New Yorker James Staley set to lead Barclays
Barclays is set to formally announce the appointment of former JPMorgan investment banking head James “Jes” Staley as its new chief executive, which could be alongside its results on Thursday.
Barclays is set to formally announce James Staley as its new chief executive
The bank has been without a chief executive since July, after Antony Jenkins was sacked by chairman John McFarlane for failing to improve its performance.
Jenkins’s failure to get to grips with Barclays’ investment banking division in particular is what ultimately led to his departure.
It is understood that Staley, who is managing partner of the Blue Mountain hedge fund in New York, could be unveiled alongside Barclays’s third-quarter results.
Analysts believe that the bank’s pre-tax profits, excluding exceptional and one-off items, will be up 17.3 per cent to £1.9billion.
American Staley is believed to have been approved by the Bank of England.
The bank has been without a chief executive since July, after Antony Jenkins was sacked
Barclays’ investment bank is one of the biggest and one of few capable of challenging Wall Street’s elite.
However, it faltered under Jenkins’s tenure, due to staff unrest over pay, the loss of key dealmakers and choppy markets.
Also reporting this week are Lloyds Banking Group and Royal Bank of Scotland, on Wednesday and Friday respectively.
American Staley is believed to have been approved by the Bank of England
Investec analyst Ian Gordon believes that Lloyds will announce profits before taxes, write offs and exceptional items of £2.3billion, compared to £2.2billion for the same quarter last year.
This could be one of the cleanest quarters for Lloyds in recent history
In recent years, the bank has, regularly, had to top up the fund it has set aside to cover payment protection insurance compensation claims.
At the half year, Lloyds’ PPI provisions stood at £13.4billion. However Gordon said: “This could be one of the cleanest quarters for Lloyds in recent history.
At the half year, Lloyds’ PPI provisions stood at £13.4billion
“Based on encouraging data from the Financial Conduct Authority, I’m going with little-to-no increases in PPI for Lloyds.”
Analysts have Royal Bank of Scotland’s profits for the quarter falling 21.3 per cent to £1billion.
Shore Capital analyst Gary Greenwood said while underlying performance will be steady, RBS has been hit by misconduct fines and litigation costs from cases such as alleged mis-selling of securities linked to mortgages in the US.