Bonuses for selling risky debt put Singapore banks in the hot seat: Bloomberg

Bond issuers offer rebates of up to 1%.

An unprecedented wave of defaults has swept Singapore in recent months, putting local banks under scrutiny for raking in bonuses by selling risky debt, according to a report by Bloomberg. The Monetary Authority of Singapore (MAS) stated that an industry group is reviewing the practice.

"Bond issuers offer banks rebates of as much as 1 percent as incentive to sell unrated securities, according to a Bloomberg News analysis of figures from bond-sale arrangers and compiled by analysts," the report stated.

Read the full report here.
 

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!