Contingent Convertible Bonds (CoCos) are hybrid financial instruments that function as bonds but can be converted into equity when certain trigger events occur. They serve a critical role in regulatory capital and financial stability.
A comprehensive look at hybrids, synthetic financial instruments created by combining two or more individual financial instruments, such as bonds with warrants attached.
Explore the intricacies of mezzanine debt, a hybrid financial instrument subordinated to other debt issues. Learn about its definition, how it works, and see practical examples of its application.
A comprehensive guide on Tier 2 Capital, its definition, core components such as revaluation reserves, undisclosed reserves, hybrid instruments, and subordinated term debt, and their inclusions in financial systems.
