William C. Dudley, president of the Federal Reserve Bank of New York, has warned banks to change the way employees are compensated and to undertake a few more measures to fix their corporate culture that breeds misdeeds or acclimatize to being broken up. Dudley roughed out a few ideas at a workshop on Monday attended [...]
Citigroup, Bank of America, Goldman Sachs Group, Barclays, HSBC and Royal Bank of Scotland are among 13 banks whose units were sued for $1.15bn by Virginia over sale of residential mortgage-backed securities during the financial crisis. Virginia attorney general, Mark Herring, made the denunciations, which identify with the sale of securities to the state’s retirement [...]
Morgan Stanley, one of the most prominent supporters of electric luxury car maker, Tesla Motors Inc., has issued a cautious report sending its shares into the pothole by Monday evening. The news comes after Morgan Stanley’s investment research development cautioned warning in regards to Tesla’s speedy rise in past few months. Morgan Stanley was one [...]
The Federal Reserve plans to hit the biggest U.S. banks with a tougher version of capital surcharge than that agreed by international regulators, so they remain less of a “too big to fail” risk to lead to a scenario similar to the eruption of financial crisis in 2008. In a testimony at a Senate hearing [...]
Goldman Sachs said on Friday that it has agreed to pay $3.15 billion, its largest bill yet to resolve a government lawsuit related to the financial crisis. The settlement is said to resolve claims that it deceived Fannie Mae and Freddie Mac to end a lawsuit that was filed in 2011 by Federal Housing Finance Agency, [...]
Wall Street banks are currently under pressure to improve working conditions of a new generation of bankers to fight defection and are thus raising salaries and limiting working. Banks including Goldman Sachs Group Inc., J.P. Morgan Chase & Co., Citigroup Inc., Bank of America Corp. and Morgan Stanley are planning to compensate better for many [...]
Morgan Stanley has been faced with a tremendous amount of pressure recently to show an increase in the profit margins of its retail brokerage sector. It has decided to adopt various measures to trim down on costs such as office consolidation, announcement of layoffs, among others. According to sources, the number of job positions which are faced with the threat of layoffs is not really clear for the time being.
Deutsche Bank AG reported a fall in its first-quarter net profit by one-third from a record level a year earlier. Deutsche Bank blames this on the sluggish client activity, which has continued to pressurize investment banking activities across the board and due to exceptional charges has resulted in the bank’s effort to reduce risks.
Citigroup made profits of $2.9 billion in the first three months of the year. Citigroup said that it had been helped by record revenue from processing transactions for its international clients and more customers repaying loans on time. Revenue fell 2 percent to $19.4 billion from the year-ago quarter.
The California-based professional social networking website, LinkedIn, co-founded by Reid Hoffman and run by chief executive Jeff Weiner, is all set to make a market debut with its scheduled IPO for later today. Valued at $4.3 billion, LinkedIn will sell 7.8 million shares, and raise $352.8 million, pricing each share at $45, setting the stage [...]
In a historic win against corrupt investment practices, billionaire investor and Galleon Group founder, Raj Rajaratnam, was found guilty on 14 insider-trading and conspiracy charges on Wednesday. The long ordeal that started with Rajaratnam’s arrest in October 2009 concluded with a seven-week trial in Manhattan federal court, where the jury delivered across-the-board convictions on nine [...]
AT&T’s $39 billion blockbuster takeover of T-Mobile marks the biggest global telecom deal since AT&T’s $89.4 billion buy of BellSouth in 2006. The latest among a series of transformational deals for Morgan Stanley‘s telecom bankers, the AT&T / T-Mobile deal will mean a whooping $145 million fee for the advisors. The deal came through after a [...]
Tokyo Stock Exchange (TSE), the 4th-largest global bourse by trading volume, has confirmed plans of beginning talks with its smaller Japanese rival, the Osaka Stock Exchange (OSE), on a possible merger to strengthen its position given the recent wave of consolidation of markets that has been taking place globally. While Tokyo Stock Exchange CEO has stated [...]
They stood strong, survived and even thrived through the global financial crisis. Now, having set a record high of $44 billion worth of mergers and acquisitions across Sub-Saharan Africa for 2010, companies from these emerging market countries promise even better prospects for 2011. Currently, the population of Africa stands at over a billion. Estimates expect [...]