7 top firms, 7 problems, errors or set-backs

No less than 7 top firms have gone / are going through difficulties of one kind or another - and that's in addition to the 'normal' issues banks are having related to regulation, capital requirements and the malaise in fixed income.

Bank of America - it just didn't add up

Bank of America last week suspended a dividend increase and $4bn of planned share repurchases because of an error in its stress-test submission to the Federal Reserve.

Bank of America makes embarrassing error

Barclays - an investment banking problem

The firm is trying to re-invent itself and right-size its investment bank. Barclays is due to unveil a group strategy update for institutional investors and analysts on Thursday, when the scale of likely job losses is thought likely to be revealed.

Barclays profits dragged down by investment bank slump

BNP Paribas / Credit Suisse - a very taxing problem

Credit Suisse is said to be in talks with the U.S. Justice Department to pay as much as $1.6bn to resolve an investigation into the bank's role in helping Americans evade U.S. taxes.

BNP Paribas has indicated that it may have to pay a fine of at least $1bn in a related matter.

U.S. Attorney General Eric Holder has said his department is readying criminal cases against unnamed banks.

Citigroup - a little local difficulty

Citi revealed in March that is had sustained a $400m fraud at its Mexican banking unit Banamex.

More Citi employees to face discipline

PIMCO - outflows must be painful

The flight from the Pimco Total Return Fund continued apace in April with investors withdrawing another $3.1 billion, the 12th straight month of outflows from the world's largest bond fund, run by Bill Gross.

The fund has now seen a total of $55.26 billion in net outflows since last May, according to Morningstar data.

'Bond King' no more ? Investors flee Pimco fund

Royal Bank of Scotland - the onus on the bonus

Ross McEwan, the boss of Royal Bank of Scotland warned last week that he was concerned he might lose key staff as a result of the government's refusal to back its bonus plans for 2014.

McEwan gave his first comments on the decision by the government to block RBS proposals to pay bonuses twice the size of salaries, rather than the one times salary imposed by the EU bonus cap.

Royal Bank of Scotland fears losing staff over bonus block





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