A New Category of Debt Securities in Belgium: Senior Non-Preferred Notes

In Short

The Situation: Belgium has introduced senior non-preferred notes, a new category of debt securities available to banking institutions.

The Result: In the event of a liquidation, senior non-preferred notes will rank ahead of subordinated notes, but behind "ordinary" senior preferred notes and any claims benefiting from legal or statutory preferences.

Filed under:
Belgium, Banking, Insolvency & Restructuring, Jones Day, Security (finance), Liquidation, Financial Stability Board
Authors:
Matthieu Duplat , Serkan Alhan
Location:
Belgium
Firm:
Jones Day