EBA offers the – wicked – prospect of standard terms and conditions for CoCos.

Today the EBA published the final version of its updated report on the monitoring of Additional Tier 1 capital instruments. Regarding the most controversial issue, the use of contingent clauses, the report recommends disallowing them in the terms and conditions of EU issuances. The output of EBA’s own funds subgroup invariantly meets the highest quality… Read More EBA offers the – wicked – prospect of standard terms and conditions for CoCos.

Supervising Large, Complex Financial Companies, staff report by FRB NY

This is a very interesting document: “Supervising Large, Complex Financial Companies: What Do Supervisors Do?” Written by staff of the Federal Reserve Bank of New York, the paper describes the Federal Reserve’s supervisory approach for large, complex financial companies and how prudential supervisory activities are structured, staffed, and implemented on a day‐to‐day basis at the… Read More Supervising Large, Complex Financial Companies, staff report by FRB NY

UPDATE 2: The EBA’s laudable effort to tame Additional Tier 1 issuances

This week, the EBA held a public hearing on the 4 May report on AT1 issuances, see my previous posts on this. Click here for the PowerPoint that the EBA prepared. Apparently no surprises. On the hot topic of Contingent Clauses, the EBA reports that it “confirms its previous reserves, and recommends disallowing contingent clauses”.… Read More UPDATE 2: The EBA’s laudable effort to tame Additional Tier 1 issuances

UPDATE: The EBA’s laudable effort to tame Additional Tier 1 issuances

Today, the EBA held a public hearing on the 4 May report on AT1 issuances, see my previous post on this. Click here for the PowerPoint that the EBA prepared. Apparently no surprises. On the hot topic of Contingent Clauses, the EBA reports that it “confirms its previous reserves, and recommends disallowing contingent clauses”. A… Read More UPDATE: The EBA’s laudable effort to tame Additional Tier 1 issuances

NZ Reserve Bank takes solid action to curb Auckland proporty prices.

With the publication of its May financial stability report, today the Reserve Bank of New Zealand decided to take some solid measures to curb house price inflation in Auckland. An important policy change, proposed to take effect from 1 October, will require residential property investors in the Auckland Council area using bank loans to have… Read More NZ Reserve Bank takes solid action to curb Auckland proporty prices.