Going-concern triggers on CoCos unrealistic, says White

mark-white

Contingent capital instruments (CoCos) that provide a capital boost to a bank before it reaches the point of non-viability might not be realistic, according to the outgoing chair of the Basel Committee on Banking Supervision's risk management and modelling group (RMMG).

CoCos are debt instruments that convert into equity or are written down once a certain trigger is breached, such as a fall in regulatory capital beyond a pre-determined level. The idea is to provide a capital injection while the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact info@risk.net to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Risk.net? View our subscription options

If you already have an account, please sign in here.

Register

Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: