Special Report: 'All is well'. In Italy, triage and lies for virus patients
The fight against death pauses every day at 1 p.m.
Liam Proud
Breakingviews - Barclays 2008 gamble has nuanced investor legacy
LONDON (Reuters Breakingviews) - Barclays has mostly shrugged off the shroud of its Qatari crisis-era cash call. A London jury on Friday acquitted three senior ex-employees of fraud in connection with the 2008 capital raising. Former Chief Executive John Varley was cleared last June, while a case against the bank itself was dismissed in 2018. Yet the saga leaves a nuanced legacy for investors in the 26 billion pound lender.
Breakingviews - Bank of England’s AI approach will toughen up
LONDON (Reuters Breakingviews) - The Bank of England last year picked artificial-intelligence pioneer Alan Turing as the face of its new 50-pound note. It’s an apt choice given the central bank will quickly have to figure out how to ensure that the spread of smart robots throughout finance is a force for good rather than a destabilising influence.
Breakingviews - New UBS CEO is best answer to a difficult question
LONDON (Reuters Breakingviews) - Two of UBS’ potential internal candidates to succeed Chief Executive Sergio Ermotti were bidding for the same prize on Tuesday evening. It was part of a friendly effort by Tom Naratil and Iqbal Khan, who co-lead UBS’ big wealth management business, to raise money at a charity auction in London. But the CEO job, if not the whisky-tasting trip on the block, went to someone else: Ralph Hamers, who will leave ING in a few months.
Breakingviews - Hostile bank M&A gets Italian makeover
LONDON (Reuters Breakingviews) - When bank mergers and acquisitions go wrong, taxpayers tend to pick up the tab. That’s partly why hostile and unsolicited takeover attempts tend to be rare and unsuccessful in the sector. Yet with European regulators backing consolidation, and Intesa Sanpaolo’s surprise tilt at UBI Banca, bankers have reason to hope for a comeback. A bigger, cross-border deal would be the real test.
Breakingviews - HSBC investors are a step ahead of the interim CEO
LONDON (Reuters Breakingviews) - Chief executives balance two risks when drafting profitability targets. Shoot for the moon, and jeopardise credibility. Go for something more realistic, and investors may just shrug. HSBC’s new strategy, unveiled on Tuesday by interim boss Noel Quinn, is closer to the second camp than the first. That also spells danger for the bank’s share price if his execution is anything but flawless.
Breakingviews - SoftBank hedge fund would suit Son, not investors
LONDON (Reuters Breakingviews) - SoftBank’s Vision Fund chief, Rajeev Misra, may have a cunning hedging strategy for the giant technology investor. He’s pushing to raise as much as $4 billion to make bets on listed companies, the Financial Times reported late on Sunday. The idea would probably work out better for Misra and his boss, Masayoshi Son, than it would for possible sponsors such as Abu Dhabi and Kazakhstan’s state funds.
Breakingviews - Jes Staley’s old associate haunts Barclays revival
ZURICH (Reuters Breakingviews) - Barclays shareholders have a new headache to add to an older problem. The British bank on Thursday said regulators were probing Chief Executive Jes Staley’s characterisation of his relationship with U.S. financier Jeffrey Epstein, who killed himself while awaiting trial on sex-trafficking charges. At the same time, the American admitted that his plan to lift Barclays’ return on tangible equity to 10% by 2020 looks tricky. The new revelations serve as an unwelcome distraction for investors worrying that the financial goal is out of reach.
Breakingviews - Accord is within reach for SoftBank and Elliott
LONDON (Reuters Breakingviews) - Masayoshi Son and Paul Singer see the world differently. The SoftBank boss touts a 300-year outlook, while the billionaire hedge fund impresario favours more immediate shareholder value. The results may ultimately be suboptimal, but the two men should be able to find common ground.
Breakingviews - Thiam exit only first on Credit Suisse to-do list
LONDON (Reuters Breakingviews) - Credit Suisse has taken one big step towards redemption. The $32 billion lender on Friday parted ways with Chief Executive Tidjane Thiam, following an embarrassing spy scandal that tarnished its credibility with clients, staff and regulators. But there are other items that belong atop the Swiss bank’s to-do list, starting with finding a new chairman of the board.
Breakingviews - HSBC CEO limbo has a thin silver lining
LONDON (Reuters Breakingviews) - Noel Quinn is in the throes of banking’s most high-profile and public job interview. The interim HSBC boss will unveil a big strategic overhaul before the $150 billion lender names a permanent chief executive, the Financial Times reported late on Wednesday. While that’s messy, there’s a crumb of comfort for investors.