|
Using Subordinated Debt as
an Instrument of Market Discipline
Source:
Federal Reserve
Introduction
1. Why
a Subordinated Debt Policy?
2. Evidence
on the Potential Market-Discipline Effects of Subordinated Debt
3. Analysis
of the Key Characteristics of a Subordinated Debt Policy
4.
Conclusion
Appendixes
A. Members
of the Federal Reserve System Study Group on Subordinated Notes and Debentures
B. A Summary of Interviews with
Market Participants
C. Avoiding Subordinated Debt
Discipline
D. Macroeconomic Effects of Mandatory
Subordinated Debt Proposals
E. Treatment of Subordinated
Debt in Risk-Based Capital
F. The Argentine Experience with
Mandatory Bank SND
|