Here We Go Again: Banks Plan Buybacks

“We have so much capital, we cannot use it,” Jamie Dimon of JPMorgan quipped to investors. The bank’s cash pile has doubled over the past year, to more than $500 billion. It’s a similar story at other banks, and now that they’ve been cleared by regulators to resume share buybacks, “we’re going to be aggressively…

Will the Banks Collapse? – The Atlantic

A very important piece by Frank Partnoy: American citizens are well aware of the toll [the pandemic] has taken on the economy: broken supply chains, record unemployment, failing small businesses. All of these factors are serious and could mire the United States in a deep, prolonged recession. But there’s another threat to the economy, too….

Wall Street banks report Q4 2015 earnings

Goldman Sachs’ earnings report on Wednesday morning marked the sixth of the ‘Big 6′ Wall Street banks to report Q4 2015 earnings in the past two weeks. The company’s $5 billion settlement with the Department of Justice took a chunk out of Goldman Sachs’ net revenue, as EPS dropped from $4.38 in Q4 2014 to…

Credit Suisse – The importance of Corporate Governance for investors

On January 20, the Credit Suisse Research Institute published a report entitled “How Corporate Governance Matters”, which explores the connection between sound governance and better business performance. The report provides new data to support the growing investor interest in governance-related rules and practice, and introduces innovative ways to assess corporate performance, such as the HOLT…

FINRA Sanctions Barclays Capital $13.75M for Unsuitable Mutual Fund Transactions, Related Supervisory Failures

The Financial Industry Regulatory Authority (FINRA) announced today that it has ordered Barclays Capital, Inc. to pay more than $10 million in restitution, including interest, to affected customers for mutual fund-related suitability violations. These suitability violations relate to an array of mutual fund transactions including mutual fund switches. Additionally, the firm failed to provide applicable…

Revealed: BoE’s Fury At Barclays Reform Plan

The chairman of Barclays was summoned for urgent talks with the Bank of England (BoE) over a secret plan to subsume its high street operations under the ownership of its investment banking arm. Sky News has learnt that John McFarlane was called in to see top officials at the central bank several weeks ago following…

What Bank Regulation Tells Us About Corporate Governance

An excellent new draft paper by Robert Hockett and Saule T. Omarova has some important insights and context for corporate governance.  Like ontogeny recapitulating phylogeny or like the impressions left by the tiny veins of a leaf thousands of years ago, the vestigial evidence of the earliest stages of development provide important information about the history…

Who Benefits from M&A Activity? Not a Tough Question

From Alan Murray’s daily CEO newsletter: In yesterday’s post, I suggested the current excess of splitting and merging was driven by investors seeking returns in a zero interest rate world. Several readers quickly pointed out it’s also being driven by banks seeking business. Fortune’s Stephen Gandel reported yesterday banks brought in $19.5 billion on U.S….