Run of new hybrids to stop?

11 January 2017

 

Credit Suisse estimate Australian banks and other financial institutions need only another collective $4 billion to fulfil their capital obligations according to APRA requirements. The investment bank estimates the banks will generate around $6 billion “organically” and therefore “believe that regulatory capital shortfall is no longer an issue for the major banks.” The implication is further hybrid issues are increasingly unlikely until existing hybrids reach maturity and need replacement in...

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