Skip to main content

CEO of Deutsche Bank's asset manager steps down after 'greenwashing' raid [CNN]
[Asoka] Woehrmann, told employees in a memo that it was a joy to see DWS flourish but that "allegations..., however unfounded or undefendable, have left a mark."
"To quote Charles Dickens: it was the best of times, it was the worst of times," he said in the memo

Forbes, SeatGeek terminate blank-check deals as SPAC boom fizzles out [Reuters via Yahoo!]
Chief Executive Officer Mike Federle on Wednesday said Forbes' digital transformation had delivered double-digit growth in revenue and core earnings over the past year, which "significantly outperformed the financial targets provided at the start of the SPAC transaction last year".
SeatGeek said it had terminated its $1.35 billion SPAC deal with RedBall Acquisition Corp due to "volatility in the public markets".

RedBird Agrees $1.3 Billion Deal for AC Milan Football Club [Bloomberg]
Elliott will retain a minority interest in the club and seats on its board. It’s invested as much as 800 million euros in AC Milan since taking ownership in 2018…. Founded by Gerald Cardinale, RedBird manages about $6 billion in assets and is a shareholder in Fenway Sports Group Holdings LLC, the owner of English Premier League football club Liverpool FC and the Boston Red Sox US baseball team. It also holds a stake in French football team Toulouse.

Greenlight Kept the Pedal to the Metal in May [II]
The value-oriented hedge fund manager’s Greenlight Capital posted a 4.8 percent gain in May and is now up 20.9 percent for the year, according to a person who has seen the results. The Dow Industrials and S&P 500 were essentially flat….

Meta, Formerly Known As Facebook, Is Changing Its Stock Symbol Too In Metaverse Rebrand [Deadline via Yahoo!]
Mark Zuckerberg’s Meta Platforms underscored its commitment to the Metaverse, announcing that its old familiar stock symbol FB – for Facebook, the company’s old name – will change to META on June 9.

The Crypto Bros Are Snapping Up Manhattan Real Estate [NYT]
It would seem contradictory that businesses known for decentralization and digital assets are even interested in real-world space…. But for the last couple of years, cryptocurrency firms have been setting up or expanding offices in New York, often in edgier, somewhat peripheral locations, as opposed to marquee parts of Midtown Manhattan….
Crypto and related companies are believed to occupy less than a million square feet of an estimated 4.4 billion square feet of office space in the United States. The numbers have grown quickly, though.

Related

mccormick

Opening Bell: 5.18.22

Jay Powell really hopes he can stop this recession; SPAC sponsors really hope they can find merger partners; David McCormick really hopes he didn’t quit Bridgewater for no reason; and more!

zuck

Opening Bell: 8.24.20

Stocks have never been more expensive, until later this morning; Zuck deflects attention; Czarna Krawędź; and more!

zuck

Opening Bell: 10.20.21

Goldman wants your cash; BofA doesn’t want to cut your unemployment check; Facebook doesn’t want to be Facebook anymore; and more!

Larry Kudlow Returns

Opening Bell: 7.27.20

COVID checks; SPACs splash out; Manhattan still deserted; the Maureen Dowd-Elon Musk interview no one needed or asked for; and more!

Opening Bell: 09.11.12

Before Scandal, Class Over Control Of Libor (WSJ) At an April 25, 2008, meeting with officials at the Bank of England, Angela Knight, head of the British Bankers' Association, argued that the London interbank offered rate had become too big for her organization to manage, according to minutes of the meeting and a person who was there. Her suggestion went nowhere. Even as Libor's deep flaws became apparent, regulators resisted a greater oversight role, the BBA's member banks clung to control of Libor, and BBA executives bickered with one another over whether to hang onto the lucrative business, according to people who were involved and a Wall Street Journal review of hundreds of pages of emails, meeting minutes and other documents. Treasury Sells Big Chunk Of AIG Stock (WSJ) The Treasury sold about 554 million shares to the public at $32.50 apiece for a total of $18 billion in one of the biggest global follow-on stock offerings since the financial crisis. The offering was the Treasury's fifth sale of AIG stock since early last year and reduced the government's stake in the company to about 22% from 92% in early 2011. The price set Monday was above the government's cost basis of $28.73 a share, meaning taxpayers will earn a profit on the sale. New iPhone could boost U.S. GDP by up to 0.5 percent, JP Morgan says (Reuters) "Calculated using the so-called retail control method, sales of iPhone 5 could boost annualized GDP growth by $3.2 billion, or $12.8 billion at an annual rate," Feroli wrote. That 0.33 percentage-point boost, he added, "would limit the downside risk to our Q4 GDP growth protection, which remains 2.0 percent." Feroli laid out his math. J.P. Morgan's analysts expect Apple to sell around 8 million iPhone 5s in the fourth quarter. They expect the sales price to be about $600. With about $200 in discounted import component costs, the government can factor in $400 per phone into its measure of gross domestic product for the fourth quarter. Feroli said the estimate of between a quarter to a half point of annualized GDP "seems fairly large, and for that reason should be treated skeptically." But, he added, "we think the recent evidence is consistent with this projection." Geithner Holds His Own on Triathlon Front (Dealbook) Geithner participated in the 7th annual Nation’s Triathlon to Benefit the Leukemia & Lymphoma Society on Sunday, swimming, biking and running his way through the nation’s capital. The race involved a 1.5-kilometer swim in the Potomac River, a 40-kilometer bike ride through the city and a 10-kilometer run. And Mr. Geithner, 51, can boast of a pretty good finish to his race, completing the course in 2:33:07. He placed ninth in his division, men aged 50 to 54, according to the race’s Web site. Individually, he completed the swim in 29:10, the bike ride in 1:13:52 and the run in 45:51. New Yorker Cartoon Dept Temporarily Banned From Facebook For Violating ‘Nudity And Sex’ Standards (Mediaite) In a post entitled “Nipplegate,” the New Yorker‘s cartoon editor, Robert Mankoff, detailed how the magazine’s cartoon department became temporarily banned on Facebook: a particular Mick Stevens cartoon violated the social networking site’s community standards on “Nudity and Sex.” Stevens redrew the cartoon, he said, “but the gain in clothes caused too great a loss in humor.” He then noted that Facebook has different standards when it comes to males and females. As “the guidelines say, ‘male nipples are ok.’ It’s the ‘female nipple bulges’ that are the problem.” Big Banks Hide Risk Transforming Collateral for Traders (Bloomberg) JPMorgan and Bank of America are helping clients find an extra $2.6 trillion to back derivatives trades amid signs that a shortage of quality collateral will erode efforts to safeguard the financial system. Starting next year, new rules designed to prevent another meltdown will force traders to post U.S. Treasury bonds or other top-rated holdings to guarantee more of their bets. The change takes effect as the $10.8 trillion market for Treasuries is already stretched thin by banks rebuilding balance sheets and investors seeking safety, leaving fewer bonds available to backstop the $648 trillion derivatives market. The solution: At least seven banks plan to let customers swap lower-rated securities that don’t meet standards in return for a loan of Treasuries or similar holdings that do qualify, a process dubbed “collateral transformation.” That’s raising concerns among investors, bank executives and academics that measures intended to avert risk are hiding it instead. Soros: Germany going into depression in 6 months (MarketWatch) The recession in Europe will spread to Germany, the euro-zone's largest economy, within six months, said George Soros, chairman of Soros Fund Management. "The policy of fiscal retrenchment in the midst of rising unemployment is pro-cyclical and pushing Europe into a deeper and longer depression," Soros said in prepared remarks for a speech in Berlin Monday. "That is no longer a forecast; it is an observation. The German public doesn't yet feel it and doesn't quite believe it. But it is all too real in the periphery and it will reach Germany in the next six months or so." Lindsay Lohan encourages President Obama to slash taxes for 'Forbes millionaires' (DM) In a tweet fired off on Friday, the 26-year-old actress encouraged President Barack Obama to consider lowering taxes for the one-percenters listed on the Forbes Magazine’ millionaires’ list. Lohan, who has been very active on Twitter recently, was responding to a message posted by the Obama campaign following his Thursday speech at the Democratic National Convention. ‘I’ve cut taxes for those who need it: middle-class families, small businesses,’ the tweet read. About 10 minutes later, the star of the upcoming Elizabeth Taylor biopic ‘Liz and Dick’ put in her two cents on the issue of tax cuts: ‘We also need to cut them for those that are listed on Forbes as "millionaires" if they are not, you must consider that as well,’ her late-night message read. Gross Says Age of Credit Expansion Led Fund Returns Over (Bloomberg) Gross’s outlook follows his commentary last month, which sparked debate among investors and analysts after he declared that the “cult of equity” was dying. In his August comments, he compared long-term returns from equities to a “Ponzi scheme” and said returns of 6.6 percent above inflation, known as the Siegel Constant, won’t be seen again. “Our credit-based financial system is burdened by excessive fat and interest rates that are too low,” Gross wrote. “Central banks are agog in disbelief that the endless stream of” liquidity pumped into the banking sector has not stimulated lending, Gross wrote. Queen's Corgi Buried At Balmor (TDB) The dog, Monty was involved in a fight recently when he was one of a number of dogs which attacked Princess Beatrice's terrier Max over the summer, but it appears the fight - Max came off worst and nearly lost an ear in the fracas - was not a contributory cause of death. Buckingham Palace is not officially revealing how or when the corgi, named Monty (after the American horse whisperer Monty Roberts who has advised the queen on dogs and horses) met his end, but palace sources told the Royalist the animal passed away of old age over the summer. The animal died at the Royal Scottish residence of Balmoral, where, in accordance with tradition, he has been buried in the Royal pet cemetery opened by Queen Victoria when her beloved Collie, Noble, died there in 1887...the Queen is known to take the deaths of her pets hard: Lady Pamela Hicks, the mother of India Hicks once wrote a note when one of the Queen’s corgis died and received a six-page letter back.

kimjongun

Opening Bell: 2.18.21

Barclays basks; Kim Jong-un coins; SPAC rap; and more!

djemog

Opening Bell: 12.21.20

Skimpy stimulus; Tesla’s triumph; SoftBank’s SPAC; forecasting foibles; and more!

grab

Opening Bell: 5.14.21

It’s never good to attract the attention of something called the “Serious Fraud Office;” SPAC gags on Grab; banks are literally giving money away; and more!