WHAT THE OTHER PAPERS SAY THIS MORNING December 6, 2011 FINANCIAL TIMES BOURSES VIE FOR TIE-UP WITH KAZAKH EXCHANGE The London Stock Exchange and Russia’s two main exchanges are vying to secure a strategic partnership with the Kazakhstan Stock Exchange as the bourse becomes the latest play on the central Asian country’s huge natural resources. The manoeuvring comes as the Kazakh exchange is preparing for [...]
ABI: dividend should come before bonus December 6, 2011 A MAJOR shareholder group has slammed banks for letting executive pay get out of sync with results, in a sign of growing investor activism over the hot button issue of banker bonuses. The Association of British Insurers (ABI), whose members own some 15 per cent of FTSE 100 stock, has sent a letter to the [...]
Barclays makes £2.5bn offer for its debt to boost capital December 6, 2011 BARCLAYS has made a £2.5bn offer to buy back its debt in order to bolster its capital levels. If taken up by holders of the bank’s bonds, the move could book Barclays a profit and reduce the amount of its debt that is non-compliant with new Basel III capital rules. The bank is offering a [...]
Services sector in the UK grows as euro countries slump further December 6, 2011 THE UK’s services sector registered increasing output growth in November, with its PMI rising from 51.3 to 52.1. However, employment is believed to have fallen by several thousand as the picture for new orders remained weak. In the US, services growth declined slightly by remained “modest,” falling from 52.9 to 52.0 in November, defying the European [...]
HSBC hit with £10.5m FSA mis-sale fine December 6, 2011 HSBC was ordered to pay a £10.5m fine yesterday and accepted it would have to pay almost £30m of compensation to clients of one of its subsidiaries for advising elderly pensioners to invest in risky products. The Financial Services Authority hit HSBC with the fine, its biggest ever for retail practices, after the bank’s NHFA [...]
BP ACCUSES HALLIBURTON OF COVER UP OVER OIL SPILL December 6, 2011 BP has accused Halliburton of destroying evidence of its inadequate cement work on the Gulf of Mexico oil well that blew out last year, and called for the firm to be punished. The accusation, in a BP court filing, comes ahead of a trial, expected in February, to assign blame and damages for the April [...]
German bank to buy back €600m debt December 6, 2011 GERMANY’S second-biggest bank, Commerzbank, said it would buy back €600m (£515m) of its own hybrid equity from investors yesterday in a bid to shore up its capital position to meet tough new Basel III capital requirements due to take effect in 2013. Commerzbank said it would buy back the trust-preferred securities, which are a mixture [...]
COMMERZBANK’S CAPITAL BASE December 6, 2011 Q.WHAT IS HYBRID DEBT? A.Hybrid debt is a broad term for instruments that act like both debt and equity and often convert from a debt-like security to equity in a trigger scenario such as a financial crisis. Hybrid securities usually pay a coupon or dividend until their maturity date, in the same way as a [...]
Dexia closer to winning fresh aid guarantees December 6, 2011 STRICKEN bank Dexia has secured temporary financing guarantees from Belgium, France and Luxembourg to keep it running while the countries cement the bailout they put together in October. Yesterday the Franco-Belgian bank said a draft temporary guarantee agreement had been submitted to its board of directors and to the European Commission, which will need to [...]
City wealth manager adds to our appeal December 6, 2011 THERE is more good news for City A.M.’s Christmas appeal with the addition of a generous personal gift from Greg Knight (pictured), practice principal at City wealth manager Welbeck Group today. Knight’s significant donation takes our total to an incredible £200,000 after only two weeks of fundraising. Knight, a former London Scottish rugby player who [...]
