What will happen to the City of London if the UK population votes to leave the European Union when David Cameron's referendum takes place in 2017? Would US banks like Goldman Sachs, Bank of America and JPMorgan really still want to base their international businesses in London if the City were outside of the EU? Would banks based in London have access to EU markets? Would London (and the UK) be able to go it alone as an 'offshore' banking centre in the style of Switzerland, albeit with an economy nearly four times as large and a population nearly times bigger?
Peter Sands, chief executive of Standard Chartered, seems to think not. Speaking from Davos, Sands told Bloomberg the UK should stay in the EU and that the European Union has been, "a massively important creation for Europe" which it's "very good for the UK to be part of." When asked whether the UK could reinvent itself as a financial centre in the style of Switzerland, Sands said it was "probably quite unlikely."
Lloyds is cutting 940 jobs in the UK. (Bloomberg)
Mervyn King says RBS and Lloyds will be back in the private sector very shortly. (Scotsman)
Unicredit has hired an ex-sales chief from BNP. (FX Week)
Ex-Bluegold founder is setting up Andurand Capital Management in February. (Financial News)
Ex-Nomura banker Jesse Bhattal is joining Lazard in an advisory role. (Financial Times)
Deutsche and JPMorgan won’t be ring fencing their trading units. (Reuters)
UBS has made a private banker COO of its investment bank. (Reuters)
Egan Jones' sovereign and ABS raters given an 18 month holiday. (Bloomberg)
The true function of the private banker is to take care of you and to be your friend. (Bankers Umbrella)