Regulations to increase loss absorbency across the capital structure could deter bond investors from purchasing bank debt, analysts said at CreditSights’ annual conference yesterday.
Ceps says regulators went soft as a result of industry pressure
Investors could shun bank equity if higher capital levels cause returns to slip
As governors back higher capital standards, ex-Bank of England special adviser argues economic impact remains difficult to pin down; commentators say reforms do not address risk attitudes
Elana Hahn joins Morrison & Foerster's capital markets group in a role that involves guiding clients through regulatory changes.
Reserve Bank of India governor Duvvuri Subbarao cites concern over variable likely to be used to calibrate countercyclical buffers
The essential ABS
The battle for depositors
Analysis by the Macroeconomic Assessment Group shows a smaller impact from higher capital ratios than an earlier industry report.
Time is on the slide
Regulators describe difficulties ahead as they prepare for Basel III calibration and transition decisions in September
July saw amendments to Basel III, the signing of the Dodd-Frank reform bill, and the results of stress tests on European banks. Credit assesses how investor sentiment towards the banking sector has been affected by this activity.
CVA and the equivalent bond
Regulators might adapt the bond-equivalent approach amid claims the methodology will lead to perverse incentives
Basel Committee and FSB studies play down the economic impact of Basel III - proof, regulators say, that the reforms are fit for purpose.
Association for Financial Markets in Europe proposes regulator-enforced version of contingent capital to replace state-funded bailouts; proposals still troublesome, Goodhart says
The most recent draft of the Basel III proposals has been watered down by politics, according to an Asian risk officer.
The amendments of Basel III bank capital and liquidity proposals unveiled in July suggest banks have scored an important victory in their efforts to tone down some of the most onerous requirements being proposed by the Basel Committee. But even without…
Standard Chartered (StanChart) believes it is already well capitalised and has no plans to react to Basel III proposals by building up more capital.
Regulators announce a longer transition period and changes to CVA charge
Banks asked to draw up blueprints for resolution as part of a pilot scheme