Morgan Stanley warns on Wall St pay
Morgan Stanley is preparing to wield its axe again with more job cuts and smaller bonuses planned for next year as the investment bank attempts to boost shareholder returns.
In the latest sign of the pressure Wall Street is under to cut costs and address high pay levels, James Gorman, chief executive, said that staff and remuneration would have to be sacrificed as banks cope with lower profits. “There’s way too much capacity and compensation is way too high,” Mr Gorman said.
Kingfisher fleet to remain grounded
India’s stricken Kingfisher Airlines said yesterday that its fleet would remain grounded until October 12, after the carrier’s management failed to resolve a dispute with its staff over unpaid wages. Sanjay Aggarwal, chief executive of the cash-strapped carrier, had visited key Indian cities to meet striking employees.
Call to review for-profit exchanges
Legal provisions that protect for-profit US stock exchanges and allow them to write their own rules are outdated and need to be reviewed, a leading regulator told an industry conference in New York.
Music industry cashes in
The music industry’s push to take profits from concerts, advertisements and T-shirts is offsetting the terminal decline in CD sales. Revenue from these deals rose 14 per cent to £76m last year.
Oligarch pulls out of $1bn showdown
For nearly five years, he waged a string of bitter legal battles. Yesterday Boris Berezovsky pulled out of his last-remaining lawsuit weeks before it was set to come to trial.
The Daily Telegraph
Debt fear as buy-out firms refinance
Private equity firms are set to take billions of pounds out of UK companies in a refinancing glut that has raised fears of a new credit bubble.
QE3 could push gold to $2,400
BlackRock fund manager Evy Hambro who invests in the precious metal and gold equities, predicted that QE3 could result in the gold price hitting US$2,400/oz by the middle of next summer.
THE WALL STREET JOURNAL
SEC caution over pay disclosures
Companies disclosing new measures of executive pay, such as “realized” or “realizable pay,” should be careful that their disclosures are not misleading to investors, a SEC official said yesterday.
Brazil Bids for New Auto Investment
Brazil yesterday unveiled new tax breaks for corporate investment in automotive science, technology and fuel efficiency that are designed to boost the nation's car industry, which accounts for around 20 per cent of economic output.