|Bid||25.13 x 4000|
|Ask||25.50 x 2200|
|Day's range||N/A - N/A|
|52-week range||25.82 - 25.82|
|Beta (5Y monthly)||N/A|
|PE ratio (TTM)||N/A|
|Forward dividend & yield||N/A (N/A)|
|1y target est||N/A|
(Bloomberg) -- Wirecard AG expects its provisional insolvency administrator to be appointed shortly as the scandal-hit payment company said its business activities will continue.Once lauded as one of Germany’s most successful up-and-coming businesses, Wirecard filed for insolvency on Thursday after the company said that 1.9 billion euros ($2.1 billion) previously reported as cash on its balance sheet probably doesn’t exist.In a statement on Saturday, the company said its management board believes continuation of operations “is in the best interests of the creditors.” That includes its banking unit, which is currently not part of the insolvency proceedings.“The electronic funds transfer of Wirecard Bank are not affected,” the company said in the statement. “Payouts to merchants of Wirecard Bank will continue to be executed without restrictions.”Wirecard said on Thursday it’s ceding control of funds at its banking unit after Germany’s financial regulator stepped in to prevent the money from being deployed elsewhere at the company. Wirecard Bank AG is not part of that process and BaFin -- as the watchdog is known -- has appointed a special representative for the unit.How German Fintech Darling Wirecard Fell From Grace: QuickTakeThe fallout from the company’s shocking collapse reverberated over the weekend after Germany’s state-owned development bank KfW said it’s facing potential losses of 100 million euros from a credit line that its unit granted the company in September 2018.Other banks are on the hook for about 1.6 billion euros in loans, people familiar with the matter have said. The group of more than a dozen lenders led by ABN Amro Bank NV, Commerzbank AG and ING Groep NV were in negotiations with Wirecard aimed at keeping it afloat and were surprised by the insolvency filing, Bloomberg has reported.Despite claims to continue with business as usual, digital bank Curve temporarily froze services, Financial News reported on Friday, citing a company spokesperson. Curve is one of a number of U.K.-based fintech firms that relied on Wirecard’s services.Also on Friday Financial Conduct Authority, the U.K.’s financial markets regulator, imposed a number of requirements including that it must not dispose of any assets or funds. Wirecard is not supervised by the FCA.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- The Philippine central bank cut its benchmark interest rate by a bigger-than-expected 50 basis points to support an economy facing its worst crisis in decades.Bangko Sentral ng Pilipinas lowered its key rate to 2.25% from 2.75% on Thursday. Only one of the 22 economists in a Bloomberg survey predicted the move, with 12 forecasting no change and the rest expecting a 25 basis-point easing.“The Monetary Board decided that a further reduction in the policy rate amidst a benign inflation environment would help mitigate the downside risks to growth and boost market confidence,” Governor Benjamin Diokno said in a statement.The Philippines is bracing for its deepest economic slump in more than three decades, with a contraction of 2% to 3.4% on the cards for this year. With limited fiscal support, the central bank is taking on the bulk of the stimulus burden in the Southeast Asian nation. It’s cut interest rates now by 175 basis points this year -- lowering by 50 basis-point increments in each of three latest decisions -- slashed reserve ratios for banks and pumped liquidity into the financial system.“Keeping an accommodative stance will further ease the cost of borrowing and ensure ample credit and liquidity in the financial system as the economy transitions toward recovery in the coming months,” Diokno said.The governor had earlier this month signaled his preference for keeping real interest rates above zero, fueling perceptions that there’s limited scope for more easing. With consumer prices rising 2.1% in May from a year earlier, the inflation-adjusted interest rate in the Philippines is now 0.15%.“With the economic outlook dimming, BSP opted to provide fresh stimulus to insulate the economy,” said Nicholas Mapa, a senior economist at ING Groep NV in Manila. “This is likely Diokno’s last move for the year, as he looks to preserve positive real policy rates.”Reserve RequirementThe central bank may have “room to accelerate” reductions to lenders’ reserve requirement ratio, but that depends on the outlook for liquidity and inflation, Deputy Governor Francis Dakila said in a virtual briefing Thursday.The peso closed little changed at 50 per dollar. The currency is among the top performers in emerging markets this year, rising more than 1% against the greenback.The rate cut will have “limited impact” on the peso, which will continue to be firm, said Mitul Kotecha, a senior emerging markets strategist at TD Securities in Singapore. “BSP did not ease reserve requirements, but we think another RRR cut will be forthcoming soon.”The central bank provided updated forecasts on inflation:CPI will average 2.3% in 2020, up from May’s projection of 2.2%Inflation will accelerate to 2.6% in 2021, up from a previous projection of 2.5%Elsewhere in the region, central banks have been driving interest rates down, but at a slightly more gradual pace. Indonesia cut rates last week for the first time in three months, while the Bank of Thailand on Wednesday left its rate unchanged at a record low.(Updates with comments from deputy governor and analyst.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
At 2 AM ET (0600 GMT), the DAX futures contract in Germany traded 0.3% higher. France's CAC 40 futures were down 0.6%, while the FTSE 100 futures contract in the U.K. fell 0.5%. On Thursday around 400 workers at a slaughterhouse in northern Germany tested positive for the virus.
(Bloomberg) -- The European Central Bank reached another trillion-euro milestone in its fight to bolster economies that are seeing years of growth wiped out in months by the coronavirus pandemic.An offer for its ultra-cheap, three-year loans was taken up by 742 banks for a total of 1.31 trillion euros ($1.5 trillion) on Thursday. That’s in line with predictions of 1.2 trillion to 1.5 trillion euros.The loans are intended to ensure banks keep providing credit to companies and households to bolster the economic recovery from the pandemic. They carry an interest rate below zero that means the ECB is paying lenders to lend.The fresh wave of stimulus comes at a time when fear about a potential second wave of Covid-19 infections is stalking investor sentiment.The money also provides funding that could be used to buy higher-yielding assets such as Italian debt, complementing other ECB programs that aim to curb unwarranted market volatility.Read more: Why ECB Crisis Plan Means More Free Money for Banks: QuickTakeThree-month Euribor’s premium over swaps -- a proxy for funding stress -- stayed 2.5 basis points higher at 10 basis points, following the outcome. This left it above the lowest level since March which was set on Wednesday.“This should be taken positively,” said Antoine Bouvet, rates strategist at ING Groep NV. “The main impact is that the additional liquidity reduces overall risk in the system.”Italian bonds pared gains after the 2-year yield briefly fell to the lowest level since March. Three-month Euribor futures contracts which are tied to the funding rate erased their advance.The ECB is fighting to help European economies deal with the biggest contraction in living memory. The institution’s 1.35 trillion euro pandemic purchase program has served as a backstop to euro-zone debt markets, helping boost the appeal of even the riskiest of government bonds. Italy saw the yield on its benchmark bond tumble more than 150 basis points from its highest point in March.Yet Citigroup Inc. estimates that the recent 600 billion-euro increase in asset purchases could fall 150 billion euros short of the bloc’s overall increase in debt supply.Last week alone, sovereigns raised 32 billion euros from the sale of syndicated bonds, pushing total issuance in Europe to 1 trillion euros so far this year. A German auction this week sold the largest amount of 10-year bonds since 2014.Why TLTROs?Isabel Schnabel, the ECB’s board member in charge of market operations, said last week that surveys point to a take-up of around 1.4 trillion euros for its targeted loans, known as TLTROs, which hold offers every three months.Schnabel said in a tweet after the results were published that the operation will add a net 548.5 billion euros in liquidity.“It is certainly a positive development,” said Jaime Costero, rates strategist at UBS Group AG. “This should continue to support, mainly, front-end peripheral rates.”Strong demand should also provide reassurance that the policy remains a viable weapon in the ECB’s arsenal, alongside its emergency bond-buying.The potential significance for wider risk appetite from the TLTRO number has grown in line with concern that the global rebound since March’s lows could have run too far ahead of fundamentals. Any sign that the recovery could face a setback is likely to stand out more starkly against that backdrop.“Just stay long BTPs and if there are set-backs then you use this to add to the position” said Jens Peter Sorensen, chief analyst at Danske Bank A/S, referring to Italian government bonds. “If you cannot buy Italy, then go for Spain.”(Updates with market reaction and comments starting in sixth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
In this article we will quickly re-cap the broker forecasts for Ing Groep Nv (AMS:INGA). The Ing Groep Nv share price has risen by 33.2% over the past month an...
The Ing Groep Nv (AMS:INGA) share price has risen by 19.0% over the past month and it’s currently trading at 6.013. For investors considering whether to buy, h...
(Bloomberg) -- UBS Group AG is setting aside hundreds of millions of dollars of its own money to invest in fintech companies, joining peers in financing startups that are upending traditional banking.The Swiss wealth manager is planning a corporate venture capital fund to make investments between $10 million and $20 million in dozens of companies, according to a person familiar with the matter. UBS plans to hold the stakes for at least five years, the person said, asking for anonymity because details haven’t been finalized.A UBS spokeswoman confirmed the bank is starting such a fund, while declining to comment on specifics.The venture fund comes just months after UBS named ING Groep NV’s Ralph Hamers, an outspoken champion of digital banking, to succeed Sergio Ermotti as chief executive officer from October. While wealth management -- UBS’s biggest business -- is traditionally a high-touch operation, with clients valuing personal contact, the coronavirus pandemic has accelerated a shift toward digital services.“UBS wants to further engage with and support fintech firms,” said Mike Dargan, UBS’s Global Head Group Technology. “The new venture investment portfolio is a next step to accelerate our innovation and digitization efforts.”Read more: UBS Names Outsider Hamers to Succeed CEO ErmottiThe new fund will look at three broad categories to invest in: client engagement, investing and financing platforms, and improving underlying operations of the bank. While it is already screening potential investments, the bank is still in the process of hiring a team dedicated to run the fund, the people said.More digital tools are a key part of a revamp plan for UBS’s wealth unit unveiled earlier this year. The bank wants to use them to save time on administrative tasks and cut costs, as competition for rich clients and a flight to cheaper, passive investment products erode profitability.Globally, U.S. banks have been at the forefront of spending on fintech, according to Bloomberg Intelligence. The firms are generally more profitable and can afford to plow large sums into such efforts. UBS’s Zurich rival Credit Suisse Group AG invests in fintech through its entrepreneur capital arm.U.S. Big Banks Drive Virtuous Cycle With Tech SpendingUBS is also looking to use technology to make inroads in the Chinese wealth market. The bank is in the process of acquiring a digital fund distribution license, which would provide a plain-vanilla fund offering to rich Chinese customers. Over time, UBS plans to use such a digital license to move into advisory and on-boarding of new wealth clients, according to Edmund Koh, UBS’s head for the Asia Pacific region.A previous effort by UBS in this area flopped. A 2017 internal project in the U.K. called SmartWealth was shut down a year later.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The Ing Groep Nv (AMS:INGA) share price has risen by 4.88% over the past month and it’s currently trading at 4.9915. For investors considering whether to buy,...