AT1 deals will flow but dynamic will change, say bankers

Bankers are certain that the European additional tier one (AT1) securities market will reopen in September, ahead of the European Central Bank’s Asset Quality Review (AQR), despite the volatility last week that had many in the market questioning the immediate future of the asset class. But the deals that come are likely to be from only the highest quality names, and will have to be priced carefully.