Latest news with #StandardCharteredPlc
Economic Times
18-06-2025
- Business
- Economic Times
StanChart faces RBI scrutiny over lapses in derivatives sales that can cause significant losses
Standard Chartered Plc is facing regulatory scrutiny in India after lapses were spotted in the sale of derivatives and problems identified in the bank's risk controls, according to people familiar with the matter. ADVERTISEMENT The Reserve Bank of India raised concerns about processes at the London-based lender following sales to small and medium-sized enterprises of target redemption forwards, a product that can cause significant losses, the people said. Buyers of those contracts were not adequately informed about the risks involved, they said, asking not to be identified discussing private information. The RBI's review of Standard Chartered is ongoing, with focus on derivative products and risk governance, according to the people. There is no indication of any formal enforcement actions at this time, they said. The banking regulator has also flagged issues relating to Standard Chartered's maintenance of reserves and the accounting treatment of forward rate agreement trades in previous financial years, the people said.'The RBI conducts annual inspection of banks,' a Mumbai-based spokesman for Standard Chartered said in an emailed statement. 'While we don't want to comment on specifics, observations, if any, are highlighted and addressed as part of normal process.'It's part of the RBI's routine examination of all banks in India to ensure compliance and soundness of the financial system. While inspection reports are not made public, it's not too uncommon for the RBI to issue directives or actions on their findings. ADVERTISEMENT The RBI didn't respond to requests for comment. Standard Chartered has been operating in India for more than 165 years, making it one of the oldest foreign banks in the country, according to its website. It operates a network of 100 branches across 42 cities with its primary business segments in the country being corporate and investment banking, as well as wealth and retail banking. (You can now subscribe to our Economic Times WhatsApp channel)
Mint
18-06-2025
- Business
- Mint
Under the scanner! RBI probes Standard Chartered on lapses in derivative sales to SMEs
Standard Chartered Plc is facing regulatory scrutiny in India after lapses were spotted in the sale of derivatives and problems were identified in the bank's risk controls, according to people familiar with the matter. The Reserve Bank of India raised concerns about processes at the London-based lender following sales to small and medium-sized enterprises of target redemption forwards, a product that can cause significant losses, the people said. Buyers of those contracts were not adequately informed about the risks involved, they said, asking not to be identified discussing private information. The RBI's review of Standard Chartered is ongoing, with focus on derivative products and risk governance, according to the people. There is no indication of any formal enforcement actions at this time, they said. The banking regulator has also flagged issues relating to Standard Chartered's maintenance of reserves and the accounting treatment of forward rate agreement trades in previous financial years, the people said. 'The RBI conducts annual inspection of banks,' a Mumbai-based spokesman for Standard Chartered said in an emailed statement. 'While we don't want to comment on specifics, observations, if any, are highlighted and addressed as part of normal process.' It's part of the RBI's routine examination of all banks in India to ensure compliance and soundness of the financial system. While inspection reports are not made public, it's not too uncommon for the RBI to issue directives or actions on their findings. The RBI didn't respond to requests for comment. Standard Chartered has been operating in India for more than 165 years, making it one of the oldest foreign banks in the country, according to its website. It operates a network of 100 branches across 42 cities with its primary business segments in the country being corporate and investment banking, as well as wealth and retail banking.
Bloomberg
15-05-2025
- Business
- Bloomberg
Standard Chartered Set to Open New York Private Markets Unit
Standard Chartered Plc will ramp up its coverage of the world's largest financial sponsors, with a view to more than doubling its income from these clients over the coming years. The London-based bank which has seen its share price roiled in recent weeks by geopolitical uncertainty, said it would be hiring about 25 bankers for a new private markets-focused team, according to a company statement.
Economic Times
09-05-2025
- Business
- Economic Times
Biggest polluters need ‘breathing space' to reform, DBS says
Live Events Major polluters need support to develop credible plans to curb emissions instead of being held to unrealistic demands for reforms, according to DBS Group Holdings Ltd., Southeast Asia's largest still accounts for almost half of total energy supply in the Asia-Pacific region, and sectors including shipping and steel-making continue to face challenges in decarbonizing quickly.'We need to give everyone a bit of breathing space to develop transition plans,' Helge Muenkel, the bank's chief sustainability officer, said in an interview on the sidelines of the Ecosperity Week conference in has previously warned that emissions tied to its customers could rise in the short-term. The trajectory will be impacted by its efforts to direct more funding to support the early retirement of coal power plants, and development of supply chains for critical minerals and other products required for green technology like electric in Europe are coming under new pressure to stand by strict climate commitments, and both Barclays Plc and Standard Chartered Plc will face calls from investors this week to accelerate lending to clean which lifted sustainable financing commitments to S$89 billion ($69 billion) at the end of 2024 from S$70 billion the previous year, will aim to hold customers to account over their transition efforts, Muenkel said in the Tuesday interview.'If customers after engagement don't give us a sense that they really want to move, then ultimately that's actually a concern,' Muenkel said. 'Then we need to discuss cutting lines, disbanding relationships.'The bank has chosen to remain a member of the Net-Zero Banking Alliance , the finance sector climate group that's been abandoned by Wall Street and a series of lenders across Asia.'We like collective action, we like platforms that foster collaboration,' he said. 'It has proven to be actually very helpful.'
Economic Times
09-05-2025
- Business
- Economic Times
Wealth manager lures India bankers with 60% revenue sharing
Neo Group, an Indian money manager, is intensifying competition for talent by offering senior bankers up to 60% of the revenue they generate. This aggressive hiring strategy aims to more than double its banker headcount by March 2026, amidst expansion from larger rivals. Neo's differentiated incentive structure has already attracted talent from various financial firms. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads A $6 billion Indian money manager plans to ramp up hiring of senior bankers by allowing them to keep up to 60% of the revenue they bring in, showing how competition for talent is heating up in one of the world's fastest growing wealth markets. Neo Group , founded by Nitin Jain in Mumbai in 2021, is looking to hire up to 70 wealth managers by March 2026, people familiar with the matter said. That would more than double the headcount of bankers at the firm, which managed Rs 55,000 crore ($6.5 billion) of assets across wealth and asset management as of March 2025. The people asked not to be identified as the hiring plan is not move by the firm adds to a private banker hiring spree in recent years and come as larger rivals from billionaire Uday Kotak's private bank and Standard Chartered Plc and HSBC Holdings Plc are also expanding.A differentiated incentive and payment structure has helped Neo hire bankers and fund managers from buyout firms and private credit firms. It operates a partnership model under which bankers can keep as much as 50% to 60% of revenue from clients, who pay advisory fee on a monthly basis, said the local wealth firms have a much lower revenue share arrangement but pay relatively higher salaries to bankers and relationship managers. Neo's strategy shows the pressure newer entrants face to scale up and acquire more assets under did not respond to an email from Bloomberg News seeking upstart firm, backed by venture capital investor Peak XV and a unit of Mitsubishi UFJ Financial Group Inc., has risen up the ranks of mid-sized money managers in quick pace. Competing with the likes of Blackstone-backed ASK Investment Managers' wealth unit, Neo added about 40 senior bankers in the last few Neo is set to name former 360 One WAM Ltd. executive Shajikumar Devakar as its new chief executive for the wealth unit next week, said the people familiar with the matter. Devakar will take over from Varun Bajpai, who will oversee Neo's technology, operations and client relations.
