What Happened in the Financials Sector Last Week?

1 2 3
Part 2
What Happened in the Financials Sector Last Week? PART 2 OF 3

US Banks Could See Higher M&A due to Lighter Rules

US banks could see higher M&A activity

Since the financial crisis, investment banking activity in the US financial sector (XLF) suffered due to stricter rules on banks (VFH) with more than $50 billion in assets. Moreover, the stern enforcement of rules restricted banks with compliance issues from expanding. This is set to change with a bipartisan bill that will raise the threshold assets to $250 billion. The bill is expected to be passed by the US Senate in coming weeks. An easing of financial rules will likely result in a rise in mergers and acquisitions among mid-sized US banks. Regulators are also likely to expedite the deal approvals process and relax some compliance issues.

 US Banks Could See Higher M&amp;A due to Lighter Rules

Interested in C? Don't miss the next report.

Receive e-mail alerts for new research on C

Success! You are now receiving e-mail alerts for new research. A temporary password for your new Market Realist account has been sent to your e-mail address.

Success! has been added to your Ticker Alerts.

Success! has been added to your Ticker Alerts. Subscriptions can be managed in your user profile.

Citigroup to refund $335 million to credit card customers

Citigroup (C) will refund $335 million to US customers after it was discovered that it overcharged nearly two million credit card accounts due to an error in the calculation of annual interest. The bank has about 150 million credit card accounts. Citigroup caught the error while reviewing its internal accounts as mandated under federal law. The issue is a setback to the bank, as it has plans to expand its credit-card business to fuel its overall growth.

Goldman Sachs raised $2.5 billion to buy stakes in PE firms

Goldman Sachs (GS) raised $2.5 billion to buy minority stakes in private-equity firms. The bank sees rising opportunities in the space as more businesses choose to stay private.

U.S. Bancorp’s ratings are under review

After the imposition of $613 million in penalties by US regulatory bodies, Moody’s Investors Services is considering downgrading U.S. Bancorp’s (USB) long-term ratings.

BB&T hikes dividend

BB&T (BBT), a bank holding company with over 2,000 branches, announced a 13.6% dividend hike to 37.5 cents per share and a one-time dividend.


Please select a profession that best describes you: