Sinead's Feed
Dec 12, 2012

HSBC: How Simple Became Complicated, and costly

LONDON (Reuters) – HSBC takes its name from its roots as the Hongkong and Shanghai Banking Corporation, but there has long been a joke inside and outside the firm that the name stands for “How Simple Became Complicated”.

That complexity in part explains how the London-based bank ended up with the biggest fine ever imposed on a financial firm by U.S. regulators on Tuesday – an eye-watering $1.9 billion – after a lengthy U.S. probe showed sweeping problems at the bank. Lax controls had left HSBC as the “preferred financial institution” for drug traffickers and money launderers, U.S. prosecutors said this week.

Dec 12, 2012

How Simple Became Complicated, and costly

LONDON, Dec 12 (Reuters) – HSBC takes its name from
its roots as the Hongkong and Shanghai Banking Corporation, but
there has long been a joke inside and outside the firm that the
name stands for “How Simple Became Complicated”.

That complexity in part explains how the London-based bank
ended up with the biggest fine ever imposed on a financial firm
by U.S. regulators on Tuesday – an eye-watering $1.9 billion -
after a lengthy U.S. probe showed sweeping problems at the bank.
Lax controls had left HSBC as the “preferred financial
institution” for drug traffickers and money launderers, U.S.
prosecutors said this week.

Dec 6, 2012

Government truce won’t save EADS from state meddling-investors

LONDON (Reuters) – An accord at EADS won’t end state meddling or bring in new investors who have so far avoided the aerospace group for its political risks, some of its independent investors said on Thursday.

They said the deal, which winds down a Franco-German power sharing accord and will increase the company’s “free float” of readily tradable shares, will not take EADS off the political agenda.

Nov 30, 2012

Banking union critical to European recovery, investors say

LONDON (Reuters) – Investors burned by tumbling share prices and emergency cash calls say they could be forced to quit European banks for good unless policymakers forge ahead with a banking union in 2013.

Lamenting piecemeal progress to make euro zone members jointly responsible for all lenders, speakers at the Reuters Global Investment Outlook 2013 Summit in London this week said governments had to work faster to restore investor faith in banks or face years of anemic economic growth.

Nov 29, 2012

BlackRock sees “slow turn” in global economy in 2013

LONDON (Reuters) – The global economy is positioned for “a slow turn” in 2013, with tentative fiscal relaxation in Europe, a sustained U.S. housing recovery and signs of renewed confidence in financial markets, says BlackRock.

Ewen Cameron Watt, chief strategist at the BlackRock Investment Institute, said aggressive monetary and policy action had effectively insured the liabilities of several key financial systems, raising prospects for markets to surprise on the upside next year.

Nov 29, 2012

It’s time to buy peripheral euro zone bonds – AXA IM

LONDON (Reuters) – After years in the investment wilderness, peripheral euro zone bonds are shaping up to be one of 2013′s most promising bets, AXA Investment Managers said on Wednesday.

With the European Central Bank committed to supporting struggling euro zone members, Franz Wenzel, head of strategy at AXA Investment Management, said peripheral sovereign bonds, particularly Italy and Spain, should no longer be overlooked.

Nov 28, 2012

It’s time to buy peripheral euro zone bonds: AXA Investment Managers

LONDON (Reuters) – After years in the investment wilderness, peripheral euro zone bonds are shaping up to be one of 2013′s most promising bets, AXA Investment Managers said on Wednesday.

With the European Central Bank committed to supporting struggling euro zone members, Franz Wenzel, head of strategy at AXA Investment Management, said peripheral sovereign bonds, particularly Italy and Spain, should no longer be overlooked.

Nov 28, 2012

QE is working, says Standard Life Investments

LONDON (Reuters) – Multi-billion dollar money printing programs are finally starting to prove their worth as agents of growth by stoking risk appetite and pushing investors higher up the yield curve.

The economic crutch deployed by the Bank of England and the Federal Reserve has been broadly rejected as a tool to kickstart recovery by European policymakers desperate to avoid a bout of hyper-inflation that crippled 1920s Germany.

Nov 21, 2012

U.S. investor’s Irish punt casts large shadow

DUBLIN/LONDON, Nov 21 (Reuters) – U.S. asset manager
Franklin Templeton’s lucrative bet on Ireland could turn into a
nasty losing streak if Europe’s favourite recovery story falters
or its own customers lose faith.

The San Francisco-based investor’s aggressive purchase of
Irish government debt has helped crown Ireland the best
performing bond market in Europe this year. But its holding of
nearly one tenth of a highly illiquid market leaves it – and
other investors, including the European Central Bank – exposed.

Nov 20, 2012

Concealed votes knock ‘shareholder spring’ off course

LONDON, Nov 21 (Reuters) – Asset managers running trillions
of pounds of pension fund cash are falling short with efforts to
stamp out excessive boardroom pay.

Only months after the so-called shareholder spring promised
a revolution in the way executives are paid, research by
industry group FairPensions suggests many of Britain’s largest
investment houses are still sidestepping client requests to
disclose and explain votes on controversial pay plans.