Swiss Re smashes profit forecasts August 5, 2010 Swiss Re the world’s second-biggest reinsurer, smashed expectations with a $812m (£511m) net profit in the second quarter as recovering financial markets boosted asset values and investment returns. Operating income of $1.2bn at the Zurich-based reinsurer’s asset management unit more than offset a further $130m hit from the Chile earthquake and a $200m hit from [...]
Commerzbank in £291m profit August 5, 2010 Commerzbank has reported a net profit of 352m euros (£291m) for the second quarter of the year. The German bank’s profit compares with a loss of 761m euros a year earlier. It was also higher than forecast. The lender said it now hoped to return to full-year profit in 2010 and not 2011 as it [...]
Daniels: Forcing us to lend won’t work August 4, 2010 Lloyds boss fires warning shot amid fears of compulsory lending targets David Cameron and Mervyn King pledge to ensure banks extend credit Standard Chartered: Shareholders want us to reconsider British domicile LLOYDS boss Eric Daniels fired a warning shot across the government’s bows yesterday, insisting attempts to force banks to lend were doomed to failure. [...]
Taxpayers to make £19bn from bailout August 4, 2010 TAXPAYERS stand to make a profit of £19bn if the government’s stakes in Lloyds Banking Group and Royal Bank of Scotland are wound down over the next five years, according to an independent consultancy. The Centre for Economic and Business Research (CEBR) made its prediction as the state’s exposure to Lloyds moved into the black [...]
Goldman eyes key unit rejig August 4, 2010 GOLDMAN SACHS could hive off its proprietary trading activities within months to prevent talented traders defecting to hedge funds, as US financial reform legislation takes effect. Under the so-called “Volcker rule” banks have four years to cut their proprietary trading exposure to three per cent of tier one capital. But Goldman, which at 27 per [...]
China’s power is truly extraordinary August 4, 2010 REMEMBER the days when manufacturing was concentrated in the G7, while emerging economies supplied raw materials and components to feed rich nations’ demand? If you do, you are clearly showing your age. Even in 2008, as Stephen Lewis from Monument Securities points out, China produced more steel than the USA, the EU and Japan put [...]
SEC settles Kuwaiti case August 4, 2010 A US regulator has reached a $6.5m (£4.1m) settlement of civil insider trading charges relating to hoax takeover news allegedly issued last year by a Kuwaiti financier who later committed suicide. The US Securities and Exchange Commission alleged that Hazem Al-Braikan, who was chief executive of a company in which Citigroup held a 10 per [...]
UBS told to pay $81m damages August 4, 2010 UBS Financial Services has been ordered to pay $81m (£50.1m) damages to an investor, Kajeet, for losses related to auction rate securities. The Financial?Industry Regulatory Authority said UBS was responsible for damages incurred by Kajeet, a children’s mobile phone maker, which was unable to access funds frozen in the auction rate securities market in February [...]
Infineon loses finance director August 4, 2010 German semiconductor manufacturer Infineon Technologies has lost its chief financial officer. Marco Schröter has left with immediate effect, although the company said plans to sell its wireless unit would be unaffected.
Barclays to defend big banking August 4, 2010 Barclays chief executive John Varley is expected to use today’s first-half results to reiterate his defence of large, universal banks in the face of political pressure to split investment banks from deposit-holders. In February, Varley told a meeting of MPs that separating banks “will not lead to a safer system”.
