StanChart, HSBC Mull Significant Risk Transfer Deals
British lenders Standard Chartered (STAN.L) and HSBC (HSBA.L) are considering significant risk transfer transactions to manage default risk on their loan books, Bloomberg News reported Friday, citing unnamed sources. Standard Chartered is looking to use the hedging instrument for a $2 billion portfolio of global corporate loans under its Chakra SRT program, the sources told Bloomberg, adding that the deal terms could change during negotiations with investors. Meanwhile, HSBC is in talks with investors for an SRT for a loan portfolio from markets including Hong Kong, Singapore, India and Australia, the publication cited sources as saying. A potential deal could close later in 2026, according to the news report. Standard Chartered and HSBC did not immediately respond to requests for comment.
British lenders Standard Chartered (STAN.L) and HSBC (HSBA.L) are considering significant risk transfer transactions to manage default risk on their loan books, Bloomberg News reported Friday, citing unnamed sources.
Standard Chartered is looking to use the hedging instrument for a $2 billion portfolio of global corporate loans under its Chakra SRT program, the sources told Bloomberg, adding that the deal terms could change during negotiations with investors.
Meanwhile, HSBC is in talks with investors for an SRT for a loan portfolio from markets including Hong Kong, Singapore, India and Australia, the publication cited sources as saying.
A potential deal could close later in 2026, according to the news report.
Standard Chartered and HSBC did not immediately respond to requests for comment.