Bloomberg News reports that banks have issued billions of francs of subordinated convertible bonds that the government said last week would not qualify for the 'going-concern' element of the country’s tougher too-big-to-fail rules. So-called CoCos may be written off or converted into equity if a bank is heading toward failure.
The banks have until the end of 2019 to comply with the rules, the government said. UBS, which had pressed the government for easier terms, described the requirements as 'by far the most demanding in the world'.
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