Tightening spreads, lower fees and fewer covenants are among the more savage uppercuts bankers are taking on the chin, reports Steven Irvine.
At the recent signing of a syndicated loan in Hong Kong, one of the bankers was heard to quip Ah, a Dunhill pen. Well, at least this should improve our profitability on the deal.
In case you havent heard, this is not a good time to be a commercial banker in Hong Kong. Spreads on local syndicated loans have been narrowing dramatically. Meanwhile, an excess of liquidity in the system promises little respite.
If, however, you are a top-rated Hong Kong corporate, then in the words of Harold Macmillan, youve...