The FCA has posted one of its “Dear CFO” letters to the UK spreadbetting/CFD sector. It follows a review across ten firms which (surprise, surprise) found various areas of concern.
Would-be investors in CMC Markets, whose float closes on Thursday, might take particular note. They are, after all, being invited to help Peter Cruddas and his wife Fiona, along with Goldman Sachs, take more than £200m off the table…
Click to read. Read more
The ECB, we guess, is still getting to grips with its new(ish) role as bank regulator-in-chief across Europe. But in the case of Portugal’s Novo Banco, the phoenix-like entity created out of the collapsed Banco Espirito Santo, there’s no evidence the ECB has any handle whatsoever.
A strange re-resolution of Novo Banco, announced between Christmas and New Year, has been left entirely to the Bank of Portugal, whose bungling plan to protect local retail investors at the expense of foreign bond holders (notably Blackrock and Pimco) now looks to be headed for the courts.
Indeed, as Bloomberg reported this week, Clifford Chance in London and PLMJ in Lisbon have now been hired to sue the Portuguese central bank.
Yet all this could be avoided, if only the Bank of Portugal would lose a little of its bloody-mindedness. Read more
We have a severe problem with our ML comments system. We can’t restart Tuesday’s session of Markets Live until that has been looked into.
The tech team are on the case, but probably best you go make yourself a cup of tea. Read more
Henry Blodget set a high bar in low-grade blogging five years back when visiting the WEF’s annual Alpine outing: he took photos of each bit of junk in his official Davos bag. It made for a 22-page slide show, bringing in 124,481 reader page views — the advertising on which will have helped to pay for his trip.
At Davos this year it fell to Quartz to come up with a fresh way to waste readers’ time, promising this:
We brought an antenna to Davos to track private air travel, and here’s what we found
Anyone practicing their knife-catching skills with this particular miner will have replaced their hands with ribbons. Here’s Anglo American of late…
Consider this chart from Charles Robertson at Renaissance Capital. Click to enlarge…
Roll up. UBS Global Economist Paul Donovan will be on tap to discuss Davos, the alleged Fourth Industrial Revolution, and all things market-related during today’s session of Markets Live.
It’s rather timely, given that the Footsie was off 3 per cent at pixel.
So get your questions ready. You can prepare by reading the UBS white paper here.
Click here at 11am.
New to Markets Live? Read this. Read more
Distributed ledger technologies have the potential to help governments to collect taxes, deliver benefits, issue passports, record land registries, assure the supply chain of goods and generally ensure the integrity of government records and services. In the NHS, the technology offers the potential to improve health care by improving and authenticating the delivery of services and by sharing records securely according to exact rules. For the consumer of all of these services, the technology offers the potential, according to the circumstances, for individual consumers to control access to personal records and to know who has accessed them.
That’s from a report by the UK Government’s chief scientific adviser, Sir Mark Walport. Read more
There seemed to be an inevitability to news broken by Reuters earlier on Monday that Xiao Gang, the embattled head of the China Securities Regulatory Commission, had offered to resign and would shortly be moving jobs.
He, after all, was responsible for the bungled introduction of stock market circuit breakers this month, which cost many Chinese investors their shirts. This supposed market safety valve had to be withdrawn in something of a hurry, leaving higher-ups in the Chinese leadership extremely unhappy, according to Reuters.
But no! Read more
Dan McCrum, in his new-ish role as the FT’s Capital Markets Editor, went along to the Albert Show on Tuesday – the annual SocGen strategy presentation fronted by the bank’s famous (equity) bear Albert Edwards. Dan’s summation:
Albert was out bear-ed by the guest speaker, Russell Napier.
But Albert is not a man to be out bear-ed. If anyone is going to out-Albert Albert, it will be Albert himself, and so to his freshly printed Global Strategy Weekly. Emphasis his… Read more
The SEC just will not lay off this particular hedgie…
Washington D.C., Jan. 8, 2016 — The Securities and Exchange Commission today announced that hedge fund manager Steven A. Cohen will be prohibited from supervising funds that manage outside money until 2018 in order to settle charges for failing to supervise a former portfolio manager who engaged in insider trading while employed at his firm. In addition, Cohen’s family office firms will be subject to SEC examinations and the firms must retain an independent consultant to conduct periodic reviews of their activities to ensure compliance with securities laws. Read more
That, at right, is a slice of Saudi Aramco history that you probably won’t be seeing in an IPO prospectus any time soon — a story on the strikes that once wracked the Saudi Arabian state oil company’s eastern oil fields (in 1945, 1947, 1953 and 1956)…
A little bit of political risk on the way from the first Saudi oil concession to foreigners in 1933 and Aramco’s modern role as the might behind Saudi Arabia’s swing producer status in the oil market. Read more
It seems that the Gini coefficient can be applied beyond the growth of goons and various Piketty debates. Here’s a heat map of S&P 500 performance over the past 12 months.
Here’s the indictment for that charming ‘drug entrepreneur’ / price gouger…
A straight question: how many decimal points are configured into the London’s stock exchange price quote system? Hapless holders of Lonmin need know…
Courtesy of Nishay Patel and Justin Knight at UBS, ahead of the expected easing of policy from the ECB on Thursday. Click to enlarge…
Well sort of.
Ok, some might see it as less than swingeing. Read more
There’s a chance here to revisit that failed bear raid on Markets Live favourite Allied Minds.
Back in September, Kerrisdale Capital of New York issued a scornful report, suggesting this London-listed Boston-based venture capital business focused on university and military R&D, was a sack full of duds trading at 3x NAV. The stock price reacted with a 37 per cent crash, but Allied Minds subsequently staged a partial recovery — helped by some buying by long-term backer Neil Woodford and also the lack of any follow through attack from Kerrisdale, who have gone rather quiet. Read more
The name should ring a bell — Martin Shkreli — that smirking chap at Turing Pharmaceuticals who jacked the price of anti-parasite drug Daraprim 50-fold, and in the process brought the widespread practice of pharma profit gouging into the public eye.
Now he’s gone and done this:
Online interactive models offered up by brokers are usually rubbish. This one, from Liberum, isn’t. Click to play.
Spoiler: at spot prices it’s a *fail*. Read more
The formal announcement is out on Pfizer’s planned takeover of Allergan. It’s an all paper deal which values the Dublin-based target at $160bn.
The guff starts right up there in paragraph one, referencing…
a leader in a new industry model – Growth Pharma
Pages and pages and pages of re-investigations into repeated past investigations on Thursday into the violent death of HBOS — the merged Halifax/Bank of Scotland — way back in October 2008.
The PRA/FCA report on the failure of the bank is here.
The report by Andrew Green QC on the failure of the FSA to feel more than one collar in the wake of the affair (Peter Cummings) is here.
TL/DR: former HBOS chief executives Sir James Crosby and Andy Hornby will belatedly get it in the neck; former FSA CEO Sir Hector Sants, meanwhile, is simply made to look a fool.
But consider this single page from an annex to the Green report… (click to enlarge) Read more
The guy was coming at me, aggressively, so this is was a ‘snatch’ in snapper-parlance, rather than a carefully framed shot. Read more
If you want to know how cash-strapped Lonmin is, go to the website of the world’s third largest platinum producer and try to download the freshly-pixelated prospectus for the company’s latest rescue rights.
Actually, don’t! The site’s clunky as hell and will probably crash. We’ll do our bit here and donate some bandwidth. The full prospectus — all 576 pages — is available after the jump. Read more
Modern science keeps people alive longer, but it’s not always certain that extended human animation is necessarily a good thing.
A similar force seems to be at play in the corporate world — and it too comes with a fancy price tag. Read more
As Bloomberg Screamed On Friday…
Scottish Man Faces 25 Years in U.S. Jail Over Stock Tweets
The Scottish man in question is one James Alan Craig. He lives here, at the “Back O The Wall Farm,” Wigtownshire…
The National Crime Agency would like to contact this chap…
That’s Sanjay Shah, a retired City trader who owns Solo Capital, a small stockbroker that last year took over Old Park Lane Capital, the natural resources broker run by Michael Parnes (yes, the son of The Animal). Read more
Welcome to Barry Silbert’s new bitcoin incubator, Digital Currency Group, which comes with a singular promise…
Our mission is to accelerate the development of a better financial system.