A Senate Economics Committee has been reflecting on life after the global financial crisis for Australian banks. The general consensus has been to date that Australian banks escaped the worst of the fall-out…
Taking care of business: given the glacial pace of financial reforms since the GFC, it is not unreasonable to expect another crisis of the same magnitude.
_Davo_
It has been five years since the sub-prime mortgage crisis emerged in the US. This was followed by financial institutions suffering liquidity shortfalls in both US and Europe, and their eventual collapse…
A former mortgage broker - who is now facing fraud charges - has blown the whistle on predatory lending practices in Australia’s financial services industry.
Image from www.shutterstock.com
The level of sub-prime mortgages in Australia may be far in advance of what was previously assumed and provided for by banks. The story was broken on the ABC, and covered elsewhere. The revelations centred…
UK-listed bank Standard Chartered stands accused of violating US sanctions against Iran by hiding $237 billion in transactions with Iranian banks.
AAP
The suit lodged against Standard Chartered in Manhattan by the New York State Department of Financial Services has served its first purpose: capturing the headlines and putting the banking industry once…
To ensure a sound financial system, policymakers should balance the twin objectives of stability and competition.
Reactions to my call this week for another inquiry into Australia’s financial system have been mixed. Most commentators seem to accept that there’s logic in having another inquiry, even if some think that…
HSBC chief executive officer Irene Dorner testifies before the US Senate about allegations of money laundering within HSBC.
AAP
Recent news that HSBC executives admitted to allowing Iran, terrorists and drug dealers to launder nearly USD$16 billion over a six-year period would make earth underneath you shake. How is that the bank’s…
A Diamond in the rough: Former Barclays chief executive Bob Diamond bore the brunt of public anger over the LIBOR scandal. But attention should be paid to behaviour of regulatory authorities.
AAP
As the Deputy Governor of the Bank of England, Paul Tucker, prepares to give evidence to the Treasury Select Committee, he will be mindful of the insult thrown at Bob Diamond, the recently crestfallen…
Will super Mario Draghi, President of the European Central Bank, come to the Eurozone’s rescue?
AAP
Today Eurozone leaders will meet in Brussels. On the agenda is nothing less than the survival of the euro. Officially, it is about Spain: Spain’s economic and financial woes show the urgency. Moody’s drastically…
Could online peer to peer lenders compete with major banks?
Flickr: Alan Levine
In a recent speech, Bank of England executive director Andy Haldane has said that peer-to-peer (P2P) lending through online sites has the potential to eventually replace old-fashioned banking. It was followed…
Bankrupt former billionaire Sean Quinn accepted highly risky loans from Anglo Irish Bank before it collapsed.
AAP
The fall of the “Mighty” Sean Quinn from Ireland’s (and Forbes-listed) richest man to one of the world’s most indebted individuals is perhaps the biggest story of Ireland’s boom-to-bust recent economic…
Despite Cameron’s half-hearted efforts, democratisation of listed UK corporations is unlikely.
AAP
Executive remuneration is out of control in the United Kingdom. The final report by the High Pay Commission concluded that “there is rarely a link between directors’ incentives and the way a company performs…
Loose regulation in the UK and elsewhere have left big banks vulnerable to crises.
The most interesting aspect of the United Kingdom’s Financial Service Authority’s exhaustive review of the failure of the Royal Bank of Scotland (RBS) is contained in the foreword, penned by the organisation’s…
ANZ and NAB have cut their mortgage rates. Will the other two major banks follow suit?
AAP
ANZ and National Australia Bank have passed on the Reserve Bank of Australia’s 0.25% interest rate cut to mortgage holders, lowering their standard variable rates. Treasurer Wayne Swan called on the big…
Personal loans should be used to fund major infrastructure projects, like the National Broadband Network.
AAP
The Global Financial Crisis should be called the Global Debt Crisis. Too much debt has been created and there is not enough productive capacity to pay the interest on the debt, let alone repay the loans…
Outgoing IBM head Samuel Palmisano with successor Virginia Rometty – the company’s first female CEO.
AAP
The appointment of Virginia Rometty as the first female chief executive of IBM represents a significant step forward for women in the world of business. But while Rometty’s elevation makes her one of the…
Euro banks have been urged to reinforce their balance sheets.
AAP
Kevin Davis, Australian Centre for Financial Studies
Eurozone leaders have moved to address liquidity fears, with the European Central Bank announcing new measures to head off a credit crunch. Britain has also announced quantitative easing measures. Outgoing…
UBS chief Oswald Gruebel has stepped down after a rogue trader cost the bank $US2.3 billion.
AAP
The chief executive of Swiss banking giant UBS, Oswald Gruebel, has quit following revelations of a $US2.3 billion fraud by “rogue trader” Kweku Adoboli. But the news will come as cold comfort for investors…
Well-intentioned credit protection regulations could make it hard for some people to secure loans.
AAP
The Federal Government has taken significant steps in recent years to protect consumers from predatory lending practices, such as very high-interest “payday loans”. An unfortunate, though surely unintentional…
Carrying cards and cash on your phone seems like a big call.
Google
So it’s finally here: Google Wallet, a free Android app that turns your (Google) smartphone into a mobile payment system, launched today. To do this, the company has partnered with Citi, MasterCard, First…