StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Chinese Banks - Essay Example

Cite this document
Summary
The article focuses on a tentative program paused by Chinese banks, authorized by the nation’s central bank which would allow people to transfer huge amounts overseas. The program faced media criticism as it would negatively affect China’s financial system…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER94% of users find it useful
Chinese Banks
Read Text Preview

Extract of sample "Chinese Banks"

Chinese Banks Halt Experimental Yuan-Remittance Program The article focuses on a tentative program paused by Chinese banks, authorized by the nation’s central bank which would allow people to transfer huge amounts overseas. The program faced media criticism as it would negatively affect China’s financial system. It ministered money laundering through the Bank of China and helped clients disguise their source of wealth. The allegations focused mainly on politicians involved in corruption scandals, who tried to move their illegally acquired assets abroad.

The rules allowed for the movement of $50000 a year out of the country, but the provisional program permitted the transfer of unlimited amounts. Halting the business discouraged government reform efforts but of late the Bank of China has been offering Yuan remittance services to limited-loaded clients who have been researched to determine their source of monies. Banks Earnings Give Stocks a BoostCitigroup’s high earnings jump-started the stock market raising the market indexes. In spite of improved U.S. economic data, optimistic investors kept a view of other foreign stock markets and oversaw improved results in the second-quarter earnings.

Big banks recorded an increase in their share earnings despite being hit by litigation costs, declined trade, and a frail mortgage market. Citigroup recorded the highest rise in shares up from $.42 to $48.42 followed by J.P. Morgan Chase 3% and Goldman Sachs 1.3%. Investors thus gained confidence from the report, and their reaction helped the Dollar gain against the Yen and ease on the euro. A wave of Cash Returns to AustraliaHardly anyone thought capital would return to Australia after it flowed out but with the completion of the mining business; the Australian dollar has since been boosted, and government bonds have lowered.

Investors will have a bumpy return in the market due to low-interest rates and low vitality. The dollar has highly been driven by the search for yield raising it from 8% to 15%. Japanese firms are the leading investors in the high-yielding Australian market whereby they sell their low-yielding Japanese investments in search of a high-yielding currency. The sluggish domestic economy brought about the drop in Australian bond yields and statements from the central bank that low-interest rates would carry on for long-to-back growth causing persistent low-interest rates.

Despite growth from the financial crisis in 2008, the Australian government bond market is still small though demand for the bonds remains high. AIG’s Chief Gets a Small Salary BumpThe article centers on incoming AIG chief executive, Peter Hancock’s salary, a former banker who succeeded Robert Benmosche. He will be offered a slight increase in salary from $1.5 million to $1.6 million annually. His salary is almost the same as that of his competitors in other insurance firms such as MetLife's top cop, Steven Kandarian, who receives a base salary of $1.

2 million annually. The insurance company is in its recovery stage after paying a government bailout of $182 billion, but it remains a top insurance company globally. He is expected to the company’s strategic plans and has stressed higher prices, exit from unprofitable ventures, and improving organizations' equipment as their main goal. He also emphasized the flexibility of the pay issue as a drive to keep the company competitive. Trading Doldrums Won’t Sink Morgan Stanley, Goldman SachsThe article concentrates on the two companies where there is expected to be a drop of about 20% to 25% in their trading revenues in the second quarter.

Unlike Goldman, Morgan Stanley is in a better position as its trading produced about 27% having generated that from equities. Goldman's dependence on trading came from fixed-income, currency, and commodities thus producing 48%. However, Morgan Stanley is forecast to bolster earnings better if mergers and acquisitions surface but most investors still have faith that both companies are worthy trading businesses. Tough Judge Polices Merger SceneIn the article, tough judge policies merger scene the author describes J.

Travis Laster as someone who has built a name as being tough on bankers regarding the corporate directors they offer advice. Born in Beirut, Lebanon, the graduate University of Virginia law school presided over high-profile disputes thus disapproving boards he viewed as careless, ripped contradictory advisers, and paused dealings he viewed as discriminating. An example of a case he has acted upon is that involving Barclays Bank where he criticized the bank for trying to earn higher fees by manipulating the sale process of Del Monte Foods Co.

Barclays was consequently fined $23.7 million, and he remains defiant despite criticism from the media. He succeeded suing Loral Space & Communication after the company issued $300 million preferred stock to a large shareholder. His hard work and determination has helped in maintaining integrity of the system and has shaped the view that judges can act boldly and write wrongs.ReferencesArticlesChinese Banks Halt Experimental Yuan-Remittance ProgramBanks Earnings Give Stock a BoostWave of Cash Returns to AustraliaAIG’s Chief Gets a Small Salary BumpTrading Doldrums Won’t Sink Morgan Stanley, Goldman SachsTough Judge Polices Merger Scene.

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“News paper summary Essay Example | Topics and Well Written Essays - 500 words - 5”, n.d.)
News paper summary Essay Example | Topics and Well Written Essays - 500 words - 5. Retrieved from https://studentshare.org/miscellaneous/1652737-news-paper-summary
(News Paper Summary Essay Example | Topics and Well Written Essays - 500 Words - 5)
News Paper Summary Essay Example | Topics and Well Written Essays - 500 Words - 5. https://studentshare.org/miscellaneous/1652737-news-paper-summary.
“News Paper Summary Essay Example | Topics and Well Written Essays - 500 Words - 5”, n.d. https://studentshare.org/miscellaneous/1652737-news-paper-summary.
  • Cited: 0 times

CHECK THESE SAMPLES OF Chinese Banks

Chinese Banks Potential to Set Up a New Market in the UK

The paper "Chinese Banks Potential to Set Up a New Market in the UK" highlights that generally, in order to be a reputed financial service provider in the UK market, the management has to furnish the building and other facilities to the industry standards.... In order to attain greater level of operational efficiency and to sustain their operations, banks need to attract huge amounts of deposits.... Although lending is a potential way to improve the profitability of banking operations, careless and excess lending would challenge the long term sustainability of banks....
15 Pages (3750 words) Essay

Banks in Emerging Markets Weathered the Recent Financial Crisis

The author of the paper "Banks in Emerging Markets Weathered the Recent Financial Crisis" will begin with the statement that way back in 2005-2006 when Chinese Banks decided to go public, the entire underwriting operation was overseen by financial giants of the western hemisphere.... The prospectus issued by the erstwhile government-owned Chinese Banks were full of terms that are used in the free market and industrially well-developed western economies....
4 Pages (1000 words) Essay

Service Recovery in Consumer Banking

The paper "Service Recovery in Consumer Banking" highlights that both the Chinese and local banks handle service failure in the same manner – through the provision of excellent customer service.... Some of the respondents said that they approach the bank manager to complain about the service failure....
57 Pages (14250 words) Dissertation

Service recovery in consumer banking in China

This research 'Service recovery in consumer banking in China' focuses on service recovery and its effects on customer retention, focusing on the experiences of local and Chinese Banks, and the satisfaction with the service recovery strategies.... The results of the study showed that the attitudes of front-line employees contribute greatly to the success of service recovery strategies employed by Chinese and local banks.... Moreover, the study also showed that the effectiveness of the same positively influenced the intention of the customers to stay with the banks....
36 Pages (9000 words) Dissertation

Key Components of Interest Rate Risk and Approaches of Risk Management for Chinese Banks

This research analyzes the key components of interest rate risk and evaluates the approaches of risk management for Chinese Banks.... Analysis of the Key Components of Interest Rate Risk and Evaluate the Approaches of Risk Management for Chinese Banks ... Similar to any other banking system, as the contemporary Chinese Banks also incorporate various volatile products and services such as variable interest rate and inserted options, weighted approach facilitates the policy makers to capture the dynamism in the interest rate, even in the short run and accordingly arrive at a definite result, based on which they can incorporate better controlling measurements (Fung Global Institute, 2015)....
10 Pages (2500 words) Essay

Asset Liability Management in Commercial Banks

According to the Chinese Banks, the appreciation of Renminbi tends to reduce their entity value.... The current coursework "Asset Liability Management in Commercial banks" is aimed to provide a guideline on the asset-liability management and the factors that affect the interest rates movement.... In a global economy, banks are the vital part, and asset-liability management is the essence of banking.... According to the text, more specifically the purpose of this dissertation is to examine how the banks respond to the interest rate risks....
41 Pages (10250 words) Coursework

Banks in Emerging Economies

This paper ''Banks in Emerging Economies'' tells that Way back in 2005-2006 when Chinese Banks decided to go public, the entire underwriting operation was overseen by financial giants of the western hemisphere by these erstwhile government-owned Chinese Banks were full of terms that are used in the free market.... The scenario has, however, undergone a radical transformation with all those big brothers either forced to close their shops or helped to survive through humongous government bailouts while Chinese Banks are going from strength to strength and have become the largest in the world....
4 Pages (1000 words) Report

Bank Rankings and Ranking Parameters

However, the performance of Chinese Banks has taken the banking industry by surprising in the recent bank rankings conducted by The Banker (2015).... According to the rankings, it emerged that most big banks have lost ground to the Chinese Banks.... However, these major banks slipped in the recent bank rankings by losing ground to Chinese Banks that made significant improvement in terms of performance.... As these major banks were losing their position, the Chinese Banks were making huge gains in the banking industry....
8 Pages (2000 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us