Posts Tagged ‘UBS’

Bank Stocks Beware: Bernanke & Fed Support Increasing Capital Requirements

Tuesday, June 7th, 2011

U.S. bank indices fell 2% yesterday after fears that capital requirements would increase as much as 7%.  Bank of America (NYSE: BAC), fell below $11.00, the lowest since last year.  The discussion came about after the Basel Committee on Banking revealed how levered large financial institutions still were, and tried to reconcile levels with future recession risks.  A 7% equity capital raise for most banks would be catastrophic and dilute equity by 50%+, but a 3% raise seems manageable in a functioning economy.  The problem is that the U.S. economy is on life support, and that life support is called Quantitative Easing 2.  Once this support fades on June 30th, how will U.S. banks (at their already low valuations due to real estate risk and put backs) raise new equity capital?  A replay of 2009?  You be the judge.

According to Bloomberg, “The Fed supports a proposal at the Basel Committee on Banking Supervision that calls for a maximum capital surcharge of three percentage points on the largest global banks, according to a person familiar with the discussions.

International central bankers and supervisors meeting in Basel, Switzerland, have decided that banks need to hold more capital to avoid future taxpayer-funded bailouts. Financial stock indexes fell in Europe and the U.S. yesterday as traders interpreted June 3 remarks by Fed Governor Daniel Tarullo as leaving the door open to surcharges of as much as seven percentage points.

“A seven percentage-point surcharge for the largest banks would be a disaster,” said a senior analyst at Barclays Capital Inc. in NY. “It will certainly restrict lending and curb economic growth if true.”

Basel regulators agreed last year to raise the minimum common equity requirement for banks to 4.5 percent from 2 percent, with an added buffer of 2.5 percent for a total of 7 percent of assets weighted for risk.

Basel members are also proposing that so-called global systemically important financial institutions, or global SIFIs, hold an additional capital buffer equivalent to as much as three percentage points, a stance Fed officials haven’t opposed, the person said.

Bank Indexes Fall

The Bloomberg Europe Banks and Financial Services Index fell 1.45 percent yesterday, while the Standard & Poor’s 500 Index declined 1.1 percent. The KBW Bank Index, which tracks shares of Citigroup Inc., Bank of America Corp., Wells Fargo. and 21 other companies, fell 2.1 percent.

In a June 3 speech, Tarullo presented a theoretical calculation with the global SIFI buffer as high as seven percentage points.

“The enhanced capital requirement implied by this methodology can range between about 20% to more than 100% over the Basel III requirements, depending on choices made among plausible assumptions,” he said in the text of his remarks at the Peter G. Peterson Institute for International Economics in Washington.

In a question-and-answer period with C. Fred Bergsten, the Peterson Institute’s director, Tarullo agreed that the capital requirement, with the global SIFI buffer, could be 8.5 percent to 14 percent under this scenario. A common equity requirement of 10 percent is closer to what investors are assuming.

‘Across the Board’

“I think 3 percent is where everyone expected it to come out,” Simon Gleeson a financial services lawyer at Clifford Chance LLP, said in a telephone interview. “If it is 3 percent across the board then it will be interesting to see what happens to the smallest SIFI and the largest non-SIFI” on a competitive basis, he said.

U.S. Treasury Secretary Geithner, in remarks yesterday before the International Monetary Conference in Atlanta, said there is a “strong case” for a surcharge on the largest banks. Fed Chairman Bernanke is scheduled to discuss the U.S. economic outlook at the conference today.

“In the US, we will require the largest U.S. firms to hold an additional surcharge of common equity,” Geithner said. “We believe that a simple common equity surcharge should be applied internationally.”

Distort Markets

Financial industry executives are concerned that rising capital requirements will hurt the economy, which is already struggling with an unemployment rate stuck at around 9 percent.

Higher capital charges “will have ramifications on what people pay for credit, what banks hold on balance sheets,” JPMorgan Chase & Co. chairman and chief executive officer Jamie Dimon told investors at a June 2 Sanford C. Bernstein & Co. conference in New York.

The Global Financial Markets Association, a trade group whose board includes executives from GS and Morgan Stanley, said the surcharge may apply to 15 to 26 global banks, according to a May 25 memo sent to board members by chief executive officer Tim Ryan.

Dino Kos, managing director at New York research firm Hamiltonian Associates, said the discussion about new capital requirements comes at a time when banks face stiff headwinds. Credit demand is weak, and non-interest income from fees and trading is also under pressure.

Best Result

U.S. banks reported net income of $29 billion in the first quarter, the best result since the second quarter of 2007, before subprime mortgage defaults began to spread through the global financial system, according to the Federal Deposit Insurance Corp.’s Quarterly Banking Profile.

Still, the higher profits resulted from lower loan-loss provisions, the FDIC said. Net operating revenue fell 3.2 percent from a year earlier, only the second time in 27 years of data the industry reported a year-over-year decline in quarterly net operating revenue, the FDIC said.

“You can see why banks are howling,” said Kos, former executive vice president at the New York Fed. Higher capital charges come on top of proposals to tighten liquidity rules and limit interchange fees, while the “Volcker Rule” restricts trading activities. Taken together these imply lower returns on equity, he said.

“How can you justify current compensation levels if returns on equity are much lower than in the past?” Kos said.

S&P 500 2011 Median Target – 1,535, Really?

Friday, March 4th, 2011

Investment bank earnings estimates are truly bullish for 2011.  Applying a 16x-18x multiple to these forward earnings brings you to S&P levels unseen since 2007.  Unfortunately, something not included in these estimates is that for every $10 crude oil increases, S&P earnings fall by $3.  This does not even factor in the fall in consumer confidence when citizens across the globe realize that they are soon going to pay $200 to fill up a mid-sized sedan, once QE3 is unveiled and Middle Eastern governments are overthrown once and for all.  After all this is done for, oil could easily reach $130+ on a supply disruption in Saudi Arabia.

Of course, BofA’s Bianco will not discuss this.  Neither will the analysts at Barclays, who just revised their S&P 500 earnings estimates up from 1,420 to 1,450.

Please view LA’s blog entry to see the S&P earning’s table below.

Predicted
Firm Strategist 2011 Close 2011 EPS RPF Model
Bank of America David Bianco 1,400 $93.00 1,535
Bank of Montreal Ben Joyce 1,300 $89.00 1,469
Barclays Barry Knapp 1,420 $91.00 1,502
Citigroup* Tobias Levkovich 1,300 $94.50 1,559
Credit Suisse Andrew Garthwaite 1,350 $91.00 1,502
Deutsche Bank Binky Chadha 1,550 $96.00 1,584
Goldman Sachs David Kostin 1,450 $94.00 1,551
HSBC Garry Evans 1,320
JPMorgan Thomas Lee 1,425 $94.00 1,551
Morgan Stanley**
Oppenheimer Brian Belski 1,325 $88.50 1,460
RBC Myles Zyblock $88.00 1,452
UBS Jonathan Golub 1,325 $93.00 1,535
Median 1,350 $93.00 1,535
Average 1,379 $92.00 1,518
High 1,550 $96.00 1,584
Low 1,300 $88.00 1,452

UBS Worried About Bonuses

Friday, February 4th, 2011

Swiss bank, UBS announced on Thursday that it would not be announcing it’s 2010 bonuses until next week. UBS executives are concerned that pending bonus values are not sufficient to keep their leading bankers from moving to competing banks. Many European banks have been worried that pay restrictions due to the financial crisis will undermine their ability to compete with U.S. based lenders. UBS’s fear of losing their principal bankers comes at a time when the bank is working to rebuild it’s investment bank in the aftermath of the financial crisis. UBS, one of the hardest hit banks, posted a loss of 34 billion Swiss francs ($36.2 billion) in 2008, forcing the Swiss government to bail them out. UBS Chief Executive Oswald Grübel commented on the situation stating: “The future looks like a balancing act between capital building, dividend payments and employee remuneration,” but also added that “We must pay out top performers competitively.”

Should public sentiment be considered when deciding bonuses? Should the 2010 bonus pool be smaller than usual?

ZURICH—UBS AG will delay payment of bonuses after executives expressed concerns that the pending payouts would be inadequate to retain the top talent it has been hiring to rebuild its investment bank, according to a person familiar with the matter.

This week, the Swiss bank sent a memo to employees saying the announcement of 2010 bonuses would be delayed by a week to Feb. 16. Payments have been delayed from late February to early March.

The delay appears to be due to concerns that the bonus pool won’t be enough to keep UBS’s top bankers from defecting to competing banks, according to a person familiar with the situation. European banks generally have fretted this year that tougher pay restrictions implemented after the financial crisis will crimp their ability to compete when compared with U.S.-based lenders.

Another person attributed the delay to negotiations between top executives of UBS’s investment bank and its board over the size of the bonus pool, which isn’t unique to 2011. Part of what is motivating the board is a desire to book the best possible results, which the bank plans to announce next week, this person said.

The internal grousing over pay at UBS highlights the challenges it faces in rebuilding its investment bank, which was one of the hardest hit during the financial crisis. In 2008, the investment bank posted a loss of 34 billion Swiss francs ($36.2 billion), forcing the Swiss government to step in to bail it out.

Banks across Europe also face greater political heat. Both UBS and Credit Suisse Group still are under the gun in Switzerland, where public sentiment is critical of bank bonuses.

Last April at a shareholder meeting, activist investors tried unsuccessfully to reject UBS’s 2009 bonus plan.

Credit Suisse paid Chief Executive Brady Dougan stock valued at 70 million francs last spring under a bonus plan dating back to 2004. At the bank’s annual general meeting soon afterward, shareholder activists assailed the bank for the payout.

Over the last year, UBS has moved to rebuild the investment bank under the leadership of Carsten Kengeter, whose 13.9 million franc bonus for 2009 raised hackles in Switzerland during a year in which the bank reported a net loss. Chief Executive Oswald Grübel declined to take a bonus that year. Last year, UBS hired 1,300 new staff in the investment bank, with nearly half in fixed income, currency and commodities. It managed to lure away a slate of high-level bankers from rivals.

At UBS’s investor day in November, Mr. Grübel acknowledged that the bank faces a tough task in facing down outrage in Switzerland over bonuses, paying bankers enough to lure them to the bank, and building up its capital cushion to protect the Swiss company from future crises.

“The future looks like a balancing act between capital building, dividend payments and employee remuneration,” Mr. Grübel said at the time. “At the same time, we must pay our top performers competitively.”

During the next four years, UBS aims to increase investment-banking revenue by more than 50% and more than double its pretax profit from 2010 levels, with its fixed-income business at the heart of the planned turnaround.

But after three consecutive quarters of profitability during which UBS rose in the ranks in areas such as initial public offerings and underwriting, the investment bank reported a pretax loss of 406 million francs for the third quarter of last year as client activity waned. As a result, some analysts are skeptical whether UBS will hit its investment-banking targets.

Lazard Operating Revenues Jump 67% Year over Year: Core Investment Banking Coming Back

Sunday, May 9th, 2010

Lazard, famed investment bank and legacy of Bruce Wasserstein recently reported earnings that blew investors away.  Operating revenues jumped 67% from one year earlier.  Lazard advises on mergers & acquisitions, restructurings, and to a lesser extent, capital raisings.  It operates from 40 cities across 25 countries throughout Europe, North America, Asia, Australia, and Central and South America, focusing on two business segments: Financial Advisory and Asset Management (explained below).

According to Bloomberg, “Lazard Ltd., the biggest non-bank merger adviser, rose in New York trading after posting adjusted earnings that beat analysts’ estimates on operating revenue that jumped 67 percent from a year earlier.

The loss for the first three months of 2010 was $33.5 million, or 38 cents a share, compared with a loss of $53.5 million, or 77 cents, in the same period a year earlier, the Hamilton, Bermuda-based company said today in a statement. Adjusted earnings were 46 cents a share, beating the 18-cent average estimate of 12 analysts in a Bloomberg survey.

Lazard’s revenue from advising on mergers and acquisitions climbed from a year earlier even as companies completed a lower value of deals in the quarter. Excluding special charges, the firm’s compensation ratio fell to 60 percent of revenue, compared with 75 percent in the first quarter of 2009.

“The report should give investors a booster shot of confidence on two important fronts,” Oppenheimer & Co. analyst Chris Kotowski said in a note to investors. “First, that the rebound in M&A activity is happening, albeit in fits and starts. Second, that the company is developing discipline around its compensation and other costs.”

Lazard rose 57 cents, or 1.5 percent, to $38.78 at 4 p.m. in New York Stock Exchange composite trading. The shares gained 28 percent last year after falling 27 percent in 2008.

Revenue Increase

Operating revenue rose 67 percent from a year earlier to a first-quarter record of $456.9 million. Operating revenue from financial-advisory services climbed to $269.1 million as fees from advising on both mergers and restructuring jumped more than 50 percent.

Revenue from merger and acquisition and strategic advisory climbed 53 percent from a year earlier to $147.6 million. That’s down 13 percent from the fourth quarter of 2009.

Asset management revenue climbed 78 percent from a year earlier to $183.7 million. Assets under management increased 4 percent to $135 billion from Dec. 31, with net inflows of $3 billion in the quarter.

“Both financial advisory and asset management had their best first quarters ever,” Chief Financial Officer Michael Castellano said in an interview. “We’re continuing to gain global market share in the M&A business.”

Compensation costs climbed 35 percent from a year earlier to $275.5 million. The firm also recorded a one-time $87.1 million expense tied to staff reductions.

‘Right Manpower Complement’

“Over the last two years, in addition to aggressively hiring senior bankers, we’ve also right-sized the firm in both asset management and the financial-advisory business, to make sure we have the right skill sets for the new world,” Castellano said. “I think we’ve now got the right manpower complement to be able to drive growth in both of the businesses.”

Kenneth Jacobs was named chief executive officer in November after the death of Bruce Wasserstein, the preeminent Wall Street dealmaker who took Lazard public in 2005. Jacobs, who has worked at the firm for 22 years, had served as deputy chairman and CEO of North American businesses since 2002, shortly after Wasserstein arrived.

Lazard said last month that Castellano will retire on March 31, 2011. He will be replaced by Matthieu Bucaille, who served as deputy chief executive officer of Lazard Freres Banque in Paris.

Financial Advice

Lazard has been using its restructuring-advisory business to counter weakness in mergers and acquisitions. It was the second-ranked adviser in 2009 bankruptcy liquidations, according to Bloomberg data, and advised debtors or creditors in the top 10 Chapter 11 bankruptcies in 2009.

Companies worldwide completed $358.9 billion of deals in the first quarter, down 25 percent from the same period in 2009 and 52 percent from the first quarter of 2008, data compiled by Bloomberg show.

Lazard was the seventh-ranked financial adviser on announced deals and 12th-ranked on completed takeovers in the first quarter. The firm advised on completed deals totaling more than $33.9 billion, including Kraft Foods Inc.’s acquisition of Cadbury PLC.

Lazard employees own more than a quarter of the firm, excluding the estate of Wasserstein. Because the stakes owned by employees can be converted into common stock, the company reports earnings as though the stakes were fully exchanged instead of treating them as minority interest.

Evercore Partners Inc., the investment bank founded by former U.S. Deputy Treasury Secretary Roger Altman, reported earnings last week that beat analysts’ estimates as advisory revenue climbed from a year ago.

Lazard Business Breakdown

Financial Advisory

The Company offers corporate, partnership, institutional, government and individual clients across the globe an array of financial advisory services regarding mergers and acquisitions (M&A), and other strategic matters, restructurings, capital structure, capital raising and various other corporate finance matters. During the year ended December 31, 2009, the Financial Advisory segment accounted for approximately 65% of its consolidated net revenue. It has operations in United States, United Kingdom, France, Argentina, Australia, Belgium, Brazil, Chile, Dubai, Germany, Hong Kong, India, Italy, Japan, the Netherlands, Panama, Peru, Singapore, South Korea, Spain, Sweden, Switzerland, Uruguay and mainland China.

The Company advises clients on a range of strategic and financial issues. When it advises companies in the potential acquisition of another company, business or certain assets, its services include evaluating potential acquisition targets, providing valuation analyses, evaluating and proposing financial and strategic alternatives and rendering, if appropriate, fairness opinions. It also may advise as to the timing, structure, financing and pricing of a proposed acquisition and assist in negotiating and closing the acquisition. In addition, the Company may assist in executing an acquisition by acting as a dealer-manager in transactions structured as a tender or exchange offer. When the Company advises clients that are contemplating the sale of certain businesses, assets or their entire company, its services include advising on the appropriate sales process for the situation, valuation issues, assisting in preparing an offering circular or other appropriate sales materials and rendering, if appropriate, fairness opinions. It also identifies and contacts selected qualified acquirors, and assists in negotiating and closing the proposed sale. It also advises its clients regarding financial and strategic alternatives to a sale, including recapitalizations, spin-offs, carve-outs, split-offs and tracking stocks.

For companies in financial distress, the Company’s services may include reviewing and analyzing the business, operations, properties, financial condition and prospects of the company, evaluating debt capacity, assisting in the determination of an appropriate capital structure and evaluating and recommending financial and strategic alternatives, including providing advice on dividend policy. It may also provide financial advice and assistance in developing and seeking approval of a restructuring or reorganization plan, which may include a plan of reorganization under Chapter 11 of the United States Bankruptcy Code or other similar court administered processes in non-United States jurisdictions.

When the Company assists clients in raising private or public market financing, its services include originating and executing private placements of equity, debt and related securities, assisting clients in connection with securing, refinancing or restructuring bank loans, originating public underwritings of equity, debt and convertible securities and originating and executing private placements of partnership and similar interests in alternative investment funds, such as leveraged buyout, mezzanine or real estate focused funds. In addition, it may advise on capital structure and assist in long-range capital planning and rating agency relationships.

Asset Management

The Company’s Asset Management business provides investment management and advisory services to institutional clients, financial intermediaries, private clients and investment vehicles around the world. As of December 31, 2009, total assets under management (AUM) were $129.5 billion, of which approximately 82% was invested in equities, 14% in fixed income, 3% in alternative investments and 1% in private equity funds. During 2009, approximately 36% of its AUM was invested in international investment strategies, 46% was invested in global investment strategies and 18% was invested in United States investment strategies. As of December 31, 2009, approximately 89% of its AUM was managed on behalf of institutional clients, including corporations, labor unions, public pension funds, insurance companies and banks, and through sub-advisory relationships, mutual fund sponsors, broker-dealers and registered advisors, and approximately 11% of its AUM, as of December 31, 2009, was managed on behalf of individual client relationships, which are principally with family offices and high-net worth individuals.

The Company competes with Bank of America, Citigroup, Credit Suisse, Deutsche Bank AG, Goldman Sachs & Co., JPMorgan Chase, Mediobanca, Morgan Stanley, Rothschild, UBS, The Blackstone Group, Evercore Partners, Moelis & Co., Greenhill & Co., Alliance Bernstein, AMVESCAP, Brandes Investment Partners, Capital Management & Research, Fidelity, Lord Abbett, Aberdeen and Schroders.

Germany Agrees to Greek Bailout, Finally…As $27 Billion of Greek Loans Need to Be Refinanced

Sunday, April 11th, 2010

April 1, 2010: After months of tribulation and back and forth discussions, Germany admits that it is prepared to give Greece loans at below market rates.  Germany has been criticized for allowing the IMF, a U.S. backed institution to bail out Greece, instead of having the European Union take care of its own constituent.  Greek bonds have been trading at 400+ bps over the rate on German bonds, signaling a 17-20% chance of default.  Many feel that the bonds will not default, including PIMCO, and thus represent a great investment.  In this newest proposal, Germany would work with the IMF to give loans at below market rates, a lifeline for the nation.  Europe will provide more than 50% of the loans.  Greece needs to refinance $27 billion in loans within the next 2 months.

According to Bloomberg, “Germany is prepared to give Greece loans at below-market interest rates, dropping its opposition to subsidies as European finance ministers meet to discuss the terms of a lifeline for the debt-stricken nation, a European government official said.


The loans would be priced above the rate charged by the International Monetary Fund, which would also participate in an EU-led rescue, said the person, who spoke on condition of anonymity. Such an arrangement would satisfy German demands that Greece shouldn’t be given subsidized loans, the person said. EU finance ministers will hold a press conference after a teleconference that starts at 2 p.m. in Brussels today.

German resistance to subsidized loans threatened to hold up efforts to agree on a rescue package for Greece, whose bonds plunged last week. With German Chancellor Angela Merkel balking at the use of taxpayers’ funds, her government has said that the EU should stick to a March 25 agreement that credit to Greece should be at “non-concessional” rates.

“They have to be given some help from Europe or the IMF at concessional rates,” billionaire investors George Soros said in an interview on Bloomberg Radio yesterday in Cambridge, England. “It is a make or break time for the euro and it’s a question whether the political will to hold Europe together is there or not.”

European Commission spokesman Fabio Pirotta couldn’t given an exact time for the press briefing by the eurogroup, which also includes European Central Bank President Jean-Claude Trichet. Ministers may today agree to the formula for calculating the loans, the European government official said.

Terms of Agreement

Under the terms of the March accord, Europe would provide more than half the loans and the IMF the rest, which would be triggered if Greece runs out of fund-raising options. UBS AG economists estimate Greece will need to seek emergency funding to make bond payments and cover debt refinancing of more than 20 billion euros ($27 billion) in the next two months.

The yield on Greek 10-year bonds surged 60 basis points this past week, driving it to a record 7.364 percent on April 8. Any IMF loans to Greece may cost around 3.26 percent. The premium investors demand to buy Greek 10-year bonds instead of German bunds jumped to 442 basis points April 8, before sliding to 398 basis points a day later.

The euro, which has dropped 6 percent against the dollar this year, rose 1 percent to $1.35 on April 9 as speculation about an aid package mounted.

German Resistance

Overcoming German resistance to subsidized loans came amid mounting speculation that that a bailout was imminent. UBS says it could come this weekend as Fitch Ratings cut Greece’s debt rating yesterday to BBB-, just one level above junk. Greek Prime Minister George Papandreou has argued that he needed below- market borrowing costs to cut EU’s-biggest budget deficit.

Papaconstantinou said April 9 that Greece still wasn’t seeking EU aid and would make good on its pledge to trim its deficit from about 13 percent last year, more than 4 times the EU limit, to 8.7 percent this year.

Greece needs to raise 11.6 billion euros to cover debt that is maturing before the end of May and plans to sell bonds to U.S. investors in the coming weeks. The country’s debt agency said yesterday it would offer 1.2 billion euros of six-month and one-year notes on April 12.

Greece’s long-term foreign and local currency issuer default ratings were on April 9 cut two levels to BBB-, the same level as Bulgaria and Panama, from BBB+ by Fitch Ratings. The outlook is negative, Fitch said, citing delays in agreeing to an aid package.

Confidence ‘Undermined’

“The lack of clarity regarding the mechanism for timely external financial support may have hindered Greece’s access to market finance at affordable cost and hence further undermined confidence in the capacity of the government to meet its fiscal targets,” Fitch said in an e-mailed statement.

The Athens benchmark stock index rose for the first day in four on April 9 amid speculation that an aid package would soon be agreed. It fell 5 percent this week.

EU leaders, including French President Nicolas Sarkozy and the Herman Van Rompuy, president of the 27-nation bloc, expressed their readiness to provide aid two days ago.

“A support plan has been agreed and we are ready to activate at any moment to come to the aid of Greece,” Sarkozy said.”

New UBS Alumni Investment Bank Princeridge Takes Over ICP Capital

Thursday, March 11th, 2010

After meeting two managing directors from PrinceRidge in Boston, I can definitely vouch for the fact that it is a very respectable firm with great people.  They will continue to grow in this market because of their expertise in high yield issuance, restructuring, and trading.  ICP is a solid acquisition because of its focus in structured products and asset management.

According to Ms. Shenn of Bloomberg, “PrinceRidge Holdings LP, run by former UBS AG executives John Costas and Michael T. Hutchins, is taking over the capital-market operations of ICP Capital, the broker and asset manager focused on structured products.

ICP Capital, majority owned by Chief Executive Officer Thomas Priore, will become one of six senior partners that own PrinceRidge and the combined business will operate under the PrinceRidge name, Costas said today in a telephone interview. Both firms are based in New York.

ICP, which has 60 employees in the units in New York, Chicago, Los Angeles, London and Copenhagen, is teaming with PrinceRidge after losing the head of its trading and investment- banking business, Carlos Mendez. PrinceRidge is attempting to position itself to capitalize on a “once in 50-year opportunity” to create a sizable “boutique” securities firm, as it expects only four or five of about 180 smaller competitors to grow into mid-size rivals to Wall Street’s “mega-players,” Costas said.

“There will be a tremendous consolidation and a shaking out among these 180 players, and the conclusion we clearly came to is we are stronger together, and can increase the probability of us being one of the winners,” he said.

PrinceRidge Chairman Costas, 53, and CEO Hutchins, 54, last year reunited to start their firm after running UBS’s hedge fund Dillon Read Capital Management LLC, which the Swiss bank wound down in 2007 as the credit crisis began roiling debt investors. Costas earlier led UBS’s investment bank.

‘Shouting Match’

PrinceRidge now has 85 employees, Costas said. ICP, which was founded as a Bank of New York affiliate in 2004 and became independent in 2006, has about a dozen workers in its separate asset-management unit, said Priore, 41.

Mendez left ICP after a “shouting match” with Priore last month, industry newsletter Asset-Backed Alert reported March 5. Mendez confirmed his departure in a telephone interview today and declined to comment further.

Priore declined to comment on Mendez’s departure, saying his company could have explored other options including raising capital.

“We chose this route because we think it really speeds up our evolution by a couple of years,” Priore said.”

UBS Research on India in 2025

Friday, March 5th, 2010

Research covers savings rate, skilled work force, infrastructure investments, Korean analogy, and wage growth.

Great global macro read.

India 2025 (UBS Research)

Comprehensive List of Investment Banks

Sunday, November 8th, 2009

Wall Street

A.G. Edwards Keefe, Bruyette & Woods
ABN Amro KeyCorp
Allen & Company Kidder, Peabody & Co.
Allegiance Capital Corporation KPMG Corporate Finance
AllianceBernstein Kleinwort Benson
Allianz Kuhn, Loeb & Co.
Alpha Omega Capital Partners L.F. Rothschild
Ambrian Ladenburg Thalmann
Babcock & Brown Lazard
Baird Lazard Capital Markets
Bank of America Merrill Lynch Lee, Higginson & Co.
Bank of NY Mellon Leerink Swann
Bank of Nova Scotia Lighthouse Capital Advisors
Bank Leumi USA Lincoln International
Barclays Lloyds TSB Group plc
BB&T Corp. M&T Bank
BCC Capital Partners Macquarie Bank
Bengur Bryan & Co. McColl Partners
Blackstone Group McGladrey Capital Markets
BMO Miller Buckfire
BNP Paribas Moelis & Co.
Boenning & Scattergood Mizuho Financial Group
Breckenridge Group Monte dei Paschi di Siena
Brisbane Capital Montgomery & Co.
Broadpoint Securities Montgomery Securities
Brookwood Associates Morgan Grenfell
Brown Brothers Harriman Morgan Joseph & Co.
Brown Gibbons Lang & Co. Morgan Keegan
Brown, Shipley & Co. Morgan Stanley
C.V. Lemmon & Co. Mosaic Capital
C.E. Unterberg, Towbin N M Rothschild & Sons
Calyon National City Corp.
Caymus Partners Needham & Company
Canaccord Adams Neuberger Berman, LLC
Cantor Fitzgerald Newbury Piret
Caris & Company Newsouth Capital Management inc.
Carnegie, Wylie & Company NIBC
Cascadia Corp. Noble Bank
CIBC Nomura
Citigroup Oppenheimer
Close Brothers Group P&M Corporate Finance
Comerica Park Lane
Commodities Corporation Penn Capital Group
Cowen Group, Inc. Perella Weinberg Partners
Credit Suisse Peter J. Solomon Company
Curtis Financial Group Petrie Parkman & Co.
D.A. Davidson & Co. Piper Jaffray
Deka Bank PNC Financial Services
Deloitte & Touche Corporate Finance Prarie Capital Advisors
Deutsche Bank Provident Capital Advisors
Dominion Partners Provident Healthcare Partners
Dresdner Kleinwort Prudential Securities
Duff & Phelps Putnam Lovell
E. F. Hutton Rabobank
Edgeview Partners Regions Financial Services
Evercore Partners Raymond James
Fifth Third Bancorp. Robert Fleming & Co.
Financo, Inc. Robert W. Baird & Company
First Horizon National Corp. Robertson & Foley
Focus Enterprises Robertson, Stephens
Fortis Bank Royal Bank of Canada
Fox-Pitt, Kelton Royal Bank of Scotland
Friedman Billings Ramsey Rutberg & Co.
G.H. Walker & Co. Ryan Beck & Co.
Gemini Partners Sagent Advisors
Genuity Capital Markets Salman Partners Inc.
Gerard Klauer Mattison Salomon Brothers
Goldman Sachs Sandler O’Neill + Partners
Grace Matthews Saxo Bank
Greenhill & Company Schroders
Greif & Co. Scotia Bank
Growth Capital Partners Shoreline Partners
Grupo Santander Societe Generale
GulfStar Group Soundview Technology Group
GW Equity SPP Capital Partners
H. B. Hollins & Co. Stephens Inc.
Harpeth Capital Stifel Nicolaus
Halsey, Stuart & Co. St. Charles Capital
Hambrecht & Quist SunTrust Banks, Inc.
Hambros Bank Susquehanna International Group, LLP (SIG)
Harris Williams & Company SVB Alliant
Harris, Forbes & Co. T. Rowe Price
Headwaters MB TD Securities
Heritage Capital Group The DAK Group
Herrera Partners ThinkEquity Partners, LLC
Hilco Corporate Finance, LLC ThinkPanmure LLC
Houlihan Lokey Howard & Zukin Thomas Weisel Partners
HSBC Toronto-Dominion Bank
Hyde Park Capital Advisors Transparent Value
Imperial Capital, LLC Trenwith Securities
ING Group Triangle Capital Partners
Investec TSG Partners, LLC
Investment Technology Group UBS AG
Ironwood Capital Unicredit
J. & W. Seligman & Co. Union Bank of California
Janes Capital Partners Vercore
Janney Montgomery Scott Verdant Partners
Jefferies & Co. Webster Financial Corp.
JMP Securities Wells Fargo
Jordan, Knauff & Company White Weld & Co.
JPMorgan Chase William Blair & Company
Kaupthing Bank WIT Capital
KBC Bank WR Hambrecht+ Co