Troubled Monte dei Paschi feeds greedy yield hogs

By Graham Bippart, Nathan Collins
27 Mar 2014

Investors flung €3.5bn of orders at one of Europe’s most troubled banks this week, underscoring the credit market’s frantic appetite for higher yielding debt, writes Graham Bippart and Nathan Collins.

Despite Banca Monte dei Paschi di Siena having yet to win approval for the €3bn capital raise it needs to keep it from being nationalised, bond investor demand enabled an increased and extended deal.

“Is it a surprise that they have market access? To some extent,” said one ...

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