Tag:

Capital Ratio

Latest Headlines

Latest Headlines

Bank of America wraps up asset sales

Bank of America's efforts to raise capital and stay in line with Federal Reserve expectations on Basel III compliance was driven in large part by robust sales of non-core assets. When people pressed executives about the likelihood of a massively dilutive sale of common shares, their answer usu

Bank of America exchange plans knocks stock

The news that Bank of America was planning to issue about 400 million common shares, which will be exchanged for preferred shares, did not go over all that well. The stock tanked. CEO Brian Moynihan has consistently said that the bank did not need to issue common stock to meet its capital requ

Basel committee issues new capital rules

As expected, the Basel Committee on Banking Supervision unveiled a proposal that would substantially hike capital requirements on large banks deemed "too big to fail". The new rule calls for an additional layer of capital held in reserve of between 1 and 2.5 percent. That's in addition to the prop

Banks gear up for Basel III surcharge fight

The news that Basel III will be requiring a surcharge on big banks in addition to already high capital ratios has hit hard, leaving the bank industry chafing and bent on fighting back. Under the plan, Citigroup, JPMorgan, Bank of America, Deutsche Bank, HSBC, BNP Paribas, Royal Bank of Scotlan

Columnist takes Jamie Dimon to task

Jamie Dimon perhaps is no longer the Teflon CEO he once appeared to be. A Yahoo columnist would like to stick him with consequences of his call in a recent speech at the Chamber of Commerce for regulators to be very cautious on capital requirements. He warned that capital ratios set too high w

Lots of talk about co-cos

Should contingent convertibles, or co-cos, be deployed to aid banks capital raising activities? These securities are basically bonds with a conversion feature based on certain triggers. If an issuer's Tier I capital ratio, as an example, were to fall below a certain level, a trigger would force th

Q2 2009 Earnings Reports

Second quarter earnings reports from Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo.   Bank of America ( BAC ) Earnings Report Highlights: Bank of America Earns $3.2 Billion in Second Quarter Strong Pretax, Pre-provisio

JPMorgan beats estimates; so what?

People kind of sensed strong earnings from JPMorgan Chase, and the bank certainly delivered. It generated earnings of 40 cents per share vs. the expected 32 cents. The bank has certainly benefit from a jump in mortgage refinancings and a surge in deposits, which for the moment are outweighing othe

Pro-fair value crowd makes its case

For a while, it seemed as though the anti-fair value crowd was winning the day. The many critics of FAS 157 were being heard well above the din. Some were openly calling for the rule to be abolished, but now the audit community is fighting back.   The biggest knock on the rule is that it h

Bove says Citi fears are overblown

"It would take a Depression every bit as large and long as the 1930s debacle to shake this company's viability." So wrote analyst Richard Bove about Citi. He thinks the fears are overblown, even as he admits he has gotten several calls from people wondering if Citi was about to fail. There was a t