Hybrids in the news


Bail-in Could Mitigate Systemic Risks but Implementation Key

US Bancorp leads way on exchanging TruPS

US Bancorp played institutional and retail investors off against one another this week to price a blowout $1.085bn Tier 1 capital security at 6%, the lowest-ever coupon for such a structure.

Beware risk in hybrid share offers

New Rules Cause J.P. Morgan to Exit TruPS

J.P. Morgan plans to exit many of its trust preferred securities, as coming regulations mean that the debt instruments, which were a handy way for banks to boost regulatory capital before and during the financial crisis, will become simply expensive.

Beware risk in hybrid share offers

Investors who have bought into a huge wave of new hybrid share issues are being warned to make sure they understand the risks.

Should we break up banks into two?

Blog taking a closer look at the ring-fencing proposal in the UK following the publication of the Vickers report.

Capital markets and the Holy Grail

The clearest example of this dichotomy between the US and Europe is the corporate bond market, which provides around 65% of funding for US companies but less than 25% of funding for European corporates. Instead, they turn to the banks for cheap revolving credit and loans for more than three-quarters of their financing needs.