China’s banks are lending again. The more they extend in credit, the more they’ll feel the pressure to boost their capital buffers. One method banks are already using is convertible bond issuance. The amount of convertible bonds listed on the Shanghai Stock Exchange has more than doubled in the past year, according to FactSet data. But investors should keep an eye on the market, which is still nascent: the evolution of the assets and their accounting is...

Source: Wall Street Journal April 15, 2019 12:56 UTC