The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

CAPITAL NOTE Definition & Legal Meaning

Definition & Citations:

A NOTE issued by a BANK or bank holding company that can qualify as TIER 2 CAPITAL. To be included in the Tier 2 computation, the security must be structured as a NONCALLABLE BOND with an original maturity of at least 7 years, or a MANDATORY CONVERTIBLE BOND that results in conversion into the bank


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