Keith Mullin is founder of KM Capital Markets. He has spent over 25 years covering capital markets. Keith was editor-at-large of IFR until early 2017 and editor of IFR magazine 1996-2007.
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Keith Mullin assesses the aftermath of Spanish lender Banco Popular’s collapse
THERE WAS A lot of chatter on the back of UBS’s fourth-quarter and full-year results around whether the strategy adopted by Sergio Ermotti, to scale back fixed-income and push wealth management to the fore with a smaller equities-led investment bank, has wrong-footed the group vis-à-vis its ability to take full advantage of market conditions that prevailed in the fourth quarter as well as potential evolving market conditions.
MAJOR BANK STOCKS have been on a tear since the US election result, up on average around 25% – a whole lot more in many cases. It’s not just US banks but international players too. It’s probably safe to say equity prices have been caught by a wave of investor over-exuberance and the acceleration will settle down over time. But the appreciation does raise some vital questions.