Bundesbank pessimist about euro zone, Billions at risk in corporate bond bubble.

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Bundesbank pessimist about euro zone, Billions at risk in corporate bond bubble.

Bundesbank pessimistic about future of euro zone
Germany’s central bank gave a more pessimistic assessment of the euro zone crisis than the European Central Bank Wednesday, saying the threat to financial stability is as great as it was a year ago and warning of negative side effects from record low official interest rates.
International Herald Tribune,  p. 15
 
 
Billions of pounds at risk in corporate bond bubble crisis
It has emerged that millions of pounds invested by pension funds, City institutions and retail investors could be hit by a looming “armageddon” in the bond markets. Experts warned that a bubble is building in the £250bn corporate bond sector, which has become a popular way to invest because it offers safer returns than most traditional savings and investment products.
The Independent,  p. 56
 
 
Lucida has had enough of waiting for boom
An ambitious pensions venture called Lucida and founded by the former Prudential boss Jonathan Bloomer ended in disappointment yesterday when it abandoned plans to write any more new business.
The Times,  p. 52
Also appeared in : The Times,  p.55, Daily Express,  p.62, Daily Express, p.62
 
 
RBS may relocate if Scotland breaks away
Sir Philip Hampton, the chairman of Royal Bank of Scotland, has threatened to move the firm from the country after which it is named in the event of independence, as “small countries don’t often have big banks”.
The Daily Telegraph Business,  p. 1
Also appeared in : Evening Standard London,  p.4, Daily Mail,  p.66, Metro London,  p.65
 
 
Sir Mervyn’s gloomy flip-side
The Guardian, Daily Mail, and FT all feature comment pieces on Mervyn King and the Bank of England.
The Guardian,  p. 4
Also appeared in : Daily Mail,  p.67, Financial Times,  p.2
 
 
Economy will ‘zigzag’ for years, warns King
Sir Mervyn King, the Bank of England’s governor, yesterday predicted a fall in output in the final three months of 2012, whilst also halving his growth forecast for 2013. He asserted that the UK’s economy was being restricted by external events, citing the eurozone crisis as a particular concern.
The Guardian,  p. 1-4
Also appeared in : Evening Standard London,  p.44, Independent i,  p.48
 
 
New threat to Britain’s prized AAA credit rating
George Osborne has been publicly warned by Moody’s that the UK will lose its prized AAA credit status if it sinks into a triple-dip recession this winter. The ratings firm said it had not yet decided whether to cut Britain’s credit rating but said it could act in the new year either if growth prospects worsened or if Osborne failed to stick to a demanding timetable for reducing national debt.
The Guardian,  p. 1-4
 
 
Maths graduates blamed for poor loan risk management
Maths graduates confused bank bosses with extremely technical and detailed risk analysis, leading to a misunderstanding of banks’ positions and contributing to the financial crisis, the Parliamentary Commission on Banking Standards heard yesterday.
City AM London,  p. 9
 
 
Banks told to cut bonuses
UK banks have been told by the Financial Services Authority to ensure employee bonuses are kept down to reflect the industry’s recent mis-selling and rate-fixing scandals, a source confirmed last night.
City AM London,  p. 4
 
 
Goldman hires new gang of powerful partners to lead
Goldman Sachs has appointed a new batch of lucky bankers to the esteemed position of partner, putting them in line for bonuses worth many millions each year.
Independent i,  p. 47
 
 
RBS criticised by watchdog
Canadian regulators investigating banks in the interest ­rate manipulation probe have rebuked RBS for saying it was co­operating with authorities worldwide.
This abstract from the Financial Times was produced by Kantar Media
Financial Times Companies and Markets,  p. 23
 
 
The above articles appeared on 18\11\12 reproduced with the kind permission of Kantar Media UK . All rights reserved.
 
Charterbridge Private Financial Planning, Independent Financial Advice, Thornbury, Bristol