18 Burst results for "Bank Mergers"
"bank mergers" Discussed on Newsradio 600 KOGO
"All right. We're seeing, you know, a little bit of drizzle. That seems to be lifting, though. Over much of San Diego County. We are waiting for mostly sunny skies. We have a beach hasn't statement for the King tides in effect until tomorrow night, sixties over much of San Diego County today, Um maybe 45 in the mountains right around there 53 degrees right now, if you're in downtown San Diego and some sunshine peeking through that Missile that we started off with. Go go to use time. 8 22. It is time for news about your money, and we have Courtney Donahoe, with Bloomberg's News desk in for selling today, Stocks are on the rise has coronavirus vaccinations are underway over the next three days, The shots will arrive in more than 600 hospitals, the Dow gaining 250 points. It's one of the largest regional bank mergers in the US of this year, Huntington Bancshares will acquire TCF Financial in a deal valued at almost $6 billion. Huntington operates a network with 839 branches across seven Midwest states. CEO We won musk is urging Tesla workers to boost output through the end of the year. He said. Demand for its electric cars is so hot that production needs to increase as much as possible. The company is a target of delivering 500,000 cars this year, and when NBC Universal brings the office to Peacock next month, it could be a major test of whether users are willing to pay for the ad supported streaming service. The company is said to be considering putting most seasons of the sitcom behind a paywall. Ah bet that the move will increase subscriber revenue. Courtney Donahoe Bloomberg Radio. The biggest vaccination.
"bank mergers" Discussed on FT Banking Weekly
"I think the Bank is already too big and too complex, and therefore I don't think it should merge with another Bank for combat spunk. The situation is a bit different. And it could well be that the Bank could find some strength by merging with another European competitor. I'm not so sure whether UniCredit is a good choice, given that Matt's Bank has a pretty large exposure to Italian government bonds, and of course, UniCredit has the same. So I'm not so sure that that would be the perfect choice where we shall see. I suspect there will be some movement one way or another in the coming months. In the meantime, professor Schnabel. Thank you so much for joining us just to bring you back on the government motivation. What's your ABS ovation? I think we have to two things one of the public referral begun. And the other thing is three or concern, which basically Trie the attention by the government and also viral. And so people in Beck around conversation who part of the inner circle of policy-making several of them independently of each other told me that the real motivation was basically fear by policymakers that dodger after the rate by prosecutor in late November. Send don't shop to historic lows also increased funding costs significantly and also let doubt among clients and counterparties about tortures medium to long-term viability that torture could be stuck in a downward spiral of Alosha prize. High funding costs falling revenues and one person close to the policy makers told me was Dave oh reminded of the situation was in October twenty sixteen when there were these rumors circulating the might have to pay a fourteen billion dollar fine to the department of Justice. And at that point this person told me shepherd was at fifteen-year-olds. Now, we are in a similar situation in Dorchester shepherds seven-year-olds, which limit the ability to raise additional capital if needed even more. So they came to the conclusion they definitely have to evaluate the options to overcome the situation and put domestique. Marjo was one of the most obvious implausible escape routes, so the government and to some degree. Maybe also the regulators employed dodge to really properly evaluate the option and Myanmar standing is that the outcome wasn't predetermined by the government, and you can see this in the reaction of the banks who walked away intially one person may interesting if the finance minister really had wanted the deal he could have put on several believers to make it possible into making more attractive for enough and the government decided against doing that which turns you that they won willing to use tough pressure to really push the deal over the line or in hot person in terms of forcing the banks into a deal that the actual actors didn't want nonetheless, the situation toiletry escalier unresolved. So something else we'll have to happen. And we'll see what that might be in the near future. I'm sure. Thanks so much for joining us. That's it for this week. Rulers left me to do is to thank Laura here in the studio and all those who called in Stephen Morris, all of arou- a love story back and professor Isabel Schnabel. And thank you for listening..
German bank merger crumbles as Deutsche Bank tie-up talks with Commerzbank end
"Let's start with the main event. A big story this morning, Deutsche Bank and Commerzbank. The talks are Hoover. I want to bring in Bloomberg's Matt Miller to get up. To speed on the end of merger talks. What broken well Berlin has been against this really from from day one with the exception of the finance ministry, Olaf Scholtz and his deputy your cookies were really the driving force behind these talks to begin with. But as soon as people started talking about thirty to forty thousand job cuts as a result. It just was it just was a bad look for everybody here and Anglo miracle and the rest of the and the rest of the powerful politicians in the capital fought against it. So from Deutsche Bank perspective, it was just at least what they said this morning, it just proved to be too expensive and too complex to pull off. But from a political perspective, it just wasn't gonna fly so coma. Spanked potentially have got other downspouts we've seen in the news. I and cheer interested. We've seen in the news several reports that only credit is said to be interested as well. Where does it leave? What you back, man. Yeah. I actually asked. To the CFO James von Moltke this today because obviously by stepping out of the running to buy Commerce Bank. They leave themselves open to competition in the future. If someone else comes in buys Commerce Bank. They can get big in Germany, listen to what on mulkey told me. Yes, we do envisage over time that industry consolidation will take place in Europe, and the dodger bunk wants to be part of that the timing and the specific form of that obviously remains to be seen. We've talked a lot about doing our homework to continue executing on our plans executing on the restructuring of the company and the improvement in our shareholder returns. So not only did they discuss the facts that Commerce Bank could become really serious competition. If they get taken over by European competitor. They do want to stay in the consolidation of European banks going forward just not right now
"bank mergers" Discussed on FT Banking Weekly
"And he. And finally, we're joined by Lord Noonan US banking at us from New York, Laura, Goldman announced some new policies this week aimed at tackling a death of women in senior roles. This is an issue that plagues the entire banking industry. But how does Goldman plan to solve it? So what Gomorrah getting is? They're trying to ensure that they get a better balance of men and women. The most junior dot also previously had set up. They would ensure that when they recruit people directly I'd university they would have half, man, half woman. And now they're saying they're going to expand that fifty fifty real to all analysts and all engine of associates, even those your heart from other firms, but they're looking to essentially is make sure that the intake is fifty fifty and the hope is that if they hire any number of men and women at the entry level, then ultimately, they would all stay, and they will end up with more even the higher levels at the moment only about a fifth of Goldman's most senior people are actually females. So they hope if they manage to keep the talent on. From the entry level right up to the partner. And then there will be more even fish. We miss really move the needle because I think miss some evidence showing that even if you get fifty fifty entry level that more women leave over time. Yeah, they're quite a lot of evidence showing that the real issue. Banks have been times pertaining women Goldman other firms worker, and this is well, but it's very challenging because you have issues around work life balance, particularly as women get the age of having children. I don't make any for any society has really minds to crack. So that it's as easy for women to carry on with their career when they have children today's for men, so think everyone's base case is that more women than men are going to honestly, go off the career Nodar. So then you should they should you actually Bahari sixty percents scene at the intake level because then you might get a more even split at the time you get up to the mid. I'm more senior ranks having seen any firm. Go down. Yes. I think he might get a lot of protests men at the entry level if you were. To do that. But there's me I would say it's very hard to see how anything or unin company could put in place policies actually guarantee that you have the same level attrition from men and from women as they make their necks in politics. We've seen all women shortlists, but I doubt will be seeing the banking industry of doubting anything like that anytime soon north. Thank you for joining us. Well, that's it for this week. All this left Meeks twos to clap, Stephen Jonathan Laura. And of course, our guest Andrey unreal. And to thank you to for listening..
"bank mergers" Discussed on FT Banking Weekly
"How's it the F I S is paying so much more or less than a decade later? Well, I think you could give it dropped the ball the little on this one is true to say that quite a lot has been added onto world pay since twenty seven for star Bain and advent two bought the business made some investments of their own. They put about seven hundred billion. And then of course, the business that we see now is actually really vantage which was a US payments business that bought world pay off the market in the UK where it should be listed. So it's a bit of a roll up new saying roll-ups of roll ups here even say, I think it's fat say the large banks have Mr. trick in terms of the Mantovani that was locked up inside their payments divisions. And so obvious let the golden goose getaway, but what is the rationale for F? I S does guy really matter so much in the payments industry. I think it does because it seems to me that these services. However, they cut it in whatever they talk about adding value investor presentations is really a scale business. It's a commodity business where the more transactions you can process at increasingly lay cost the more competitive, you're going to be your religious going to squeeze other competitors out of the market and an enterprise value of forty three billion dollars huge amount of money. Does the deal elects Mark of approval? I think it does. I mean, we don't think that it's hugely expensive deal for FIFA. The premium is about I think fourteen percent something like that. That's not huge for change of control. We usually see twenty thirty percents as being more typical. It doesn't look as if it's going to stretch FIS's balance-sheet hugely. It's a company with quite decent balance-sheet net debt to dolls to shrink from about three point five to two point seven times. They've refu- years. We think it's a good one for them and probably one they had to do as well because simply land grab going on in world payments, while with landgrab I expect to see a lot more of this Jonathan thank you, Frankie..
"bank mergers" Discussed on FT Banking Weekly
"Flowing to the small companies in the economy, so after a long rumored courtship. They finally seem to be getting together. I'm a one can only imagine that. This will actually go ahead. Now, we reporting the lot of investors finally coming round, even if their love the idea that coming to accept it as an inevitability now, and we're gonna try and engage a make the best of it. So it promises to be an interesting few months once both negotiating team sip down and try and hammer out how to create the second largest Bank in the euro-zone, and so incredibly likely we think, but not a fate accompli. Right. What the potential roadblocks that could still stop this from happening. Well, if this merger was easy totally made sense and was beneficial for both sides. I guess it would have happened a long time ago. There are lots of roadblocks here one as we reported a couple of weeks ago is that regulators do not have confidence the either management team can actually execute a. Successful merger that worried that they'll bungling just as Deutsche Bank did trying to integrate a retail Bank Postbank it bought a decade ago when Commerzbank Dresdner the investment Bank, both of those were not unmitigated, but pretty huge disasters in terms of value destruction and distraction of management that are also concerns among analysts that tens of billions more capital may be needed. They may need to raise that to support the deal. Estimates range from three billion of the lower end right up into sixteen seventeen billion euros, which is what banks entire market cap. Now, you have to remember the these two German banks collectively have raised thirty billion euros of fresh equity in the last eleven years, so shareholders, not only are they a bit fed up of being for more cash. They would see themselves be even further diluted as these banks try and raise money to support the deal. Additionally, almost by doesn't really help with Deutsches major problem, which is that it doesn't have a functioning profitable. Investment bank. The entire group made a North Point five percent return on equity loss year deutscher the investment Bank made a pretty hefty loss which got worse in the fourth quarter. So they're going in the wrong direction. So aside from helping slightly with the funding costs adding Commerce Bank in deutscher together doesn't solve the investment banking equation. And they'll still it also only have about a tenth of the German retail banking market. So it's not like, they're creating something akin to the same market as Lloyd or Barclays or hey, chess spec- in the UK which really dominated by five. Big lenders, the German banking model is much more diffuse and much less profitable. As a lot of the run by the state, which have no obligations to make shareholder returns. While a long and difficult road ahead. Stephen, thank you. Now, most of our listeners will have heard of weld pay payments giant, but fewer will have heard of f I s the US company that this week announced plans to buy world pay four forty three billion dollars. We're joined by Jonathan Guthrie. Alexa, deter to discuss the merits of the deal. So Jonathan I think I'm writing saying the obvious sold this business to private equity for about two billion pounds in twenty eleven.
"bank mergers" Discussed on FT Banking Weekly
"Maria in the interview was very clear in saying that there are globally agreed rules that the SSN would apply to institutions that are considered too big into into connected to fail. So in that instance, it is clear that the system will be looking at whether or not this combined institution. This merging situation would be subject to higher capital requirement. This goes to the heart of the SM's problem doesn't know Mr. nria touched on this in your interview. It's never clear really who's in charge. His the bosses at the national regulator national political establishment. Or is it the SSN? Well, I think that's very good point. It's something that I think people will be well, she very closely over the merger processes just what sort of noises we get from Frankfurt relative to the noises. We get from Berlin. I'm from ball, whether the German regulator button is based and moving from Germany more broadly to the euro-zone hand-wringing near zone right now, if the growing hegemony of US investment banks, what did Mr. nria have to say about the idea of some kind of pan European Investment Bank. Overall, the centrum speaking, misery. It was he wants to make the SM a lot more of an open and transparent institution. But in terms of the European banking pitcher he was Franken saying. It's not good. As far as the supervisors concerned. If you're repaying banks, a not an attractive proposition to investors, clearly that's something which they don't like, however mystery as stunts was just because this is the case you shouldn't go about trying to create national or regional champions to compete with US and Asian rivals. In fact, he went so far to say that this competition from global rivals within the European financial space should be welcomed as a good thing for consumers of financial services. A fascinating and candid interview. Thanks very much. Now to discuss that Deutsche comments Bank merger. We've got Stephen Morris. European banking correspondent here in the studio. So Stephen it's official the talks are on muscle latest. Well after years of speculation, which has really intensified in the last few months, they finally actually entered formal discussions. So we don't actually know what the structure of the deal will be yet. But we're getting kind of a better idea of what type of things they might be looking at there certainly been a lot of investor pressure on deutscher, and we're hearing increasingly from the Commerce Bank side to really shrink back down there investment, Bank, even more especially in the US. Which would then have lots of other knock on affects is reducing their funding cost reducing the perceived riskiness of the group overall while adding commerce banks more stable retail deposits would help deutscher or whatever. The larger Bank is called funded self at a much cheaper rate. This is obviously a big priority for both banks of the moment who just saw the e c b. Reaffirmed. The interest rates are going to be lower for longer and say that the banking system still need support in the form of these super cheap loans to ensure that credit keeps.
"bank mergers" Discussed on FT Banking Weekly
"On what thanks are with respect one. Where you want to take this boxes? I think that let's say my patient my successor more stable or visas, usual lace. Mr. nria, then explained how the European banking system was still organized along national lines. And why this was a problem. Leaves of logic stand. But man. She national lines. If I mean, the financial markets does not help in absorbing shocks that he one part of the system. That's why capital market Union Bank union where seed in the first place now that he shock hitting specific Member State or region on the area. You have the system that hell spreading the shock and saw me better. At the moment. The banking sector is not the shock absorber is actually show company five and in comments that short of raised an eyebrow in Berlin. Mr. Andrea warned against the creation of national Bank. Champions is undeniable that European banks at the moment are not perceived by the market. There's. Strong and profitable shoot at the ratios and vice values these the judgment of DeMarcus Karen for the respective of being. Thanks. He's. At the moment. These no surprise. I mean. Of second wave of the crisis. No after post Lima crisis. We sort of that crisis as the major legacy than solve eighty recession and derision of all the content. So you're just in the process, of course, feel being completed having say, then don't particular ni- of changes of national chain of European champions that especially when you are a supervisory, you shouldn't remote any particular structural end up pretty want where the market which is office. If there are four banks for investors bring in their expertise their copy on your jurisdiction that should be welcome. Of course, as supervisor I care if I see you banks, which are not seen as a practicing vestment position for masters. That's the problem. And I think that he'll these changes, I think that we can't say the post-crisis adjustment processes compete now joined by clad in Frankfurt, Claire, it's hard not to see Mr. unreal comments as anything other than a thinly veiled criticism of the German government's tempts to combine richer and Commerce Bank. Is that fair reading? I think the point the embryo was very clearly trying to make was that he will not be swayed all by political pressure. He didn't refer to this merger in particular. Just because the CB does not like to comment on individual institutions, but he was very Franken saying when the ECB's supervisory all is reviewing any sort of merger. What they pay attention to is the business case and the business case alone. So what can the SM to if anything to frustrate Deutsche Commerce Bank? Merger. I think that's a very good question. Because it's no exactly clear who will have the final say onus whether or not it will be the SSN. Whether it's an issue of national law where the power will lie with the German authorities, but what they will have a big role in doing is reviewing the business case, and whether or not the new organization is going to be able to meet regulatory requirements in the medium-term, Mr..
"bank mergers" Discussed on Bloomberg Radio New York
"President Trump waiting into labor politics calling for General Motors and the UAW to reopen and Ohio factory. Plus the merger of Deutsche Bank and Commerzbank setting shares of both of those bags higher, but really how much Camis banks, inC, prove their actual revenues. Let alone cost savings right now, though, let's head over to Greg Jarrett. Crepe Bloomberg business flash, Greg what we're off earlier highs. Lisa bet we're still a bit in the grains, Dr did drift upward very busy week for market. The and is back with a few days of its record high set last. Autumn energy companies and banks had some of the biggest gains one key to the recent rally has been the belief. Federal Reserve will slow pace of increases for interest rates return BlackRock global chief investment strategist tells Bloomberg there is concern. Investors are being lulled into complacency because of a view of the fed off price for much easier policy across the board. Right. But when we think about where the risks saw to that consensus, then the risk the fed. The fed is still more likely to be up than down. If we check the markets every fifteen minutes throughout the trading day on Bloomberg radio. S P five hundred is up a tenth of a percent up two thousand now down two tenths percent down forty two. And the NASDAQ is little changed up three the ten years down to thirty seconds. The yield is two point five nine percents. West Texas intermediate crude oil is up eight tenths of a percent of defeat ninety seven a barrel, while COMEX gold's up two tenths percent thirteen o four ninety ounce. The dollar yen one eleven and fifty three the euro dollar thirteen thirty eight the breach founded dollars thirty to twenty two asks for advice by young people about what's the future the word used to be plastics now. It's boop. Boop. The style brand held by Gwyneth Paltrow's best on online product platform for luxury goods yet. To the surprise of the medical community. The company has become the epicenter of the multi trillion dollar wellness industry. The market spans everything for mind body medicine was four point two trillion twenty seventeen and grew almost thirteen percent two years. That's a Bloomberg business flash. I'm Greg Jarrett. Bloomberg markets with Lisa Abramowicz. Pulse. Weenie on Bloomberg radio over the weekend. President Trump tweeting about General.
"bank mergers" Discussed on FT Banking Weekly
"Well, there's been a real sea change in the attitudes in the German government as they brought in new finance minister and his deputy, a former Goldman Sachs, derivatives trader headed their operations in Germany, and they've started to make very different comments in public talking about how they need a national champion and having a strong banking system is a matter of national sovereignty, insecurity. So really they're looking at the dia performance of mainly Deutsche Bank. But also komo's Bank as well. And we had a nice shot in the story, but showed just how far down the graph. They are both in terms of the evaluation that price to book value and also the return on equity, which Deutsche Bank was no point five percent loss year. So they really don't seem to be able to solve their problems on their own and the German government looks like it might at some point this year and less things start to approval Ganic Louis step in put the two of them together and hope that combined. They can be a more powerful lower cost group that actually retained some kind of international standing to help support the country's industry. David. How popular would this be within the banks themselves 'cause pull out like now, the chairman of Deutsche has made it pretty clear that he likes the idea. Recombination does that reflect broader support within the banks? Do you think I don't think it does actually when you talk to the executives inside both banks? They think that this would be a gift to their competitors that they would be distracted by having to integrate the two companies and all at a time when the sort of contest for European investment banking businesses is pretty tough out that not least because rejuvinated Americans. So I don't think there is much support among the executive ranks. But as you say, the chairman of Deutsche Bank, we think is lobbying for this deal behind the scenes, the Stephen A final word from you you painted this from the government perspective as a desire to create. A national champion. Clearly, there is a concern that they don't really have a Bank that can follow their very impressive industrial champions around the world as actively as they would like it's hard to see that adding comments to Deutsche necessarily does that. But maybe there's an argument what about the other motivation that people talk about that. Because the government is a shareholder in Commerzbank. Merging it with Deutsche would give a diorite stake in the combined group, and that part of the motivation behind wanting to push this deal is that they would then be direct shareholders in Deutsche Bank, which has been through some troubled times had lots of scandals it share prices fool into record. Lows in recent months is bond prices of tumbled had to pay huge coupons to raise finance in the markets. It's kind of jittery about the systemic riskier as well as it. Yeah. I mean, it may have a very low valuation, but it still has an enormous balance-sheet the German government owns fifteen percent of Commerce Bank. And if it merged in a no premium deal with Deutsche we'd end up with a five percent stake in the combined group oversee that would give it a sale in corporate governance will give it a sound hiring policies. It would give it a sale bonuses, you know, these political issues and also it might change the attitude of foreign regulators to deutscher as well. One of the biggest problems of this keeps getting find huge amounts in the US is getting embroiled in eastern European money laundering scandals with Russia, maybe foreign authorities and supervises might take a step back and become less harsh. If looks like they're actually finding the German state rather than sort of an independently listed company, they should give all Bs ical. I don't think they've quite find a save experience as a result of being owned by the British government, but they can keep that fingers crossed. I guess thank you both for the analysts. Well, let's move onto our second item. And look at Jp Morgan. This has been a story really of success over the past few years..
"bank mergers" Discussed on The Economist: Editor's Picks
"T financial Minnesota and chemical financial from Michigan. Also went up markets approval, reflects two shifts that have made Bank mergers more appealing. The first is an unwrapping of red tape last may congress passed legislation to raise the asset threshold for complying with enhanced prudential standards to two hundred and fifty billion dollars from fifty billion dollars in October. The Federal Reserve proposed raising the threshold at which it imposes it. Strict his capital and liquidity rules to seven hundred billion dollars from two hundred fifty billion dollars, the combined BBN and tea and SunTrust can take advantage of this a separate banks both were close to congress is new two hundred and fifty billion dollar limit BBN's tea at two hundred twenty six billion dollars some trust at two hundred and sixteen billion. Dollars instead of edging over the line and facing the cost of complying with extra regulations individually. They can burst past it and share the burden if the fed goes ahead with its proposal. The combined Bank will have many years of organic growth ahead of it without needing to worry about these seven hundred billion dollar threshold. The second changes that competition for deposits is heating up regional banks of which Beebe and tea and some trust are among the biggest have competed with their national rivals through better local branch networks, but the John's.
"bank mergers" Discussed on WAFS Biz 1190
"It could be the biggest bang for almost three years. Saudi Arabia is exploring Bank mergers to boost its sector Airways is making an Asian investment Porsche with a five percents stake in China Southern Airlines, the Gulf carrier now hold six six hundred thirteen million shares in the airline making it the fourth. Biggest investor in the carrier Qatar Airways already owns almost ten percent of Cathay Pacific and twenty percent of British Airways parent company. And that's your Bloomberg business flash. Debra thank you very much the money markets as we've been telling you throughout the week really fed rate hike this year once Fargo they beg to differ. They recommend implementing the fed is not dumb trades and is expecting to twenty five basis point hikes in twenty nine hundred fed watchers are also keeping an eye out for tomorrow's nonfarm payrolls number and an appearance by the chairs pasta president Janet Yellen. Benign key, Jay Powell, or at an annual meeting of the American economic association. Still with me as my guest host is Martin Lakers, division director for wealth management MacQuarie. Martha we can debate this twenty five different ways every day for the next three months, but whether we're gonna get to rate hikes or no rate hikes. What's the MacQuarie thinking at the moment is the data sufficiently? Concerning in your opinion to stymie, the fed. We don't think saw. In fact, we're holding out of you that could be three maybe four certainly three right hikes in two thousand twenty. It wouldn't surprise is how for the fed to take some pause into March. Given we've got the ongoing trade negotiations with China, of course, bricks, and that'd you just calmness all adding twenty disruption markets by by rising rights at that point in time. But clearly the fate is very much watching what's happening US employment growth, and again, we're going to get a strong indication this Friday on on the job is averaging about two hundred thousand new jobs a month. They'll be come a point in time where the fed where we saying we need to be seeing job growth, just stop as back somewhat. And that's part of the drive is frost. We seeing for the higher rights in the US. But we certainly understand why some countries coming out talking about normal right cards or down to only two as per the dot plot. But we do you think the? On track to continue to rise writes in two thousand and nine thousand eight. I was gonna I was gonna say forgive me for saying a child asks for forgiveness, and I'm to slightly challenge because the data soft data on the hard data potted into the GDP library is it's negative. It's both in negative territory for the first time since Donald Trump took office. Soft data, by the way, we say factory surveys regional fed could shimmer polls, Michigan, etc. The hard would be governor data private sector, consumer spending and manufacturing. You're calling two possibly three rate hikes when the market is at zero so high do I trade that Martin Heidi implement that view and set up the trading year then. Quite simply have a look what US ten years of Don in the last two months in light October early November. We had the ten years at three and a quarter percent. Where's the today two point six sites? So we've seen massive move in ten years in the US, and as a result of which you clearly that movies singling, you move away from risk assets to defensives, but also it's clearly geeking some signal about the market's view on way rights are going to have a contrarian view at this point in on. But given that you would be son. It'd be thinking about where those bond yields can now revert back to if we're right? The global growth remains intact about long term trend despite the move reason soft data. Then take that to the dollar for me, by the way. There's nobody hopes more than your contrarian view, or your your view the world is what we get maybe a trade do not abide Brexit and a few other sort of fiscal measures. But what does that do to the dollar because I've had lots of people calling for the epitaph of of the dollar. If we're rod on our view on rights, depending on the timing of those moves by the fed reserve you'd have to be expecting the US all is going to continue to strengthen over time. And given that we've seen some pretty moods. I think discussion the previous segment man is worth noting that and how times on and on a global basis. These AUSSIE dollar is the fistful seeks most traded currencies, although in thin trading. And maybe Al goes have been involved in the move by the yen. We are still heavily traded county in most usual terms as a result, which not unusual to see that a tried is looking to link a move into the Ozzy given such a he tried to currency, but that's really short term stuff. I think overall if we're gonna see global growth holding up commodity prices, particularly bulks holding up. I think the AUSSIE dollar can recall back through seventy cents from where we are. But it would be a slow ride given a broader environment of where the US all of my second half of this year. Modern that's wealthy enough to have you come across the door. And give me a bit of advice. I wouldn't be cry with my first client meeting at the start of the Motlatsi huddled plays. I come back. We can discuss on. We can debate division director for wealth management at MacQuarie. Joining us from Australia not up next what caused the.
"bank mergers" Discussed on Bloomberg Radio New York
"It's our our exposures in terms of i countries is well within our our risk appetite and i'm comfortable that indicates there is no substantial shortterm risk cassatt post to to europe or any countries in europe one thing that i focus on last week was that the loop between sovereign risk and banks was alive and well it hasn't gone away well look at the end of the day banks are transmission you know making these for the for the economies and if your underlying economy the political landscape in unstable banks are suffering so he's quite normal having say that i do think that manx in europe in general are in much in much better shape than they were ten years ago and i'm pretty convinced that they would be able to absorb any shock related to any bank the problem is going to be what are the rest of the shots i mean outside the banking sector and this is not i don't think he's any longer any show banking system i think is much more about public finances yonder lying economy and the structures that needs to be implemented to create a better environment was ubs ceo sergio armani speaking with bloomberg's manage cranny and coming up we'll be speaking with carlisle group co ponder david rubenstein bloomberg invest summit in new york the all the bloomberg best stories at best go this is bloomberg this is a bloomberg cryptic context and background on issues of interest our focuses on why large european bank mergers are still facing hurdles with bloomberg's nncholas comfort the situation the regulatory side of things is really the big handicap on that front it's hard to move capital from one from one country to another we stand makes.
"bank mergers" Discussed on Marketplace All-in-One
"Yeah you'd has begun the modification or some say the unraveling of the rules designed to stop some new financial crisis i'm david brancaccio in new york president trump is now expected to sign a bill approved by congress to ease some of the rules imposed on banks after the last big financial crisis the original dodd frank legislation was designed to lower the chances of some new bank bailout in the future congress wants to exempt bigger but not the biggest banks from some of the post crisis restrictions this could spark a new flurry of bank mergers as smaller banks get bought up for some insight let's consult erik gordon a professor at the university of michigan's ross school of business eric good morning good morning david do you regard what happened yesterday as a radical change no you know i think it's in practice going to be pretty small most of us aren't going to notice it it's just a step that's going to eliminate some red tape give some breaks to some small and some actual mid size banks but overall this is just a tiny step all right but what past was incremental it was not that all of the dodd frank postcrisis regulation was thrown out in one fell swoop yet critics on the progressive side of the democratic party are very upset by this gimme a sense of why well i think there are two reasons one they object to some of the actual provisions here which loosen regulation but they also worry about the slippery slope that if the republicans were able to chip away at doddfrank does that mean they're going to be able to keep chipping away and do some real damage to the protections of the died frank act all right but there's more to this the reshaping if we'll call it that of doddfrank or the chiseling away at doddfrank depending on one's perspective continues yeah i mean i think we'll be talking about more changes next week with the week after next because you know what happened here is the republicans got realistic and said we're.
"bank mergers" Discussed on The Majority Report with Sam Seder
"You thought were fairly predictable though that are happening despite the fact that the legislation has yet to actually the ink on the legislation yet to dry what what is what what are the i would call them intended consequences so the the sort of justification was given often by senate democrats as to why they need to pass this bill was acuity banks are suffering that they have this year oke of overregulation on their backs and if we don't do something we're gonna see more of these community banks go out of business gonna see more mass consolidation in the industry so this bill would prevent consolidation in the banking industry that was the core point that was made by a lot of democrats including john tester in truth this bill will exceleron consolidation in the painting industry and there's very simple reason for that the bill changes the threshold for enhanced regulatory standards from it used to be that bank that had fifty billion dollars or more in assets would get these enhanced anders which were very you know intrusive than and and shooting raises intially more scrutiny because they're big banks and they might their failure would cause the cascade through the industry now it's two hundred fifty billion so all these banks who you know we're worried about going above that fifty billion dollar level now they have all this headroom they don't have to worry about those enhanced standards until they get to two hundred fifty billion so all of these banks at forty billion thirty billion twenty billion they don't have to worry about they can scoop up as many small banks as they want and they're not going to get in being with higher regulations so we're already seeing it we're already seeing banks at that level buying up rivals in wisconsin in in in florida in texas all over the country and i've talked to bank mergers and acquisitions lawyers and they're saying yes the last two years were flat but now we're sitting a lot of acceleration on the consolidation and this is as you said before the bills even.
"bank mergers" Discussed on Bloomberg Radio New York
"Seven percent to one point one two seven million at an annual rate that's the slowest pace of the year singlefamily down apartments and multifamily projects down the commerce department says housing starts in the in the south of course that's the reaching where the hurricanes the lowest the weakest since october 2015 the prior month meantime also dance one more time jobless claims for jobless claims listen and that they had myself having starts senior moment senior moment housing starts were down four point seven percent in tempered a one point one two seven million i should add building permits also town i'm vinny del she likes bloomberg radio let's go back in the ordinance senior moment judas think is much charges of forgery and futures up ninety four the vix comes in really odd vix yesterday ten point one five right now if you're a global wall street this is the interview the day we could turned for three hours with mr showed of keefe bruyette woods be w with all of their work within banking and finance the granular nature away from the big six banks or whatever it is but also just as state of his wall street miss mr showed is uh had a few years of experience it's here and of course was courageous in the rebuilding of key yet after september eleven thousand firm do are you guys firing on all cylinders i mean you look at a better economy of better america in bankers are saying to me we gotta do something it must be voted for k b w tom we have had a good year so far our job when you look at our principal areas of our business as you know where subsidiaries people financial right now but when you look at our core businesses mna we've had a very good run this year we've done ten of the top twelve bank mergers in america that is an excellent market share as far as i can see in my history with.
"bank mergers" Discussed on KBNP AM 1410
"Anywhere in any meaningful sense do we understand how big the banks at one hundred years in the media is is there is a complete misunderstanding of the scope and scale of these lease revenue for jp morgan ninety six billion revenue for citigroup seventy billion operating income 23 plus thirty four between the two of them they have something like fifty seven billion dollars of operating income tony income statement is that your it the empty just an investor because we really don't understand this sheer mass of these beasts i don't know if that's you know people like the focus on that a lot um you know they're big because the economy is really big it mean so i don't pay all that much attention to it you know one of the reasons why the big bang is so big today's is that during the height of the crisis um the regulators basically beg some of the larger banks to by some of the other institutions so wells fargo bought walko via um you know on and on and on jp morgan is bigger because of what bear stearns and under which other institution of barber to put something else so that were sort of stuck with the i don't focus all that much on the size this you are focus much more on the leverage ratio where were you to see our regional bank mergers the toy thinking too you're gonna have to furs so the stress test starts at 50 billion and assens so anybody in the stress test but meeting 50 billion it up eight emerging my expectation is that that glove that number will probably go up like two hundred fifty to two hundred billion and when that happens you will begin to see some mergers if some some it's fairly significant side bikes the first thing to happen to give you an idea of 50 billion in the past two hundred billion david citigroup's total assets are one thousand eight hundred eighty nine billion versus to begin the size szucs huge i know that you in tom we're talking on on tv about these comments that gary cohn made over the weekend at the group of thirty confab in in washington dc he of saudi declaring about clearing out he thought.
"bank mergers" Discussed on Bloomberg Radio New York
"To the california a group of people mike mayo your fiery ian impassioned in let's get right to the house of mr hor back people have been waiting and waiting why now and citibank so we expect citi group stock to double the next four to five years that's partly because of what michael corvette ceo and citi group has done and it's partly because of what we think they should do what citi group is done is they've reduction reduced structural risk permanent riskreduction it citi group to probably the lowest level that i've seen since the merger with travel this and that through the stock beta you're going to see the biggest reduction the stock beta the biggest reduction in the costs of capital and the biggest reduction in risk premium for any bank stock iran how much is citi group like cindy wiles citi group is a completely moved on from the wild years it so much moved joint both number one group can concentrate on being a large bank and optimizing what they have no more big bank mergers and night ernest if you never say never with mergers but the big mergers the merger after merger it took sake group you know like a decade and a half to integrate these acquisition taxi citi group had something called project rainbow which is creating wind global consumer platform they finally finished that last year and that's didn't back from the early part of last decade was sandy wiles acquisitions that's one number two would be the credit risk citi group has a lot more prime lending and super prime lending a whole lot less subprime lending us some of that was put in the books after sandy weill left for sure but i'd say in terms of the credit risk the overall risk profile of the firm acquisitions risk is a lot less at citigroup and over the next five years we expect citi group to buy back one third of its shares and the only thing that prevents them from doing that is messing up says long as they don't blow a big hole in your balance sheets long as they don't now trip on the way to.