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Oct 29, 2013
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Deutsche’s fixed-income pain could exceed rivals’

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By Dominic Elliott

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

Deutsche Bank’s third-quarter hit in fixed-income trading could presage a painful loss in market share. The German bank suffered a 48 percent fall in third-quarter debt sales and trading revenue – as bad as any peer. And things could get tougher still.

Oct 24, 2013
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Credit Suisse shoved into another restructuring

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By Dominic Elliott

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

When Credit Suisse decided to shrink its fixed income business, many thought it wasn’t enough. They were right. After cutting a third of its products since 2009, the Swiss bank is renewing the assault.

Oct 22, 2013
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Blueprint for new BoE could start with rebrand

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By Dominic Elliott and Christopher Hughes
The authors are Reuters Breakingviews columnists. The opinions expressed are his own.


Bank of England Governor Mark Carney has hired McKinsey and Deloitte to advise on strategy. Breakingviews imagines what the consultancies might recommend.

Sep 17, 2013
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Smooth Lloyds sale is mixed omen for bank ECM

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By Dominic Elliott

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

The ease with which the UK government has offloaded 3.2 billion pounds of shares in Lloyds Banking Group is a mixed omen for bank equity sales. The disposal was perfectly timed and expertly sized. But unusually strong demand from U.S. funds was also a critical factor in its success.

Sep 12, 2013

Deutsche Libor case dumps burden of proof on banks

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

By Dominic Elliott

LONDON, Sept 12 (Reuters Breakingviews) – The odd bad apple
excuse may become more difficult for banks confronted with
employees’ disreputable behaviour. A Frankfurt judge has ordered
Deutsche Bank (DBKGn.DE: Quote, Profile, Research) to reinstate four traders it fired in
February for alleged rate-setting misdeeds, partly on the
grounds that the German lender’s rules weren’t explicit enough.
The ruling may yet be appealed, but the verdict nonetheless
illustrates how hard it is to nail Libor wrongdoing. According
to evidence heard in court, Deutsche Bank’s internal probe
appears to have been relatively wide-ranging and long-lasting.
The bank interviewed 40 people involved in setting Libor and
Euribor before firing five traders in February, one of whom
settled separately.

Aug 30, 2013

Shadow bank leverage curbs need more work

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

By Dominic Elliott

LONDON, Aug 30 (Reuters Breakingviews) – Curbing leverage in
opaque areas of finance sounds like a good idea. The Financial
Stability Board of global regulators reckons it can make markets
safer by placing hard limits on lending against specific assets
– particularly for securities lending and repo financing. If it
wants to go down that path, the proposals need more work.

Aug 28, 2013

Breakingviews-Loss of prime broking diversity could hurt

(The authors are Reuters Breakingviews columnists. The
opinions expressed are their own.)

By Dominic Elliott and Neil Unmack

LONDON, Aug 28 (Reuters Breakingviews) – Bank reform is
having unintended consequences for hedge funds. The result could
be bigger fund blowups that are harder to manage.

Aug 19, 2013
via Breakingviews

August lull only partly explains market jitters

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By Dominic Elliott

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

Global equities have taken fright. The U.S S&P 500 benchmark fell 1.4 percent on Aug. 15, its biggest drop for almost two months. The VIX, a measure of the S&P’s implied volatility over the next 30 days, leapt 13 percent. And China’s Shanghai Composite Index spiked 5 percent on the morning of Aug. 16, before snapping back.

Jul 16, 2013

Breakingviews-Bankers’ pay numbers could stoke London envy

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

By Dominic Elliott

LONDON, July 16 (Reuters Breakingviews) – Pay numbers
released by the European Banking Authority on July 15 will do
nothing to boost the City of London’s popularity in the rest of
Europe. The UK was home to 84 percent of the pool of happy EU
investment bankers who earned over 1 million euros in 2011, up
from 79 percent the year before. The imbalance underscores
London’s financial dominance in the region.

Jul 15, 2013
via Breakingviews

Banks dodge a bullet with transatlantic swap deal

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By Dominic Elliott and George Hay

The authors are Reuters Breakingviews columnists. The opinions expressed are their own.

A deal between American and European regulators on derivatives has helped banks dodge a bullet. Before a compromise hatched on July 11, the Commodity Futures Trading Commission (CFTC) intended to force swaps involving United States’ counterparties to be cleared in America. That would have frozen cross-border flows and hammered volumes by creating separate regulatory jurisdictions.

    • 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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