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Danske Estonia handled $30B; SocGen's €1.1B penalty; London bank chief arrested


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Danske Estonia handled $30B; SocGen's €1.1B penalty; London bank chief arrested

* European Banking Authority Chairman Andrea Enria confirmed his candidacy to become the next head of the ECB's banking regulator, the Single Supervisory Mechanism, Reuters reported, citing a statement from Enria's office. Current SSM chief Danièle Nouy's mandate will expire at the end of 2018.


* The head of an unnamed foreign bank's unit in London was arrested after a bribery probe conducted by the U.K.'s National Crime Agency, Bloomberg News reported, citing the regulator's deputy director, Nigel Kirby.

* Mark Carney is still expected to step down as Bank of England governor in 2019, the British government said, following reports that the Treasury is in talks about potentially extending his stay at the central bank.

* Lloyds Banking Group PLC is understood to be the first commercial bank to issue securities linked to the Sterling Overnight Index Average, or SONIA, benchmark, potentially this week, marking an important step in the industry's attempts to shift away from scandal-hit Libor, Bloomberg News reported.

* Lloyds is also planning to restructure its commercial banking division and cut some senior management positions as it looks to reduce expenses, insiders told Bloomberg News.

* U.K.-based Smithson Investment Trust plc disclosed its intention to launch an IPO to raise up to £250 million, through a placing, a subscription offer and an intermediaries offer of ordinary shares.

* Dallas-based wholesale broker U.S. Risk Insurance Group LLC, through subsidiary Trireme Insurance Group Ltd., is acquiring Lloyd's intermediary MGB Insurance Brokers Ltd. for an undisclosed sum, The Insurance Insider reported.

* TSB Banking Group PLC's customers yesterday experienced yet another IT issue related to the lender's internet banking, mobile app channels and telephone self services, Reuters reported. Many customers were locked out of their accounts during a botched IT upgrade earlier this year.


* Switzerland's SIX Group AG agreed to increase its stake in Frankfurt-based SECB Swiss Euro Clearing Bank GmbH to 100% from 25% for an undisclosed sum, subject to supervisory approvals. The deal is expected to complete in the fourth quarter.

* German financial regulator BaFin granted Daiwa Securities Group Inc.'s Frankfurt unit, Daiwa Capital Markets Deutschland GmbH, a securities trading license.

* Swedish online payment service provider Trustly Group AB has opened a branch in Cologne to expand across German-speaking markets in Europe, Handelsblatt reported.

* Bermuda-domiciled Athora Holding Ltd wants to tap the growing business of winding-up of life insurance portfolios in Germany, and is looking to buy life insurance companies or their respective inventories, Börsen-Zeitung cited the CEO of the firm's German unit Athora Lebensversicherung AG as saying.

* Zurich-based Migros Bank AG acquired a majority stake in CSL Immobilien AG to expand its property financing and investment services.

* Candriam Switzerland LLC, the Swiss unit of Luxembourg-based investment firm Candriam Investors Group, is expanding to Zurich from Geneva and wants to double its AUM in the coming three to five years through organic growth and acquisitions of selected fund boutiques or asset management units of other investment companies, Finews reported.


* Société Générale SA said it expects to pay roughly €1.1 billion to U.S. authorities over transactions processed by the French bank involving countries that are subject of U.S. economic sanctions. The lender noted it has entered into more active discussions with the authorities and anticipates a conclusion to the matter within the coming weeks.

* ING Groep NV finalized a settlement agreement with the Dutch Public Prosecution Service over previous probes on requirements for client onboarding and prevention of money laundering. As part of the settlement, the Dutch bank agreed to pay a fine of €675 million and €100 million for disgorgement.

* Sompo International Holdings Ltd., the Bermuda-based subsidiary of Japanese insurer Sompo, launched a Luxembourg-headquartered commercial P&C subsidiary, SI Insurance (Europe) SA, which will also have branches in Belgium, France, Germany, Italy, Spain and the U.K.

* U.K insurer RSA Insurance Group PLC launched a new office in Luxembourg, as part of its Brexit preparations, to be led by Richard Turner, who previously oversaw the company's EU business from the U.K.

* French insurance broker Verlingue Courtier d'assurances SAS has bought U.K. competitor ICB Group for an undisclosed amount, Les Echos reported. Verlingue is also on the lookout for acquisitions in the French market.

* The French government does not intend to impose by law a cap on banking fees for overdraft clients, according to Les Echos and l'Agefi.


* The Spanish government has given up on plans to introduce a tax on the banking sector and is now looking at taxing financial transactions, according to local newspaper Expansión.

* Banco Bilbao Vizcaya Argentaria SA has begun selling fresh gourmet food products online including meat and fish, more than a decade after it started selling electronic goods, reported Expansión. CaixaBank SA and Banco Santander SA have also diversified into selling electronic goods in recent years, but BBVA is the first Spanish bank to sell fresh food products.

* The leader of Portugal's largest banking sector trade union, SNQTB, condemned a proposal by state-run Caixa Geral de Depósitos SA to strip staff of current privileges by overhauling employment terms, but rejected immediate strike action, Público reported. The bank has said it wants to bring employment terms in line with private sector rivals, but the union head said the proposal was "clumsy" and "inopportune."


* Danske Bank A/S' Estonian branch handled as much as $30 billion of Russian and ex-Soviet money in 2013, at the peak of the money laundering scandal that has engulfed the Danish lender, the Financial Times reported, citing a draft report commissioned by the bank. Danske Bank said it is in the process of finalizing an internal probe into the matter, Bloomberg News wrote.

* The Norwegian Government Pension Global Fund, known as the oil fund, is no longer a large owner in Sydbank A/S, Finanswatch reported. The fund has sold shares, and now owns less than 5 % of the bank.


* Russian lender VTB Bank (PJSC) sold its New York-based unit VTB Capital Inc. to the subsidiary's management, citing the geopolitical situation as one of the drivers for the move.

* A Moscow court canceled the 2017 purchase of bonds by PAO Promsvyazbank from Cyprus-based Fintailor Investments Ltd, linked to Promsvyazbank's former owners, and asked the Cypriot company to pay 7.4 billion Russian rubles to the bank, Vedomosti reported. The annulled transaction was carried out shortly before Promsvyazbank was taken over by the Russian central bank in December 2017.

* Polish asset manager Esaliens TFI withdrew from the planned merger with ALTUS Towarzystwo Funduszy Inwestycyjnych SA, saying that its shareholders did not want to approve the deal, news agency PAP reported. The announcement follows reports on the arrest of two Altus executives over the 2017 sale of Altus' debt collection unit to GetBack SA.

* Meanwhile, following the arrest of the Altus executives, Norges Bank Investment Management terminated agreements regarding the management of two investment portfolios worth over $850 million by Altus and its unit Rockbridge TFI, news agency PAP also said.

* Swiss Life Holding AG agreed to acquire Czech financial adviser Fincentrum a.s., E15 reported, citing news agency CTK.

* Turkey's central bank said it will adjust its monetary stance at its September meeting as recent inflation data showed "significant risks to price stability."


Asia-Pacific: Shinhan Financial nears ING Life stake buy; Australia's FinClear eyes 2019 IPO

Middle East & Africa: 3 UAE lenders in merger talks; Tel Aviv bourse plans IPO by 2018-end

Latin America: S&P places Argentina on CreditWatch negative; Chile revises cybersecurity rules


Funding Circle IPO a sign of the times for P2P lending: Funding Circle's planned £300 million IPO is symbolic of a burgeoning peer-to-peer lending market and will allow the firm to tap opportunities in both existing and new markets.

Piraeus Bank prepares to sell €800M in toxic shipping, business loan portfolios: The bank is preparing to put two new debt portfolios worth a combined €800 million on the market as part of its ongoing push to rid itself of toxic loans.

Ben Meggeson, Arno Maierbrugger, Danielle Rossingh, Esben Svendsen, Beata Fojcik, Heather O'Brian, Stephanie Salti, Sophie Davies and Helen Popper contributed to this report.

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