By GlobalCapital 29 Aug 2019 Credit Suisse this week made “an important step in the transition away from Libor”, the bank claimed, as it placed an AT1 that it said was the first public issue in the Swiss franc market to use an alternative benchmark rate. The AT1 has a fixed rate coupon until its first call date, after which it resets to pay the five year mid-swap rate referencing the Swiss Average Rate Overnight (Saron), rather than Swiss franc Libor. Like alternative reference rates in other currencies, Saron is based on actual transactions ... Contact our subscriptions team to discuss your access: subs@globalcapital.com Or sign up for a trial to gain full access to the entire site for a limited period. To discuss GlobalCapital access for your entire department or company please contact our subscriptions sales team at: subs@globalcapital.com or find out more online here.
Credit Suisse has placed a SARON-linked AT1, claiming it is the first public issue in the Swiss franc market to use the RFR. The security has a fixed rate coupon until five-year, after which it will pay the its first call date mid-swap rate referencing SARON.