Latest news with #KBW
Reuters
21-05-2025
- Business
- Reuters
Close Brothers bolsters capital ratios before landmark motor finance judgment
LONDON, May 21 (Reuters) - Close Brothers' (CBRO.L), opens new tab total capital ratio rose by 80 basis points to 18% in the quarter to the end of April, as it bolstered its finances pending a ruling that may force the bank and others to pay out millions of pounds in redress to motor loan customers. Close and South Africa's FirstRand (FSRJ.J), opens new tab are seeking to overturn a Court of Appeal judgment which said brokers owe a fiduciary duty to customers and must have their fully informed consent to receive a commission from lenders. The ruling has sent shockwaves around the UK banking industry, with several banks facing the prospect of repaying affected customers compensation plus interest. Close said on Wednesday its common equity tier (CET1) capital ratio, which reflects a bank's ability to absorb losses without jeopardising solvency, was 14%. The applicable minimum CET1 and total capital ratio regulatory requirements were 9.7% and 13.7% respectively at April 30. Close also said it expected the CET1 figure to exceed its medium-term target range of 12% to 13% by the end of the financial year. Analysts at KBW said the improved capital position "removed the risk of a capital raise" to cover possible liabilities. KBW has set Close's 'worst case' liability estimate at 460 million pounds. Close shares, which have fallen 57% so far this year, were unchanged in early trading. "We are taking proactive steps to ensure that the group is well positioned to generate strong, sustainable returns once the motor finance commissions uncertainty has been resolved," CEO Mike Morgan said in a statement. "Alongside a stronger capital position, delivering on these priorities will create a more efficient and resilient business, one that delivers greater value for shareholders and continues to support customers, as we have through many cycles." Close and FirstRand have set aside 165 million pounds ($221.61 million) and 140 million pounds, respectively, to cover potential claims, while Lloyds Banking Group (LLOY.L), opens new tab has earmarked 1.15 billion pounds. Santander UK has set aside 290 million pounds and Barclays 95 million pounds. Close said it was on track to deliver annualised cost savings of around 25 million pounds by the end of the 2025 financial year and would update investors on further initiatives to increase savings. ($1 = 0.7445 pounds)
Associated Press
15-05-2025
- Business
- Associated Press
1st Source Makes KBW Bank Honor Roll for 7th Consecutive Year
Among 16 U.S. banks with the strongest/most consistent earnings growth South Bend, Indiana--(Newsfile Corp. - May 15, 2025) - 1st Source (NASDAQ: SRCE) is pleased to announce that it made the annual Bank Honor Roll by Keefe, Bruyette & Woods, Inc. (KBW) for the seventh consecutive year. They are among just 16 U.S. Banks on the list, placing its long-term performance among the top 5% of eligible banks in the United States. To be eligible, Banks must have more than $500 million in total assets and meet at least one of two criteria: consistent earnings growth over each of the past 10 years, and/or the top 5% of eligible banks based on a 10-year earnings per share (EPS) compounded annual growth rate (CAGR). 'To be named among just 16 elite banks in the United States for the seventh year in a row speaks volumes for 1st Source's mission,' said Andrea Short, President and CEO of 1st Source Bank and President of parent company, 1st Source Corporation. 'It is a welcome proof point that helping our clients achieve security, build wealth, and realize their dreams coincides with strong financial performance. When we help our clients and our communities, we help ourselves, our colleagues, and our shareholders.' KBW (Keefe, Bruyette & Woods, Inc., operating in the U.S., and Stifel Nicolaus Europe Limited, also trading as Keefe, Bruyette & Woods Europe, operating in Europe) is a Stifel company. Over the years, KBW has established itself as a leading independent authority in the banking, insurance, brokerage, asset management, mortgage banking and specialty finance sectors. 1st Source Corporation, parent company of 1st Source Bank, has assets of $9.0 billion and is the largest locally controlled financial institution headquartered in the northern Indiana-southwestern Michigan area. The Corporation includes 78 banking centers, 18 1st Source Bank Specialty Finance Group locations nationwide, nine Trust and Wealth Advisory Services locations, 10 1st Source Insurance offices, and three loan production offices. For more than 160 years, 1st Source has been committed to our mission of helping our clients achieve security, build wealth and realize their dreams. For more information, visit ### Contact: Hannah Nichols [email protected] 574-235-2128 SOURCE STRING: 1st Source Corporation To view the source version of this press release, please visit
Yahoo
13-05-2025
- Business
- Yahoo
Coinbase Shares Could See $16B of Buying Pressure From S&P 500 Index Inclusion: Bernstein
Crypto exchange Coinbase (COIN) is soaring 16% early Tuesday after the Monday evening announcement of its inclusion into the S&P 500. COIN will be added to the S&P 500 index after the close on Friday, replacing Discover Financial Services (DFS) which is being acquired by Capital One (COF). Wall Street brokerage Bernstein estimates the move could lead to roughly $16 billion of buying pressure for Coinbase — around $9 billion from passive funds linked to the S&P 500 and $7 billion from active allocations. Coinbase is the "first and only crypto company to join the S&P 500," analysts led by Gautam Chhugani wrote. Chhugani has an outperform rating on Coinbase shares with a $310 price target, or about another 30% upside from the current $240. Investment bank KBW estimates that S&P 500 passive funds will need to buy 36 million Coinbase shares for index inclusion, which is about 4 days of average buying volume. KBW further noted that as of April 30, 9.9 million Coinbase shares were held short, which is 1.4 days to cover. "Since 2017, financial 500 adds have outperformed by 5.2% on the day after announcement," KBW said, and Coinbase's addition could pave the way for other crypto firms to join the index.
Yahoo
05-05-2025
- Business
- Yahoo
Bitcoin Likely Still 'Rat Poison' at Berkshire Hathaway Even Without Warren Buffett
Warren Buffett, the billionaire investor who helped shape Berkshire Hathaway into a global investment powerhouse, is stepping down as CEO at year-end — but his distaste for bitcoin (BTC) will likely live on at the firm. Buffett, who will remain chairman of the board, has famously described bitcoin as 'rat poison squared' and a 'gambling token,' signaling a strong ideological opposition to digital assets. His legacy on this issue casts a long shadow over his successor, Greg Abel, who now takes the reins of day-to-day leadership. For investors hoping for a shift in Berkshire's crypto stance, the odds look slim. 'I would be very surprised if there's a meaningful change in Berkshire's attitude toward Bitcoin,' said Meyer Shields, managing director at KBW. 'On the merits, I think there's a vast difference between the Buffett/Munger attitude to technology stocks (which they admitted to not understanding) and their expressed opposition to cryptocurrency.' Currently chairman and CEO at Berkshire Hathaway Energy and vice-chairman of Berkshire's non-insurance operations, incoming CEO Abel is unlikely to make sudden moves that could signal a break from Buffett's and recently deceased Charlie Munger's longstanding views, added Shields. 'I expect Greg Abel to initially avoid doing anything that could look like a marked shift away from Buffett's and Munger's values, even if he actually disagrees.' During a meeting with shareholders, Buffet expressed flexibility to diversify into other currencies if the U.S. economy were to weaken more, saying that 'there could be […] things happen in the United States that [...] make us want to own a lot of other currencies.' However, given Buffet's continued critique of cryptocurrencies, it seems unlikely that would include bitcoin. Still, the succession was handled with characteristic flair. 'Another brilliant example of handling a major situation for Berkshire,' said Macrae Sykes, portfolio manager at GAMCO Investors. He praised Buffett's decision to keep the news under wraps until the shareholder meeting, allowing him to 'address questions and enjoy the engagement with shareholders without the succession overhang.' Sykes sees Buffett's continued presence on the board as a stabilizing force: 'Shareholders should welcome this transparent transition, but also have confidence that Warren isn't going anywhere.' Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards. For more information, see CoinDesk's full AI Policy.
Time of India
05-05-2025
- Business
- Time of India
Berkshire board confirms Greg Abel as CEO, Buffett to remain chairman
Berkshire Hathaway's board has unanimously appointed Greg Abel as the new CEO, effective January 1, succeeding Warren Buffett, who will remain chairman. This transition, surprising to both Abel and the board, follows Buffett's six-decade leadership. The announcement led to a dip in Berkshire's Class B shares, raising investor concerns about the future performance of its diverse holdings under new leadership. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Popular in Markets Berkshire Hathaway's board voted unanimously to name Greg Abel CEO starting January 1, while Warren Buffett will stay on as chairman, the company said on move officially initiates the transition that will see Buffett step aside after six decades at the helm of the conglomerate. Buffett surprised shareholders on Saturday, when he said he would step down as CEO at the end of the and most of Berkshire's board of directors were not aware of his plans prior to the announcement. Buffett had said the conglomerate's board would meet on Sunday to discuss the Buffett in the chair role could add a layer of stability and reassure investors as Abel takes over from an iconic figure whose reputation and legacy loom which owns railroads, insurance companies and an ice-cream maker, has been planning for decades for the eventuality when Buffett, 94, who has run the company since 1965, is no longer B shares of the company were down nearly 2% in premarket B shares of the conglomerate dipped to $530.01, putting them on course to wipe out billions of dollars in market value if losses hold through the session. They have jumped about 33% in the past year, outperforming the 12% gain in the S&P 500 .The surprise timing of the announcement, "notwithstanding likely successor Greg Abel's increasingly demonstrated competence, should pressure the shares on Monday", KBW analyst Meyer Shields wrote in a shareholders said it remains unclear how the holding company's 189 operating businesses, $264 billion of stocks and $348 billion of cash will fare after the man so intertwined with it leaves the exit from the company "will probably impact investors' view of Berkshire more than it will actual operations", Shields to Buffett's announcement, which Abel was unaware of, the vice chairman told attendees at the annual meeting he would be "more active, but hopefully in a very positive way", in overseeing Berkshire subsidiaries, though they would continue running "very autonomously".Leaders of most Berkshire businesses have reported to Abel since 2018, while its insurance units such as Geico, General Re and National Indemnity have reported to Vice Chairman Ajit Jain, which they will continue doing.
