Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Friday Papers: Martoma guilty of insider trading

Friday Papers: Martoma guilty of insider trading

Top stories

  • Financial Times: US authorities notched up one of their biggest victories against Wall Street corruption when a New York jury found Mathew Martoma, a former portfolio manager at SAC Capital, guilty on all counts in the largest insider trading case on record.
  • The Independent: Royal Bank of Scotland would be left more exposed than Iceland's banks at the height of their financial crisis if Scotland votes for self-rule, Vince Cable, told The Independent.
  • Financial Times: David Cameron will on Friday launch a personal campaign to save the UK, warning that the country would be “deeply diminished” if Scotland votes to secede in this year’s independence referendum.
  • Financial Times: Sony has admitted defeat in its battle to revive two of its most troublesome electronics businesses, unveiling plans to sell its PC unit, spin off its television arm and shed 5,000 jobs.
  • Financial Times: Volvo Group will cut a further 2,400 jobs as the Swedish truckmaker continues to struggle with weak profitability.
  • The Guardian: An $89 million compensation payment for people left with birth defects after their mothers took thalidomide has been approved; the money will be paid by the drug’s distributor, Diageo, with thalidomide’s manufacturer Grunenthal not included in the agreement.
  • The Daily Telegraph: Bombardier has won the £1 billion contract to build 65 trains for London’s Crossrail link, guaranteeing three more years work for its Derby plant and safeguarding hundreds of jobs.
  • Financial Times: News Corp has promised a “fundamental review” of Dow Jones’ institutional business following the recent departure of Lex Fenwick as chief executive of the division, as Rupert Murdoch’s publishing company seeks to improve its sales of financial news and information.
  • The Independent: Cleaners at the Royal Opera House have won a long-fought battle to get paid the London Living Wage in a move which will secure them a near 30% pay rise.

Business and economics

  • The Daily Telegraph: Charlie Shrem, the 24-year-old Bitcoin millionaire who was arrested on money laundering charges, has compared the founder of the controversial currency with Christopher Columbus and said it does not matter if people don’t understand it.
  • Financial Times: Full-year net income at General Motors fell to $3.77 billion on declining profits in South America and Asia and higher restructuring and tax bills; full-year earnings per share fell 18.4% to $2.38, while revenues grew 2% to $155 billion.
  • Financial Times: KKR declared its highest annual dividend of $1.40 per unit on soaring fourth-quarter earnings, as the New York-based private equity group continued to diversify away from its core buyout operations and expand its credit, property and other businesses.
  • The Guardian: Barclays will begin to hand out bonuses on Friday to its 140,000 staff around the world from a bonus pool expected to be bigger than last year's.
  • Financial Times: Barclays has appointed Daniel Ryan, a junior trader as interim head of its London spot foreign exchange desk, illustrating a thinning out of the ranks after a torrent of traders has departed or been suspended amid a global probe into alleged market manipulation.
  • The Guardian: The French development minister, Pascal Canfin, has called Niger's requests "legitimate" in the dispute between the country and the French industrial giant Areva.
  • Financial Times: Shares in LinkedIn, the social network for professionals, fell as much as 11% in after-hours trading after investors were disappointed by a subdued outlook for 2014.
  • The Independent: Jason Gissing, the co-founder and commercial director of Ocado, was £15 million richer on Thursday as it emerged he cashed in three million shares on the same day he announced his retirement from the online grocer.
  • Financial Times: Some of Microsoft’s major shareholders are expressing unease over this week’s management reshuffle, in which founder Bill Gates moved from chairman to a new role as technology adviser, although investors broadly welcomed the choice of Satya Nadella to become chief executive.
  • The Daily Telegraph: Shares in Imagination Technologies, the microchip designer, jumped as much as 20% on Thursday on a licensing agreement with Apple.
  • Financial Times: The fallout from Edward Snowden’s revelations about the National Security Agency has reached Hollywood after Oracle asked for its brand to be scrubbed from a new film about spies and espionage.
  • The Guardian: The New York Times grew its number of paying online readers by 19% last year, and slowed the rates of decline in its print and digital advertising businesses, the company said Thursday.
  • The Independent: Luxury brand Burberry has bolstered its board's media credentials with the appointment of British Sky Broadcasting chief executive Jeremy Darroch.
  • Financial Times: The “bail-in” bonds issued by banks to absorb losses in the case of financial difficulty are much riskier than first thought, Standard & Poor’s has warned, as it announced plans to cut its ratings on the instruments.
  • Financial Times: AstraZeneca and Sanofi trumpeted progress towards a slew of new drugs for conditions ranging from arthritis to cancer on Thursday, as two of Europe’s biggest pharmaceutical groups tried to persuade sceptical investors that their prospects were brightening.
  • Financial Times: Beazley kicked off the insurance sector’s results season on Thursday with plans for yet another one-off payout – its fourth in seven years; this brings Beazley’s total dividends for 2013 to £130 million.
  • Financial Times: Air France-KLM is still open to investing more in its struggling Italian partner Alitalia if restructuring conditions are met, despite the breakdown of talks last year and the emergence of a potential Middle Eastern investor.
  • Financial Times: Boeing’s troubled Dreamliner has been hit by more teething problems, after software “glitches” on an Air India jet late on Wednesday led to the mid-flight shutdown of all three on-board flight management computers.
  • Financial Times: Tata Group chairman Cyrus Mistry will take direct charge of struggling flagship company Tata Motors, thrusting the so-far reticent executive into his first major operational role at the sprawling business empire.

Share tips, comment and bids

  • Financial Times: Communicorp, the media group owned by Denis O’Brien, Ireland’s richest man, has entered the UK radio market with the acquisition of eight local stations from Global Radio.
  • The Daily Telegraph: A private equity group launched last year by retail giant Alliance Boots has made its first acquisition, buying a luxury aromatherapy company based in Middlesex.
  • The Guardian (Comment – Joseph Stiglitz): It is not the result of the inexorable laws of economics, to which we simply must adjust, or even a penance for past sins.
  • The Guardian (Comment): Europe has taken a risk in not responding aggressively to the shrinking of credit and its experiment is doomed to fail.
  • The Daily Telegraph (Comment): Split ECB is paralysed as deflation draws closer, tightening job vice in southern Europe.
  • The Daily Telegraph (Comment): The US likes its chief executives white, all-American, middle class and educated at Harvard or Yale.
  • Daily Mail (Comment – Alex Brummer): Bankers who escaped justice ... Why have no top financiers been tried and gone to jail?
  • Financial Times (Lex): Coca-Cola: Drink maker may regret not scaling all of Green Mountain.
  • Financial Times (Lex): Vodafone: results following the Verizon stake sale show grounds for optimism.
  • Financial Times (Lex): Nordic banks: mutuals and listed entities struggle to live together in one big family.
  • Financial Times (Lex): Sony: more such reboots and the group could recapture lost dynamism.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the FED

Winter market warmers, the post QE world and timing the FED

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Wealth Manager on Twitter