August 2020

A New Additional Tier 1 (AT1) Security – Canadian Preferred Share Market Update

John Shaw's picture
On July 15, 2020, Royal Bank of Canada (“Royal Bank”) held a roadshow to announce a new form of Additional Tier 1 (AT1) security that the Office of the Superintendent of Financials Institutions (OSFI) had approved. The structure had solved the conundrum facing Canadian banks since the old Innovative Tier 1 bonds had been deemed non-compliant following the Global Financial Crisis of 2008.