Financial Regulatory Forum

UK banks should use bonus cash to lend – Conservatives’ Osborne

British opposition Conservative finance spokesman George Osborne speaks at a Reuters Newsmaker event in London October 26, 2009.  Osborne said that British retail banks should be stopped from paying big cash bonuses and use the money instead to support new lending.     REUTERS/Kevin Coombs (BRITAIN BUSINESS POLITICS)   By Matt Falloon and David Milliken
LONDON, Oct 26 (Reuters) – British retail banks should stop paying big cash bonuses and use the money instead to support new lending and contribute to an economic recovery, opposition Conservatives’ finance spokesman George Osborne said on Monday.

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Bank of Canada raps finance industry, says G20 determined to reshape

Bank of Canada Governor Mark Carney speaks during a news conference upon the release of the Monetary Policy Report in Ottawa October 22, 2009.  (File Photo) REUTERS/Chris Wattie       (CANADA BUSINESS POLITICS)   MONTREAL, Oct 26 (Reuters) – Bank of Canada Governor Mark Carney delivered a blunt rebuke to the global financial industry on Monday, saying it had shown insensitivity over high compensation and calling on it to get on board with reforms.

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Fed issues U.S. bank pay guidelines to combat risk

WASHINGTON, Oct 22 (Reuters) – The U.S. Federal Reserve issued bank pay guidelines on Thursday to curb the type of excessive risk-taking it said contributed to the crisis that nearly collapsed the financial system last year.

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Bank of America’s Ken Lewis to receive no pay for 2009

Bank of America CEO Kenneth Lewis pauses as he speaks at the National Urban League Conference in Chicago July 30, 2009. (file photo) REUTERS/John Gress By Joe Rauch

CHARLOTTE, Oct 15 (Reuters) – Bank of America Corp (BAC.N) Chief Executive Kenneth Lewis will receive no pay or benefits for his last year of work at the company.

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Major foreign investment banks in Britain agree to G20 pay rules

 A video grab image shows Britain's City minister Paul Myners speaking at a Treasury Committee in London March 17, 2009.     REUTERS/Parbul TV Via Reuters TV

By Matt Falloon and Steve Slater
LONDON, Oct 14 (Reuters) – Major foreign investment banks operating in London have agreed to obey G20 and Financial Services Authority rules on remuneration, starting with payments for performance this year, the Treasury said on Wednesday.

Morgan Stanley, Bank of America, UBS, Credit Suisse, Citigroup, Goldman Sachs and JP Morgan signed up to the commitment after a meeting with Treasury minister Paul Myners.

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US “pay czar” Feinberg expecting heat for rulings

By Karen Pierog and Steve Eder
CHICAGO/NEW YORK, Sept 30 (Reuters) – The Obama administration’s pay czar joked Wednesday that he might have to move to Pluto to escape the fallout from his first batch of compensation decisions, which are expected in October.

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Banker pay curbs, clawbacks sought at G20 summit

France's President Nicolas Sarkozy and his wife Carla Bruni-Sarkozy arrive at the Phipps Conservatory for an opening reception and working dinner for heads of delegation at the Pittsburgh G20 Summit in Pittsburgh, Pennsylvania, September 24, 2009.     REUTERS/Philippe Wojazer (UNITED STATES POLITICS BUSINESS) By Kevin Drawbaugh and David Ljunggren
PITTSBURGH, Sept 24 (Reuters) – World leaders at the G20 meeting on Thursday closed in on a statement calling for new restraints on banker pay, an issue that became inflammatory during the global financial crisis, but would not endorse specific monetary caps — a deal-breaker for the United States. (more…)

U.S. Fed to propose wide-ranging bank pay rules

WASHINGTON, Sept 18 (Reuters) – The U.S. Federal Reserve is close to proposing wide-ranging rules on bankers’ pay that would apply to any employee able to take risks that could threaten the safety and soundness of the institution, a Fed source said on Friday.

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EU to review bonuses at state-aided banks – competition regulator

European Commissioner for Competition Neelie Kroes speaks during a news conference at the European Commission headquarters in Brussels July 8,2009. BRUSSELS, Sept 11 (Reuters) – European Union competition regulators are set to take a closer look at bonuses at state-aided banks, the EU’s antitrust chief said on Friday.
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Goldman boss says anger over pay justified, warns of rules overkill

Combination photograph of Wall Street bank executives testifying before House Financial Services Committee on Capitol Hill in Washington, February 11, 2009.  Top row (L-R), are: Bank of New York's Robert Kelly, JPMorgan Chase's Jamie Dimon, Goldman Sachs' Lloyd Blankfein and Wells Fargo's John Stumpf. Bottom row (L-R), are: CitiGroup's Vikram Pandit, Morgan Stanley's John Mack, Bank of America's Ken Lewis and State Street's Ronald Logue.  By Edward Taylor

FRANKFURT, Sept 9 (Reuters) – The head of U.S. bank Goldman Sachs said on Wednesday that anger over bankers’ pay was “understandable and appropriate”, and that greater scrutiny of trade in complex instruments was needed to keep banks in check.   But with the banking sector bouncing back from the financial crisis, regulatory overkill could choke off economic growth, Lloyd Blankfein told an industry conference in Germany’s financial hub.

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