Page 3 - Shadow Banking News Today

Lawyers say any FSOC attempt to designate systemic non-banks risks a repeat of MetLife case

Property is one of the biggest risks facing the economy with the country’s largest private developer Country Garden adding to the sector’s woes.

(Bloomberg) -- The Chinese shadow banking giant whose liquidity crisis has fanned fears about financial contagion is planning to restructure its debt and has hired KPMG LLP to conduct an audit of its balance sheet, people familiar with the matter said.Most Read from BloombergFed Saw ‘Significant’ Inflation Risk That May Merit More HikesGoldman CEO’s Most Loyal Deputy Is Tested by Mutinous PartnersChina Shadow Bank Misses Dozens of Payments as Risks GrowHigh-Potency Pot Marke...

A liquidity crisis at one of China's top asset managers Zhongzhi Enterprise Group has fuelled worries that the country's deepening property sector crisis is spilling over into its $57 trillion financial industry, even as the economy is weakening. The group will conduct a debt restructuring, investors sources told Reuters after being briefed by management, a video seen by Reuters showed, after a trust firm controlled by the group missed payments on dozens of investment products. Zhong...

The Chinese shadow banking giant whose liquidity crisis has fanned fears about financial contagion is planning to restructure its debt and has hired KPMG to conduct an audit of its balance sheet, sources said.

Chinas banking regulator has established a task force to examine risks at wealth management group Zhongzhi Enterprise, after several of its corporate clients disclosed overdue payments by a trust unit. Zhongzhi is one of the largest players in Chinas $2.9tn trust industry, which manages pools of savings from wealthy households and corporate clients to provide loans and to invest in such assets as real estate, commodities, bonds and shares.

Bain Capital is set to acquire 90% of Adani Capital and Adani Housing, buying out the Adani familys private investments in the company. Bain Capital will also provide $120 million in primary capital for the companys growth. The sale will help reduce liabilities on the Adani groups balance sheet.

The acquisition deal is expected to see Bain Capital pay Rs 1,500 crore, which is twice the book value, and additionally, inject Rs 500 crore as primary capital for future growth.

Sens. Cynthia Lummis (R. Wyo.) and Kristen Gillibrand (D. N.Y.) have reintroduced their landmark bipartisan crypto bill known as the Lummis-Gillibrand Responsible Financial Innovation Act...

The shadow banking sector comprises non-bank financial institutions that do not have a deposit guarantee and are barely supervised by the regulator. Efforts to monitor shadow banking must be done well, in both developed and developing countries. Regulators in several countries however have not been fully effective in supervising shadow banking financial institutions, particularly in developing countries such as Indonesia. Therefore, the public's role—in this case, depositors—is essentia...