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Oct 4, 2012

Analysis: Big funds seek to rein in pay at Wall Street banks

By Lauren Tara LaCapra and Dan Wilchins

(Reuters) – The days when Wall Street banks could blithely hand out half their revenue in compensation to their staff without a murmur from shareholders have come to an end.

In an era of leaner times and tighter regulation, big mutual funds and pensions are growing more vocal in pushing executives at investment banks to rein in pay and bonuses and consider more staff cuts. Investors worry that bank employees are getting too big a piece of a shrinking pie, leaving shareholders a much smaller slice.

Sep 11, 2012

Treasury sells big chunk of AIG stock at a profit

Sept 10 (Reuters) – American International Group (AIG.N: Quote, Profile, Research)
shares fell 1.5 percent on Monday after the U.S. Treasury
Department said it will sell $18 billion of the insurance
company’s shares.

The offering represents the government’s biggest sell-down
of AIG since rescuing the insurer with a bailout in 2008, and
will reduce its stake to roughly 20 percent from a current level
of 53 percent.

Sep 10, 2012

AIG shares fall after U.S. says it plans $18 bln sale

Sept 10 (Reuters) – American International Group (AIG.N: Quote, Profile, Research)
shares fell 1.5 percent on Monday after the U.S. Treasury
Department said it will sell $18 billion of the insurance
company’s shares.

The offering represents the government’s biggest sell-down
of AIG since rescuing the insurer with a bailout in 2008, and
will reduce its stake to roughly 20 percent from a current level
of 53 percent.

Jun 4, 2012

Exclusive: Citadel accuses Jump employees of stealing secrets

By Dan Wilchins and Herbert Lash

(Reuters) – Citadel, one of the world’s biggest hedge fund manager, has accused employees of a rival Chicago high-frequency trading firm of stealing its trading programs.

It said in a court petition that at least one its former employees stole trading algorithms and brought them to Jump Trading, a firm that employs 325 people in Chicago, London and Singapore.

Jun 4, 2012

Citadel accuses Jump employees of stealing secrets

By Dan Wilchins and Herbert Lash

(Reuters) – Citadel, one of the world’s biggest hedge fund manager, has accused employees of a rival Chicago high-frequency trading firm of stealing its trading programs.

It said in a court petition that at least one its former employees stole trading algorithms and brought them to Jump Trading, a firm that employs 325 people in Chicago, London and Singapore.

Jun 4, 2012

Citadel accuses Jump Trading of stealing secrets

June 4 (Reuters) – Citadel, one of the world’s largest hedge
fund managers, has accused a rival Chicago high-frequency
trading firm of stealing its trading programs.

It said in a court petition that at least one its former
employees stole trading algorithms and brought them to Jump
Trading, a firm that employs 325 people in Chicago, London and
Singapore.

May 31, 2012

Insight: Gains that funds made on bets by JPMorgan whale may be limited

By Dan Wilchins

(Reuters) – JPMorgan Chase & Co’s losing bets in credit derivatives were so huge that one of its traders was known as “the London whale” and the hedge funds that attacked him have often been portrayed as harpooners who made a killing. But the story, it turns out, is more complicated than that.

According to hedge fund managers and traders close to the struggle, the bank’s losses – more than $2 billion – may not lead to stunning returns for the funds that were on the other side of the transactions.

May 31, 2012

Gains that funds made on bets by JPMorgan whale may be limited

May 31 (Reuters) – JPMorgan Chase & Co’s losing bets
in credit derivatives were so huge that one of its traders was
known as “the London whale” and the hedge funds that attacked
him have often been portrayed as harpooners who made a killing.
But the story, it turns out, is more complicated than that.

According to hedge fund managers and traders close to the
struggle, the bank’s losses – more than $2 billion – may not
lead to stunning returns for the funds that were on the other
side of the transactions.

Nov 5, 2011

INSIGHT: Did Corzine’s risk taking cripple MF Global?

NEW YORK (Reuters) – In early April, Jon Corzine was in a tough spot. MF Global, the company he had run for the previous year, was about to post a fourth-quarter loss, marking its fourth successive fiscal year of red ink.

For the former Goldman Sachs chief, it was a setback to his efforts to turn MF Global around. He had just announced a plan for the bank to boost trading risk by holding more assets on its books, both to help customers and to bet on markets.

Oct 31, 2011

Insight: Did Corzine’s risk taking cripple MF Global?

NEW YORK (Reuters) – In early April, Jon Corzine was in a tough spot. MF Global, the company he had run for the previous year, was about to post a fourth-quarter loss, marking its fourth successive fiscal year of red ink.

For the former Goldman Sachs chief, it was a setback to his efforts to turn MF Global around. He had just announced a plan for the bank to boost trading risk by holding more assets on its books, both to help customers and to bet on markets.

    • About Dan

      "Dan Wilchins oversees a team of reporters covering U.S. commercial banks, investment banks, and insurance companies. Based in New York, he has also covered securitization, derivative markets, and corporate bonds."
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