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Tuesday 22 May 2012

UK Financial News on 2012-05-22

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.....

IMF tells UK to consider rate cut
The Bank of England should consider new boosts to the UK economy says the IMF as it backs the government's deficit-cutting strategy......

UK inflation rate in fall to 3%
The UK inflation rate fell to 3% last month, its lowest since February 2010, owing to a slowdown in transport price rises......

Facebook shares decline further
Shares in Facebook drop another 9% amid reports financial regulators may review whether there was a selective disclosure of information to investors......

CVC makes 1bn Formula 1 disposal
Formula 1's largest shareholder, CVC Capital, sells a 21% stake to three investment firms in a 1bn deal......

M&S posts fall in annual profits
Marks and Spencer reports a fall in annual profits in what the retailer describes as a tough economic environment......

Wonga misled debtors, says OFT
Money lending firm Wonga is criticised by the Office of Fair Trading for using aggressive and misleading debt collection methods......

Google seals deal with Motorola
Google's $12.5bn purchase of US phone maker Motorola Mobility has been completed days after it received approval from the Chinese government......

Homeserve investigated by FSA
Homeserve, the company that sells emergency repair services for householders, will be investigated by the Financial Services Authority......

Japan downgraded on debt concerns
Japan's credit rating is downgraded by two levels by credit rating agency Fitch on concerns about the country's high levels of debt......

Bogus PPI complaints 'hit 6,000'
Nearly 6,000 people made bogus compensation claims for payment protection insurance mis-selling to the Financial Ombudsman last year......

Energy bill targets cleaner power
The government's draft energy bill, designed to encourage investment in cleaner energy, could see higher consumer bills, critics fear......

Merger creates 2bn dairy firm
The co-operatives, Arla Foods amba and Milk Link agree to merge creating the country's biggest dairy firm......

Euro 'threat' to global outlook
A weak eurozone is the single biggest threat to the global economy, according to the Organisation for Economic Co-operation and Development......

UK home sales lift fails to last
Sales of homes in the UK failed to stay on a spring high in April, tax authority figures show, while prices in March recorded a fall......

Europe woes hit Vodafone results
Vodafone reports flat annual profits as the mobile phone operator is hit by the economic downturn in southern European......

Royal Mail assets lead to surplus
The UK government posted a record 16.5bn budget surplus in April, thanks to the transfer of assets from the Royal Mail pension fund, figures show......

Man City 'best value for money'
Manchester City have won the Premier League title and are also top of the league when it comes to value for fans, according to ING......

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

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......

'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......

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......

Global warning on youth jobless
Almost 13% of young people worldwide are out of work with no sign of improvement for at least another four years, the International Labour Organization says......

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

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......

Nissan's Infiniti in China move
Nissan's upscale car brand Infiniti establishes new global headquarters in Hong Kong as it looks to increase car sales in China......

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......

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......

Olympics launch Foursquare tie-up
A tie-up between the Olympic Games and Foursquare means users can now "check-in" at past and present Games landmarks......

VIDEO: Papandreou warns against euro exit
Greece's former prime minister told Kirsty Wark that it would be a "much worse choice" for Greece to leave the euro......

VIDEO: Is it wrong to sell an Olympic torch?
Professor Michael Sandel - who has taught political philosophy since 1980 - claims there has been a shift from having a market economy to being a market society, where people are mainly motivated by money......

VIDEO: Bogus PPI claims 'reached 6,000'
Nearly 6,000 people put in bogus compensation claims to the Financial Ombudsman last year, saying they had been mis-sold Payment Protection Insurance (PPI), the BBC has learnt......

VIDEO: M&S posts fall in annual profits
Retail chain Marks and Spencer have recorded their first profit fall in three years......

VIDEO: The next big thing in computing
Microsoft's boss in Asia is in Singapore to explore new ways of making money from digital content......

VIDEO: Why is Greek economy stuck in reverse?
As EU leaders meet again in an attempt to rescue Greece from disaster, the BBC's Chief Economics Correspondent Hugh Pym asks why the Greek crisis has created such huge shockwaves across the globe......

VIDEO: IMF: 'Cut rates to boost growth'
The International Monetary Fund (IMF) has said the UK's continuing economic weakness means authorities should consider more quantitative easing (QE) and even cutting interest rates......

VIDEO: Serving China's app-hungry billion
The BBC's John Sudworth meets the Chinese entrepreneurs targeting the world's biggest mobile phone market......

How Barca is selling its brand to fans
Spanish football giant reaches out to its fanbase.....

London seeks lead role as China's currency goes global
London seeks lead role as China currency goes global.....

China's billion phone app market
Squeezing cash from China's billion phone app market.....

Stepping down from ARM Holdings
Chip designer's president looks back at his 30 years at the firm.....

Fashion for people with disabilities
One woman's mission to design fashionable clothes for wheelchair users.....

Morgan Stanley's Facebook about-face
May 22 - Facebook shares remain under pressure after it was revealed the Internet analyst at lead underwriter Morgan Stanley cut his revenue forecasts at the same time the bank was pitching the IPO to potential investors. Conway G. Gittens reports......

Wealth Strategies: HSBC likes debt of Indonesia, Uruguay
May 22 - HSBC's Christian Deseglise says emerging market fundamentals are improving even as the developed world's economy struggles and likes the debt in regions like Indonesia, Uruguay and the Philippines......

Trading at Noon: Facebook drops again as pressure mounts
May 22 - Facebook's shares fell again on Tuesday and Best Buy interim CEO says company needs to "change substantially".....

Ferreting out Dimons successor
May 22 - Antony Currie and Rob Cox discuss possible succession at JPMorgan following the bank's trading blunder......

SpaceX founder says launch was like "winning the Superbowl"
May 22 - SpaceX founder Elon Musk says witnessing the launch was like winning the Superbowl. Deborah Lutterbeck reports.....

IMF suggests UK rate cut
May 22 - Inflation has fallen by half a percent, but the IMF says Britain has more at its disposal to kickstart growth. Joanne Nicholson reports......

Europe Day Ahead: Merkel feels the heat
May 22 - Euro zone leaders are likely to pressure Germany's Angela Merkel into accepting euro zone bonds at an informal summit. Meanwhile the IMF and OECD warn of the consequences of Europe's crisis......

3XSQ: Morgan cut Facebook before IPO
that lead underwriter Morgan Stanley's internet analyst cut his estimates of Facebook during its IPO road show......

OECD: Europe risks vicious debt cycle
May 22 - The Organisation for Economic Co-Operation and Development has called on EU leaders to ease the pace of austerity, warning aggressive budget cuts could suck the currency area into a downward spiral that could spill over into the global econo.....

U.S. Morning Call: Facebook Stock Woes
May 22 - In the run-up to the Facebook IPO, a Morgan Stanley internet analyst cut forecasts for the company......

Market Pulse: "Slam that bid, baby" when yen crosses slide
May 22 - Dollar/yen and euro/yen at risk of heavy selloff as Japan downgrade actually ups investor appetite for Japanese assets. Plus, falling UK inflation, and the latest from the IMF and OECD......

Breakingviews: Chinese dotcoms worth a look
May 22 - With advertisers and investors pulling out of Facebook style social networks and online gaming revenues rising steadily; more diversified Chinese dotcoms are worth a look say Breakingviews......

OECD Padoan: Global economy worse now than 5 years ago
May 22 - The OECD sees the euro area as the biggest risk to the global economy, actions taken so far to promote growth have been behind the curve. Conditions are now in place to move towards Eurobonds......

Reuters Today: EU talks the e-bond talk, must walk the walk
May 22 - EU leaders gather for an informal summit over dinner later this week. On the menu, the common euro bond. Plus, a special US-China tie on Treasuries, and UK inflation history repeating itself?.....

A riskier bet on Macau's casinos
May 22 - China's weaker economic activity is taking its toll on Asia's gambling Mecca of Macau, which is likely to see a steep slowdown in May gaming revenue growth, analysts say......

Selling human hair a growing industry
May 22 - British women struggling to cope with mounting debts are selling their hair as a novel way of making money, with some earning up to 250 for the best quality natural blonde hair. Hayley Platt reports......

Wall St. rebounds; Facebook sinks
May 21 - Summary of business headlines: Stocks climb after biggest weekly drop of 2012; Facebook closed below $38 IPO price; Lowe's cuts forecast on slow spring; Business economists expects job market to pick up next year. Conway G. Gittens reports......

Nasdaq trying to save face
May 21 - The Nasdaq is working to bandage its black eye, putting in new IPO procedures after bungling the Facebook debut last week. Bobbi Rebell reports......

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

New wine glasses to balance "water and fire"
May 21 - Luxury crystal glassmaker Baccarat begins sales of new wine glasses in Hong Kong, where wine demand remains strong despite global economic uncertainty. Cathy Yang reports......

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.....

JP Morgan loss 'flags up' transatlantic trade risks
The $2bn trading loss at JP Morgan shows that "London risk can come back and hurt" the financial system across the Atlantic, a leading US regulator has warned.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9af.....

William Hague is right - businesses need to get on a plane and explore
George Osborne's handling of the economy received support from both the International Monetary Fund and the OECD on Tuesday.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a9c58/mf.gif' border='0'/><br/&.....

Owed to my wife
Telegraph View: Poets are good with words but bad with money.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a9c59/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/133516675.....

Christine Lagarde tells Britain to step up recovery plan
The Bank of England should cut interest rates, print more money and ease the regulatory pressure on banks as part of a radical set of measures to return Britain to recovery, the International Monetary Fund has urged.<img width='1' height='1' src='.....

Facebook opening on track to be worst start for major US float in five years
Facebook is on course to record the worst start for a major US flotation in five years, amid growing recriminations over the much-hyped offering.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a8f9b/mf.gif' bo.....

Debt crisis: as it happened May 22, 2012
Markets rally on hopes tomorrow's European leaders summit will agree measures to stem the debt crisis, and strong figures from the US housing market point to a recovery.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5683.....

Debt crisis: live
Markets rally on hopes tomorrow's European leaders summit will agree measures to stem the debt crisis, and strong figures from the US housing market point to a recovery.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5683.....

Angela Merkel 'astonished' by austerity debate as Germany left increasingly isolated on eurobonds
The German Chancellor Angela Merkel said she finds it "astonishing" that her pro-austerity stance is the cause of controversy, as Germany found itself increasingly isolated on the issue of eurobonds ahead of Wednesday's European Union leaders summit......

Italian banks sell London Stock Exchange stakes
Italy's two largest banks have put their stakes in the London Stock Exchange up for sale as the country's lenders brace themselves for the fallout from the eurozone crisis.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....

Barclays bulls put shine on 'diamond' Bumi
Bumi, the coal business, was on sparkling form as City scribblers branded the Indonesian company a "diamond in the rough".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a22cb/mf.gif' border='0'/><br/>.....

Vodafone writes down Euro businesses by 4bn
Vodafone has written down the value of its businesses in Southern Europe by 4bn as the debt crisis drags on the mobile phone giant's performance.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a22cc/mf.gif' bo.....

Japan's fiscal death is a warning to the West
Fitch Ratings has downgraded Japan two notches to A+, citing a surge in public debt since the Lehman crisis and the lack of any plan to restore fiscal probity.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9a1.....

Investors buy into F1 for $1.6bn as Bernie Ecclestone confirms float
Bernie Ecclestone has confirmed that Formula 1 will be listed on the Singapore stock exchange by the end of next month.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f9999ec/mf.gif' border='0'/><br/>&l.....

Industry criticism of draft Energy Bill 'shows reforms are right', says Energy Secretary Edward Davey
Industry criticism of the government's energy reforms is motivated by "vested interests", and suggests the policies are correct, Energy Secretary Edward Davey has claimed.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56.....

Harry Potter publisher Bloomsbury boosted by e-books
Bloomsbury, the book publisher behind the Harry Potter novels, has seen annual revenue rise, aided by e-book sales of titles from chefs Heston Blumenthal and Hugh Fearnley-Whittingstall and its growing academic publishing division.<img width='1' h.....

Yell admits rebrand is meaningless as it chalks up 1.4bn loss
Yell might have 2.2bn of debt on its books but that didn't stop the Yellow Pages directory publisher from spending "hundred of thousands of pounds" on a new name even its boss admits is meaningless.<img width='1' height='1' src='http://telegraph.f.....

Ex-Goldman Sachs chief Rajat Gupta accused of 'throwing away responsibilities'
A former Goldman Sachs executive has been accused of breaking the law and throwing "away his responsibilities" to the bank at the launch of a long-awaited insider trading case.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726.....

Goldman Sachs executive Rajat Gupta accused of 'throwing away responsibilities'
A former Goldman Sachs executive has been accused of breaking the law and throwing "away his responsibilities" to the bank at the launch of a long-awaited insider trading case.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726.....

'Major failures' surround banks' interest rate swap scandal
A top banking figure warned "major failures" surround the interest rate swap scandal, as Labour demanded changes to help smaller firms to tackle their banks over the issue.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....

Germany's safe-haven status confirmed with zero interest rate bonds
Germany's status as a safe-haven during the eurozone crisis was confirmed after its central bank said it would issue two-year bonds at zero interest for the first time.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56830.....

Sir Tim Berners-Lee to help start-ups with 'open data'
The Government has published plans to open an institute led by web creator Sir Tim Berners-Lee to help entrepreneurs build companies using the growing volume of freely available public statistics on everything from the weather to transport and crime......

BAE Systems wins 328m submarine contract
BAE Systems and its submarine site in Barrow-in-Furness, Cumbria, have received a boost after the Government confirmed the company has been awarded a 328m contract to design the UK's next generation of submarines.<img width='1' height='1' src='htt.....

National Lottery reaches record 6.5bn sales
Hopeful Britons who dream of escaping austerity woes have been turning to the National Lottery in droves, according to operator Camelot, which has posted record sales of 6.5bn.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726.....

IMF urges Britain to take dramatic action to stop the rot
It was August 2010 and George Osborne was in ebullient mood. "Here in Britain we can start to be cautiously optimistic about the economic situation," he said. "Employment is growing at the fastest pace for over a decade... Manufacturing is picking up.....

IMF says act now or condemn UK
In August 2010, George Osborne was in ebullient mood. "Here in Britain we can start to be cautiously optimistic about the economic situation," he said. "Employment is growing at the fastest pace for over a decade... Manufacturing is picking up and ex.....