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News | Banking | Profit: UBS First Quarter Profit Increase 14%

  cnbc.com UBS first-quarter profit up 14%, but CEO 'very disappointed' with hit from Archegos scandal Silvia Amaro 3-4 minutes LONDON — UBS reported on Tuesday net income of $1.8 billion for the first quarter of 2021, as it revealed a hit to earnings from the scandal involving Archegos Capital . UBS shares were down almost 2% in early European trading hours. The Swiss bank said revenues were $774 million lower as a result of the default by the Archegos hedge fund, which collapsed last month after taking on too much risk. The U.S.-based family office was a client of UBS' prime brokerage business. UBS said Tuesday it had exited all exposure to Archegos and any related losses in the second quarter would be "immaterial" for the bank. A number of banks have been affected by the scandal, including Credit Suisse , which reported last week a net loss for the quarter on the back of a 4.4 bi

News | Banking: HSBS Reported Stronger Than Expected Profits.

  bbc.com HSBC forecasts brighter outlook as profits surge BBC News 3-4 minutes image copyrightGetty Images HSBC has reported stronger than expected profits and says the economic outlook is looking brighter. Europe's biggest bank by assets reported income of $5.8bn (£4.2bn) for the January-to-March period, up from $3.2bn a year earlier. More than half of its profits came from Asia, the region where the bank does much of its business. The improved outlook led HSBC to release some of the cash it had set aside for bad loans. Last year, HSBC had set aside $3bn to cover bad debts, but it has now released $400m of that following "an improvement in the economic outlook, notably in the UK". Solid growth in its mortgage business in the UK and Hong Kong also helped to boost profits. The bank says it is on track with its restructuring plan, including cutting 35,000 jobs and focusing on earning more cl

News | Business | Banking: Citigroup Closing Operations in 13 Markets.

  bbc.com Citigroup to exit consumer banking in 13 markets BBC News 2-3 minutes image copyrightGetty Images Citigroup is closing its consumer banking operations in 13 markets across Asia, Europe and the Middle East. The US banking group will instead run these operations from four hubs in Singapore, Hong Kong, the United Arab Emirates and London. It will continue to offer products to larger clients and institutions in these markets. Its chief executive Jane Fraser said it "does not have the scale" to compete in these 13 markets. Citigroup will shut down consumer banking operations in Australia, Bahrain, China, India, Indonesia, South Korea, Malaysia, the Philippines, Poland, Russia, Taiwan, Thailand and Vietnam. "As a result of the ongoing refresh of our strategy, we have decided that we are going to double down on wealth. We will operate our consumer banking franchise in Asia and EMEA sole

News | Banking: 3,000 Roaming Squad Bankers for The Near HSBC Future.

  bbc.com The woman building HSBC's 3,000 roaming banker army By Justin Harper 3-4 minutes By Justin Harper Business reporter, BBC News image copyrightHSBC image captionTrista Sun has already started targeting the Chinese cities of Shanghai, Guangzhou, Hangzhou and Shenzhen HSBC has started hiring hundreds of bankers under a new venture to seek out wealthy clients across China. It's part of the bank's ambitious plan to employ 3,000 roaming bankers in total, armed with digital tablets. The woman leading the rapidly-growing team is Trista Sun, who is helping a digital-banking push at HSBC that analysts say is long overdue. Several big Western banks are also expanding into China including US firms Goldman Sachs and JP Morgan. The venture, known as HSBC Pinnacle, is part of chief executive Noel Quinn's plan to pivot the bank more towards Asia and to focus on wealth management. This week HSBC c

News | Banking | The Bank Of England: Governor of England Said Economy Will get Back by the End 2021 Where it was at the end of 2019.

  bbc.com Bank of England 'not out of firepower' on Covid BBC News 3 minutes image copyrightPA Media Bank of England governor Andrew Bailey has said he is "not out of firepower" in defending the economy as it recovers from the pandemic. He told the BBC he was looking at "new tools" to deal with the UK's biggest economic shock in 300 years. These could include negative interest rates, but "that's not a view on whether we will use them or not". "The economy will actually get back at the end of this year to where it was at the end of 2019," he said. However, that was "not much more than getting back to where we were pre-Covid". Speaking to the BBC's Today programme, Mr Bailey said the Bank expected inflation to start rising towards its 2% target in "the next two or three months". But he added that the Bank's rate-setting Monet

News | Business | Finance | Banking: Blame the system for FinCen files, not the banks, experts urge

  Elliot Smith 5-6 minutes - Source: CNBC HSBC’s U.K. headquarters are seen at the Canary Wharf financial district of London on July 31, 2018. Tolga Akmen | AFP | Getty Images LONDON — The leaked FinCen files which sent banking stocks tumbling on Monday should be viewed as exposing flaws in the regulatory system, not wrongdoing by banks, several financial crime experts have told CNBC.  The files, obtained by Buzzfeed and the International Consortium of Investigative Journalists and released over the weekend, contain Suspicious Activity Reports (SARs) filed with the U.S. Department of Treasury’s Financial Crimes Enforcement Network, or FinCen, between 1999 and 2017. The suspicious transactions outlined in the documents total $2 trillion.  The SARs were filed by several of the world’s largest banks and financial institutions in relation to transactions they were making on clients’ behalf. They have emphasized increased expenditur

News | |Business | Banking | Victims by Fraudsters: Business Banking Victims by Fraudsters: Aged over 100 and targeted by fraudsters

Kevin Peachey  3-4 minutes - Source: BBC Image copyright Getty Images Image caption Losses can reach many thousands of pounds Victims, including some aged over 100, have been targeted by fraudsters before banks stepped in to prevent big losses. Workers are trained to spot cases, quiz customers and contact police during requests in branches for withdrawals that raise suspicions of a scam. Banking trade body UK Finance said £19m was saved in the first half of the year and 100 arrests were made. Coronavirus lockdown has raised fears that some people new to internet banking have become hidden victims. Known officially as the Banking Protocol, the scheme has prevented victims from

News | Business | Banking | UK NCA: Crime agency under fire over bank signature forgery

Andy Verity  7-9 minutes - Source: BBC Image copyright Getty Images Image caption The National Crime Agency in Westminster, London The National Crime Agency is facing criticism for failing to investigate reports alleging that banks forged signatures and fabricated evidence in court actions to repossess homes. MPs urged the NCA a year ago to investigate the matter following a BBC News investigation . The NCA has received at least 19 boxes of evidence relating to 362 incidents. But anti-corruption campaigners and MPs say victims haven't been contacted and no investigation has been started. The NCA says it is making a "thorough assessment&

News | Business | Banking | Germany Banks: Commerzbank takes greater loan loss from Wirecard than Covid-19 debt

Olaf Storbeck  2-3 minutes - Source: FT Commerzbank took a greater hit from the collapse of Wirecard in the second quarter than from the economic fallout of the coronavirus pandemic, according to people familiar with the matter. Germany's second-largest listed lender, which is embroiled in a leadership crisis after both its chairman and chief executive announced plans to resign last month, wrote off €175m of loans it made to the defunct payments provider which filed for insolvency in June. Loan-loss provisions relating to the pandemic stood at €131m, the lender said when it reported results on Wednesday. Commerzbank’s operating profit collapsed 34 per cent to €205m in the three months to June compared with a year earlier, while its net profit fell by 21 per cent to €220m. Both numbers were better than expected by analysts but the bank warned investors that it would swing to a net loss for the full year as credit losses and restructuring charges were like

News | Business | Banking | France: Société Générale falls to surprise loss with equities unit under pressure

3minutes - Source FT Société Générale slumped to a surprise loss in the second quarter after the French bank took a hefty charge as part of an overhaul of its struggling investment bank. The lender reported a €1.26bn loss for the quarter as it pledged to cut risk and strip costs from its equities trading division, booking more than €1.3bn in one-off charges. It was the second quarterly loss in a row for SocGen, with revenues falling 15.7 per cent compared with the same period last year to €5.3bn, roughly in line with analysts’ estimates. The market had expected the bank to record a small overall profit. SocGen unveiled a revamp of its core equities trading business, which was crushed in the first quarter after companies cancelled dividends to conserve cash during the coronavirus pandemic, resulting in big losses on derivatives linked to potential shareholder payouts. The division fared little better in the second quarter, with revenues down 79.5 per cent compa