China's rich enrich European banks

The appetite of China's wealthy to diversify from a weakening yuan is helping European finance companies boost capital to prepare for the next financial crisis. Global fund managers are urging caution.

Since Aug 1, seven issuers opened order books for their Basel III bond sales in Asian hours, raising $11.9 billion selling instruments that count as capital under Basel III rules.

HSBC Holdings Plc separately issued $2 billion of total loss-absorbing capacity notes in Taiwan province. In the first seven months, only three such deals opened in Asia.