Subordinate Bond

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Subordinate Bond

A class of bond that, in the event of liquidation, is prioritized lower than other classes of bonds. For example, a subordinate bond may be an unsecured bond, which has no collateral. Should the issuer be liquidated, all secured bonds and similar debts must be repaid before the subordinated bond is repaid. A subordinate bond carries higher risk, but also pays higher returns than other classes. See also: junior debt.
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The EBRD invested PLN 166 million (EUR 38.7 million equivalent) in a subordinated bond issued by Bank Millennium S.A.
Summary: The "Banque Nationale Agricole" (BNA) announced the closing of subscriptions to its subordinated bond of 50 million dinars.
NORDIC BUSINESS REPORT-January 28, 2016-Avanza announces publication of prospectus and listing application for subordinated bond on Nasdaq Stockholm
Summary: Abu Dhabi Commercial Bank, or ADCB, was due to sell $300 million in a subordinated bond on Wednesday, according to the deal arranger, just over two months after its last debt markets outing.
Under the first one, CaixaBank will redeem the fourth subordinated bond issue from 2004.
As its capital base is now sufficient, the new subordinated bond placement is not linked to any capital shortage, Nomura said.
In particular, the agency lowered the rating on the bank's EUR 15 million (USD 20.9m) senior subordinated bond due March 15, 2021 (ISIN : AT0000432661) to Baa2 from Baa1 and raised the rating on its EUR 10 million senior unsecured bond due July 24, 2012 (ISIN : AT000B052584) to Baa1 from Baa2.
Senior versus Subordinated Bond Yields Controlling for Company Ratings
The subordinated bond is classified as 100% capital within Fitch's risk-based capitalisation.
Summary: The Arab Tunisian Bank (ATB) has just received the approval of the Financial Market Council (CMF) for the issue of a subordinated Bond for an amount of 50 million dinars
Global Banking News-September 5, 2016--Bank Norwegian plans subordinated bond issuance
M2 EQUITYBITES-January 28, 2016-Avanza announces publication of prospectus and listing application for subordinated bond on Nasdaq Stockholm