Investors may be placing too much faith in Barclays' McFarlane

Barclays Canary Wharf

Investors may be placing too much faith in John McFarlane to revive earnings at Barclays, according to Investec.

Bloomberg News: 'We fear that ‘strategic acceleration’ may translate into even weaker earnings', Ian Gordon, an analyst at Investec, wrote in a note to clients on Friday, when downgrading his rating on Barclays shares to a sell from hold. 'Not since the halcyon days of the great Sir Bob Diamond have investors apparently been willing to put so much faith in one man'.

'John McFarlane’s track record elsewhere is in our view outstanding, so we understand the broad rationale for investor enthusiasm', Gordon wrote. 'However, we believe Barclays’ relatively weak capital restricts its options'.

Barclays May See Weaker Earnings Under McFarlane, Investec Says

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