Europe

Investment grade corporates in Europe use the loan market for a fraction of their debt funding, leaving loans bankers in the cold despite the corporate debt pile ballooning to €6.44tr.

Changes in the way aid is provided to victims of conflict mean a new form of funding is required — from private-sector investors — according to Peter Maurer, president of the International Committee of the Red Cross (ICRC). The capital markets are likely to play a key part in these efforts.

Credito Valtellinese (Creval) found strong demand for a €300m preferred senior bond on Tuesday, allowing it to push the pricing through its guidance range.

The Fédération des Caisses Desjardins du Québec (FDCQ) issued its longest covered bond at its tightest-ever spread to Canadian peers on Tuesday.

Equity capital markets bankers are hoping to be busy with more accelerated trades over the next week and a half until the US Thanksgiving holiday on November 28, traditionally the beginning of the end of the ECM issuance year.

Legal & General Group (L&G) was four times subscribed for a £600m tier two in the sterling market this week, as it looked to strengthen its capital position.

Financial institutions are rushing to sell new deals in the euro market, fearful that the window for issuance will close after Thanksgiving in the US next week.

Austria has the green light from Chinese regulators for its inaugural Panda bond issue as it looks to become the second eurozone sovereign to tap the market.

Saxo Bank gave investors a chance to pick up one of the highest yields on offer in the additional tier one (AT1) market in euros this week, albeit in a very small sub-benchmark size.

The issue of how "transition" activities, which are not green but are moving in the right direction, should be treated in European legislation will be discussed on Wednesday by the European Parliament, Council and Commission as they try to reach agreement on the EU's Taxonomy of Sustainable Economic Activities.

Ageas is offering to purchase FRESH securities — a series of legacy capital instruments — from its investors, in a bid to improve its capital structure. The Belgian insurance company intends to replace the notes with a new restricted tier one bond in euros.

The Pebble Group, the UK promotional products company, has launched what is likely to be one of the last IPOs on the London Stock Exchange this year, despite the looming UK general election in just over three weeks.