
Opinion – UBS and Switzerland: capital hikes are not the right tool for the job
Swiss authorities and the country’s largest bank are in a standoff. Earlier this year, Switzerland’s banking supervisor, Finma, put forward a proposal to force UBS to hold tens of billions of Swiss francs more in capital. Swiss politicians and regulators say that, in the wake of the collapse of Credit Suisse, they have no choice but to harden the system, protect taxpayers and ensure that UBS and the broader Swiss economy can weather any potential economic or banking crisis. Some reports suggest that UBS will be required to hold up to SFr21bn (US$26bn) in extra capital.
Softer market sees corporate issuers hold back
There were no live European investment-grade corporate deals on Monday, as issuers appeared not to want to rush into the market following heavier trading on Friday as a result of US-China trade tensions, the First Brands collapse and French political instability.
French FIG quartet press ahead amid political tumult
French financial issuers rushed into the primary market on Monday while others steered clear, with AXA and La Mondiale taking their chance to execute subordinated transactions amid uncertain political developments as BPCE sealed a convincing €1bn four-year covered bond.
European IPO recovery more secure after Verisure
Investors made significant profits last week from Verisure's €3.155bn float, the largest IPO of the year globally, building on improved sentiment towards European ECM as IPOs trade up, difficult capital raises get done and London witnesses a mini listing revival.

Prasad Gollakota
Swiss authorities and the country’s largest bank are in a standoff. Earlier this year, Switzerland’s banking supervisor, Finma, put forward a proposal to force UBS to hold tens of billions of Swiss francs more in capital. Swiss politicians and regulators say that, in the wake of the collapse of Credit Suisse, they have no choice but to harden the system, protect taxpayers and ensure that UBS and the broader Swiss economy can weather any potential economic or banking crisis. Some reports suggest that UBS will be required to hold up to SFr21bn (US$26bn) in extra capital.

Goldman Sachs reported record third quarter results as revenue from advisory rose 60% to US$1.4bn, reflecting a significant increase in completed mergers and acquisitions volumes in the period.

JP Morgan reported record trading revenue in the third quarter blowing away analysts estimates.
US investment bank Jefferies said it may face losses of up to US$715m from exposure to the collapse of bankrupt auto parts company First Brands. It may not be the only bank to rack up losses.

ANZ Group has halted the remaining A$800m (US$520m) of a planned A$2bn share buyback, but will maintain its dividend, despite speculation of a possible cut in shareholder payments.
The International Monetary Fund is likely to adopt a more confident tone in dealing with the world’s financial problems when its member countries meet this week in Washington now that a key actor in US president Donald Trump’s administration has taken a senior role at the fund.
Spanish casino operator Cirsa on Monday announced its first bond deal after its July IPO, which is expected to help enhance the company's appeal to investors.
There were no live European investment-grade corporate deals on Monday, as issuers appeared not to want to rush into the market following heavier trading on Friday as a result of US-China trade tensions, the First Brands collapse and French political instability.
French financial issuers rushed into the primary market on Monday while others steered clear, with AXA and La Mondiale taking their chance to execute subordinated transactions amid uncertain political developments as BPCE sealed a convincing €1bn four-year covered bond.
Angola has become the latest high-yield sovereign to issue bonds in recent weeks with a US$1.75bn dual-tranche deal on Tuesday that summed up how open primary markets are for even the most challenged credits.
As markets obsess over artificial intelligence and the potential profits it might reap, US junk bond investors are trying to find ways to play the AI theme in an asset class that provides few opportunities to gain any upside from the emerging technology.

The US solar asset-backed securities sector has regained some lustre, proving it is still a viable funding source for renewable energy issuers after a rough summer that cast a shadow over its future.

BPCE, a regular issuer of French public prime RMBS since 2018, priced the first deal from its newly created master trust programme amid good investor interest, despite political turbulence in France.

DCS Card Centre, formerly known as Diners Club Singapore, is evaluating asset-backed securitisations in US dollars, it said in response to IFR queries after the successful completion of its most recent S$450m (US$348.8m) ABS deal – its largest yet.
Commonwealth Bank of Australia returned to the RMBS market after a two-year absence on Thursday to print the A$1.5bn (US$990m) self-led funding-only Medallion Trust Series 2025-1, which sets a new benchmark for Australian securitisations.

World Bank Group is creating a single treasury operation as part of its continuing modernisation under president Ajay Banga, though its three capital markets issuers – the International Bank for Reconstruction and Development, the International Finance Corp and the International Development Association – will retain their separate funding programmes and identities.
Global loan trade associations are getting ready to launch a dedicated transition label that could encourage more high-emitting companies to raise labelled loans to fund decarbonisation.

The Czech Republic has breathed fresh life into the stalled sovereign social bond market with a rare issue that also ended the European Union member state’s longstanding absence from ESG bond markets.
LG Electronics India debuted 50% higher on Tuesday after completing a Rs116bn (US$1.31bn) IPO.
Investors made significant profits last week from Verisure's €3.155bn float, the largest IPO of the year globally, building on improved sentiment towards European ECM as IPOs trade up, difficult capital raises get done and London witnesses a mini listing revival.

LG Electronics India drew strong investor interest to its up to Rs116bn (US$1.31bn) IPO after it dropped the valuation of the offering.
MapLight Therapeutics, a biotech company developing treatments for Alzheimer's disease and schizophrenia, moved ahead with its Nasdaq IPO last week despite the ongoing US government shutdown, using a mechanism that means it can go public in October without further regulatory approval from the Securities and Exchange Commission.

Mergers and acquisitions in India will be able to draw on a far bigger pool of liquidity after the central bank said it will allow domestic banks to provide financing for such deals for the first time in years.

India’s central bank is proposing a major liberalisation of the complex rules governing offshore borrowing that could broaden the sources of foreign capital for the country's companies.
Opella has broken free of the shackles of call protection to reprice the term loan Bs tied to its buyout by Clayton Dubilier & Rice, and Apleona could potentially follow suit with a material pricing move in mind.
As private credit makes a bid to reach the masses, more asset managers are testing the viability of the asset class in exchange-traded funds, which typically hold more liquid investments.

Read the latest stories from the magazine IFR 2604 - 11 Oct 2025 - 17 Oct 2025
11 Oct 2025 - 17 Oct 2025