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◆ New CEO revamps HSBC to be leaner and meaner 
◆ What markets think of idea to make UK water sector non-profit 
◆ The swap spread dynamic hammering SSA bonds

New HSBC boss Georges Elhedery is restructuring the bank. It's what new CEOs do; and it has certainly been tried at HSBC before, with mixed results. But plenty of people think this time could be different. We explain why Elhedery's plan could work and what the motivations are behind it.

A corporate restructuring idea that received a less enthusiastic reception was one to make the UK's troubled water companies — privately owned — operate as non-profits. The sector is in crisis and requires huge investment. The thought is that money previously funnelled into private hands by way of dividends should be used to pay for it. We talk through the ramifications and the reaction in capital markets.

Finally, we look into the accelerating tightening of the spread between Bund yields and interest rate swaps in euros and why this could cause a headache for supranational and agency bond issuers.