Today, 12:10 PM
- Welcome back my friends to the show that never ends ...The New York Department of Financial Services is probing more abuse of forex markets by the banks - this time by the use of automated trades driven by computer algorithms, reports the FT.
- Findings could indicate more widespread abuse than what U.S. and U.K. authorities disclosed on Wednesday (along with nearly $6B in fines and a number of guilty pleas). Sources remind that this week's charges related to manipulation performed by bank employees, but this probe covers electronic trading, which accounts for the majority of forex transactions.
- Trading platforms under the scope include those from Barclays (NYSE:BCS) and Deutsche Bank (NYSE:DB), and information has been subpoenaed from BNP Paribas (OTCPK:BNPQF), Credit Suisse (NYSE:CS), Goldman Sachs (NYSE:GS), and SocGen (OTCPK:SCGLY).
- The investigation into Barclays is the most advanced, but DFS has initially reached similar nefarious conclusions about the goings-on at Deutsche too. The probes of the other lenders are at even earlier stages.
- Previously: Lawsky stepping down as New York's top bank regulator (May 20)
Tue, Mar. 24, 3:26 AM
- The Federal Reserve and FDIC have vetoed the "living wills" of the U.S. units of BNP Paribas (OTCPK:BNPQF), HSBC (NYSE:HSBC) and Royal Bank of Scotland (NYSE:RBS), stating that they could face sanctions by the end of the year if the issues are not fixed.
- Living wills, which are a requirement under Dodd-Frank, spell out how a firm would wind down its operations under U.S. bankruptcy code if it got into trouble.
Fri, Feb. 20, 4:48 AM
- Squeezed by new capital and risk rules and tough markets, Wall Street is taking the ax to its workforce, a report by London research firm Coalition shows.
- The number of investment bankers, traders, salespeople and research analysts at the world’s largest banks has fallen 20% globally since its recent peak in 2010.
- While job cuts on the front end have become standard, firms have been increasing their back-office hiring to beef up controls in areas ranging from compliance to risk.
- Related tickers: BAC, BCS, OTCQX:BNPQY, C, CS, DB, GS, JPM, MS, UBS
Tue, Feb. 10, 1:54 AM
- The NY Department of Financial Services has sent subpoenas to Goldman Sachs (NYSE:GS), Credit Suisse (NYSE:CS), BNP Paribas (BNZPY) and Societe General (OTCPK:SCGLY), Reuters reports, expanding its probe of whether banks' electronic trading platforms allow them to front-run clients in the forex market.
- At issue is a latency period between the time an offer is floated and accepted.
- The department is already probing Barclays (NYSE:BCS) and Deutsche Bank (NYSE:DB) over similar concerns and installed monitors at those banks in recent months.
Thu, Feb. 5, 5:11 AM
- BNP Paribas (OTCQX:BNPQY) has announced that new rules and higher taxes will dent its 2016 net income by about €500M, despite heavy profit in its latest quarter.
- Fourth-quarter net income rose to €1.3B from €110M a year before, when BNP set aside $1.1B for legal costs.
- The bank closed a difficult chapter last June by pleading guilty to criminal charges and paying a $8.9B fine for breaching U.S. sanctions against Sudan, Iran and Cuba.
- BNP shares down 3.8% in France.
Fri, Jan. 9, 7:54 AM
- More than half of the €7.5B in newly issued Santander (NYSE:SAN) stock was purchased by U.S. investors, reports the FT, with about 25% bought by U.K. owners.
- The bank issued 1.214B shares at £6.18 each as new executive chairman Ana Botin quickly broke ranks with her late father's strategy just four months after replacing him atop the company.
- The ADRs are lower by 4.5% premarket after yesterday's 7% decline.
- Now that Santander has joined Deutsche Bank in raising capital, analysts turn their attention to the next dominoes. High on the list: BNP Paribas (OTCQX:BNPQY), Societe General (OTCPK:SCGLY), Credit Suisse (NYSE:CS), Commerzbank (OTCPK:CRZBY), and Credit Agricole (OTCPK:CRARY).
Nov. 19, 2014, 4:34 AM
- BNP Paribas (OTC:BNPZY) may be under fire again, as French prosecutors open a preliminary insider-trading probe related to the bank's $9B settlement in June for violating U.S. sanctions.
- The investigation will determine how much senior BNP Paribas directors and top execs knew about the bank’s exposure to litigation risks in the U.S. when they sold shares last year.
- According to French weekly Le Canard Enchaîné, the newest probe is specifically aimed at the bank’s chairman, Baudouin Prot, COO Philippe Bordenave and Honorary Chairman Michel Pébereau .
Oct. 31, 2014, 6:41 AM
- BNP Paribas (OTCQX:BNPQY) reported an 11% jump in third-quarter net profit, as gains in its investment-banking business helped it recover from the previous quarter when it was hit with a record $8.9B fine for sanctions violations.
- The bank posted net profit for the period from July through September of €1.5B ($1.9B), compared with €1.36B a year earlier, on revenue of €9.5B.
- Last week, BNP Paribas (OTC:BNPZY) completed the ECB’s stress tests unscathed.
Oct. 7, 2014, 2:08 AM
- BNP Paribas (OTC:BNPZY) is searching for a bank to assist with clearing its energy transactions in U.S. dollars next year, after being suspended from the dollar clearing practice due to its violation of U.S. sanctions against against Sudan, Cuba and Iran.
- The French bank made the requests to JPMorgan (NYSE:JPM), BofA (NYSE:BAC) and Citi (NYSE:C) in July and August, and although talks are still going on with the latter two, JPMorgan has decided against accepting the request.
- OTCPK:BNPQF +1.5% AH
Aug. 11, 2014, 4:17 AM
- Quoting Le Journal du Dimanche, Bloomberg reports that BNP Paribas (OTC:BNPZY) Chairman Baudouin Prot may resign in the next few months to be succeeded by Jean Lemierre, a senior adviser at the French bank.
- Prot served as the bank's CEO from 2003 to 2011.
- Last month, BNP Paribas went through its largest-ever management shakeup and was fined $8.9B as a result of its U.S. sanction violations.
Jul. 29, 2014, 6:56 AM
- French real-estate group Klepierre (OTC:KLPEF) is closing in on a deal to acquire Dutch rival Corio (OTC:CRIOF) for €7.2B ($9.7B), which would create an industry leader with €21B in assets.
- The boards of both companies as well as their main shareholders (Simon Property Group (NYSE:SPG) and BNP Paribas (OTC:BNPZY)) back the deal, the companies said in a joint statement.
Jul. 25, 2014, 2:25 AM
- After agreeing to an $8.9B fine last month for U.S. sanctions violations, BNP Paribas (OTC:BNPZY) has come under the spotlight again - this time with the U.S. Department of Agriculture.
- A Federal court has entered an $80M judgment against the bank for cheating a program which covers the losses of American commodities exporters in cases where their import partner failed to make a payment.
- BNP Paribas is accused of guaranteeing credit for companies known to be operating both the export and import side of the business.
Jul. 10, 2014, 3:28 AM
- BNP Paribas (BNPQF) has pleaded guilty to evading U.S. sanctions for the second time, admitting it had also violated the International Emergency Economic Powers Act and the Trading with the Enemy Act.
- The bank previously agreed to a record $8.9B settlement on July 1, after pleading guilty to charges of falsifying business records and conspiracy.
Jul. 9, 2014, 8:12 AM
- Responding to news on a couple of European lenders, JPMorgan upgrades Deutsche Bank (DB) to Overweight citing the recent capital raise, and downgrades BNP Paribas (BNPZY) to Neutral, citing lower capital returns following the $8.9B U.S. criminal settlement.
- Deutsche is up 1% premarket; BNP is lower by 1.3% in Paris action.
Jul. 2, 2014, 4:13 AM
- After pleading guilty to violating U.S. sanctions yesterday, BNP Paribas (BNPQF) has applied for a regulatory exemption to keep its U.S. pension-plan business alive. The exemption will allow the bank to keep its status as a qualified professional asset manager.
- The bank currently oversees $7.9T in pensions, some of which are included in the $66B of assets managed in the U.S.
Jul. 1, 2014, 1:59 AM
- After pleading guilty to two criminal charges of falsifying business records and conspiracy, BNP Paribas (BNPQF) is settling its "sanctions lawsuit" for $8.9B. As part of the settlement, the bank will also terminate 13 senior execs.
- BNP Paribas has also agreed to suspend parts of its U.S. dollar clearing operations for one year. The ban will start on January 1, 2015, and will greatly impact the bank's oil and gas finance business.
BNPQY vs. ETF Alternatives
BNP Paribas has a presence in 75 countries with more than 180,000 employees, including 140,000 in Europe. It ranks highly in its three core activities: Retail Banking, Investment Solutions and Corporate & Investment Banking. In Europe, the Group has four domestic markets (Belgium, France, Italy... More
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