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  • April 17 2014
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  • EBA lets covered bond issuers off the hook on swaps

    The European Banking Authority proposed this week that covered bond new issue swaps should receive special treatment, ending months of uncertainty over derivatives proposals that could have delivered a fatal blow to the covered bond market.

    • 16 Apr 2014
  • Altice’s record HY bond nears amid concern over Ukraine

    The high yield market is in a state of high anticipation as its largest ever deal, the €10.2bn financing for Altice's takeover of SFR, approaches the market, just as mounting tension between Ukraine and Russia threatens to escalate, writes Stefanie Linhardt.

    • 16 Apr 2014
  • Regions to fly green flag after Ile-de-France triumph

    A jumbo green bond bond from Region Ile-de-France this week could signal a new drive by French regional governments into the growing market for socially responsible debt, writes Nathan Collins.

    • 16 Apr 2014
  • Arion tests Icelandic rehab with bid for euro access

    Iceland's Arion Banki is to test the outer limits of investors’ growing receptiveness to peripheral European credits. The bank, carved out of the failed Kaupthing, is seeking to launch the first euro bond from an Icelandic financial institution since the credit crisis, writes Graham Bippart.

    • 12:00 AM
  • NextEnergy IPO falling short signals finale for green fund flurry

    The IPO of the UK’s NextEnergy Solar Fund, completed this week, could mark the end of a spurt of listings from renewable energy funds, as investors appear to have sated their appetite for new names. NextEnergy planned to raise up to £150m through its IPO, but lowered its expectations and the deal brought in proceeds of £85.6m.

    • 16 Apr 2014
  • Top China securities firms follow corporations offshore

    The China Merchants-led US spinoff of Leju Holdings is a prime example of the increased prominence of Chinese securities firms in international IPOs. But while mainland houses offer access to a large pool of untapped capital, many fear irresponsible market practices may also find their way on to the international market, write Clare Hammond and Rev Hui.

    • 16 Apr 2014

Derivatives

  • Leverage ratio drives bifurcation of derivative markets

    The 3% Basel III leverage ratio is driving a move towards standardization in derivatives that could result in a bifurcation of the market, according to market participants.

    • 10 Apr 2014
  • Early redemption bonus structure interest spikes

    Interest in early redemption bonus structures is increasing as investors opt for products with shorter maturities to participate 100% in the positive performance of equity underlyings.

    • 10 Apr 2014
  • Bourse linkage plan drives accumulator benefit

    Holders of accumulators referencing the China H-share market are seeing immediate benefits from a plan to tie the Shanghai Stock Exchange more closely with the Hong Kong Exchange.

    • 10 Apr 2014
  • ISDA: 90% of non-cleared derivs now collateralised

    The estimated amount of collateral in circulation in the non-cleared over-the-counter derivatives market decreased 14% from $3.7 trillion at the end of 2012 to approximately $3.17 trillion by December 31, 2013, according to a margin survey conducted by the International Swaps and Derivatives Association.

    • 10 Apr 2014

Securitization

  • VW lands biggest auto ABS since ‘07 after puzzling price pointers

    Volkswagen Bank printed the largest auto loan securitization since the onset of the financial crisis this week, despite its leads leaving rival syndicate teams nonplussed by deciding to go to one decimal place with initial price thoughts on the senior notes.

    • 12:00 AM
  • Investors warn on ratings race for new rental loan deals

    Morningstar Credit Ratings is forging ahead to rate conduit-style securitizations of home rental loans, an offshoot of the single-borrower deals from Blackstone Group and Colony Capital. Credit graders’ eagerness to rate an inaugural transaction, however, has some fixed income investors openly lamenting the post-crisis rating process, which they believe remains flawed.

    • 16 Apr 2014
  • Kubota, Mitsubishi lead ABS pipeline

    Kubota Credit Corp and Mitsubishi Motors Credit brought new deals into this week’s asset backed securities pipeline, with weekly trading volume decelerated for the Passover and Easter holidays.

    • 16 Apr 2014

People and Markets

GlobalCapital View

  • Damac has stripped the fluff out of sukuk orderbooks

    At $1.5bn, the order book for Turkiye Finans’s $500m sukuk return on Tuesday was not to be sniffed at. But demand didn't reach the dizzy heights of this year’s other dollar sukuk deals, and that is thanks to the market’s last issuer, Damac Real Estate Development.

  • HY boom is letting issuers break taboos

    High yield issuers just keep on flexing their muscles, showing investors where the power in the market lies. The latest totem to fall to the extreme supply-demand imbalance is call protection, now down to a new low of 1.5 years.

  • Russia’s issuers should be more reasonable

    Russia’s domestic bond market is not deep enough to cover all issuers’ total refinancing needs, but getting it working again to show that issuers do have access to funding has its own value.

  • Now’s the time for Bangladesh to get the best bang for its buck

    Bond investors seem desperate to get their hands on anything other than Chinese property and frontier market sovereigns are stepping up to the plate. Recent and lauded sovereign bonds from Sri Lanka and Pakistan have provided much needed diversification and appetite for frontier credits continues to be rife. Bangladesh has been waiting in the wings and now is the perfect time for it to take the plunge.

  • MiFID deal could keep liquidity alive, say brokers

    Interdealer brokers have expressed relief after the European Parliament passed measures allowing market participants to match principal trades, primarily in government and corporate bonds, with their own proprietary capital, on newly established organised trading facilities.

    • 16 Apr 2014
  • FICC fears well founded as first banks show their hands

    The first wave of the big investment banks reported first quarter numbers this week, showing that the promised dive in fixed income trading revenues was no idle warning, writes Owen Sanderson. JP Morgan, Citigroup, Bank of America Merrill Lynch and Credit Suisse all reported first quarter FICC or fixed income numbers down between 15% and 21%, as trading volumes and volatility slumped.

    • 16 Apr 2014
  • European Parliament rushes resolution into law

    The European Parliament passed the framework for winding up Europe's banks on Tuesday, ending taxpayer bailouts, according to the law's backers, and nailing down the legal backdrop for the future of banking supervision.

    • 16 Apr 2014
  • Germany AT1 clarity turns up heat on other jurisdictions

    The German finance minister’s announcement last week that coupons on additional tier one capital issued by the nation’s banks would be tax deductible — a key feature of the product — has turned up the political pressure on countries like the Netherlands to speed up the process of clarifying their own positions and creating a level playing field.

    • 16 Apr 2014

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Bank News

  • European Parliament rushes resolution into law

    The European Parliament passed the framework for winding up Europe's banks on Tuesday, ending taxpayer bailouts, according to the law's backers, and nailing down the legal backdrop for the future of banking supervision.

  • Structured product participants laud PRIIPs outcome

    The Packaged Retail and Insurance-based Investment Products directive (PRIIPs), which was approved by the European Parliament on Tuesday evening, has been welcomed by the European structured products industry.

  • Fixed income woes plague CS

    Credit Suisse announced first quarter results on Wednesday, with a painful opening quarter in fixed income lending credence to calls from analysts to rethink its FICC business.

More Stories

Global IB Revenue

Rank Lead Manager Amount $m No of issues Share %
1 JPMorgan 1,699.80 1279 8.29%
2 Goldman Sachs 1,501.64 819 7.32%
3 Bank of America Merrill Lynch 1,400.80 1164 6.83%
4 Morgan Stanley 1,213.19 962 5.92%
5 Citi 1,041.19 976 5.08%

Global M&A Revenue

Rank Lead Manager Amount $m No of issues Share %
1 Goldman Sachs 557.68 165 11.24%
2 JPMorgan 413.20 128 8.33%
3 Bank of America Merrill Lynch 320.13 107 6.45%
4 Morgan Stanley 282.46 124 5.69%
5 Credit Suisse 270.17 95 5.44%

All International Bonds Ranking

Rank Lead Manager Amount $m No of issues Share %
1 JPMorgan 111,653.77 379 8.03%
2 Barclays 110,498.80 347 7.94%
3 Bank of America Merrill Lynch 101,573.05 316 7.30%
4 Deutsche Bank 99,049.91 375 7.12%
5 Citi 95,827.47 329 6.89%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
1 Credit Agricole CIB 9,929.31 26 7.07%
2 BNP Paribas 9,645.75 40 6.87%
3 HSBC 6,672.28 40 4.75%
4 Barclays 6,583.64 26 4.69%
5 Deutsche Bank 6,575.21 26 4.68%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
1 Goldman Sachs 11,056.32 30 12.83%
2 JPMorgan 8,454.91 40 9.81%
3 UBS 8,155.52 24 9.46%
4 Deutsche Bank 7,347.53 24 8.53%
5 Bank of America Merrill Lynch 6,847.17 17 7.95%