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Chinese banks’ loss-absorbing bonds may never be bailed in, say analysts

Financial Times LogoFinancial Times12h ago

Chinese banks’ loss-absorbing bonds may never be bailed in, say analysts - Financial Times

Quick Summary:

All three major international rating agencies plan to include expectations of government support in their assessments of TLAC senior debt.

In Europe, the failure of Credit Suisse in 2023 saw €17bn of AT1 bonds bailed in, although Legras pointed out that the bank’s senior TLAC debt was untouched.

S&P factors in government support for tier 2 debt from China’s biggest banks, which it says makes them “unique” across its global ratings.


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Article Details

Author / Journalist: Thomas Hale

Category: MarketsFinanceInvesting

Markets:

Topics:

Source Website Secure: Yes (HTTPS)

News Sentiment: Neutral

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-09-05 @ 01:20:22 (12 hours ago)

News Timezone: GMT -5:00

News Source URL: ft.com

Language: English

Article Length: 940 words

Reading Time: 6 minutes read

Sentences: 15 lines

Sentence Length: 63 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Financial Times

News ID: 22371023

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About Financial Times

Financial Times Logo

Main Topics: MarketsFinanceInvesting

Official Website: ft.com

Update Frequency: 11 posts per day

Year Established: 1888

Headquarters: United States

News Last Updated: 8 hours ago

Coverage Areas: United States

Ownership: Independent Company

Publication Timezone: GMT -5:00

Content Availability: Worldwide

News Language: English

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API Access: Available (JSON, REST)

Website Security: Secure (HTTPS)

Publisher ID: #3

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