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S&P Indices analyst Erik Oja, Holland & Co. Chairman Mike Holland and FBN’s Liz MacDonald on who might replace Bob Diamond at Barclays and t...
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I expect to see you.
The fallout from Barclays would get to the UK gigantic bank Barclays.
That interest -- scandal where they were accused and of course busted for manipulating interest rates.
Has claimed more jobs CEO Bob Diamond first with the chairman now CEO Bob Diamond and CE OO Jerry don't miss he had both resigned today.
That was nearly two years ago that I had an opportunity to specifically talk about regulation of the banking industry with Bob -- He talked about how important regulation is to the entire system he wasn't afraid of it.
Strong back.
One strong regulation we encourage strong regulation and -- all better off if we have strong regulation if you'd asked me a couple of years ago was this exactly.
The legislation I was looking for are probably would have said no.
I think if you ask me a couple months ago I would've thought maybe you would go too far.
So what was the challenge the challenge was to balance finding a safer sounder more transparent financial market and banking system.
-- -- Banks working with the private sector and working with the public sector to create jobs and create economic growth.
I wanted to show that sound -- to show that Bob Diamond was one of the bankers one of the few bankers.
Who didn't complain who didn't fetch about more regulation he looked out -- he embraced it he had grown that bank.
But traders well below him.
We're the ones we're manipulating these interest rates on now she loses his head.
What about other banks how will this affect the global banking sector in the financials in your portfolio -- shaken up with -- team -- Liz MacDonald is here.
And -- have somebody who really likes the financials right now -- -- and company Mike Collins.
We have -- -- -- the financial analyst at S&P indices as well -- CT first to cover these guys off.
And what we're seeing is essentially Bob Diamond stepping down because it is thinking was that he would hurt the brand that he built into -- world power house.
But now the word on the street is which banks are gonna lose their top guns possibly to help replace -- Bob Dimon over at Barkley is so here's a -- list here's who we're looking at who may replace Bob -- -- -- -- of course Anthony Jenkins but he is not the one insiders think.
Could be -- -- to replace Bob Diamond he runs Barclays retail banking operations look at bill winters he's a former head of investment banking at JPMorgan also.
The -- bonds that carries a former Deutsche Bank chief risk officer -- -- also called Callahan our senior executive at Morgan Stanley and of course Richard betting is a finance director -- DUK banks standard chartered so all those guys are on the radar screen.
To replace Bob Diamond -- -- -- that Eric that the bank didn't get hammered too much on the news then all of this is drama so what about other banks and are -- dangerous investments right now.
With potential investigations of some of the other banks that are involved in the London Interbank offered offered rate scandal.
Yeah sure -- Citigroup.
JPMorgan chase Bank of America and Royal Bank of Canada.
Are -- banks the four biggest banks in North America and they're being examined right now -- -- is really is that is that confront.
You know those those -- the four banks that were in that group of sixteen that are being looked out for actions taken in 2008.
And what do you think about those names are they dangerous at this point because -- that umbrella or that dark cloud over them.
I would say that it's a very serious.
Dark cloud and even though the market has ignored it in the last week these banks stocks have done quite well in the last week.
I would say that investors should be well aware of what is going on particularly.
With the litigation the antitrust suit.
That Baltimore has made against this group of banks.
It's so important because look you know that the situation -- collender of -- JPMorgan of course where they had two billion it although it may according to the New York Times besides nine billion dollars.
In losses from one that trade.
Knocked quite a few billion dollars off the market cap of JPMorgan so they're these little mini bombs that can hurt.
Your investment of these names you've got 20% of one of your funds in financials are not worried.
Well I'm always worried always looking for how not to lose money to lose.
-- But but -- -- but if they don't lose much.
But a big difference between the bombing just described at Morgan was that was true to trading -- the two billion or seven billion or eight billion which we don't know.
That wasn't no that wasn't worried about.
This whole thing about Libor in what happened to -- Robert diamond.
Is stuff that people been talking about it's actually 2008 vintage so what what we're talking about is known in the -- Ted Weisberg was interest in you we can say though.
When you have all of these headlines and the market doesn't go down you have six billion dollar loss of Microsoft in the stock is down eight cents.
Bart police today -- -- it -- didn't -- their reasons for that people are aware of the problem.
-- -- list who do you think is a potential candidate to lead Barclays.
You know I think go winters who used to be at Morgan JPMorgan -- and I think he he's he's really been killer from mortgage -- as well but then winters -- things.
-- up there.
-- will be watching at all but thank you everybody very much lively discussion -- that the financials closing --
