This article paints a clear picture of what is going on behind the scenes.
All told, according to The Columbia Journalism Review, 3,385 journalists lost their jobs in the past 12 months. With some estimates double this figure.
Considering there are only 37,000 people classed as reporters in the US these are huge numbers.
Interesting article about the bank fuelling lending focussed fintechs.
They have been writing $1bn of new loans per month all sourced from 15 or so VC backed fintech start-ups.
They effectively provide the regulatory infrastructure. Most loans are then sold off with a portion retained.
Some choice quotes – “Our strategy is to be the only financial services provider to the fintech ecosystem globally,” Gade says excitedly. “Changing people’s lives is why we do this, before anything else.”… “The talk about a recession or a credit cycle that’s going to start going the other way is much ado about nothing.”
Moody’s downgrades HSBC rating to negative outlook.
Credit rating is the key cost of goods sold variable for banks so this should be monitored carefully for any investors.
“The negative outlook on HSBC Holdings’ ratings is driven by the execution risk attached to the planned repositioning of HSBC Bank and of the group’s US business“. These businesses are 34% of risk weighted assets. HSBC has been restructuring for nearly a decade.
“and our expectation of subdued profitability in 2020 and 2021. It also reflects pressures on asset quality and profitability in Asia due to a more difficult operating environment in Hong Kong and the rest of the region“
