More than five months ago, the Federal Reserve and Office of the Comptroller of the Currency told some of the biggest banks to improve underwriting standards for non-investment-grade loans. The market is showing few signs of tightening as lenders chase lucrative fees.
The Bernard Madoff trustee, who will try to reinstate hundreds of lawsuits through an appeal to be argued March 5 in Manhattan, had his chances of success dealt a blow last week when the U.S. Supreme Court decided a case involving R. Allen Stanford’s Ponzi scheme.
3i Group Plc raised a $416 million collateralized loan obligation aimed at investors willing to accept lower interest payments in order to recoup their money sooner, according to two people with knowledge of the deal.
Hong Kong’s Securities and Futures Commission said it will consult the public on proposed legislation to restrict retail investors from having access to “dark pools” and enhance disclosure requirements.
The European Central Bank is working under the assumption that funds will be available to plug equity shortfalls at banks as it prepares a “tough” test of their balance sheets, ECB Executive Board member Sabine Lautenschlaeger said.
U.S. banks had net income of $40.3 billion in the fourth quarter, pushing industry earnings to a record $154.7 billion for the full year, the Federal Deposit Insurance Corp. said in its Quarterly Banking Profile.