Fink: Billions could flow into preferreds as banks recapitalise
BlackRock chief calls for perpetual preferred shares to be counted towards Tier I capital at Europe's banks
Laurence Fink, chairman and chief executive of BlackRock, has said billions of assets could flow into perpetual preferred shares issued by European banks looking to recapitalise as they face more stringent capital requirements.
Speaking on an earnings call with analysts yesterday, he said perpetual preferred shares are not currently counted towards Tier I capital in Europe, but he hopes that will change as banks lobby regulators. Counting the shares will go a long way in helping to recapitalise
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