Let’s ask a Lloyds Banking Group employee. Read more »
If you’re a junior mistmaker at the bank, consider passing it on to your MD that he/she might want to gird his/her loins. Read more »
When it comes to telling employees to take a long lunch and not come back. Read more »
There’s a thing called socially responsible investing where
(1) you invest other people’s money,
(3) but it’s okay because you’re doing it not to make them money but to save the whales, er, penguins, and they like penguins, so they keep paying your fees. This is a good racket as rackets go but it turns out that people mostly don’t like penguins as much as they like money so it is sort of a limited racket. The trick if you can manage it is to appeal to people who like penguins to give you other people’s money, because people typically like penguins more than they like other people having money. This can be great for you and also for penguins, and for the right value of “you” and “penguins” can be a diabolical way to achieve real social good, which is my favorite.
Two great recent stories in that vein. One is a proposal to use eminent domain to seize underwater mortgages and refloat them. The idea, schematically, is (1) seize property,* (2) sell it back to homeowner at fair value, and (3) lend money to the homeowner to pay for the house, which the municipality then uses to pay fair value to the mortgage lender whose collateral was seized in step (1). Any dope of a municipality could presumably get their act together to do (1) and (2), but the problem is (3) coming up with the money for new mortgages to pay fair value to the old mortgagee. You could see why oh I don’t know BANKS would not like this scheme – it will cost them in servicing rights and refinancing fees and second-lien writedowns** – and so the money has to come from non-banks. Some folks think they can find the money, for a small fee of course, and so are roadshowing the idea to municipalities. It seems to be popular in California, go figure.
Until recently, Stephanie Bon, pictured, was working as an HR assistant for Lloyds, making £7/hour. The Chief Executive officer of the bank, António Horta-Osório, makes £4,000/hour (or £13.5million annually). Is this pay disparity fair? Stephanie didn’t think so! Read more »
Let the people decide. Read more »
Perhaps rightfully so, British bankers have had it up to here [here] with their government. The anger stems from freaky ass rules officials would like to impose on financial services chippies (for instance, rules that would cap top execs’ cash bonuses at 20 percent of total total compensation and proposals to tax the shit out of them) and the general feeling that the government is too mean to bankers. So sick are they that enough is enough. Led by Barclays chief John Varley and British Bankers Association head Angela Knight, a “fresh effort” has been waged to say “we’re not going to take this anymore.” How serious is this thing? Serious enough to warrant a code name involving wizards. Read more »