All City firms to be hit by IMF tax April 21, 2010 NON-BANK financial firms were left reeling yesterday as it emerged the International Monetary Fund (IMF) proposes to levy new taxes on all financial institutions, crippling insurers, hedge funds, private equity firms and asset managers as well as banks. Analysts at Credit Suisse estimated that the taxes could cost the European banking industry as much as [...]
Clegg in row over donations April 21, 2010 NICK Clegg last night denied any wrongdoing after it was revealed that party donations were paid directly into his personal bank account. Three donors paid up to £250 a month into the Liberal Democrat leader’s bank account in 2006, when he was the party’s home affairs spokesman. The arrangement came to an end after he [...]
IMF plan: the wrong kind of reform April 21, 2010 IT is a quote that sums up the new cross-party consensus on London’s financial services industry. Reacting to proposals from the International Monetary Fund, which would hit all financial firms – including hedge funds and insurance companies, not just banks – with two very large new taxes, Alistair Darling had this to say: “The recognition [...]
Prudential to list in Singapore April 21, 2010 British insurer Prudential is seeking a secondary listing in Singapore to run alongside its dual primary listing in Hong Kong. The group, which is preparing a $35.5bn (£23bn) takeover of AIA in Asia, wants to garner as much investor attention as possible in the region before the deal goes through. But another listing in the Far [...]
McDonald’s and Starbucks profit April 21, 2010 US-headquartered chains McDonald’s and Starbucks indicated the consumer recovery is gathering pace yesterday, both saying sales at established outlets were accelerating. McDonald’s reported a 4.2 per cent rise in sales in the month of March, beating analysts’ expectations. The burger manufacturer also announced net income of $1.1bn (£714m) for the quarter. Starbucks said sales were [...]
AT A GLANCE: HOW THE INTERNATIONAL MONETARY FUND’S TAXES WOULD AFFECT THE CITY April 21, 2010 FINANCIAL ACTIVITIES TAX ● The FAT consists of a levy on the value added of ALL financial institutions, including insurers, hedge funds, private equity firms and so on. ● It comprises two elements: a tax on profits and a tax on remuneration. ● This could be justified as an alternative to charging VAT. However, the [...]
WHAT THE OTHER PAPERS SAY THIS MORNING April 21, 2010 FINANCIAL TIMES FIAT TO SPIN OFF NON-CAR DIVISIONS Fiat is to demerge its non-automotive divisions from its core carmaking business in a watershed moment for the 111-year-old Italian industrial group. The spin-off will see Fiat’s Iveco trucks, Case New Holland farming and construction equipment, and industrial and marine engines divisions split off from its Fiat, [...]
Leaked paper chips at SEC’s Goldman case April 21, 2010 PART of the US government’s fraud case against Goldman Sachs appeared to be undermined yesterday when testimony from a former Paulson & Co hedge fund trader was leaked. Paulo Pellegrini, a key figure at Paulson in 2007, reportedly said the third party firm used by Goldman to put together a doomed mortgage-backed derivative was aware [...]
Paulson tells investors he was open about subprime market April 21, 2010 PAULSON, the hedge fund that was the counterparty to the deal for which Goldman Sachs has been accused of fraud, has moved to head off investor concerns about its role. Goldman is accused of defrauding investors by allegedly failing to make it clear to them that prominent hedge fund manager John Paulson bet against a [...]
Greece begins bailout talks as fears grow April 21, 2010 GREECE was forced to enter talks on a financial rescue package yesterday as jittery bond markets pushed up the interest rates on its debt, fearing a default from the teetering country. Prime Minister George Papaconstantinou called meetings at the crack of dawn with advisers from the European Commission and the International Monetary Fund to draw [...]
