Opening Bell: 11.05.09
Big Bonuses Are Back For Many On Wall Street (WSJ)
A survey by Johnson Associates "projects that the biggest increases in year-end cash bonuses and equity awards will go to employees in rebounding businesses such as fixed income and equities. Those incentive-based payouts likely will surge by as much as 60% from last year, the survey found. In contrast, declines of 15% to 30% are projected at hedge funds, private-equity firms and prime-brokerage operations."
Countrywide ex-CEO Mozilo must face SEC fraud case (Reuters)
Orange's request for a dismissal has been denied, despite this awesome endorsement by his lawyer: "Angelo Mozilo is an innocent man who helped millions of people find a home for more than 40 years," David Siegel said in a statement.
Goldman Benefits From Trading Bonanza (FT)
Goldman made more than $100m in profits on 36 of the 65 days in the three months to September and recorded more than $50m in profit on more than eight out of 10 trading days, a filing shows today.
ValueLine Pays $45 Million To Settle Fraud Case (NYT)
And chief executive Jean Buttner is out.
UBS Gets Fewest 'Buys' as Analysts Fret Over Fleeing Clients (Bloomberg)
Sad trombones in Switzerland: "Of course UBS has done a lot, but outflows at the private bank continue," said Patrick Lemmens, who helps manage about $14 billion at Robeco Group in Rotterdam, including UBS shares. "I don't think a restructuring story on its own is enough. UBS is going to be range-bound" until outflows reverse.
State Oversight Of Some Hedge Funds Raises Red Flags (WSJ)
Because it might undermine Congress. CT AG Richard Blumenthal: "This may surprise you to hear my strong preference is for uniform national standards administered by a federal agency rather than state registration or oversight. There is clearly a need for equal treatment of hedge funds residing in different states."