of June. The bank was one of the few not to receive government funds or central bank liquidity in the recent financial crisis. It is, by all accounts, one of the strongest banks out there. Read more

Now! That’s What I Call Capital Increase 2010

Deutsche Bank’s capital increase is turning out to be an increasingly big ‘issue’ for the German banking giant.

First, let’s point out that the bank is even branding the move “Capital increase 2010″ (doth this suggest 2011, 2012 are yet to come?): Read more