|Bid||6.06 x 42300|
|Ask||6.07 x 36100|
|Day's Range||6.00 - 6.07|
|52 Week Range||4.33 - 7.31|
|Beta (3Y Monthly)||1.14|
|PE Ratio (TTM)||36.57|
|Forward Dividend & Yield||0.10 (1.61%)|
|1y Target Est||N/A|
Regulators made proposals on Thursday to strengthen the ability of banks and payment firms in Britain to cope with major incidents and maintain key services with minimum interruption. The Bank of England and the Financial Conduct Authority have proposed that banks, insurers, investment firms, exchanges and financial market infrastructure (FMIs) firms like Visa that make payments possible, set "impact tolerances" for important services. Firms themselves would quantify the maximum level of disruption they would tolerate in terms of time, volume of business or number of customers affected.
(Bloomberg) -- RocketSpace Inc., a San Francisco-based WeWork rival, is pulling out of its U.K. shared office business and will shut down the subsidiary by April in another blow to London’s co-working scene.Chief Executive Officer Duncan Logan told U.K. employees last month that they’d be out of a job after Dec. 20, according to a person familiar with the plans, who asked not to be identified because the information is private. The company will instead refocus on funding services for startups, according to emails seen by Bloomberg News.The 1,500-seat office in the North London borough of Islington has already removed marketing materials from its website and no longer lets visitors request tours. RocketSpace has said it plans to close RocketSpace U.K. Ltd. and RocketSpace Angel Ltd. by April, according to regulatory filings. The latter had debts of about 9 million pounds ($11.6 million) due this year, which the company has sufficient money to repay, according to the November filing.Representatives for the company couldn’t be immediately reached for comment, as phone lines had been disconnected or diverted to voicemails. Logan didn’t immediately respond when contacted on LinkedIn.The decision follows WeWork’s sweeping review of its expansion plans for London following its bailout by SoftBank Group Corp. The embattled office company is reassessing whether to proceed with about 28 potential office deals in its second-largest market, people with knowledge of the matter had said. The cash-strapped company has also warned European staff -- most of whom are based in London -- that job cuts are looming, Bloomberg reported last month.Read more about WeWork’s review here.RocketSpace’s expansion into Britain in 2017 was the company’s first market outside the U.S, helped by a partnership with Royal Bank of Scotland Group Plc. RBS has a long-term lease on the Regents House building, which spans about 60,000 square feet (5,575 square meters), according to a person with knowledge of the contract. The bank will likely seek a new tenant to sublet the space though no firm decisions have yet been taken, the person said.“As a bank, we’re proud of our partnership with RocketSpace and of what has been achieved by so many of the innovative tech startups based at Regents House over the last two years,” said RBS Group Chief Administrative Officer Simon McNamara. "We wish them and their members every success with their future ventures and look forward to working with many of them as they grow their businesses.”According to archived versions of RocketSpace’s website, facilities available included private offices, “hot desks” for individuals, an event space with 350 seats, kitchens and showers.(Updates with RBS comment in penultimate paragraph)\--With assistance from Jack Sidders.To contact the reporter on this story: Nate Lanxon in London at firstname.lastname@example.orgTo contact the editors responsible for this story: Giles Turner at email@example.com, Amy Thomson, Edwin ChanFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
The Lithuanian capital may not be home to any large fintech unicorns such as Adyen in the Netherlands or Klarna in Sweden. It has issued licences to more than 100 fintech companies, many of which are looking to set up a base in the EU to keep their passporting rights to operate across the bloc after the UK has left. One of those is Revolut, the British digital bank which obtained a banking licence last year from Lithuania.
The same day, in a WeWork office less than a kilometre away, its business lending start-up Esme passed £100m in loans issued. Bó and Esme are two of a string of technology-driven projects launched by former chief executive Ross McEwan in an effort to see off the threat of start-up challengers and improve efficiency at the 292-year-old lender. Although they remain tiny compared with the wider group’s £775bn balance sheet, the latest developments highlight how RBS is hoping to turn the initiatives from interesting experiments into serious sources of future growth.
Royal Bank of Scotland has launched its standalone digital bank Bó in a plan to fend off competition from fast-growing online start-ups including Monzo and Starling. Bó Chief Executive Mark Bailie told reporters on Wednesday the venture could offer its parent cheaper funding by amassing customer deposits on its lower cost banking platform, although he did not say how much the bank had spent on the project. RBS, still majority state owned after a bailout in the 2008 financial crisis, has opted to launch a spin-out service, wagering that some consumers are tired of established brands.
Bó after almost two years of preparations in an effort to compete with start-ups such as Monzo and Starling. The taxpayer-owned lender spent about £100m developing the bank, which operates on a separate IT system to its core RBS and NatWest brands. Bó began accepting customers last week and was officially launched on Wednesday.
(Bloomberg) -- Premium Point Investments co-founder Anilesh “Neil” Ahuja was sentenced to 50 months in prison for conspiring to overvalue the hedge fund’s assets by more than $100 million to attract new investors and prevent withdrawals, in what the U.S. called “one of the largest mismarking schemes ever prosecuted.”Before U.S. District Judge Katherine Polk Failla handed down his sentence on Monday, Ahuja apologized to dozens of friends and family members who had packed the Manhattan courtroom and said he’d failed as a leader of the firm.“I take full responsibility for those failures,” he said.Yet in requesting an 18-month term, Ahuja called portfolio manager Amin Majidi, who pleaded guilty and testified for prosecutors, the architect of the plot. The judge rejected that argument, saying Ahuja drove the conspiracy from the top.“I do not believe all of this was going on without his assent,” Failla said.Prosecutors have been cracking down on mismarking, the use of questionable methods to make assets appear more valuable than they are. The chief executive officer of Live Well Financial Inc. was charged in August with defrauding lenders by artificially inflating the value of bonds used as loan collateral. He has pleaded not guilty. A former analyst at Visium Asset Management LP got more than 18 months in 2017 for helping inflate the value of bond holdings to hide losses.Ahuja was convicted of conspiracy and fraud by a federal jury following a monthlong trial, along with a former trader at the now-defunct firm, Jeremy Shor, who was sentenced to 40 months last week. Prosecutors said Ahuja and Majidi, the portfolio manager, set inflated monthly targets for returns, then ordered Shor and other traders to manipulate the valuations accordingly.Prosecutors had asked Failla to impose a “substantial period” of prison time, saying Ahuja was the chief culprit. Assistant U.S. Attorney Joshua Naftalis told the judge on Monday that Ahuja was a “leader of the fraud.”“He lied to investors for years, and over the course of his fraud his victims lost tens of millions of dollars,” Naftalis said. “This case was about a hedge fund director who led, concealed and directed one of the largest mismarking schemes ever prosecuted.”Read More: Star Witness Has to Admit He Stole From MomAhuja’s attorney Roberto Finzi said Ahuja only wanted his clients to make money.“Nothing in this record suggests that Mr. Ahuja took any comfort, joy or pleasure in what happened,” Finzi said. Lawyers for Ahuja and Shor had argued that the firm’s valuations were within appropriate ranges for assets that are mostly illiquid and difficult to price, and that its methods were known to employees throughout the firm and to investors.Ahuja headed mortgage structuring at Lehman Brothers, was responsible for several trading desks at RBS Greenwich Capital and led global residential mortgage bond trading at Deutsche Bank AG for four years before leaving to found Premium Point in 2008.The firm initially focused on the U.S. residential loan market and began amassing subprime mortgage bonds made up of distressed assets after the global credit crisis by monitoring borrower behavior. It later expanded into the jumbo loan and home rental businesses and managed about $2 billion of assets at its peak.Premium Point began winding down in late 2016 after posting large losses and revealed the following year that federal securities regulators were examining the way it valued its assets. Its mortgage credit funds filed for bankruptcy protection in March 2018, and Ahuja, Majidi and Shor were charged two months later. Former chief risk officer Ashish Dole also pleaded guilty and testified for the prosecution at the trial.Prosecutors said the goal of the scheme was to make the firm’s performance seem better than it was and to charge its clients -- including a hedge fund founded by former White House communications director Anthony Scaramucci that lost more than $51 million in the plot -- higher fees and keep them from withdrawing their investments.The case is U.S. v Ahuja, 18-cr-328, U.S. District Court, Southern District of New York (Manhattan).Read More: Ahuja, Shor Convicted in Hedge-Fund-Fee Scam(Updates with remarks by Ahuja, the judge and lawyers for both sides)To contact the reporter on this story: Chris Dolmetsch in Federal Court in Manhattan at firstname.lastname@example.orgTo contact the editors responsible for this story: David Glovin at email@example.com, Peter Jeffrey, Joe SchneiderFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- A former JPMorgan Chase & Co. banker was convicted of conspiring with traders at other banks to rig bids and fix prices in currency markets -- a victory for prosecutors in their campaign against collusion in foreign exchange.A federal jury in New York on Wednesday took less than four hours to find Akshay Aiyer guilty of a single count of conspiracy to violate antitrust laws, following a trial that lasted more than two weeks.He’s the second person to be convicted in a crackdown on dubious practices used by currency traders and faces as long as a decade in prison and a $1 million fine when he is sentenced on April 3.Prosecutors had relied on testimony from two alleged conspirators, former Citigroup trader Christopher Cummins and ex-Barclays banker Jason Katz, who pleaded guilty and agreed to cooperate with prosecutors. Cummins and Katz testified that the traders plotted in chat rooms, on the phone and at social gatherings to rig trades while leading customers to believe that they were actually competing with each other.Conviction a Reminder“This conviction serves as a reminder of our commitment to hold individuals responsible for their involvement in complex financial schemes which violate the integrity of the global financial markets,” Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division said in a statement. Aiyer and his lawyers declined to comment after the verdict.The conviction shows that antitrust prosecutors can successfully pursue currency-market cases despite previous acquittals, said Philip A. Giordano, a partner with Hughes Hubbard & Reed LLP and a former prosecutor in the Justice Department’s Antitrust Division.The verdict also underscores the importance of the role that victims play in these types of trials, as the government called representatives of asset management firms who testified that they were harmed by the traders’ collusion, he said.“That helps to put the other evidence, the evidence from the co-conspirators, in perspective,” Giordano said. “It shows that the alleged conduct did not occur in a vacuum. The conduct is less susceptible to interpretation when it is connected to a negative impact on a customer. It makes it easier for the jurors to accept the prosecutors’ assessment of the facts.”Read more on judge throwing out a related caseDefense lawyers argued that all three of the traders made their decisions independently. They argued that Cummins and Katz had been colluding with other foreign-exchange traders for years before they even met Aiyer and were simply trying to save themselves by implicating him to avoid prison.Aiyer is a native of India who came to the U.S. in 2002 to attend college. He joined JPMorgan in 2006 and worked there until 2015, first as a foreign-exchange analyst and later as a trader.The first person charged in the crackdown, Mark Johnson, a former global head of foreign exchange at HSBC Holdings Plc, was found guilty in 2017 of front-running a $3.5 billion client order. But a U.K. court refused to extradite Johnson’s underling, Stuart Scott, and three British traders accused of similar conduct were acquitted by a jury in New York last year. U.K. investigators dropped a criminal probe into individual traders, finding there wasn’t enough evidence to prosecute.Banks around the world have paid more than $10 billion in penalties for misconduct in the currency markets since the crackdown began. Citigroup Inc., Barclays Plc, Royal Bank of Scotland Group Plc and JPMorgan Chase pleaded guilty in 2015 to rigging currency rates and agreed to pay about $2.5 billion to the Justice Department as part of an overall $5.8 billion settlement with multiple regulators.The case is U.S. v. Aiyer, 18-cr-333, U.S. District Court, Southern District of New York (Manhattan).(Updates with sentencing date in third paragraph)To contact the reporter on this story: Chris Dolmetsch in Federal Court in Manhattan at firstname.lastname@example.orgTo contact the editors responsible for this story: David Glovin at email@example.com, Joe Schneider, Steve StrothFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of The Royal Bank of Scotland Group plc and other ratings that are associated with the same analytical unit. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed in a portfolio review and hence are not impacted by this announcement.
Moody's Investors Service ("Moody's") today took rating actions on 15 UK banks and building societies. The action reflects Moody's view that the operating environment is likely to weaken, given deteriorating institutional capacity and commitment to fiscal discipline in the UK, together with a worsening economy. This follows the change in outlook on the UK sovereign debt rating to negative from stable, which the rating agency announced on 8 November 2019 (Moody's changes outlook on UK's rating to negative from stable, affirms Aa2 rating; https://www.moodys.com/research/--PR_396604).
We note that the The Royal Bank of Scotland Group plc (LON:RBS) Chief Operating Officer, Mark Bailie, recently sold...
A mandatory 24-hour delay on all first-time payments from one bank account to another would cut mounting fraud in finance, UK lawmakers said in a report on Friday. Parliament's Treasury Select Committee said fraudsters stole over 600 million pounds ($777 million) from consumers in the first half of 2019 and regulators must crack down harder on scammers. With money transfers between accounts taking just seconds, customers or their bank have little time to be aware that a fraud has taken place, the report said.
Lloyds Banking Group came close to suffering a shock third-quarter pretax loss on Thursday after an increase in bad loans and a fresh 1.8 billion pounds ($2.3 billion) provision for mis-sold loan insurance payouts. Pretax profit of 50 million pounds fell short of a 163 million pound average analyst forecast as Britain's most costly consumer banking scandal continued to haunt the bank. As Britain's biggest mortgage lender, due in part to its Halifax business, and a key source of finance for small companies, Lloyds is seen as a bellwether for the UK economy, and most exposed to shaky sentiment among business and household borrowers unsettled by Britain's protracted exit from the EU.
Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...
The British pound hovered around a key technical level Thursday as markets awaited the European Union’s decision on whether to grant an extension to the U.K. to leaving the bloc.