The Should-Be Solution to the Student-Debt Problem

With more than 7.5 million student loan borrowers in default and nearly 2 million others seriously behind on their payments, there’s little question that the handful of federal programs designed to help struggling borrowers pay what they can afford aren’t working for everyone. The idea is simple: Borrowers make payments based on how much money […]

How to Invest When the Market Can’t Make Up Its Mind

Stocks have been even more fickle than usual. The main stock indexes are all up this month, and they have had double-digit gains since January. But it has been hard for traders to muster much enthusiasm. Despite the recent rallies, stocks haven’t made substantial net gains since the beginning of last year. For the American […]

It’s Tax Time Again for the Millions Who Got an Extension

Back in the spring, millions of Americans asked for and received six additional months to file their federal income tax returns. Now, the extension is almost up. The new deadline is Tuesday. “Time is running out,” said Lance Christensen, a tax partner at Margolin, Winer & Evens in Garden City, N.Y. “They have to file.” […]

Italy's Del Vecchio calls on Mediobanca to grow through M&A

MILAN (Reuters) – Mediobanca’s third-biggest investor Leonardo Del Vecchio called for it to get bigger through acquisition on Friday, stepping up his questioning of the Italian merchant bank’s strategy. FILE PHOTO: Milan’s business district skyline is seen from downtown Milan, Italy , January 13, 2016. REUTERS/Stefano Rellandini/File Photo The 84-year-old billionaire bought a 7% stake […]

Brexit extension, election still most likely, says UBS

FILE PHOTO: Pound Sterling notes and change are seen inside a cash resgister in a coffee shop in Manchester, Britain, Septem,ber 21, 2018. REUTERS/Phil Noble LONDON (Reuters) – UBS Wealth Management said on Friday it still expects the UK government to ask for an extension to the deadline for exiting the European Union and to […]

Elliott ranks as busiest activist hedge fund in third quarter, again

BOSTON (Reuters) – Elliott Management, Paul Singer’s $35 billion hedge fund, kept up its blistering pace of pushing for corporate changes during the third quarter, outspending all rivals with campaigns at AT&T and Marathon Petroleum Corp , data released on Friday showed. The firm committed $5.2 billion in new capital during July, August and September, […]

How a Legal Battle in the Digital Age Can Go Terribly Wrong

John Howe runs a small hedge fund in Connecticut. In the wake of the financial crisis, he took over a portfolio of underperforming loans, offering the debtors a choice: They could hand over their property, and he would release them from their personal guarantee. Or he would pursue them in court. But his attempt to […]

Yields rise on heavy supply at auction and trade hopes

NEW YORK (Reuters) – U.S. Treasury yields rose on Wednesday, a day that saw a flood of supply and on optimism for progress in U.S.-China trade negotiations that begin in Washington on Thursday. On Wednesday, the market absorbed a $24 billion reopening of 10-year notes and on Thursday a $16 billion reopening of 30-year bonds […]

Fund investors dump U.S. stocks as recession worries mount

NEW YORK (Reuters) – Investors retreated from the U.S. stock market by unloading nearly $11.8 billion from mutual funds and exchange traded funds that hold domestic equities last week, as concerns about the strength of the U.S. economy mounted, according to data released by the Investment Company Institute on Wednesday. The $11.8 billion in outflows […]

Exxon names BAML to run Malaysia asset sales: sources

LONDON (Reuters) – Exxon Mobil Corp has appointed Bank of America Merrill Lynch to run the sale of its Malaysian oil and gas assets as the U.S. firm accelerates a vast disposal program, banking and industry sources said. FILE PHOTO: A logo of the Exxon Mobil Corp is seen at the Rio Oil and Gas […]

Consulting firm Sionic hires Monahan to run asset servicing unit

NEW YORK (Reuters)<?xml version=”1.0” encoding=”utf-16”?> – Sionic has hired James Monahan from Morgan Stanley to run the consulting firm’s new global asset servicing team, according to a statement on Tuesday. Monahan was previously co-head of Morgan Stanley’s global institutional asset servicing line teams, and is a specialist in operations and risk management, Sionic added. Reporting […]

Swiss banks see growth shifting to EU if no treaty is struck

GENEVA (Reuters) – Swiss banks will have to shift more operations to the European Union if Switzerland fails to secure a treaty with the trading bloc, Geneva private bankers said on Tuesday. After four years of talks, a deal defining Switzerland’s relationship with the EU remains in limbo, with concerns about preserving Swiss sovereignty holding […]

Germany's Aareal conducts strategic review following calls from investor

FRANKFURT (Reuters) – German real estate lender Aareal said on Monday it had embarked on a strategic review following calls from an activist investor to consider the sale of its software unit Aareon. Hermann Merkens, Aareal’s chief executive officer, wrote in a letter to the shareholder, Teleios Capital Partners, that Aareon was a “key pillar” […]

Schroders, Lloyds wealth venture appoints former IG Group boss as CEO

LONDON (Reuters) – Schroders Personal Wealth (SPW), a joint venture between Schroders and Lloyds Banking Group, said on Monday it has appointed former IG Group executive Peter Hetherington as chief executive officer. Hetherington will replace James Rainbow, who led the business in its launch phase and now becomes head of UK distribution and Latin America […]

KKR seeks $1.5 billion for third special situations fund: sources

FILE PHOTO: Trading information for KKR & Co is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, U.S., August 23, 2018. REUTERS/Brendan McDermid/File Photo (Reuters) – U.S. private equity firm KKR & Co Inc is seeking to raise $1.5 billion for its third special situations fund, people […]

Average Weekly Allowance? It’s $30, a New Survey Finds

If you think an allowance is a dollar bill or two handed to your child each week, think again. Two-thirds of parents give their child an allowance, and the average weekly amount is $30, according to a survey published this week by the American Institute of Certified Public Accountants. That’s up from $17 in 2016, […]

Medicare Shopping Season Is Almost Here

If you’re enrolled in Medicare but worry about the cost of health care, your chance to do something about it is right around the corner. Most people enroll in Medicare when they become eligible at age 65. But every fall, they have the opportunity to change their coverage during an enrollment season that runs from […]

Your Money: U.S. tax reform further complicates federal student aid form

NEW YORK (Reuters) – U.S. tax reform is finally catching up with the college financial aid process, and the synchronization is off to a rocky start. FILE PHOTO: Students take their seats for the diploma ceremony at the John F. Kennedy School of Government during the 361st Commencement Exercises at Harvard University in Cambridge, Massachusetts […]

U.S. stock funds post second straight weekly outflow

FILE PHOTO: Traders work on the floor at the New York Stock Exchange (NYSE) in New York, U.S., August 6, 2019. REUTERS/Brendan McDermid/File Photo (Reuters) – U.S. equity funds saw $7.9 billion in outflows in the last week, the second consecutive weekly drawdown, as bond and money market funds drew money, according to data released […]

Banker defections pose challenge for Credit Suisse's Thiam

ZURICH/HONG KONG (Reuters) – The announcement by Julius Baer this week that it had hired five senior bankers from Credit Suisse underscores the challenge facing Chief Executive Tidjane Thiam as he seeks to reassure staff and investors in the wake of a spying scandal. FILE PHOTO: Swiss bank Credit Suisse CEO Tidjane Thiam waits for […]

At Harvard B-School, lessons for impact investors

NEW YORK (Reuters) – Harvard Business School is known for guiding the next generation of financial leaders through compelling case studies in management, innovation and global intelligence. Now the curriculum includes impact investing, which incorporates positive environmental, social and governance values into investment decisions. Vikram Gandhi poses in an undated handout photo provided by Harvard […]

Investors retreat from U.S. stock funds amid impeachment inquiry

Traders work on the floor at the New York Stock Exchange (NYSE) in New York, U.S., October 2, 2019. REUTERS/Brendan McDermid NEW YORK (Reuters) – Investors pulled nearly $14 billion out of mutual fund and exchange-traded funds that hold U.S. stocks last week, ending what had been the largest surge into domestic stock funds since […]

Brexit: Deutsche Bank still sees 50% chance of no-deal by year-end

FILE PHOTO: The logo of Deutsche Bank is pictured in London, Britain July 8, 2019. REUTERS/Simon Dawson/File Photo LONDON (Reuters) – Deutsche Bank said on Wednesday it still sees a 50% chance that Britain will leave the European Union without a deal by the end of the year following a general election, but said there’s […]

Low-Cost Investing Can’t Get Any Lower Than Free

Charles Schwab said Tuesday that it would allow customers to trade stocks and exchange-traded funds for free, ramping up the intensity of brokers’ fight for the average investor’s dollars. The cost of investing has been steadily falling, and Peter Crawford, Schwab’s chief financial officer, acknowledged in a statement that the elimination of trading commissions had […]

Credit Suisse clears its CEO in spying scandal that rocked Swiss banking

ZURICH (Reuters) – Credit Suisse (CSGN.S) cleared its CEO on Tuesday of snooping on a star wealth manager in an episode that saw suicide, scandal and espionage invade the secretive world of Swiss private banking. The logo of Swiss bank Credit Suisse is seen at its headquarters at the Paradeplatz square in Zurich, Switzerland October […]

Letter of Recommendation: Stock Trading

As a child, I imagined that I would grow up to become the kind of savvy financial wizard who traded stocks and bonds from his top-floor corner office with a swagger that could be mistaken for arrogance. I didn’t necessarily want to be rich, or even affluent, so much as I wanted to behave and […]

How to Avoid Being Fleeced When Using a Credit Card Overseas

If you travel overseas, be warned: Pickpockets really are out to get you. I don’t mean the light-fingered thieves who try to grab your wallet. I am talking about digital pickpockets: hotels, restaurants and shops that systematically overcharge foreigners who use credit and debit cards in their establishments. A few weeks ago, my family ate […]

Banks win dismissal of U.S. lawsuit alleging rigged Mexico bond sales

(Reuters) – A U.S. judge on Monday dismissed a proposed class action lawsuit against several large banks for allegedly rigging the market for Mexican government bonds, according to a court filing. JPMorgan Chase & Co, HSBC Holdings Plc, Citigroup Inc and Bank of America Corp are among 10 financial companies that had been accused in […]

Fed's $200 billion effort holds down repo rate at quarter-end

NEW YORK (Reuters) – An extra $200 billion in cash available to the U.S. banking system on Monday thanks to injections by the Federal Reserve kept a lid on short-term borrowing costs at end of the third quarter, preventing a replay of the chaos that hit money markets nearly two weeks ago. Traders and analysts […]

U.S. repo rate spikes at quarter-end

NEW YORK (Reuters) – The interest rate on U.S. overnight repurchase agreements jumped on Monday as banks and Wall Street are scrambling to fund their loans and trades at the end of the third quarter and before the Federal Reserve’s operation to offer cash into banking system. In early U.S. trading, overnight repo rates were […]

Swiss wealth management group Julius Baer appoints market heads

(Reuters) – Julius Baer said on Monday Patrick Prinz and Ettore Bonsignore will be joining the Swiss wealth management group as market heads, effective Oct. 1. Prinz will serve as the market head for Germany and Austria, while Ettore Bonsignore will work as the head of Italy. Prinz was most recently the head of private […]

Exclusive: Hedge fund D.E. Shaw to push for break-up of Emerson – sources

FILE PHOTO: A worker assembles an industrial valve at Emerson Electric Co’s factory in Marshalltown, Iowa, U.S., July 26, 2018. REUTERS/Timothy Aeppel/File Photo (Reuters) – Hedge fund D.E. Shaw & Co is building a stake in Emerson Electric Co (EMR.N) and is planning to push for changes, including a potential split-up of the U.S. industrial […]

Two-Thirds of College Students Take On Debt, but Amount Is Rising More Slowly

America’s student debt is growing more slowly, but borrowing remains a fact of life for most students. The average burden for indebted college graduates is now nearly $30,000, a new analysis found. Two in three students who earned bachelor’s degrees from private nonprofit or public colleges in 2018 had student loans — roughly the same […]

Precious metals net second biggest weekly inflows on record: BAML

LONDON (Reuters) – Precious metals enjoyed their second biggest inflows in the week to Wednesday, Bank of America Merrill Lynch said on Friday, as festering trade tensions and global growth woes triggered a rush for safe haven assets. A total of $2.8 billion was sucked into precious metal funds during the week, while bond funds […]

Australia's AMP under pressure as pension clients exit

SYDNEY (Reuters) – Australia’s AMP Ltd (AMP.AX) has lost at least one major pension contract while other companies are reviewing their relationship with the wealth manager, which has struggled to stem a client exodus following revelations of serious misconduct. FILE PHOTO: The logo of AMP Ltd adorns their head office located in central Sydney, Australia, […]

SEC adopts new rules to level playing field for ETF providers

NEW YORK (Reuters) – The Securities and Exchange Commission on Thursday said it would adopt a new rule to modernize how exchange-traded funds (ETFs) are brought to the market and their regulation. FILE PHOTO: The U.S. Securities and Exchange Commission logo adorns an office door at the SEC headquarters in Washington, June 24, 2011. REUTERS/Jonathan […]

U.S. investors prepare for drawn-out House impeachment proceedings

NEW YORK (Reuters) – Investors are starting to prepare for a long U.S. impeachment process that could drag into 2020. The decision by the House of Representatives to begin impeachment inquiries that could end in a vote to remove President Donald Trump from office added more uncertainty to a stock market that is already struggling […]

Wealth manager Moneyfarm wins Poste Italiane, Allianz backing

LONDON (Reuters) – Digital wealth management company Moneyfarm said on Thursday it had raised 36 million pounds ($44.4 million) from Poste Italiane and Allianz Asset Management in its latest funding round. Moneyfarm also said it plans a strategic partnership with Poste Italiane that will see the financial technology company’s digital investment advice and managed investment […]

Your Money: How to make seniors smarter about financial scams

NEW YORK (Reuters) – If you are seriously ill and homebound, or starting to be prone to forgetfulness, do you have someone you trust with your ATM code to run out and get you some cash? FILE PHOTO: Elderly people sit on a park bench after sun set in Encinitas, California, U.S., July 5, 2017. […]

Fidelity fund's big bet on Juul looms large amid controversy

BOSTON (Reuters) – Juul Labs Inc has become one the biggest bets in the portfolio of Fidelity’s $28 billion Blue Chip Growth Fund, whose exposure to the troubled e-cigarette maker has climbed to $761 million amid a regulatory backlash and departure of its top executive. Signage for Juul vaping products is seen on a storefront […]

Timeline: Significant events in the history of Juul

(Reuters) – The following are some significant events in the history of Juul. FILE PHOTO: A store selling Juul vaping products is seen in Los Angeles, California, September 17, 2019. REUTERS/Lucy Nicholson 2007— Stanford design graduates James Monsees and Adam Bowen found Ploom Inc, drawing from their thesis project on a new kind of cigarette. […]

Factbox: U.S. lawsuits take aim at vaping

(Reuters) – Several deaths and potentially hundreds of illnesses tied to e-cigarettes, which allow users to inhale nicotine vapor, often flavored, without smoking, have been reported by U.S. health agency. Lawsuits on behalf of young consumers have been filed against e-cigarette maker Juul Labs Inc and others are expected amid increasing scrutiny. FILE PHOTO: A […]

Your Money: How to use ETFs as a buffer in volatile markets

NEW YORK (Reuters) – When it comes to investing, how much are you willing to put on the line for the biggest possible gains? If bumpy markets are making you nervous, there is a middle ground emerging between being all-in or sitting on the sidelines. A trader works on the trading floor at the New […]

Overtime Pay Eligibility Is Widened in New Federal Rule

The Labor Department announced Tuesday that it had finalized a rule expanding overtime pay eligibility to up to 1.3 million workers. Under the new rule, most salaried workers who earn less than about $35,500 per year will be eligible for time-and-a-half overtime pay, up from the current threshold of about $23,700. The rule is scheduled […]