Dominic's Feed
Jun 17, 2015
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Wall Street lead over EU banks looks set in stone

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

European investment banks will find regaining ground ceded to their stateside rivals a hard slog. Trading and advisory revenue at the region’s five largest banks – Barclays, BNP Paribas, Credit Suisse, Deutsche Bank and UBS – accounted for more than two-thirds of that generated by their five largest U.S. counterparts in 2010, according to a Breakingviews analysis. While disclosures complicate exact comparisons, last year they look to have mustered less than half.

Jun 8, 2015
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Anshu Jain’s painful lessons for new Deutsche boss

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Deutsche Bank’s new chief executive needs to learn some painful lessons from Anshu Jain. Investors fed up with the bank’s slow progress on cutting costs and boosting capital have cheered news of the co-CEO’s departure after three years in charge. New broom John Cryan should study his predecessor’s mistakes.

May 5, 2015
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UBS pulls ahead of both activist and rivals

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

UBS is out in front of both activist investor Knight Vinke and its own banking rivals. The Swiss lender’s first-quarter net profit leapt 88 percent from a year earlier to 2 billion Swiss francs ($2.1 billion), way above the 1.1 billion francs pencilled in by analysts. And unlike peers, UBS’s capital strength improved on both main metrics.

May 5, 2015
via Breakingviews

UBS pulls ahead of both activist and rivals

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

UBS is out in front of both activist investor Knight Vinke and its own banking rivals. The Swiss lender’s first-quarter net profit leapt 88 percent from a year earlier to 2 billion Swiss francs ($2.1 billion), way above the 1.1 billion francs pencilled in by analysts. And unlike peers, UBS’s capital strength improved on both main metrics.

Apr 27, 2015
via Breakingviews

Deutsche Bank revamp puts capital ahead of returns

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Deutsche Bank investors are being asked to wait for slim pickings. Germany’s largest lender said on April 27 it would cut investment banking assets by 200 billion euros ($217 billion), jettison its underperforming Postbank retail subsidiary, and find 3.5 billion euros in new savings by 2020. The upside is much-improved capital strength. The downside is unexciting returns.

Apr 27, 2015
via Breakingviews

Deutsche Bank revamp puts capital ahead of returns

Photo

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Deutsche Bank investors are being asked to wait for slim pickings. Germany’s largest lender said on April 27 it would cut investment banking assets by 200 billion euros ($217 billion), jettison its underperforming Postbank retail subsidiary, and find 3.5 billion euros in new savings by 2020. The upside is much-improved capital strength. The downside is unexciting returns.

Apr 23, 2015
via Breakingviews

Deutsche’s attitude problem compounds Libor hit

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own. 

Deutsche Bank has found a new form of Libor shame. Germany’s biggest bank on April 23 agreed to pay a record $2.5 billion to settle with three U.S. authorities and the UK’s Financial Conduct Authority over rate-rigging misdeeds. On top of the actual fiddling, it misled the UK regulator.

Apr 23, 2015
via Breakingviews

Deutsche’s attitude problem compounds Libor hit

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own. 

Deutsche Bank has found a new form of Libor shame. Germany’s biggest bank on April 23 agreed to pay a record $2.5 billion to settle with three U.S. authorities and the UK’s Financial Conduct Authority over rate-rigging misdeeds. On top of the actual fiddling, it misled the UK regulator.

Apr 23, 2015
via Breakingviews

French investment banking has less than meets eye

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By Dominic Elliott

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

French investment banking returns flatter to deceive. BNP Paribas and Societe Generale run their trading and advisory businesses with less equity against gross assets than their rivals. Before piling in, investors should recall that smaller capital bases mean less profit is needed to generate the same return.

Apr 21, 2015
via Breakingviews

Thiam needs to think big at Credit Suisse

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The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Chief executive-designate Tidjane Thiam has scope for radical action at Credit Suisse when he joins in July. The Swiss bank’s first quarter shows the outgoing Prudential boss is inheriting a mixed bag. Net profit climbed 23 percent to 1.05 billion Swiss francs ($1.04 billion) from the same period a year earlier, on resurgent trading and wealth management. But progress on weak capital ratios was mixed.

    • About Dominic

      "Dominic is a London-based columnist covering investment banking. Prior to Breakingviews, he spent two years at moneydealer ICAP, where he brokered equity derivatives trades between investment banks, high-frequency trading firms and hedge funds. He has more than five years of financial journalism experience, including stints as news editor and investment banking editor at Financial News. He has also written for The Wall Street Journal Europe. Dominic holds an MA in Classics from Oxford University and an MSc in Development Management from the London School of Economics. Follow Dominic on Twitter @DominicElliott"
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