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Monday 21 May 2012

UK Financial News on 2012-05-21

Fund chiefs: bank rules will cause economic winter
Europe's most senior asset managers fear new regulations could wipe half a percentage point off global economic growth annually for decades.....

Pensions lifeboat to consider managing in-house
The Pension Protection Fund, the UK's safety net for pension funds whose parent companies collapse, has for the first time set out a plan to manage its own money.....

Rabobank moves up queue of banks shedding fund arms
Rabobank is preparing to start the auction of asset manager Robeco.....

Watchdogs thoroughly inadequately resourced
European supervisors are staffing up to cope with the burden of developing post-crisis regulations.....

Buyout firms to pay for PR push
Europe's largest private equity firms are pressing ahead with a campaign to boost their reputations after agreeing to fund the bulk of the project out of their own pockets.....

Norway SWF told to invest in land as climate change hedge
Consultant recommends Norway's Government Pension Fund Global to invest in agricultural land and forests.....

Analysts forecast dry spell for UK summer listings
Bankers and brokers are forecasting the closure of the initial public offering window for larger companies until the fourth quarter.....

Special opportunities rejig spells new era for Alchemy
UK turnaround-focused private equity firm reduces investment in distressed debt and equity.....

Level regulatory playing field remains a distant goal
Financial News's fourth annual survey highlights concerns over regulatory arbitrage.....

Facebook closes below float price
Shares in Facebook close 11% below Friday's initial flotation price, sparking debate that one of the world's biggest stock market listings may have been over-valued......

Bank of England's role examined
The Bank of England's supervisory court commissions three independent reviews into its performance during the financial crisis......

Eurozone crisis 'hits mortgages'
Mortgages - along with other loans - could become more scarce and more expensive if the eurozone crisis persists, a lenders' group says......

Higher fares help Ryanair profits
Ryanair reports record annual profits as fare rises help to offset a sharp rise in fuel costs, but it warns profits could fall this year......

Google must answer trust concerns
The European Commission tells Google it has a "matter of weeks" to allay fears it is abusing its position as the world's dominant search engine......

JPMorgan suspends share buy-back
JPMorgan Chase suspends its share buy-back programme to meet stricter bank capital rules, which follows on from a recent $2bn (1.2bn) trading blunder......

Single 30% income tax rate urged
A single 30% rate of income tax is needed in order to boost growth in the UK, according to a report by a campaign group and business leaders......

'More fail to save for pension'
A growing number of people are failing to save anything for their retirement - leaving them in a "precarious" position, a pensions provider says......

Barclays to sell Blackrock stake
Barclays says it will sell its stake in US asset management firm Blackrock, which has a value of $6.1bn (3.8bn)......

Germany restates eurobond unease
Germany restates its opposition to so-called eurobonds as the new French finance minister prepares to meet his German counterpart for the first time......

Don't scare workers, urges Cable
The business secretary condemns proposals to make it easier for firms to sack under-performing staff as "the wrong approach" to boosting the economy......

Yahoo agrees $7.1bn Alibaba deal
US internet company Yahoo says it has reached a deal to sell part of its stake in China's biggest internet company Alibaba Group......

Soft drinks maker defies downturn
The maker of Irn Bru and other soft drinks increases sales this year, despite bad weather and a fall in consumer spending......

Farming profits 'up 25% in 2011'
The UK's farming sector saw its overall profit rise by 25% last year, according to the National Farmers Union......

HSBC machines hit by IT failure
UK customers of HSBC report problems using cash machines, making card payments and online transactions, but the bank says the problem is fixed......

UK childcare 'needs an overhaul'
Childcare in the UK needs to be overhauled to make it more affordable, a report by MP Elizabeth Truss, for the CentreForum think tank, suggests......

China clears Google Motorola bid
Chinese regulators approve Google's $12.5bn purchase of US phone maker Motorola Mobility, the final hurdle for the deal to go through......

Waterstones to sell Amazon Kindle
UK bookseller Waterstones plans to sell Amazon's Kindle e-book reader and other Kindle digital services......

Olympic torches for sale online
Dozens of Olympic torches are appearing for sale online as torchbearers prepare to part with their running memento......

Thai growth rebounds after floods
Thailand's economy rebounds sharply as factories boost production recovering quickly from last year's floods......

Obama: EU 'must focus on growth'
US President Obama wraps up a G8 summit saying that leaders agree economies must focus on jobs and growth to boost recovery......

Greens' concern for energy bill
Environmentalists fear the UK government's draft energy bill to be published on Tuesday will end in a new "dash for gas"......

Qantas cuts 500 maintenance jobs
Qantas says it will cut 500 jobs as it relocates its heavy maintenance and engineering work out of Melbourne......

China's Wanda to buy AMC cinema
Chinese conglomerate Wanda Group agrees to buy US cinema chain AMC Entertainment for $2.6bn, making it the biggest movie theatre owner globally......

VIDEO: PM: Greek elections a vote on euro
David Cameron has told the Greek people that they should decide once and for all, whether they want to stay in the Eurozone......

AUDIO: Drop in people saving for pensions
BBC Radio 5 live's Mickey Clarke asked a pensions expert why people are saving less for the future......

VIDEO: Red tape 'frightens' small firm bosses
Business bosses have been "calling for a simplification" of rules to hire and fire staff, the director general of the Institute of Directors said of the leaked Beecroft Report......

AUDIO: CAB to work with loan provider Wonga
The Citizens Advice Bureau in Kent has teamed up with loan provider Wonga to find out about people's levels of debt......

VIDEO: Will Greece return to the drachma?
"Capital flight" could seal the fate of the euro in Greece before the country's elections next month......

AUDIO: Would a smaller state boost growth?
Can a smaller state boost growth? Allister Heath, editor of business newspaper City AM, and Nick Pearce, director of the think tank the Institute for Public Policy Research, debate the issue......

VIDEO: Apple and Samsung patent row talks
Samsung and Apple will hold negotiations in the US on Monday, aimed at resolving a lengthy dispute over patents, a row which led to more than 50 lawsuits in 10 countries......

VIDEO: Ryanair reports record profits
The demand for low-cost airline fares across Europe is extraordinary, says Ryanair boss Michael O'Leary as the airline posts record profits......

What if Greece quits the euro?
What could happen if Greece quits the euro?.....

Jubilee: Your rights to a day off
Your rights to a day off to mark the Diamond Jubilee.....

Smaller engines drive petrol revival
Smaller engines drive petrol revival.....

US firms put principles before profits
The US firms putting social values before chasing the highest profits.....

Bleak times for Calcutta business
Political change in Calcutta isn't working for either.....

U.S. Day Ahead: Facebook faces tough time making new friends
PeHub Editor Jonathan Marino......

Investors dislike Facebook on day 2
May 21 - Shares of Facebook continued below their initial public offering price of $38 as questions arise after a muddled debut last week. Conway G. Gittens reports......

Trading at Noon: Following Facebook's Rise and Fall
May 21 - Shares of Facebook are plunging on their second day of trading, impacting other social media stocks as well......

Breakingviews: Putting Facebooks flop under the microscope
May 21 - Antony Currie and Breakingviews columnists dissect what went wrong with the social networks IPO......

Europe Day Ahead: Panic lifts; fear remains
May 21 - Europe's equity markets stabilise after the carnage of the previous week. Now attention turns to what solutions Europe's polticians might devise to ease the euro zone crisis when they meet this week......

Greece, Spain concerns rattle markets
May 21 - European shares briefly hit five-month lows on Monday morning. Although they rebounded slightly, investors remain concerned about the ability of Greece and Spain to deal with their debt problems. Joanna Partridge reports.....

Euro crisis watch: Eurozone bonds back on the table
May 21 - An informal summit this week is likely to see a further push for mutualised European debt, even as Germany remains cool on the idea......

3XSQ: Facebook may drop below IPO Price
May 21 - Lead underwriter Morgan Stanley stepped in to help stock stay above $38 on Friday, but selling pressure may hit the social network......

Wealth Strategies: Small cap tech, healthcare opportunities
May 21 - Wells Fargo's Ann Miletti says to look for companies trading at least 20% below their "private market value" and likes chipmaker ON Semiconductor and healthcare co. CareFusion......

Market Pulse: Risk assets up ... and dawn of the "Guero"?
May 21 -Stocks, oil and copper take some heart from political leaders' comments on growth and Greece. But the rally is fragile. And Deutsche Bank gives us...the "geuro"......

3 ways JPMorgan can learn from HSBC
Breakingviews......

Asian markets regain some ground
Asian stocks in partial rebound after sharp weekly loss, eye European compromise on austerity and growth......

Alibaba and the forty percent stake
May 21 - Alibaba's Jack Ma cuts a deal to buy back up to half of Yahoo's stake in the Chinese e-commerce site for $7.1 billion dollars, with an Alibaba group IPO on the horizon......

New wine glasses to balance "water and fire"
Luxury crystal glassmaker Baccarat begins sales of new wine glasses in Hong Kong, where wine demand remains strong despite global economic uncertainty......

Reuters On the Road: Meet the Queen of the City
Vanessa Vallely, the Pearly Queen of the City of London, tells Insider why her reign is an important one for the financial square mile......

Reuters Today: Signs of thaw from G8, Greek leftist Tsipras
May 21 - Greek leftist leader and potential PM Alexis Tsipras tours European capitals with a simple message: Let's talk. G8 says growth is "imperative", so could there be light at the end of the tunnel?.....

ECONOMY 2012: Ryanair warns Europe slowdown to cut profits
May 21 - Europe's largest low-cost airline reports strong profits growth in 2011, but warns of tough times ahead......

Data Freak: China's property stocks may shine amid slowdown
May 21 - China may loosen its grip on the key real estate industry to avoid a potential hard-landing......

U.S. Morning Call: Facebook faces second day on Nasdaq
May 21 - A look at Morgan Stanley's support for Facebook IPO, as it prepares for a second day of trading......

IIF: Spain's bank losses could hit 260bn
Spanish bank loan losses could hit 260bn (210bn), with the industry likely to need some 60bn euros in outside help to stay afloat, the International Institute of Finance said Monday.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

BP faces $500m hole in earnings after TNK-BP postpones dividend
BP could face a $500m (315m) hole in its earnings this quarter after its Russian joint venture TNK-BP postponed its dividend "indefinitely".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f90c6ed/mf.gif' border=.....

European Commission sets out 'concerns' over Google
Google can avoid the risk of fines over claims it abused its dominant market position if it offers "remedies" to the European Commission's concerns in coming weeks.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/.....

Energy reforms will increase household bills, minister Charles Hendry admits
Household energy bills will rise as a result of an overhaul of the sector to be unveiled on Tuesday, ministers admitted, amid industry warnings the reforms would add unnecessary costs.<img width='1' height='1' src='http://telegraph.feedsportal.com.....

Britain is impotent in eurozone crisis - just get used to it
According to Godwin's law, any online discussion if persisted with for long enough will eventually end up with someone making a comparison with Hitler and the Nazis - a process sometimes known as "reductio ad Hitlerum".<img width='1' height='1' sr.....

Facebook tumbles below issue price as investors scramble to sell shares
More than $10bn (6.3bn) was wiped off Facebook's value on its first full day as a public company, rattling investors and provoking criticism of the social network's banking advisers.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

David Cameron defends vocal approach to eurozone debt crisis
David Cameron has defended his increasingly outspoken approach to the Eurozone crisis, saying it would be more dangerous not to speak out.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f90c9c3/mf.gif' border='0.....

Digging for victory? How garden centres do their bit for Britain
Nothing better demonstrates the British passion for gardening than the news that tickets for the Chelsea Flower Show are being sold on the black market for six times their face value.<img width='1' height='1' src='http://telegraph.feedsportal.com/.....

Facebook's Mark Zuckerberg: just married and already 13pc poorer
The Facebook founder had more bankers on his float than guests at his wedding, so no wonder there's almost no chance of getting a proper valuation for the social network site.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/.....

Germany isolated as Latin Bloc calls the shots
The eurozone's 'Latin Bloc' is in full revolt. The trio of French, Italian, and Spanish leaders - backed by world powers - are to push for a radical shift in Europe's economic strategy at crucial summit on Wednesday.<img width='1' height='1' src='.....

Sir Mervyn King scrutinised as Bank of England orders review
Sir Mervyn King, the Bank of England governor, has been forced to bow to pressure and agree to a review of the Bank's actions during the crisis.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f904942/mf.gif' bor.....

Spain in 'austerity tax grab' on online gaming companies
Madrid has been accused of a desperate "austerity tax grab" on UK gambling companies that are hoping to operate online games such as poker in Spain.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f904949/mf.gif'.....

Morgan Stanley in the firing line over Facebook valuation
Morgan Stanley's position as the lead adviser on Facebook's flotation has prompted accusations the bank valued the company too aggressively after the shares slumped on Monday.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/.....

Pursuit sinks after P&G pulls the plug
Investors' gamble on Pursuit Dynamics failed to pay off as more than three-quarters of the technology company's market value was wiped out after it disclosed that it had lost out on a potential contract with Procter & Gamble.<img width='1' hei.....

Rows break out over eurozone woes
Eurozone leaders have come under fire for failing to deal with the political divisions and crippled banks that pose as big a risk to the single currency as Greece.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1.....

Ryanair fare rises boost annual profits
Ryanair has bumped up prices by almost a third over the past two years despite styling itself as Europe's only "ultra low cost airline".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f90494f/mf.gif' border='0'/.....

Debt crisis: as it happened - May 21, 2012
The leader of Greece's anti-bailout party, which is favourite to win fresh elections next month, has warned that the euro area would be "destroyed" if his country left.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

Man Group snaps up rival hedge fund FRM
Man Group has boosted its assets under management by $8bn (5bn) after snapping up hedge fund Financial Risk Management.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f8fc771/mf.gif' border='0'/><br/>&l.....

CWW sees 390m loss as it urges shareholders to accept Vodafone offer
The board of beleaguered telecoms group Cable and Wireless Worldwide has urged shareholders to accept the 1bn offer from Vodafone after revealing it does not expect to hit its own market growth assumptions.<img width='1' height='1' src='http://tel.....

Work Programme at risk as 'too few jobs' in UK
The Government's 5bn employment scheme to get the long-term unemployed back to work is in danger of missing crucial targets as employers cut back hires amid the economic uncertainty, an industry body has warned.<img width='1' height='1' src='http:.....

HSBC postpones plans to leave UK 'indefinitely'
Stuart Gulliver, HSBC's chief executive, has said the bank had decided to drop "indefinitely" plans to look at moving its headquarters from London to Hong Kong.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f8f.....

France to push for eurobonds at EU summit
France and Germany reiterated that they will to "do everything to keep Greece in the euro" on Monday, as French finance minister Pierre Moscovici said the country would push for the introduction of eurobonds at a special EU summit this week.<img w.....

JPMorgan suspends $15bn shareholder return
US investment bank JPMorgan has cancelled up to $15bn (9.5bn) in share buybacks as it struggles to deal with mounting fall-out from the huge trading losses built up at its London office.<img width='1' height='1' src='http://telegraph.feedsportal.c.....

Chinese billionaire Wang Jianlin creates largest cinema business with $2.6bn deal for AMC
Wang Jianlin buys more than 5,000 screens in the US for $2.6bn.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f8fbbe6/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/1335166.....

Debt crisis: live
The leader of Greece's anti-bailout party, which is favourite to win fresh elections next month, has warned that the euro area would be "destroyed" if his country left.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....