Hybrids ahead? FIG markets wait for finishing touches on regs

Europe’s banks are hoping for clarity on hybrid capital in the coming weeks, with a consultation that will bring them much closer to being able to issue new style tier one securities with confidence. Among the rush of details expected from the European Banking Authority on bank capital, rules on temporary principal write-down are the most hotly anticipated element. EuroWeek’s Katie Llanos-Small spoke to bankers, investors and issuers across the bank capital market this week about how write-down/write-up structures will work — and who will buy them.