Euromoney investigates the market impact of the ECB’s comprehensive assessment of banks, which consists of three legs: identifying portfolios that need scrutiny; the asset-quality review (AQR); and a stress test to be completed by October 2014.
March 2014 The sale of a jumbo pool of legacy Spanish real-estate loans written by Commerzbank unit Eurohypo is just the latest evidence that the long-awaited deleveraging of Europes banks is set to accelerate. But as demand and supply in this part of the market finally align, the careful timing of sales will be crucial to their success.
Eurozone banks NPL crisis threatens to derail recovery November 2013 The IMF warns that corporate loan losses for banks in Spain, Italy and Portugal could hit 282 billion over next two years, highlighting the scale of the challenge for the ECBs asset-quality review amid continued financial fragmentation.
ECB asset quality review is moment of truth October 2013 Europes Tarp moment could be looming as ECB president Mario Draghi issues a sharp warning that the year-long review of the regions banking system will be credible and might require public backstops. Many long-neglected issues are coming to a head, from accounting and bank-reporting norms to national regulatory conventions. However, there is no clarity yet on the hot-button questions.