Question:-Standard & Poor’s is a …
(a) US rating agency
(b) Famous novel
(c) US guideline on trade
(d) None of the above.
Ans: (a)
Related facts:-
- Bank of Baroda (BoB), Punjab National Bank (PNB) and Syndicate Bank — are raising a total of Rs 7,000 crore through Tier-I bonds, to bolster their Capital Adequacy Ratio (CAR).
- Accordingly, PNB is raising up to Rs 3,000 crore, BoB will issue AT-1 bonds for Rs 3,000 crore and Syndicate bank will raise about Rs 1,000 crore.
- Importantly, AT-1 bonds are also known as perpetual bonds. These allow banks to raise capital in compliance with Basel III norms. Unlike regular bonds, they don’t have a maturity date and the issuing bank can either repay the principal after a pre-determined date or continue paying interest forever.