there were sharp losses in early trading, although banking stocks have since rebounded slightly. ubs is currently up 3.5% let s take a look now at how the markets are performing more broadly. trading began in the us an hour ago. we can see the dow is up, the snp 500 also on 5.2%. in asia and in europe, there was some initial fright taken by investors, particularly because certain bondholders in credit suisse have lost all the value of their investment, but by the middle of the trading day most european indices were trading positively again. now, one aspect of the deal was that any investor holding additional tieri bonds, or ati bonds, in credit suisse will get nothing. that s more than 15 billion euros written off. it spooked the whole ati bond market which is worth more than 200 billion euros. let s discuss this in more details with dan kemp, global chief investment officer at morningstar investment management. why is the burning of these bondholders so controversial? that
or ati bonds, in credit suisse will get nothing. that s more than 15 billion euros written off. it spooked the whole ati bond market which is worth more than 200 billion euros. let s discuss this in more details with dan kemp, global chief investment officer at morningstar investment management. why is the burning of these bondholders so controversial? that is the key question. that s been driving all this that we ve seen over the last few hours on the back of what is very good news. these ati are bombs that are low, just above equities. equity holders
wouldn t behind these bonds, which wouldn t behind these bonds, which would mean that if these bonds got wiped down, equity holders will get anything. in this situation it s been different, so the equity will do holders are walking away from this with some stock but the ati holders don t get anything. these were established and posed a global financial crisis to the lost. it was just the order with which losses had been taken which have surprised people and have left some concerns in the banking market. we people and have left some concerns in the banking market. people and have left some concerns in the banking market. we have heard from many central in the banking market. we have heard from many central banks in the banking market. we have heard from many central banks reassuring . from many central banks reassuring ati bondholders that normal rules will apply in the remote likelihood of any further banking failures in theirjurisdictions. dan kemp, thank you very much forjoining