The Reserve Bank of India (RBI) has found itself under close scrutiny recently as a sharp divergence in Non-Performing Assets (NPAs) or “bad loans” reported by India’s state-owned banks plagues the Indian banking system, raising concerns over broader financial stability and inadequate regulatory diligence. The RBI defines a NPA as “a credit facility, in respect of which the interest and/or [...]
Given the prominence of the Financial Services Royal Commission and increased foreign activity in the M&A space so far this year, regulators such as the Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulation Authority (APRA) have regularly appeared in our news feeds. Last week, however, it was the Australian Energy Regulator (AER) and the Australian Competition and [...]
In Australia, there are two main forms of regulatory capital that financial institutions (FI’s) must hold to manage the risks inherent in their operations and ensure stability of the economy - Tier 2 and Tier 1 capital. Tier 2 capital securities rank below senior debt but above Tier 1 capital in the capital structure. Most commonly Tier 2 capital is [...]
Too much is made of the Reserve Bank of Australia’s (RBA) overnight cash rate and the Federal Funds rate of the U.S Federal Reserve, with market observers not having to search far for diverse and divergent markets commentary and insights. There is comparatively little commentary however, to understanding what a Reserve Requirement Ratio (RRR) is and the arguably equally important [...]
It’s been over a year since we first commented in our article Will we see Tier 3 in Australia? about whether APRA could be contemplating a new Tier-3 capital class for the domestic big 4 banks. This would form the Australian response to the “Total Loss-Absorbing Capacity (TLAC)” regime being imposed on the world’s largest banks by international regulators. As [...]
Since the division of Korea at the end of World War 2 in 1945, the two countries occupying the North and South sides of the Korean peninsula diverged on to two completely different economic paths. Whilst South Korea has experienced one of the largest economic transformations over the past 60 years, becoming the 4th largest economy in Asia and 11th [...]
The concept of a risk free-rate, or the yield of government-issued securities, has long been one of the fundamental building blocks of capitalism and the basis of modern financial literature. It is a concept so intuitive that the general investing public in much of the developed world has largely taken for granted, both academically, and in most cases, in practice. [...]
In Australia, the fixed income market, especially the exchange-traded part that is available to retail investors, is dominated by well-established, household name issuers such as the major banks and other large financial services companies. Whilst retail investors are usually quick to identify an issuance from a household name issuer, many, if not all, tend to overlook a fundamental question: Who [...]
Please find below details and links to documents regarding the launch of BondAdviser’s Additional Tier 1 (AT1) Capital Instrument Index. This index series is designed to accurately reflect the performance of the ASX-listed AT1 hybrid market. The main parent index is the BondAdviser Additional Tier 1 Capital Instrument Index. From this, two sub-indices are derived, namely the Major Bank Additional [...]
Look-through earnings was a concept widely attributed to legendary investor Warren Buffet, famed for his ability to value companies and achieve exceptional returns. The idea behind “look-through earnings” is that an investor should not just look at a company’s reported accounting earnings, but instead analyse earnings from subsidiaries and associated parties that would flow through to shareholders in the form [...]
An employee-owned financial services provider focused on the Debt Capital Markets.
An employee-owned financial services provider focused on the Debt Capital Markets.
© Bond Adviser Pty Ltd ‧ ASFL 456783 ‧ ABN 31 164 148 467 ‧ Important Information
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
© Bond Adviser Pty Ltd ‧ ASFL 456783
ABN 31 164 148 467 ‧ Important Information
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
