Latest news with #AnirbanSen
Yahoo
3 days ago
- Business
- Yahoo
Citadel Securities' Esposito says US deficit is a 'ticking time bomb'
By Anirban Sen NEW YORK (Reuters) -The U.S. government's growing debt pile is a "ticking time bomb" and how the Trump administration reacts to this crisis is going to be "super important", Citadel Securities President Jim Esposito said on Thursday. Several other leaders of the financial services industry have issued similar warnings about the current U.S. deficit in recent weeks. Earlier in June, JPMorgan Chase CEO Jamie Dimon said the U.S. national debt is a "big deal" that could create a "tough time" for the bond market that causes spreads to widen. "The stock of debt and the budget deficit is a ticking time bomb. No one is smart enough to predict when exactly it will rear its ugly head. We've been talking about this for more than 20 years, so in some ways the market's gone into complacency, but over a multi-year period we can work this out," Esposito said at the Piper Sandler Global Exchange & Trading Conference. Shifting U.S. economic policies have sent bond markets tumbling in recent weeks. In May, ratings agency Moody's downgraded the U.S. sovereign credit rating. Long-dated bonds have been under pressure due to deficit concerns, with investors delivering a tepid response to a 20-year auction in May and sending the 30-year bond yield to its highest level since October 2023. Higher bond yields can translate into higher borrowing costs for consumers, businesses and governments. Citadel Securities, a market-making behemoth that was founded by hedge fund billionaire Ken Griffin, plans to double down on cryptocurrency trading this year under a new regulatory framework. "This year you'll see us getting more active providing liquidity on specific crypto exchanges. So that's a part of our strategic plan. I think we'll execute on that in this calendar year, like everybody else," said Esposito. "We're excited by the prospects of the SEC (U.S. Securities and Exchange Commission) coming out with the rule set. So crypto is definitely a space we're going to get bigger in, and we're excited about the prospects," he added. The market volatility this year has boosted the fortunes of large market makers like Citadel Securities and Jane Street. During the first quarter of 2025, Citadel Securities' net trading revenue surged 45% to $3.4 billion, while its profit jumped 70% - a record for the firm, according to people familiar with the matter. "The number of growth opportunities that lie in front of us is almost unlimited. In our core businesses, our equity business at the moment is a bit too skewed towards the U.S. at the expense of the rest of the world - so Europe is a very big growth opportunity for us," Esposito said.
Yahoo
4 days ago
- Business
- Yahoo
Citadel's Esposito says US deficit is a 'ticking time bomb'
By Anirban Sen NEW YORK (Reuters) -The U.S. government's growing debt pile is a "ticking time bomb" and how the Trump administration reacts to this crisis is going to be "super important", Citadel President Jim Esposito said on Thursday. Several other leaders of the financial services industry have issued similar warnings about the current U.S. deficit in recent weeks. Earlier in June, JPMorgan Chase CEO Jamie Dimon said the U.S. national debt is a "big deal" that could create a "tough time" for the bond market that causes spreads to widen. "The stock of debt and the budget deficit is a ticking time bomb. No one is smart enough to predict when exactly it will rear its ugly head. We've been talking about this for more than 20 years, so in some ways the market's gone into complacency, but over a multi-year period we can't work this out," Esposito said at the Piper Sandler Global Exchange & Trading Conference. Shifting U.S. economic policies have sent bond markets tumbling in recent weeks. In May, ratings agency Moody's downgraded the U.S. sovereign credit rating. Long-dated bonds have been under pressure due to deficit concerns, with investors delivering a tepid response to a 20-year auction in May and sending the 30-year bond yield to its highest level since October 2023. Higher bond yields can translate into higher borrowing costs for consumers, businesses and governments. Citadel, a market-making behemoth that was founded by hedge fund billionaire Ken Griffin, plans to double down on cryptocurrency trading this year under a new regulatory framework. "This year you'll see us getting more active providing liquidity on specific crypto exchanges. So that's a part of our strategic plan. I think we'll execute on that in this calendar year, like everybody else," said Esposito. "We're excited by the prospects of the SEC (U.S. Securities and Exchange Commission) coming out with the rule set. So crypto is definitely a space we're going to get bigger in, and we're excited about the prospects," he added. The market volatility this year has boosted the fortunes of large market makers like Citadel and Jane Street. During the first quarter of 2025, Citadel's net trading revenue surged 45% to $3.4 billion, while its profit jumped 70% - a record for the firm, according to people familiar with the matter. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
Citadel's Esposito says US deficit is a 'ticking time bomb'
By Anirban Sen NEW YORK (Reuters) -The U.S. government's growing debt pile is a "ticking time bomb" and how the Trump administration reacts to this crisis is going to be "super important", Citadel President Jim Esposito said on Thursday. Several other leaders of the financial services industry have issued similar warnings about the current U.S. deficit in recent weeks. Earlier in June, JPMorgan Chase CEO Jamie Dimon said the U.S. national debt is a "big deal" that could create a "tough time" for the bond market that causes spreads to widen. "The stock of debt and the budget deficit is a ticking time bomb. No one is smart enough to predict when exactly it will rear its ugly head. We've been talking about this for more than 20 years, so in some ways the market's gone into complacency, but over a multi-year period we can't work this out," Esposito said at the Piper Sandler Global Exchange & Trading Conference. Shifting U.S. economic policies have sent bond markets tumbling in recent weeks. In May, ratings agency Moody's downgraded the U.S. sovereign credit rating. Long-dated bonds have been under pressure due to deficit concerns, with investors delivering a tepid response to a 20-year auction in May and sending the 30-year bond yield to its highest level since October 2023. Higher bond yields can translate into higher borrowing costs for consumers, businesses and governments. Citadel, a market-making behemoth that was founded by hedge fund billionaire Ken Griffin, plans to double down on cryptocurrency trading this year under a new regulatory framework. "This year you'll see us getting more active providing liquidity on specific crypto exchanges. So that's a part of our strategic plan. I think we'll execute on that in this calendar year, like everybody else," said Esposito. "We're excited by the prospects of the SEC (U.S. Securities and Exchange Commission) coming out with the rule set. So crypto is definitely a space we're going to get bigger in, and we're excited about the prospects," he added. The market volatility this year has boosted the fortunes of large market makers like Citadel and Jane Street. During the first quarter of 2025, Citadel's net trading revenue surged 45% to $3.4 billion, while its profit jumped 70% - a record for the firm, according to people familiar with the matter.
Zawya
27-03-2025
- Business
- Zawya
KKR nears deal to buy Japanese medical gear maker Topcon, sources say
TOKYO - Private equity firm KKR is nearing a deal to acquire Japanese medical gear maker Topcon, according to people familiar with the matter, marking the latest sign of increased leveraged buyout activity in Japan. If the talks are successful, a deal could be signed in the coming days, the sources said, requesting anonymity as the discussions are confidential. The price being discussed has not been disclosed yet. Topcon has a market value of about 323.4 billion yen ($2.15 billion), and opened at 2,944.5 yen per share on Thursday, down 0.9% from Wednesday's closing price. KKR and Topcon declined to comment. The potential deal comes as Japan's corporate governance reforms, rising shareholder activism, and a weak yen have created a favourable environment for dealmaking, particularly for private equity firms. A growing number of Japanese firms under pressure from activist funds have recently chosen to go private, including chemicals company JSR and software firm Fuji Soft. Topcon has been exploring a sale with the help of its advisers, and several private equity firms have been bidding to take the company private. Founded in 1932, Tokyo-based Topcon also manufactures and sells eyecare, smart infrastructure and positioning products. Industrial conglomerate Toshiba previously owned 30% of Topcon, but sold its entire stake in 2015. Activist investors ValueAct Capital and Oasis Management Company are the largest shareholders of Topcon, holding stakes of 13.69% and 10.58%, respectively, according to data compiled by LSEG. In its most recent quarterly earnings, Topcon projected a group operating profit of 7 billion yen ($46.51 million) and sales of 211 billion yen for the year ending March 31. ($1 = 150.4900 yen) (Reporting by Makiko Yamazaki in Tokyo, Anirban Sen in New York and Kane Wu in Hong Kong; additional reporting by Anton Bridge in Tokyo; Editing by Sherry Jacob-Phillips)
Yahoo
23-03-2025
- Business
- Yahoo
Exclusive-Rapid7 nears settlement with activist Jana Partners, sources say
By Svea Herbst-Bayliss and Anirban Sen NEW YORK (Reuters) - Rapid7 is nearing a settlement with activist investor Jana Partners after the cybersecurity company and the hedge fund discussed ways to boost the share price by improving operations and exploring a sale, two people familiar with the matter told Reuters. Three newcomers would join the eight-member board under the terms being discussed, said the people, who were not permitted to discuss the private negotiations publicly. An agreement could be announced as early as Monday, but the situation remains fluid, the sources said. Jana Partners declined to comment. Representatives for Rapid7 did not respond to requests for comment. Boston-based Rapid7 specializes in so-called vulnerability management, providing software tools and services that help businesses assess and monitor security risks. The company has been forced to compete harder for business as corporate clients cut back on security spending due to broader macroeconomic uncertainty. The company's stock price has tumbled 41% in the last 52 weeks and is down 28% this year, shrinking its market value to roughly $1.8 billion. Jana owned 3.7 million shares or a 5.8% stake in the company, according to a regulatory filing in March, LSEG data show. Reuters reported in October that Rapid7 was exploring options with investment bankers after attracting acquisition interest from buyout firms, including Advent, Bain Capital and EQT. Industry data from Barclays show that 119 board seats were won by activist investors at companies in 2024 with 76% of them coming through settlements.
