Deutsche Bank chairman urged to step down by US private equity firm Cerberus

U.S. private equity firm Cerberus is hoping to replace Deutsche Bank Chairman Paul Achleitner, two sources confirmed to CNBC on Tuesday. The private equity firm has a 3% stake in Deutsche Bank. However, two people familiar with the matter told CNBC on the condition of anonymity that Cerberus was indeed pushing for the 63-year-old chairman to be replaced. In the past, Deutsche Bank’s other big shareholders have raised concerns about the bank’s failing strategy and have called for a reshuffle of t


U.S. private equity firm Cerberus is hoping to replace Deutsche Bank Chairman Paul Achleitner, two sources confirmed to CNBC on Tuesday.
The private equity firm has a 3% stake in Deutsche Bank.
However, two people familiar with the matter told CNBC on the condition of anonymity that Cerberus was indeed pushing for the 63-year-old chairman to be replaced.
In the past, Deutsche Bank’s other big shareholders have raised concerns about the bank’s failing strategy and have called for a reshuffle of t
Deutsche Bank chairman urged to step down by US private equity firm Cerberus Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-12  Authors: spriha srivastava
Keywords: news, cnbc, companies, bank, equity, private, reported, banks, sources, step, cerberus, told, deutsche, urged, shareholders, chairman, term, firm


Deutsche Bank chairman urged to step down by US private equity firm Cerberus

U.S. private equity firm Cerberus is hoping to replace Deutsche Bank Chairman Paul Achleitner, two sources confirmed to CNBC on Tuesday.

Cerberus has lost faith in Achleitner and its desire for change has increased since merger talks with Commerzbank failed earlier this year, according to the sources. The private equity firm has a 3% stake in Deutsche Bank.

The German bank has declined to comment on the story which first reported by the Financial Times. However, two people familiar with the matter told CNBC on the condition of anonymity that Cerberus was indeed pushing for the 63-year-old chairman to be replaced.

Germany’s flagship lender has been in the news for all the wrong reasons — from settlements with the U.S. Department of Justice, to management reshuffles, weak earnings, massive fines, constant restructuring, merger speculation and steep stock price falls.

In the past, Deutsche Bank’s other big shareholders have raised concerns about the bank’s failing strategy and have called for a reshuffle of the board. In May, Deutsche Bank’s proxy advisor Institutional Shareholder Services (ISS) called for shareholders to vote against the board, citing a series of scandals resulting from the bank’s failure to uphold anti-money laundering controls and causing reputational and monetary damage.

The FT has also reported that the lender’s other large shareholders – members of the Qatari royal family, funds managed by former J.P. Morgan Chase executive Doug Braunstein and asset manager BlackRock – have concerns about Achleitner’s performance.

Achleitner took over as chairman of Deutsche Bank in 2012 and its share price is down more than 73% since then. However, the sources told CNBC that he is keen to stay on until the end of his term in order to oversee Deutsche Bank’s 150th anniversary next year. Achleitner’s term is due to end in 2022.


Company: cnbc, Activity: cnbc, Date: 2019-11-12  Authors: spriha srivastava
Keywords: news, cnbc, companies, bank, equity, private, reported, banks, sources, step, cerberus, told, deutsche, urged, shareholders, chairman, term, firm


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Hong Kong protests haven’t hurt our profitability, say bank CEOs

Pro-democracy protests have hurt the Hong Kong economy, but the chief executives of two major banks said their businesses in the city have not been affected in a big way. Singaporean bank DBS said on Monday that net profit for its Hong Kong business jumped 14% year-on-year in the July-to-September quarter. Hong Kong contributed around 334 million Singapore dollars, or 20%, of DBS’ overall profits in the third quarter this year. Piyush Gupta, CEO of DBS, told CNBC’s Tanvir Gill that he doesn’t an


Pro-democracy protests have hurt the Hong Kong economy, but the chief executives of two major banks said their businesses in the city have not been affected in a big way.
Singaporean bank DBS said on Monday that net profit for its Hong Kong business jumped 14% year-on-year in the July-to-September quarter.
Hong Kong contributed around 334 million Singapore dollars, or 20%, of DBS’ overall profits in the third quarter this year.
Piyush Gupta, CEO of DBS, told CNBC’s Tanvir Gill that he doesn’t an
Hong Kong protests haven’t hurt our profitability, say bank CEOs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: yen nee lee
Keywords: news, cnbc, companies, hurt, havent, portfolio, bank, dbs, singapore, problem, hong, serious, profitability, quarter, yearonyear, profit, kong, protests, ceos, say


Hong Kong protests haven't hurt our profitability, say bank CEOs

Pro-democracy protests have hurt the Hong Kong economy, but the chief executives of two major banks said their businesses in the city have not been affected in a big way.

Singaporean bank DBS said on Monday that net profit for its Hong Kong business jumped 14% year-on-year in the July-to-September quarter. That performance came on the back of a 15% year-on-year rise in overall profit for the quarter to 1.63 billion Singapore dollars ($1.2 billion), which beat analyst estimates compiled by Refinitiv.

Hong Kong contributed around 334 million Singapore dollars, or 20%, of DBS’ overall profits in the third quarter this year.

Piyush Gupta, CEO of DBS, told CNBC’s Tanvir Gill that he doesn’t anticipate a “serious problem” with the bank’s loan book in Hong Kong. But the bank has set aside some money as a precaution for any losses in its Hong Kong business, he added.

“The underlying portfolio, we’re not seeing any stress: Delinquencies are not picking up, payment rates are on track and the portfolio is extremely well secured,” he said at the Singapore FinTech Festival.

“So I don’t really anticipate (a) serious problem with the credit portfolio in the coming year, it’s just to be abundantly cautious we kept some money aside just in case,” he added.


Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: yen nee lee
Keywords: news, cnbc, companies, hurt, havent, portfolio, bank, dbs, singapore, problem, hong, serious, profitability, quarter, yearonyear, profit, kong, protests, ceos, say


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Top ECB official will lead a global central bank effort focusing on digital currencies

Outgoing European Central Bank (ECB) executive board member Benoit Coeure will lead a new unit at the Bank of International Settlements (BIS) focused on financial technology like digital currencies, the group announced Monday. Coeure was tapped to run the BIS’ new “Innovation Hub,” which was set up earlier this year to understand how technology is affecting central banks around the world. The BIS, known as the central bank of central banks, is based in Basel, Switzerland. It is owned by 60 centr


Outgoing European Central Bank (ECB) executive board member Benoit Coeure will lead a new unit at the Bank of International Settlements (BIS) focused on financial technology like digital currencies, the group announced Monday.
Coeure was tapped to run the BIS’ new “Innovation Hub,” which was set up earlier this year to understand how technology is affecting central banks around the world.
The BIS, known as the central bank of central banks, is based in Basel, Switzerland.
It is owned by 60 centr
Top ECB official will lead a global central bank effort focusing on digital currencies Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: elizabeth schulze
Keywords: news, cnbc, companies, bis, bank, technology, banks, lead, group, official, digital, global, focusing, ecb, currencies, central, financial, effort, member, innovation, payments


Top ECB official will lead a global central bank effort focusing on digital currencies

Outgoing European Central Bank (ECB) executive board member Benoit Coeure will lead a new unit at the Bank of International Settlements (BIS) focused on financial technology like digital currencies, the group announced Monday.

Coeure was tapped to run the BIS’ new “Innovation Hub,” which was set up earlier this year to understand how technology is affecting central banks around the world. The effort comes as big tech companies like Facebook and Apple are expanding rapidly into financial services.

The BIS, known as the central bank of central banks, is based in Basel, Switzerland. It is owned by 60 central banks including the U.S. Federal Reserve, the ECB and the People’s Bank of China.

“I look forward to bringing my expertise to the global central banking community at this time of rapid technological change,” Coeure said in a press release Monday. “We must make the best use of innovation to support financial stability and promote financial inclusion.”

Coeure has served as a member of the ECB’s executive board since 2012, where he was in charge of market infrastructure and payments and the oversight of payment systems. The French economist also led the Group of Seven working group on stablecoins and has been a leading voice on how technology is shaping the world’s payments infrastructure.


Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: elizabeth schulze
Keywords: news, cnbc, companies, bis, bank, technology, banks, lead, group, official, digital, global, focusing, ecb, currencies, central, financial, effort, member, innovation, payments


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Here are Bank of America’s top 10 investing themes to watch over the next decade

With the decade drawing to a close, Bank of America has identified 10 important investing themes to watch over the next 10 years. Underpinning the list is the tectonic societal shifts that the firm anticipates will play out over the next decade. Bank of America sees today’s bond market bubble as the “biggest vulnerability” for markets heading into 2020. Bank of America included things like national defense, waste management, data processing and payments, and global beverages in this category. Ro


With the decade drawing to a close, Bank of America has identified 10 important investing themes to watch over the next 10 years.
Underpinning the list is the tectonic societal shifts that the firm anticipates will play out over the next decade.
Bank of America sees today’s bond market bubble as the “biggest vulnerability” for markets heading into 2020.
Bank of America included things like national defense, waste management, data processing and payments, and global beverages in this category.
Ro
Here are Bank of America’s top 10 investing themes to watch over the next decade Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: pippa stevens
Keywords: news, cnbc, companies, watch, firm, shifts, 2020s, things, investing, global, america, bank, themes, companies, decade, americas, growth


Here are Bank of America's top 10 investing themes to watch over the next decade

With the decade drawing to a close, Bank of America has identified 10 important investing themes to watch over the next 10 years. Underpinning the list is the tectonic societal shifts that the firm anticipates will play out over the next decade. The firm said the coming decade will be “unlike any before it” as the world’s social, environmental, political and economic systems face “escalating challenges.” Megatrends will reach their boiling point in the 2020s, which will lead to changes in how governments, companies, markets and society more broadly operate, BofA predicts. “We expect the 2020s will overhaul old paradigms, disrupt business models, and produce new trends that will shape our future. In the next 10 years, we should see increased automation, a global recession, unprecedented innovation, serious environmental challenges, the death of quantitative easing, tectonic shifts in demographics and the end of globalization,” Bank of America analysts led by Haim Israel said in a note to clients Monday. CNBC was granted permission to publish the full list. 10 themes for the next 10 years Peak globalization Recession Quantitative Failure Demographics Climate Change Robots & Automation Splinternet Moral Capitalism Smart Everything Space Source: Bank of America

Peak everything

Bank of America says globalization has already peaked, which means that over the next decade there will be a greater focus on all things local. “The 1981-2016 era of unchecked flow of goods, people and capital is coming to an end, catalyzed by the widespread recognition that while globalization has meant lower consumer prices, it has also meant slower growth, precarious employment and social disruption,” Israel wrote. The firm anticipates that while at first disruption in the global flow of things will increase the cost of doing business, eventually it will lead to a rebalancing that will raise productivity and set the global economy on a path to higher, sustainable growth. “Countries will develop explicit national industrial policies and boost spending on R&D to foster local innovation, protect nascent industries, and shield national champions from hostile foreign takeovers,” the analysts said. Within a more nationalistic backdrop, investors should opt to own real assets like commodities, real estate and precious metals, as well as infrastructure and defense names. As things shift closer to home, small-cap and value stocks look better positioned than large-cap and growth stocks, according to the report. The firm predicts that a number of other things will peak during the 2020s, including oil, cars and inequality; the population will age and people will own fewer things as the economy shifts from ownership to the sharing.

Recession fears & bond bubble

The economic picture entering the next decade isn’t exactly rosy. Stocks may be hovering around all-time highs, but a record 90% of recipients in the BofA Global Fund Manager Survey said the world’s economy is late in the boom cycle. “We leave the 2010s stuck in an economic regime characterized by low growth and low inflation. Real GDP has averaged just 2% in the US, 1% in the EU and Japan, and halved from 12% to 6% in China as it rebalances towards a consumer rather than export-led economy,” the firm said. Bank of America sees today’s bond market bubble as the “biggest vulnerability” for markets heading into 2020. “In the coming years a policy mistake [inflation targeting/modern monetary theory] and/or the start of policy impotence (central banks pushing on a string) will likely cause a jump in interest rate volatility, end the decade-long bullish combo of minimum rates-maximum profits, and signal the big top in asset prices. A disorderly rise in bond yields would likely cause extreme pain as Wall St deleverages,” the note said. To hedge against a coming recession, the firm said to own things like gold and gold miners, as well as companies in monopoly areas like the utility sector since companies having pricing power even in downturns. High-quality companies in areas where there’s low political risk, and only a few key players, should also do well. Bank of America included things like national defense, waste management, data processing and payments, and global beverages in this category.

Demographic shifts

An aging worldwide population coupled with the rise of a middle class in emerging markets will shift consumer habits and tastes over the next 10 years. “Companies will need to adapt or face disruption from the emerging spending power not just of Millennials but also of new Gen Z consumers (e-commerce, same-day delivery),” the firm said. Tech-compatability, sustainability, and experiences over traditional “goods” are among the trends expected to accelerate over the next decade As people age, there will also be a big opportunity for advancements in healthcare targeting lift expectancy and quality. “Immortality’ may prove the most interesting secular theme in the 2020s,” Israel said.

Climate change & moral capitalism

Consumers are increasingly focused on the many and broad implications of climate change, which creates opportunity in areas like clean energy, electric vehicles, energy efficiency, new farming, water infrastructure and meat alternatives. “Efforts to curb global warming require behavioral and systemic changes that will provide substantial opportunities for investors. … BofAML estimates that the clean energy market is already worth [$300 billion], while the global waste industry presents a [$2 trillion] opportunity. Likewise, water infrastructure will need a minimum cumulative investment of [$7.5 trillion to 2030] to keep up with projected growth,” the firm said. A sharper focus on climate change will also be one of the forces driving an increase in environmental, social and corporate governance and impact investing over the next decade. “We enter the 2020s with capitalism focused purely on profit maximization on the cusp of reform — as it shifts away from shareholder supremacy towards greater involvement of stakeholders, i.e., moral capitalism,” the firm said. Bank of America estimates that $20 trillion — the size of the S&P 500 — will flow into environmental, social and governance strategies over the next 20 years as millennials and Generation Z become the primary investors.

Tech advances & the rise of machines

The U.S. and China are currently battling to lead global artificial intelligence innovation, but this “splinternet” divide will disappear by 2030 as China becomes the world leader, Bank of America said. “We believe the current trade war will transition towards a tech war in the 2020s, which will see a new ‘arms race’ between the US and China to reach national superiority in technology over the long term vis-a-vis Quantum Computing, Big Data, 5G, Artificial Intelligence, Electric Vehicles, Robotics, and Cybersecurity etc.,” the firm said. Baidu, Alibaba and Tencent will be primed to take advantage of the AI revolution, at the expense of the so-called “FAANG” stocks — Facebok, Amazon, Apple, Netflix and Google-parent Alphabet. “Just over half the population is connected in China but that is already nearly triple the number of internet users in the US, suggesting China’s annual mobile data traffic could grow 56% compared with 35% in the US. … With favorable policies and government backing, China’s technology companies are likely to be better placed to take advantage of these data trends,” the firm said. Robotics and automation are another key theme to watch over the next decade as developments could jeopardize up to 50% of worldwide jobs by 2035. As everything shifts online and becomes data-fied, this “ubiquitous connectivity” will alter society’s fabric, particularly in cities. Bank of America called the smart city theme “one of the biggest investible universes” as technology and data transform everything from urban transportation to city security to temperature control in office buildings. “Sensor and [internet of things] deployment is mostly in cities, opening major opportunities for semiconductor, sensor and software suppliers. For example, the expansion of the London Ultra Low Emission Zone for polluting vehicles will require cameras/sensors and software services,” the firm cited as one industry set to benefit from smart cities.

Space


Company: cnbc, Activity: cnbc, Date: 2019-11-11  Authors: pippa stevens
Keywords: news, cnbc, companies, watch, firm, shifts, 2020s, things, investing, global, america, bank, themes, companies, decade, americas, growth


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The Philippine peso has jumped nearly 4% this year as investors hunt for yield

Joel Nito | AFP | Getty ImagesIn a low-rate environment where investors are searching for yield, the Philippines has been an attractive option. Yields in the Southeast Asian country have stayed high — relative to its regional counterparts — and that’s giving the Philippine peso a boost. “Financial flows have been very beneficial to the Philippine Peso as real yields have attracted foreign players. The central bank slashed its benchmark rate three times this year to 4.0%, after hiking it five tim


Joel Nito | AFP | Getty ImagesIn a low-rate environment where investors are searching for yield, the Philippines has been an attractive option.
Yields in the Southeast Asian country have stayed high — relative to its regional counterparts — and that’s giving the Philippine peso a boost.
“Financial flows have been very beneficial to the Philippine Peso as real yields have attracted foreign players.
The central bank slashed its benchmark rate three times this year to 4.0%, after hiking it five tim
The Philippine peso has jumped nearly 4% this year as investors hunt for yield Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: weizhen tan
Keywords: news, cnbc, companies, high, lower, philippines, trade, nearly, rate, jumped, yield, yields, hunt, bank, relatively, investors, peso, central


The Philippine peso has jumped nearly 4% this year as investors hunt for yield

A money changer counts Philippine one thousand peso bills in Manila, Philippines. Joel Nito | AFP | Getty Images

In a low-rate environment where investors are searching for yield, the Philippines has been an attractive option. Yields in the Southeast Asian country have stayed high — relative to its regional counterparts — and that’s giving the Philippine peso a boost. The Philippine currency has made strong gains against the greenback this year, buoyed by other factors, such as a narrowing trade deficit, in an economy that has outperformed its neighbors. It has jumped 3.8% against the dollar so far this year, and more than 5% since the middle of 2018.

Yields remain high despite rate cuts

Last year, the country’s central bank hiked “overly aggressively” in a bid to battle slowing inflation, leading to increasing yields that have attracted investors, said Nicholas Mapa, senior economist at Dutch bank ING. “Financial flows have been very beneficial to the Philippine Peso as real yields have attracted foreign players. With … (Bangko Sentral ng Pilipinas) policy rates still relatively high in the region, this has attracted foreign money to PHL markets, helping prop the Peso,” he said, referring to the country’s central bank. The central bank slashed its benchmark rate three times this year to 4.0%, after hiking it five times in 2018. Despite the rate cuts, the yield on the 10-year bond in the Philippines has remained among the highest in the region. It was at 4.61% as of Friday, after falling from a high of 6.38% in February and 7.95% last October. That compares with the current 1.80% in Singapore — albeit a reflection of the lower risk premium — 3.48% in Malaysia, and 1.66% in Thailand. Central banks around the world have been on a path of lower interest rates, with Europe even turning negative.

Resilient growth in the Philippines

The Philippines has also been relatively resilient against the effects of the U.S.-China trade battle, which has hit several economies in Asia, analysts said. The Philippine economy grew faster than expected in the third quarter, up 6.2% year over year, beating forecasts of 6.0% in a Reuters poll. “The PHP has … been buffered by the fact that the Philippines is relatively insulated from global trade tensions, given that exports accounted for 31.7 percent of its GDP in 2018, which is significantly lower compared to regional peers such as Malaysia and Singapore,” FXTM market analyst Han Tan told CNBC in an email.


Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: weizhen tan
Keywords: news, cnbc, companies, high, lower, philippines, trade, nearly, rate, jumped, yield, yields, hunt, bank, relatively, investors, peso, central


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Value stocks have ‘never been this cheap,’ Bank of America says

Value stocks, those with stable fundamentals and subpar valuations, haven’t been this cheap since the financial crisis, according to Bank of America. Value names have become particularly cheap relative to momentum stocks, creating a buying opportunity, the bank said. The only time in history that value stocks have gotten this cheap was in 2003 and 2008, when the group outperformed momentum stocks by 22 and 69 percentage points, respectively, over the subsequent 12 months, according to Bank of Am


Value stocks, those with stable fundamentals and subpar valuations, haven’t been this cheap since the financial crisis, according to Bank of America.
Value names have become particularly cheap relative to momentum stocks, creating a buying opportunity, the bank said.
The only time in history that value stocks have gotten this cheap was in 2003 and 2008, when the group outperformed momentum stocks by 22 and 69 percentage points, respectively, over the subsequent 12 months, according to Bank of Am
Value stocks have ‘never been this cheap,’ Bank of America says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: yun li
Keywords: news, cnbc, companies, momentum, value, ishares, usa, msci, bank, cheap, factor, etf, america, stocks


Value stocks have 'never been this cheap,' Bank of America says

Traders work on the floor at the New York Stock Exchange.

Value stocks, those with stable fundamentals and subpar valuations, haven’t been this cheap since the financial crisis, according to Bank of America.

Cheap equities enjoyed a resurgence in September from a decade of underperformance as investors bet on economically sensitive, underpriced stocks on hopes for a U.S.-China trade deal. Value names have become particularly cheap relative to momentum stocks, creating a buying opportunity, the bank said.

“Value has never been this cheap vs. Momentum,” Savita Subramanian, head of U.S. equity and quantitative strategy at Bank of America Merrill Lynch, said in a note on Friday. “Many signals indicate that the recent rotation into Value/out of Momentum could continue.”

The only time in history that value stocks have gotten this cheap was in 2003 and 2008, when the group outperformed momentum stocks by 22 and 69 percentage points, respectively, over the subsequent 12 months, according to Bank of America.

One of the biggest exchange-traded funds focused on the value factor if the iShares Edge MSCI USA Value Factor ETF, which has gained 20% this year, slightly lagging S&P 500’s 23% return. But it has recently trounced the iShares Edge MSCI USA Momentum Factor ETF, which is up about 19% this year.

The iShares value ETF is concentrated health care, financials and communication with top holdings including AT&T, Bank of America, Citigroup and Pfizer.


Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: yun li
Keywords: news, cnbc, companies, momentum, value, ishares, usa, msci, bank, cheap, factor, etf, america, stocks


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Fed Governor Lael Brainard says the central bank needs to guard against climate change

Along with all of the other things it must consider, the Federal Reserve needs to take into account climate change when formulating monetary policy, Fed Governor Lael Brainard said Friday. Such assessments could help determine where the Fed views the long-run “neutral” interest rate that is neither stimulative nor restrictive to growth. Should fallout from climate change intensify, it could cause asset valuations to be mispriced in a way she compared to real estate leading up to the financial cr


Along with all of the other things it must consider, the Federal Reserve needs to take into account climate change when formulating monetary policy, Fed Governor Lael Brainard said Friday.
Such assessments could help determine where the Fed views the long-run “neutral” interest rate that is neither stimulative nor restrictive to growth.
Should fallout from climate change intensify, it could cause asset valuations to be mispriced in a way she compared to real estate leading up to the financial cr
Fed Governor Lael Brainard says the central bank needs to guard against climate change Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: jeff cox
Keywords: news, cnbc, companies, fed, guard, policy, climate, change, brainard, effects, central, federal, bank, governor, monetary, financial, lael, interest, needs


Fed Governor Lael Brainard says the central bank needs to guard against climate change

Along with all of the other things it must consider, the Federal Reserve needs to take into account climate change when formulating monetary policy, Fed Governor Lael Brainard said Friday.

The issue could have impact on determining the proper level of interest rates and cause systemic financial damage in a way similar to what happened during the financial crisis, the central bank official said during a speech in San Francisco.

“Increasingly, it will be important for the Federal Reserve to take into account the effects of climate change and associated policies in setting monetary policy to achieve our objectives of maximum employment and price stability,” Brainard said in prepared remarks.

Among the considerations for the Fed would be whether the impact of climate change-related events such as hurricanes, wildfires and floods are temporary or long lasting. Such assessments could help determine where the Fed views the long-run “neutral” interest rate that is neither stimulative nor restrictive to growth.

“Just on its own, the large amount of uncertainty regarding climate-related events and policies could hold back investment and economic activity,” Brainard said.

Should fallout from climate change intensify, it could cause asset valuations to be mispriced in a way she compared to real estate leading up to the financial crisis.

“For example, if prices of properties do not accurately reflect climate-related risks, a sudden correction could result in losses to financial institutions, which could in turn reduce lending in the economy. The associated declines in wealth could amplify the effects on economic activity, which could have further knock-on effects on financial markets,” Brainard said.

She added that banks need to be prepared against such shifts and be able to identify the risks.

Brainard’s speech did not otherwise address where she feels monetary policy should be. The Federal Open Market Committee last week approved its third interest rate cut this year, but officials indicated that it likely will be the last for a while.


Company: cnbc, Activity: cnbc, Date: 2019-11-08  Authors: jeff cox
Keywords: news, cnbc, companies, fed, guard, policy, climate, change, brainard, effects, central, federal, bank, governor, monetary, financial, lael, interest, needs


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Why fewer couples are merging finances, and how you can make separate bank accounts work

Married and cohabitating millennials are more likely to hold separate bank accounts than previous generations, according to a Bank of America study. Why couples maintain separate accountsSociologist Joanna Pepin of the University of Maryland, who studies couples’ financial decisions, says many factors drive this trend. Joanna Pepin University of MarylandMany women have also experienced the unpleasantness that can result when money gets mingled. Many couples Pepin interviewed also cited student d


Married and cohabitating millennials are more likely to hold separate bank accounts than previous generations, according to a Bank of America study.
Why couples maintain separate accountsSociologist Joanna Pepin of the University of Maryland, who studies couples’ financial decisions, says many factors drive this trend.
Joanna Pepin University of MarylandMany women have also experienced the unpleasantness that can result when money gets mingled.
Many couples Pepin interviewed also cited student d
Why fewer couples are merging finances, and how you can make separate bank accounts work Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: aditi shrikant
Keywords: news, cnbc, companies, income, pepin, separate, couples, university, bank, shared, financial, accounts, work, crowe, finances, naputi, merging, fewer


Why fewer couples are merging finances, and how you can make separate bank accounts work

Tiara Na’puti and Chris Crowe have lived together since 2009. During the past decade they’ve shared six apartments, a car, and the expenses of a $72 elopement ceremony in 2013. But they’ve never shared a bank account. Na’puti and Crowe are part of the growing population of couples who, despite sharing multiple financial obligations, do not pool their income. Married and cohabitating millennials are more likely to hold separate bank accounts than previous generations, according to a Bank of America study. And a new survey from MagnifyMoney of 1,000 adults finds that 57% of unmarried couples living together keep their accounts separate, as do 16% of married couples. MagnifyMoney also finds that 1 in 5 couples with joint bank accounts say they regret combining their income with their partner or spouse.

Why couples maintain separate accounts

Sociologist Joanna Pepin of the University of Maryland, who studies couples’ financial decisions, says many factors drive this trend. For one, she says, “families are complicated these days.” In 1960, 65% of children grew up in a household where the mother was the homemaker and the father was the breadwinner. As of 2012, only 22% of children grew up this way, according to a report for the Council on Contemporary Families. Additionally, 25% of parents living with a child in the U.S. are unmarried and 35% of unmarried parents are cohabitating, according to Pew Research Center. Since families are no longer a unit that solely depends on one person’s income, sharing one bank account can make less sense. The gender wage gap sometimes plays a role, too. This generation of women still earns less than men, but they earn more than previous generations did. Nearly half of employed women, 49%, say they are the breadwinners in their family, meaning they don’t have to rely on a partner’s income for financial stability. And a lot of them want to retain that independence.

Families are complicated these days. Joanna Pepin University of Maryland

Many women have also experienced the unpleasantness that can result when money gets mingled. “Seeing family members go through financial stress because of their money being tied up with another person is an added layer of stress that I always observed,” says Na’puti. Many couples Pepin interviewed also cited student debt as a reason for keeping finances separate. “They don’t want to take on the financial burden of their partner’s student loans or they want to protect their partner from taking on theirs,” she says. Merging income also becomes less convenient as fewer couples marry and more couples live together. “Couples are likely keeping their finances separate when they cohabitate, so it would be counter-intuitive to change what is working,” Pepin says. Here are four tips experts say can help you handle money in your relationship if you plan to maintain separate accounts.

Communicate clearly to reduce conflict

Dr. Emily Garbinksy, a marketing professor at the University of Notre Dame who studies financial decision-making within romantic couples, found that couples experience the same degree of conflict regarding finance whether they pool their money or not. So there’s no one way to guarantee a peaceful relationship, but being open and honest with your partner can help. To lessen the odds of spending-related tension, CPA Tracie Miller-Nobles says couples should lay out a clear budget along with how much debt, savings, and retirement you each have.

Use financial management websites

“Technology has made it a lot easier to split finances,” Pepin says. Crowe and Na’puti use Splitwise, which she calls a “more business-savvy Venmo.” Through Splitwise you can keep a running tab of expenses, and the app will tabulate how much you owe each other. Other useful sites include Settle Up and Splittr.

Come up with a way to split joint expenses

Na’puti is a professor at the University of Colorado Boulder and makes more than Crowe, who represents a local brewery. Because they earn different amounts, Crowe says it is easier to pay for indulgences separately and equally split expenses like rent. Na’puti and Crowe share one credit card for rent, car payments, utilities, and groceries, but they keep individual purchases separate, so they can splurge at their own discretion.

Consider a shared bank account for shared obligations


Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: aditi shrikant
Keywords: news, cnbc, companies, income, pepin, separate, couples, university, bank, shared, financial, accounts, work, crowe, finances, naputi, merging, fewer


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Payments just got a lot easier in China, where no one wanted to accept my cash

He wanted me to pay through QR code — a popular method for payments in China. After much back and forth and me telling him I didn’t have WeChat Pay or AliPay, I handed the cash to the hotel door staff. After seeing a dozen or so customers before me pay with their phone, I asked the cashier if she would accept cash. While this is certainly true, it’s often forgotten that for those of us without a Chinese bank account, it’s the opposite. For me, China has been the most challenging place to get aro


He wanted me to pay through QR code — a popular method for payments in China.
After much back and forth and me telling him I didn’t have WeChat Pay or AliPay, I handed the cash to the hotel door staff.
After seeing a dozen or so customers before me pay with their phone, I asked the cashier if she would accept cash.
While this is certainly true, it’s often forgotten that for those of us without a Chinese bank account, it’s the opposite.
For me, China has been the most challenging place to get aro
Payments just got a lot easier in China, where no one wanted to accept my cash Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: uptin saiidi
Keywords: news, cnbc, companies, wanted, easier, china, cash, accept, alipay, chinese, payments, wechat, payment, lot, pay, phone, bank


Payments just got a lot easier in China, where no one wanted to accept my cash

BEIJING — A few months ago, I got out of a taxi upon arriving at my hotel in Beijing. As mainstream credit cards are uncommon and rarely accepted here, I handed the driver cash.

I couldn’t speak Chinese and he couldn’t speak English. He shook his head fiercely refusing the payment and pointed to his phone. He wanted me to pay through QR code — a popular method for payments in China.

After much back and forth and me telling him I didn’t have WeChat Pay or AliPay, I handed the cash to the hotel door staff. The staff member didn’t have any cash on him to provide change (we decided to let it go), and he then used his personal phone to pay the driver through QR code.

This inconvenient scenario is common for foreigners like myself visiting China — it’s not just with transportation. Even at American staples like Starbucks and 7-Eleven — if you’re not paying by phone, you’re the odd person out.

I visited a Starbucks in Beijing’s touristy and international Sanlitun district. After seeing a dozen or so customers before me pay with their phone, I asked the cashier if she would accept cash. She sighed loudly, called for the manager, who unlocked the drawer of her payment terminal and they both hunted to find the exact change. Inside the drawer, there were no dividers for neatly separating banknotes, as you would find in cash registers outside China — but rather a free-for-all, like a Monopoly board game that was hastily packed up.

The narrative around China’s payment process tends to be that everybody uses their phone and that it’s both advanced and convenient. While this is certainly true, it’s often forgotten that for those of us without a Chinese bank account, it’s the opposite. For me, China has been the most challenging place to get around for the sheer reason that nobody wants to take my cash.

Despite being based in Hong Kong and having a Hong Kong bank account, I haven’t been able to use AliPay or WeChat Pay as the platforms traditionally require a Chinese bank account and phone number.

But that all changed this week when AliPay, run by Alibaba affiliate Ant Financial, and Tencent-backed WeChat Pay announced foreigners in China could now link accounts to Visa and Mastercard.

Last year, there was a total of 141 million inbound visitors to China, up 1.2% compared to a year prior.

Alipay and its partners currently have more than 1.2 billion users. In 2018, AliPay was ranked as the largest non-social networking application worldwide by monthly active users, according to App Annie, an analytics company.

And AliPay and WeChat Pay’s influence is growing. I’ve recently started to notice both payment options available in certain parts of San Francisco’s Bay Area, where Chinese tourists frequent.

Hopefully, China’s mobile payments stay popular for my future trips to China, because there is now a new trend I’ve started to see that could make mobile payments lose steam: Paying with your face, through facial recognition technology.


Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: uptin saiidi
Keywords: news, cnbc, companies, wanted, easier, china, cash, accept, alipay, chinese, payments, wechat, payment, lot, pay, phone, bank


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European stocks higher on China-US trade optimism

European shares traded higher Thursday morning, having touched a four-year high early in the session after China said the world’s two largest economies had agreed to cancel additional tariffs imposed in their months-long trade war. Commerce ministry spokesman Gao Feng said that the cancellation would be important for the two sides to reach a “phase one” trade deal, Reuters reported. Sources told Reuters on Wednesday that the signing of the long-awaited “phase one” deal could be delayed until Dec


European shares traded higher Thursday morning, having touched a four-year high early in the session after China said the world’s two largest economies had agreed to cancel additional tariffs imposed in their months-long trade war.
Commerce ministry spokesman Gao Feng said that the cancellation would be important for the two sides to reach a “phase one” trade deal, Reuters reported.
Sources told Reuters on Wednesday that the signing of the long-awaited “phase one” deal could be delayed until Dec
European stocks higher on China-US trade optimism Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: elliot smith chloe taylor, elliot smith, chloe taylor
Keywords: news, cnbc, companies, traded, higher, optimism, bank, rates, having, european, stocks, reports, mpc, chinaus, deal, shares, phase, trade


European stocks higher on China-US trade optimism

European shares traded higher Thursday morning, having touched a four-year high early in the session after China said the world’s two largest economies had agreed to cancel additional tariffs imposed in their months-long trade war.

The pan-European Stoxx 600 was up 0.25% by late morning, slightly paring earlier gains which saw the European blue chip index hit its highest point since July 2015. Bank stocks jumped 1.3% to lead gains while utilities slid 1.1%.

China’s Commerce Ministry said Thursday that Washington and Beijing had over the past two weeks agreed to a phased removal of duties on billions of dollars’ worth of each other’s goods.

Commerce ministry spokesman Gao Feng said that the cancellation would be important for the two sides to reach a “phase one” trade deal, Reuters reported.

Sources told Reuters on Wednesday that the signing of the long-awaited “phase one” deal could be delayed until December. Investors had been hoping that the preliminary deal, which could lift some pressure from the global economy, may be signed as early as this month.

According to reports, the location of a meeting where U.S. President Donald Trump and Chinese leader Xi Jinping would sign the deal has added an obstacle to proceedings. Reuters said Wednesday that London was now being floated as a possible venue.

Asian shares traded in mixed territory Thursday on the back of the earlier reports. MSCI’s broadest index of Asia-Pacific shares, excluding Japan, dipped 0.3%, with many of the region’s indexes hovering around the flatline.

Back in Europe, the EU trimmed its 2019 growth forecasts for the euro zone, projecting that GDP (gross domestic product) for the 19-member area will grow by 1.1% in 2019, having forecast 1.2% growth in July.

The Bank of England’s Monetary Policy Committee (MPC) is set to make a decision on interest rates on Thursday. The central bank is widely expected to keep rates steady ahead of the U.K.’s general election in December, having held rates at its last MPC meeting in September, bucking the rate-cutting trend seen among central banks globally.


Company: cnbc, Activity: cnbc, Date: 2019-11-07  Authors: elliot smith chloe taylor, elliot smith, chloe taylor
Keywords: news, cnbc, companies, traded, higher, optimism, bank, rates, having, european, stocks, reports, mpc, chinaus, deal, shares, phase, trade


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