Yesterday
APRA winds down $43b bank hybrid market, angering investors
The prudential regulator says other forms of capital are safer and make it easier for issuers to respond to future crises without bailing in retail investors.
- Updated
- John Kehoe and Jonathan Shapiro
This Month
- Opinion
- Opinion
D-day for bank hybrids draws a line under divisive APRA process
The prudential regulator is due to give the market an update on whether it will kill bank hybrids. Some people wonder whether it has gone too far.
- Jonathan Shapiro
October
- Opinion
- Opinion
Trading regulatory risk in the $40b hybrid sector
Investors are puzzling over what to do with their hybrids following APRA’s proposal to phase out the sector.
- Christopher Joye
September
Riskiest real estate bonds are beating Nvidia’s returns
It’s a turnaround few could have predicted when landlords around the world were creaking under the weight of higher interest rates and changing work habits.
- Tasos Vossos
- Opinion
- Big four
Why is APRA trying to blow up the hybrid market?
The prudential watchdog wants to boost bank leverage and raise the risks depositors and taxpayers face in the name of ameliorating its regulatory complexity.
- Christopher Joye
Where to invest as bank hybrids disappear
Investors have enjoyed juicy yields on bank hybrids but will need to find alternatives after APRA announced the securities would be phased out by 2032.
- Jonathan Shapiro
- Analysis
- Analysis
Why APRA will kill off bank hybrids for good
Australian bank hybrids have been a popular and reliable source of income for investors. But APRA says their time has come.
- Jonathan Shapiro
APRA calls time on $43b bank hybrid capital era
The prudential regulator said bank hybrid securities would not work as intended during times of crisis.
- Jonathan Shapiro
June
MST poaches Shaws co-heads to set up hybrids business
Street Talk understands Duncan and Anagnos, who have built Shaws’ hybrids and SMAs business together over the past decade, lobbed their resignations last week.
- Sarah Thompson, Kanika Sood and Emma Rapaport
March
Rate cuts are coming. Here’s what retiree investors can do
Once interest rates start to fall, the cash and term deposits that make up large portions of Australian retirees’ portfolios will deliver a little less. Here’s what to think about.
- Tom Richardson
February
ANZ hybrid expected to be upsized to $1.5b after Suncorp win
ANZ is expected to upsize its $1 billion hybrid deal launched last week.
- Sarah Thompson, Kanika Sood and Emma Rapaport
January
ANZ tipped to target $1b-plus for new hybrids deal
ANZ is expected to target a $1 billion-plus deal size for its latest hybrid issue, which would include a reinvestment slice for holders of ANZ Capital Notes 4.
- Sarah Thompson, Kanika Sood and Emma Rapaport
November 2023
Westpac tipped to seek $1.5b for new hybrid deal; hires big syndicate
Street Talk understands the Big Four bank is aiming for a circa $1.5 billion deal size and is preparing for launch next week.
- Sarah Thompson, Kanika Sood and Emma Rapaport
October 2023
- Analysis
- Analysis
Judo belts out record margin for hybrid capital
Judo’s new hybrid offer is paying a generous interest rate of more than 10 per cent. That has investors equally excited and concerned.
- Jonathan Shapiro
ASX kicks off meetings for bond deal; three banks mandated
The exchange is in the market with a 3-year Australian dollar, senior unsecured, floating rate benchmark transaction to fund future capital expenditure.
- Sarah Thompson, Kanika Sood and Emma Rapaport
September 2023
- Opinion
- Opinion
Bank hybrids are pitting APRA and ASIC against one another
The prudential regulator wants to protect the banking system, while the corporate watchdog wants to protect investors. Bank hybrids are stuck in the middle.
- Jonathan Shapiro
- Opinion
- Opinion
This is why APRA wants to kill the listed hybrid market
The regulator has put banks and stockbrokers on notice that it intends to rip up the ASX-listed tier one market. The industry is divided on its motivations.
- Jonathan Shapiro
- Opinion
- AFR Weekend
Higher yielding hybrids are coming
It would be preposterous to let retail investors buy highly leveraged bank shares yet restrict them from investing in demonstrably less risky hybrids and bonds.
- Christopher Joye
APRA sounds alarm on retail obsession with bank hybrids
The regulator is worried bank hybrids may fail to protect the financial system because most of the capital is held by ordinary, not financial, investors.
- Updated
- Jonathan Shapiro
May 2023
CBA to tap credit investors for $750m
The bank is marketing a tier one hybrid security that could raise as much as $1 billion, the first by a major lender since global fixed income markets were rocked by Credit Suisse.
- Updated
- Jonathan Shapiro
