FSA announces new compensation rules for savers
by Gill Montia
Story link: FSA announces new compensation rules for savers
The Financial Services Authority (FSA) has announced the introduction of new “fast payout” rules for the Financial Services Compensation Scheme (FSCS).
From 31st December 2010, individual and business customers of banks, building societies and credit unions that collapse should receive compensation within a target of seven days, and all payments within 20 days.
In addition, payouts will [...]
Sberbank releases financial results for first half of 2009
by Richard Kilner
Story link: Sberbank releases financial results for first half of 2009
Russian bank Sberbank has released its financial results for the first six months of 2009.
The trend is clearly positive, with an impressive 34% rise in operating income (before provisions) on an annual comparison.
Similarly, net interest income rose by 46% and net fee and commission income was up by 10%.
However, pre-tax profits were substantially down at [...]
SunTrust records quarterly loss
by Richard Kilner
Story link: SunTrust records quarterly loss
SunTrust Banks, Inc. has released its financial results for Q2 2009, which include a net loss of $164.4m.
This compares poorly with the $530m net income that SunTrust recorded in Q2 2008 and equates to a net loss of $0.41 per diluted share compared to a net income of $1.52.
The large disparity between the two figures [...]
Standard Chartered make brace of Asian appointments
by Richard Kilner
Story link: Standard Chartered make brace of Asian appointments
Standard Chartered Bank has announced the appointment of Ray Ferguson to the post of chief executive of Standard Chartered Bank in Singapore.
He brings to the post over two decades of experience in the international banking sector and has worked for Standard Chartered Bank as chief executive of its UAE operations and chief executive of the [...]
PricewaterhouseCoopers investigated over Cattles audit
by Gill Montia
Story link: PricewaterhouseCoopers investigated over Cattles audit
PricewaterhouseCoopers (PwC) is being investigated by the Accountancy and Actuarial Discipline Board (AADB) over its audit of sub-prime personal loan specialist, Cattles.
Earlier this year, Cattles admitted to a breakdown in internal controls that had resulted in the incorrect application of impairment policies at its Welcome Financial unit.
In April, the firm warned that it needed to [...]
Rise in students unable to meet loan repayments
by Gill Montia
Story link: Rise in students unable to meet loan repayments
The burden of student debt in England is increasing with latest figures from the Student Loan Company showing that the number of graduates deferring loan payments increased by 160,000 in 2008/09.
Poor job prospects resulting from the credit crisis are partly to blame for the rise, with more students leaving university only to take up [...]
Bank of America reappoints Cotty as chief accounting officer
by Richard Kilner
Story link: Bank of America reappoints Cotty as chief accounting officer
Bank of America has announced the appointment of Neil A. Cotty as chief accounting officer with effect from 27 July.
Cotty succeeds the incumbent, Craig Rosato, who becomes consumer credit risk executive directly responsible to Greg Curl, chief risk officer.
Since last Autumn Cotty has worked for the bank as chief financial officer for its Global Banking [...]
Credit Suisse announce Q2 results
by Richard Kilner
Story link: Credit Suisse announce Q2 results
Investment bank Credit Suisse has reported net income of CHF 1.57bn for the second quarter of this year.
This marks a significant increase on the same period in 2008 which saw net income of CHF 1.22bn.
However, the previous quarter had seen higher profits of CHF 2bn.
Core net revenue was also up year-on-year, rising to CHF 8.61bn [...]
Wells Fargo announces record profits
by Richard Kilner
Story link: Wells Fargo announces record profits
Wells Fargo has announced it has achieved record quarterly profits in the second quarter of this year.
Net income was $3.17bn for the last three months, a rise of 81%, and for the half-year 2009 stands at $6.22bn, up 66%.
Diluted earnings per share were up 8% at $0.57, and revenue rose 28% to hit a record [...]
FSA extends waiver on unauthorised overdraft charges
by Gill Montia
Story link: FSA extends waiver on unauthorised overdraft charges
The Financial Services Authority (FSA) has once again extended a waiver on its complaints handling rules regarding unauthorised overdraft charges.
The move allows banks not to deal with new complaints until January 2010.
The Office of Fair Trading (OFT) has been trying to establish the legality of the charges – widely regarded as exorbitant – under the [...]
Piper Jaffray records quarterly profits
by Richard Kilner
Story link: Piper Jaffray records quarterly profits
Piper Jaffray Companies (NYSE: PJC) has announced its results for the second quarter of this year.
The firm made a net income of $11.6m, equivalent to $0.59 per diluted share, for the quarter ended 30 June.
This compares favourably to Q2 2008 which saw the firm incur a $1.5m net loss, and the previous quarter which had [...]
US Bancorp records net income of $471m
by Richard Kilner
Story link: US Bancorp records net income of $471m
US Bancorp (NYSE: USB) has announced its financial results for Q2 2009, with net income of $471m recorded, equivalent to $0.12 per diluted share, a fall of $58m from Q1 2009.
The second quarter was however hit by a number of significant items, such as a FDIC special assessment reducing net income per share by $0.05, [...]
KBW appoints executive VP
by Richard Kilner
Story link: KBW appoints executive VP
Investment bank Keefe, Bruyette & Woods (KBW) has announced the appointment of Greg Heher as executive VP and head of Corporate Bond Trading.
Heher, whose appointment takes place with immediate effect, will make him directly responsible to the director of Fixed Income Trading, Don Ullmann.
He brings to the post over a quarter of a century of [...]
Savers desert NS&I as confidence returns
by Gill Montia
Story link: Savers desert NS&I as confidence returns
Britain’s savers withdrew a net £1 billion from National Savings & Investments (NS&I) in the three months to the end of June, compared with net inflows of £1.1 billion over the same period last year.
As the financial crisis gathered pace, the government-backed saving provider that benefits from a 100% guarantee on deposits was inundated by [...]
Power to savers with online interest rate auction
by Gill Montia
Story link: Power to savers with online interest rate auction
UK banks and building societies are being invited to take part in a new market place for savers (individuals, companies and organisations) that can be found at Licuro.com.
The site is operated by Licuro.com UK Ltd, which claims to be Europe’s first and largest online interest rate auction house.
Registered users can auction their savings directly to [...]
HSBC fined £3m for customer data failings
by Gill Montia
Story link: HSBC fined £3m for customer data failings
Three subsidiaries of HSBC have been fined for not having adequate systems and controls in place to protect their customers’ confidential details.
The Financial Services Authority (FSA) has levied a penalty of over £3 million for failings that contributed to customer data being lost in the post on two occasions.
Following its investigations, the regulator reported that [...]
BNP Paribas appoint asset management leader
by Richard Kilner
Story link: BNP Paribas appoint asset management leader
French bank BNP Paribas has announced the appointment of Philippe Marchessaux to lead its asset management businesses.
Marchessaux becomes head of BNP Paribas Investment Partners and chief executive officer of BNP Paribas Asset Management, succeeding Gilles Glicenstein.
He is a veteran of the firm, and has spent more than two decades working in its asset management businesses.
He [...]
Crédit Agricole announce three appointments
by Richard Kilner
Story link: Crédit Agricole announce three appointments
Crédit Agricole has announced a trio of senior appointments within its Coverage and Investment Banking Division.
Jean-François Balaÿ has been named as head of the Global Loan Syndication Group, and began his career 20 years ago with Crédit Lyonnais.
In the decades since then he has occupied a range of Commercial and Corporate Finance positions from London [...]
Morgan Stanley hire Jack DiMaio
by Richard Kilner
Story link: Morgan Stanley hire Jack DiMaio
Jack DiMaio has been named by Morgan Stanley (NYSE: MS) as the firm’s new global head of Interest Rate, Credit and Currency trading.
DiMaio brings with him over two decades of experience, and will also assume a place on Morgan Stanley’s Management Committee and report directly to Michael Petrick, global head of Sales and Trading.
Petrick has [...]
Legg Mason records quarterly profits
by Richard Kilner
Story link: Legg Mason records quarterly profits
Global asset management firm Legg Mason Inc. has reported results for the first fiscal quarter of 2010, ended on 30 June.
The firm has reported net income of $50m, equivalent to $0.35 per diluted share.
This compares very favourably with the previous quarter which saw Legg Mason incur a net loss of $330m.
The previous quarter was, however, [...]
