Articles by Phil Cornet

End of Hybrids: A Time for Yield with Franking

At the beginning of this week, we saw APRA release its decision on the $43B Hybrids market. Hybrids have been an instrument used primarily by banks to increase Tier 1 Capital levels and were a combination of debt and equity, hence the name “hybrid”. In this week’s piece we are going to look at the bank hybrids market, a popular investment category that has grown to be worth $43 billion since first being offered to retail investors in 1998.