Risk magazine
CFO replaced in compensation probe at AIG
AIG, the US insurance giant, has appointed David Herzog executive vice president and chief financial officer (CFO), replacing the acting CFO, Steven Bensinger, who will leave the company. The announcement followed a letter from the New York attorney…
$130 billion aid for Korean banks
The Korean government has promised up to $100 billion in loan guarantees and another $30 billion in new loans for Korean banks.
ING becomes latest member of helping hand scheme
Financial services group ING on October 19 agreed terms with the Dutch government for a €10 billion capital injection, becoming the latest beneficiary of the state-supported recapitalisation process underway in Europe and the US.
European bank CDS spreads tighten
The cost of credit protection on European financial institutions dropped in early trading today.
Caisse d'Epargne management step down after losses
The chairman, chief executive and chief finance officer of Caisse d'Epargne have resigned after the bank admitted it had lost €600 million in unauthorised equity derivative trades.
Ted spread falls further
The Ted spread and three-month Libor continued to fall following last week’s bailout packages announced in Europe and the US.
Interbank lending eases further
The Ted spread, along with overnight and three-month Libor, fell for the fourth day in succession after European governments announced bailout packages on Monday, and the US followed suit on Tuesday.
Caisse D’Epargne hit by unauthorised derivatives loss
Caisse D’Epargne, set to become the second largest retail bank in France if a proposed merger with Banque Populaire goes ahead, today revealed losses of €600 million on its equity derivatives book.
Q & A: CESR chairman Eddy Wymeersch
Eddy Wymeersch, chairman of the Committee of European Securities Regulators (CESR), talks to Risk about the effects the financial crisis will have on regulators and central banks.
CDS spreads stabilise in Europe and the US
The cost of credit protection on European financial institutions stabilised in early trading today, after a tumultuous week that has seen governments in the UK, Germany, France, Spain and Switzerland announce major bailout packages for major financial…
Equity market turmoil hits Cedo deals
New York-based Moody’s Investors Service downgraded a swath of collateralised equity and debt obligation (Cedo) notes on October 10, as a result of the recent volatility in global stocks.
Citigroup and Merrill Lynch losses soar in Q3
Hit by continuing credit problems and mortgage-related losses, Citigroup and Merrill Lynch saw their profits fall sharply in the third quarter of 2008.
Bank of England appoints new financial stability head
Andrew Haldane will replace Nigel Jenkinson as executive director for financial stability at the Bank of England from January 1 2009.
Banks move towards clearing for FX, interest rate and equity
A large part of the over-the-counter derivatives market will shift towards central clearing houses by next year, as the collapse of Lehman Brothers on September 15 forces banks to reassess counterparty risk posed by other dealers.
CDSs on US banks and insurers widen again
A day of turmoil on the world stock markets saw the cost of credit protection for several US banks and insurers rise once again.
Interbank lending rates continue to fall
The Ted spread, along with overnight and three month Libor, continued to fall today in the wake of European governments announcing bailout packages on Monday, and the US following their example on Tuesday.
Swiss National Bank to take $60 billion in UBS assets
The Swiss government has stepped in to rescue UBS, the European bank worst hit by the subprime crisis.
JP Morgan and Wells Fargo profits tumble in Q3
Battered by further losses in their mortgage-related positions, JP Morgan and Wells Fargo saw third-quarter profit declines of 84% and 25% respectively today.
Strain eases on interbank lending
The Ted spread, as well as overnight and three-month Libor, continued to fall today following the announcement of US and European bailout packages.
CDSs tighten on US banks
The cost of credit protection on US institutions plummeted yesterday, as investors reacted positively to news that the Treasury will take $125bn equity in nine US banks.
Treasury to take $125bn equity in nine US banks, says Paulson
The US Treasury will give banks and thrifts up to $250 billion as part of a series of measures designed to boost public confidence in financial institutions and restart immobile interbank lending markets.
US banks call for more leeway on mark-to-market rules
The American Bankers Association, a lobbying group, has protested that its members need more relaxed valuation rules, blaming the Financial Accounting Standards Board for ignoring the financial crisis.
European CDSs at monthly lows
A surge in market confidence lowered the cost of credit protection on a number of European banks to monthly lows in early trading today, as investors reacted positively to news of a eurozone financial rescue plan.
Governments step up and Ted spread goes down
The Ted spread, the difference between US Treasury bills and three-month Libor, fell today for the first time since October 6, following the news of the planned European bank rescue package.