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Asian banking credit should command premium: RBS

July 21, 2010  

From Aaron Pan

The region’s bank bonds have performed well over the past six months, rising from a discount to global peers to parity. Kristine Li, a credit analyst at the Royal Bank of Scotland, believes they will do better still in the future, and begin to trade at a premium.

Asian banking credits are set to begin trading at premiums to their international peers, due to strong capital positions and positive macroeconomic fundamentals in the region, predicts the Royal Bank of Scotland (RBS).

Only six months ago, corporate bonds of...


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 SYNDICATED LOANS

Rank Bookrunner Value ($m) No. %Share
1 Industrial & Commercial Bank of China - ICBC 1,160 1 16.4
1 Bank of Communications Co Ltd 1,160 1 16.4
3 State Bank of India 964 3 13.6
4 Land Bank of Taiwan 400 7 5.6
5 Maybank Investment Bank Bhd 332 1 4.7
6 AXIS Bank 236 2 3.3
7 IDBI Bank Ltd 124 1 1.8
8 HSBC 92 2 1.3
9 BNP Paribas 92 1 1.3
10 First Commercial Bank Co Ltd 65 4 0.9
Subtotal 4,623 18 65.2
Total 7,090 32 100.0


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