Wealth Manager - the site for professional investment managers

Register free for our breaking news email alerts with analysis and cutting edge commentary from our award winning team. Registration only takes a minute.

Monday Papers: Slowdown puts 1 billion middle class at risk

Monday Papers: Slowdown puts 1 billion middle class at risk

Top stories

  • Financial Times: Almost a billion people in the developing world are at risk of slipping out of the ranks of a nascent middle class raising questions about the durability of the past 30 years’ remarkable march out of poverty.
  • Financial Times: Insiders at some of the hottest private and publicly traded internet companies unloaded substantial personal stakes ahead of the slump in tech stocks that started at the beginning of March.
  • Financial Times: Glencore Xstrata is selling its Las Bambas copper mine project to a Chinese consortium for at least $5.85 billion, underscoring China’s continued demand for commodities to feed industrial growth and bolstering the balance sheet of the resources group led by Ivan Glasenberg.
  • The Guardian: House of Fraser has confirmed that the remaining 89% of the company has been sold to a Chinese conglomerate in a £480 million deal while the department store chain will this week accelerate its legal efforts to reverse the purchase of an 11% stake by billionaire retailer Mike Ashley.
  • The Daily Telegraph: Intergovernmental Panel on Climate Change has said massive shift to green energy sources is crucial but that shale gas can help if it replaces dirtier coal.
  • Financial Times: An emergency session of the UN security council was due to meet last night after Russia denounced Kiev’s decision to crack down on unrest in eastern Ukraine cities as a “criminal order”.

Business and economics

  • Financial Times: Investors are planning to register a protest vote against UK banks including Barclays for boosting the fixed salaries of their top executives in response to the EU’s new bonus cap.
  • Financial Times: Executives from some of the UK’s biggest outsourcing groups have said government attempts to bring in private sector experts to help run the £14 billion weapons procurement programme are a “mess” that risk costing the taxpayer more than they save.
  • Financial Times: Britain’s surge in self-employment is being driven by people working for themselves, rather than starting job-creating businesses, according to research that will spark fresh debate about the country’s entrepreneurial drive.
  • Financial Times: Walgreens has come under pressure from an influential group of its shareholders, who want the US pharmacy chain to consider relocating to Europe, in what would be one of the largest tax inversions ever attempted.
  • Financial Times: George Osborne’s plan to give the taxman new powers to clamp down on £10 billion of tax evasion and avoidance is to face scrutiny from a powerful committee of MPs, amid fears the move could hit civil liberties.
  • Financial Times: The UK annuity business could decline by as much as 75% because of pension changes announ­ced in the Budget, according to a PwC survey.
  • Financial Times: Pressure is mounting on Brazil’s ruling coalition to answer corruption allegations against Petrobras, the country’s largest company, after federal police seized documents from the state-controlled oil operator.
  • Financial Times: A string of large European lenders and US banks with operations in London will pay “allowances” this year to anyone being caught by the European Union bonus cap, a rule that came into force in January limiting variable pay to the amount received in fixed pay, or twice that level with shareholder approval.
  • Financial Times: Lookout, the San Francisco-based mobile security company, is embarking on a global expansion as it plans to take on large cyber security incumbents in the battle to secure the smartphone.
  • Financial Times: Drugmakers are stepping up the race for multibillion-dollar hepatitis C treatments after trial data showed how the disease had become one of the most promising areas of drug development.
  • Financial Times: UBS will start paying out half of its profits to shareholders this year, its chief executive has said, and the Swiss bank looks set to become one of the highest dividend payers in a sector still grappling with the aftermath of the financial crisis.
  • Financial Times: Facebook is readying itself to provide financial services in the form of remittances and electronic money; the The social network is only weeks away from obtaining regulatory approval in Ireland for a service that would allow its users to store money on Facebook and use it to pay and exchange money with others.
  • Financial Times: Citigroup has made deeper cuts at its investment bank, cutting around 200 to 300 staff in its global sales and trading businesses in the last few weeks.
  • Financial Times: The Co-operative Group will highlight the urgency of sweeping governance reforms this week as it reveals the extent of its financial woes with a record £2 billion-£2.5 billion pre-tax loss.
  • Financial Times: Wayward UK bankers risk increasingly large fines as the amount of individual penalties levied by the country’s financial watchdog has increased 76% over the past two years.
  • Financial Times: A European Central Bank policy maker has offered hints on how the eurozone’s monetary guardians would embark on an asset-buying, or quantitative easing, programme to stave off low inflation.
  • Financial Times: Brazil’s market regulators have accused Eike Batista of insider trading, claiming the tycoon hid problems at his now-bankrupt oil company from investors for 10 months and used Twitter to manipulate the company’s share price.
  • Financial Times: Britons would prefer to live near a wind farm over a “fracking” site by a majority of three to one, according to an opinion poll.
  • Financial Times: Starting salaries in the City are rising as London’s financial services sector sees “early signs” of skills shortages despite sluggish jobs growth.
  • The Guardian: Sellers are attempting to cash in on a buoyant housing market by raising average asking prices in some London boroughs by more than 7% in a month.
  • The Guardian: Britain's economy will enjoy "decent but unspectacular growth" with wages rising in real terms for the first time in six years and low inflation allowing the Bank of England to avoid raising interest rates before next year's general election.
  • The Guardian: Freezing fuel duty benefits the economy enough to offset almost all the immediate loss of tax income, according to a report by the Treasury.
  • The Independent: Two committees of influential MPs are in a race over which of them can first publish reports rebuking the Government and its advisers over the £3.3 billion privatisation of Royal Mail.
  • The Independent: Barclays has launched an investigation after a whistleblower warned of serious errors in the way taxation of interest paid to those handed payment protection insurance compensation is being calculated by the bank.
  • The Daily Telegraph: Subway 'exploring' Formula One sponsorship to boost its profile in Europe where it is rapidly expanding.
  • The Daily Telegraph: Edrington, Scotch whisky manufacturer behind brands such as Highland Park and the Famous Grouse, is taking control of its own marketing and distribution in the US.
  • The Daily Telegraph: Britain's second biggest pubs group, Punch Taverns. is believed to be inching its way towards a deal on its £2.3 billion debt pile.
  • Daily Express: Administrators of Albemarle & Bond are poised to complete a deal to rescue the pawnbroker and save some of its 183 branches and 900 jobs.

Share tips, comment and bids

  • Financial Times: Etihad is closing in on a deal to acquire up to a 49% holding in Alitalia; the UAE based airliner has stakes in Air Berlin, Air Seychelles, Aer Lingus, Virgin Australia, India’s Jet Airways and Air Serbia.
  • Daily Express: Bagir Group, an Israeli tailoring outfit responsible for a sixth of all suits worn by British men, will join AIM tomorrow, raising £21 million to give it a market valuation of £28 million.
  • Financial Times (Lex): Fund managers: a faster pace of diversification at Jupiter is needed.
  • Financial Times (Lex): Japan nuclear energy: country’s energy crisis requires a high-voltage response.
  • Financial Times (Lex): US bank regulation: more measures mean enormous changes in how lenders do business.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
1 Comment Play CEO Tapes: Buxton to Gilbert - ‘my Glencore quandary’

CEO Tapes: Buxton to Gilbert - ‘my Glencore quandary’

Do not miss the first two minutes of this film as Richard Buxton shares how he has been challenged by a client for owning shares in a certain company.

Play CEO Tapes: the huge opportunities for asset managers

CEO Tapes: the huge opportunities for asset managers

From tech disruption, retirement and poaching, the CEO discuss the opportunities for their businesses in this episode.

Play CEO Tapes: 'we're just a bunch of white dudes sitting here'

CEO Tapes: 'we're just a bunch of white dudes sitting here'

In our brand new series, eight CEOs discuss how the industry could do a better job for female fund managers.

Read More
Your Business: Cover Star Club

Profile: how career burnout led to a family office launch

Profile: how career burnout led to a family office launch

I was burnt-out from a career in finance and had no desire to come back, says the founder of Blu Family Office

Wealth Manager on Twitter