Tighter Regulation, Slimmer Paychecks and the Swiss Cloud
Switzerland’s Finance Minister Eveline Widmer-Schlumpf: “Swiss banks should be subject to a leverage ratio of 6-10%, against the 3% imposed on global banks under [Basel III regulations].” Some see Basel III regulation requirement of 3% leverage ratio as a minimum standard; others say that the increase in leverage ratio will “lead to further shrinkage of the FICC (fixed income, currencies and commodities) division” for Swiss investment banks like UBS and Credit Suisse. Also, Proletarian Bankers are Feeling the Capitalist Yoke: tighter regulation (such as increased leverage ratio) is driving Wall Street employment/paychecks down. And, European Banks Cut Corporate Lending (FT) Alternate: “Europe’s largest banks have ramped up their investment into sovereign debt by more than a quarter in the past two years while cutting back corporate lending as they prepare for stricter global capital rules.” Finally, Switzerland can no longer provide tax evasion; but maybe they can provide spying evasion? “Swisscom is building a ‘Swiss Cloud’ that could loosen the grip of “U.S. technology giants and attract foreign companies looking for a way to shield sensitive data from the prying eyes of foreign intelligence services.”
US Manufacturers: Bringing 2nd Amendment Lifestyles to the Masses
Remington Arms Co recently unveiled a clothing line geared towards customers packing heat; includes the “Smoothbore Field Coat” and the “Double Derringer Leather Vest.” [Attention Megan Clubb: I have a birthday coming up…] Winnebago Industries Inc is also trying to reinvent themselves as a “lifestyle brand” and dive into a range of outdoor fashions and camping gear. This lifestyle reinvention is helping companies like Deere, Caterpillar and Harley Davidson create a healthy revenue stream and eases the pain when core business growth is lagging.
“Beam me up, Jamie!”
Banks around the world are attempting to attract new customers and compete with online banks with creatively high tech branches. “Installation art, interactive walls and a robot doorman; the flagship branches of the world’s top banks have come a long way from the iron grilles and potted plants of old.” Hi-tech gadgetry includes “ATMS that read fingerprints, touch-screen desks to flick through your finances, and robot tellers.” Ernst & Young expects future bank branches to resemble something between a “coffee shop and technology store.” Also, UK’s “feel-good” Co-operative Bank may be headed for a culture clash with new hedge fund owners.