I think you've hit the nail on the head Scfc, if it is true it's a clear indication on where the strategic thinking is, I reckon this market reaction is more about the headline than anything else, like my reaction to be fair - yank investment banker likely to be appointed new Barclays CEO.... lets see if the market reacts differently when they formally announce it alongside the 'why'. GL.
Well mack has previously stated that Barc needs to take a 'dynamic' approach to it's strategy. We have yet to see it of course . It would seem that if he is appointing Staley, it is unlikely it will be to shrink the IB , given his background ? Mack has also recently spoken about how the larger banks within the EU need to adopt a group approach to investment banking in order to take on the American IB's who have expanded their operations, whilst the British Banks have been forced to shrink and restrict their ability to grow. I have no idea where BARC's is going with this appointment BUT i very much hope that Mack makes it clear with a rapid announcement on strategy for the next 3 years after appointing a new CEO. He has no time for 'bedding in' for a year or two, which is the usual approach for CEO's before proceeding with their own plans. Barc needs it's 'dynamic' plan to be announced sooner rather than later IMHO. GLA
Not sure if this is part of the reason for today's drop. Switzerland’s finance ministry will require the country’s biggest banks to have capital equal to about 5 percent of total assets after UBS Group AG and Credit Suisse Group AG sought to win easier terms, according to people briefed on the deliberations. “Higher requirements mean that the banks will have fewer funds to return to shareholders,” said Andreas Brun, a Zurich-based analyst at Zuercher Kantonalbank.
We'd be off by at least 1% before the ceo news imo - I think it's unlikely we will hear anything to the contrary from Mac today so be interesting to see where this takes us! Does seem a strange decision tbh. Atb
All shares are down today esp. the banks but yep, looks like the initial market reaction to potentially appointing a US investment banker as CEO is not seen favourably as yet...probably seen as more riskier than the safer strategy of AJ. Time will tell if this is good or bad news for shareholders. From what I've read this guy is somewhere in between the last 2 CEOs - seems a good move to me but that's just my opinion...
Barclays (NYSE:BCS) is set to appoint former JPMorgan investment banker Jes Staley as its next CEO, according to the FT, with the appointment to be announced in the next two weeks, assuming a green light from regulators.He'll replace Antony Jenkins who was sacked in June. One source close to the board says Jenkins "did not understand investment banking." If so, the choice of Staley - an experienced investment banking hand who was once thought to be a possible successor to Jamie Dimon - represents a sizable shift for Barclays.Staley has been with hedge fund firm Blue Mountain Capital since departing JPMorgan in 2013.Previously: Barclays reportedly nearing choice on new CEO (Oct. 12)
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