OFT won’t report banks January 26, 2011 THE OFFICE of Fair Trading has decided not to report London’s investment banking industry for anti-competitive practices, according to reports last night. The OFT has spent six months looking at whether equity underwriting practices stifle competition, but does not have enough evidence to make a formal referral to the Competition Commission. The watchdog said in [...]
Submissions to Vickers January 26, 2011 BARCLAYS Said a forced split would harm the stability of the system. “There is little empirical evidence to suggest that material structural change would enhance financial stability,” it said, warning that the UK economy would also suffer if the financial sector is curtailed. RBS RBS sought to quantify the benefits of the universal model, estimating [...]
Agius warns EU rules could hurt recovery January 26, 2011 MARCUS Agius, the chairman of the British Bankers’ Association and Barclays, has warned the government that regulators could hinder the recovery by adopting new banking rules more quickly than other countries. In a letter to chancellor George Osborne, Agius argued the UK risks tipping the playing field of global commerce in favour of rival financial centres. He [...]
Analysts say Glencore could be worth $60bn January 26, 2011 GLENCORE, the world’s biggest commodities trader, has enjoyed a surge in value and is now worth some $60bn (£38bn) as it contemplates an initial public offering (IPO), according to leading team of mining analysts. That value placed on it by Liberum Capital would place it among the 15 biggest FTSE-listed companies if it were to [...]
Barclays hit by FSA fine of over £1m January 26, 2011 BARCLAYS has been handed its second fine in two weeks by Britain’s financial watchdog, after it was found to have breached rules on handling clients’ money. The bank’s investment arm, Barclays Capital, has been made to pay £1.12m by the Financial Services Authority (FSA) for failing to protect and segregate clients’ money on an intra-day [...]
Barclays to cut 1,000 jobs January 26, 2011 Barclays is to cut about 1,000 jobs as it stops offering financial planning advice in its branches. The bank said it was consulting with the Unite trade union about ending the service, which is due to occur on 18 February and affect about 1,000 staff across Britain. The bank plans to focus its investment service [...]
BlackRock’s profits soar January 25, 2011 PROFITS at BlackRock, the world’s largest asset manager, soared 77 per cent in the fourth quarter of 2010, beating all expectations yesterday. Higher hedge fund fees and inflows into its exchange-traded fund business generated earnings of $670m (£419m), or $3.42 per share, up from $379m, or $2.39 per share, in the same period in 2009. [...]
Spanish bank input below expectations January 25, 2011 SHARES in Spain’s banks slipped yesterday after the Spanish government refused to inject the anticipated level of capital into the country’s ailing institutions. Finance minister Elena Salgado accelerated the recapitalisation of Spain’s savings banks with a further €20bn capital injection. She said the government contribution would “in no way exceed €20bn (£17bn)”, leaving the private [...]
US mood rises despite house prices falling January 25, 2011 HOUSE prices in the US fell for a fifth consecutive month in November, a well regarded survey revealed yesterday. However, there was better news for the US recovery as official data showed consumer confidence hitting a seven-month high in January. The US Conference Board said its index of consumer sentiment jumped to 60.6 this month, [...]
CITY MOVES | WHO’S SWITCHING JOBS January 25, 2011 RSM Tenon The seventh largest accountancy firm has named accountant Peter Musgrave as head of its enlarged London office. RSM Tenon has brought together teams from four offices into the central London location in Chiltern Street in the West End and created a 450 strong team covering all the Group’s services. Peter previously ran the [...]