Friday 18 FEBrUary 2022 INTERNATIONAL NEWSPAPER OF THE YEAR EUroPE

Crypto alarm Land of the rising pay Travellers’ tales

Sense of menace invades regulators’ can Japan’s workers win their first Poor jokes and the law harass British
benign picture — giLLiaN tEtt, PagE 17 increase for 30 years? — Big rEad, PagE 15 minority — roBErt wright, PagE 16

Russia poised to invade Ukraine Briefing

i Sequoia lines up $500mn crypto spend

within days, Biden warns allies

One of Silicon Valley’s most influential venture
capital groups has unveiled plans to go deeper into
digital markets, earmarking funds to invest in
tokens traded on third-party exchanges.— PAGE 5

i Top ECB economist shifts inflation tack

3 Flare-up in contested Donbas 3 US fears ‘false flag’ gambit 3 Kremlin pins blame on Kyiv
JAmes pOliTi — waShiNgtoN
ROmAn OleARchyk — Kyiv
mAx seddOn — MoScow
Joe Biden has warned that Russia is on
the brink of invading Ukraine within
“several days”, saying the US believes
the Kremlin is engaged in “a false flag
operation to have an excuse to go in”.
The US president’s comments yester-
day came as Kyiv and Moscow blamed
each other for clashes in Ukraine’s east-
ern Donbas region, incidents the west
fears will be used as a pretext for a co-
ordinated Russian military campaign.
Russia reiterated its threat to take
“measures of a military-technical
nature” after it complained that the US
had “twisted” draft proposals Moscow
put forward to address its concerns over
European security.
Speaking at the White House, Biden
offered a bleak assessment, noting there
was a “very high risk” of a Russian inva-
sion. “Every indication we have is
they’re prepared to go into Ukraine,
attack Ukraine,” he said. “My sense is it
will happen in the next several days.”
The president said a diplomatic path
to resolving the crisis remained open,
but his warning reflected growing pessi-
mism in western capitals and more bel-
licose rhetoric from Moscow.
As tensions ratcheted up, global
stocks dropped and traders took shelter
in haven assets. The S&P 500 was down
1.1 per cent at lunchtime, while US
government bonds rallied, pushing the
10-year Treasury yield down 0.07 per-
centage points to 1.97 per cent.
Tensions heightened in eastern Ukr-
aine as Moscow and Washington exch-
anged barbs over the prospect of a diplo-
matic solution. In a letter yesterday,
Russia’s foreign ministry said the US
“has not given a constructive response”
to its core demands, including for Nato
to pledge never to admit Ukraine and to
roll back its eastward expansion.
Antony Blinken, US secretary of state,
said he was evaluating the letter and had
invited his Russian counterpart, Sergei
Philip Lane has said inflation looks unlikely to drop
below the bank’s 2 per cent target within two years,
a change of heart that hints at a rising consensus on
a need to cut stimulus moves.— PAGE 2; FT VIEW, PAGE 16
i Amazon and Visa end card fee impasse
The retailer has reached an agreement that ends a
global stand-off over transaction fees. Charges in
Singapore and Australia were set to be lifted while a
threat over UK payments was dropped.— PAGE 5
i Gupta turns to his Romanian bank
Metals magnate Sanjeev Gupta
has turned to Banca Romana de
Credite si Investitii, which he
owns, to process transactions as
scrutiny rises after Greensill
Capital’s collapse.— PAGE 7
i France and allies shift Sahel focus
Paris and its European and west African allies have
announced they will concentrate their anti-terror
campaign eastward to Niger and south to the Gulf of
Guinea after being pushed out of Mali.— PAGE 4
i UN-backed green ETF faces failure
Manager Impact Shares has warned that the MSCI
Global Climate Select exchange traded fund is likely
to be wound down next month. Big banks which
pledged seed money have failed to deliver.— PAGE 6
i Bribes accusations split Spain opposition
The People’s party has been thrown into turmoil as
Isabel Díaz Ayuso, charismatic leader of the Madrid
region, accuses the leadership of trying to “destroy”
her through fabricated corruption claims.— PAGE 2
Joe Biden: ‘Every Lavrov, to meet in Europe next week to aircraft, ships” and cyber attacks. dent, rejected the claim, describing the Datawatch
indication we prepare a possible summit to resolve Earlier yesterday Ukraine claimed incidents as “provocative shelling”.
have is they’re “mutual security concerns”. that “Russian occupation forces” con- The US, UK and Nato continue to
prepared to go However, he echoed Biden’s warning trolling breakaway eastern regions of rebut Russia’s claims that it was pulling High sales Illicit cannabis
into Ukraine, over a Russian attack, telling the UN the country had shelled more than 20 back some forces from the Ukraine bor- Cannabis retail value ($bn) sales still
attack Ukraine’ Security Council that it would be a con- locations, including a kindergarten, der. The White House has called the Illicit Legal dominate in many
8 6 4 2 0 2 US states that
Patrick Semansky/AP certed assault involving “ground troops, injuring two civilians. Kremlin’s assertion that it was with-
The flare-up was the latest in a smoul- drawing forces “false” and accused Rus- California have legalised
Illinois recreational use.
dering conflict that has claimed about sia of increasing its troop presence in the Michigan Underground
London lawyers do a 14,000 lives in the breakaway regions of region by about 7,000 in recent days. Washington deals in California
Luhansk and Donetsk since Russia Lavrov said the west was fanning
roaring trade with Russian annexed Ukraine’s Crimean peninsula. “hysteria” by accusing Moscow of not
Massachusetts
Oregon
are estimated at
more than double
Page 18 and Ukrainian clients. A Russia blamed Ukraine for the escala- withdrawing its troops. “This is where Colorado legal sales because
big slice of that would be in tion, with Dmitry Peskov, the Kremlin the escalation is,” Lavrov said, accord- Alaska
Nevada
of strict laws
and the scarcity
spokesperson, saying the shelling “was a ing to Interfax.
jeopardy if Russia invades subject of very, very deep concern”. poland braced for refugees page 2 Estimates for 2020 Source: Jefferies of dispensaries
and sanctions are imposed Volodymyr Zelensky, Ukraine’s presi- Treasury volatility soars page 8

Travel sector hopes take wing as Airbus

and Air France-KLM revenues rebound
sylviA pfeifeR And fewer than the 860 it was delivering demand had hit Air France-KLM when
philip geORgiAdis — LoNdoN
sARAh WhiTe — PariS before the pandemic. travel restrictions were lifted last sum-
“It has been clear that people want to mer in Europe. “We couldn’t put enough
Airbus and Air France-KLM have fly again and do so as soon as restrict- aeroplanes into Greece. All of France
raised hopes of a sustained rebound in ions are relaxed,” said Guillaume Faury, wanted to go to Greece.”
Turbine industry turns aviation as pandemic travel disruption Airbus chief executive, forecasting that While many domestic routes have
full circle as costs soar recedes, despite lingering problems the market would recover fully between recovered strongly, international travel
with supply chains and staffing. 2023 and 2025. has taken longer to return. It was hit by a
Analysis i PAGE 7 Air France-KLM reported a 29 per new burst of Omicron restrictions late
The airline industry is emerging from cent rise in annual revenues to €14.3bn. last year and flights remain limited to
the most brutal period in its history hav- While still in the red, losses more than China and other Asian countries with
austria €4.20 Malta €3.90
Bahrain din1.8 Morocco dh50 ing shed tens of thousands of jobs and halved to €3.3bn in 2021 and the car- strict virus controls still in force.
Belgium
Bulgaria
€4.20
Lev7.50
Netherlands
Norway
€4.20
NKr43
lost more than $200bn globally in the rier’s fourth-quarter operating income The number of global flights was 30
croatia Kn31 oman or1.60 battle to survive Covid-19. rose above pre-pandemic levels to per cent below normal levels in January,
cyprus
czech rep
€3.90
Kc110
Pakistan
Poland
rupee350
Zl 22
Although the Omicron variant inter- €178mn as long-haul flights picked up. according to data from Citigroup. Air-
denmark dKr40 Portugal €3.90 rupted the recovery, Airbus reported a Ben Smith, its chief executive, said he lines are forecast to lose another $11bn
Egypt E£59 romania ron17
Finland €4.70 russia €5.00 record net profit of €4.2bn for last year was “totally confident” demand for fly- this year, according to trade body Iata.
France €4.20 Serbia Newd530 and restored its dividend after a two- ing would endure. “If you want to go to But the bosses of other airlines have
germany €4.20 Slovenia €3.90
greece €3.90 Spain €3.90 year hiatus. The manufacturer said yes- Los Angeles, there’s no train there. I also expressed cautious optimism. Sean
hungary
india
Ft1250
rup220
Sweden
Switzerland
SKr39
SFr6.40
terday it expected to deliver 720 com- think there’s still a very strong desire by Doyle, British Airways chief, said last
italy €3.90 tunisia din7.50 mercial aircraft this year, up from the many people in the world to explore.” month there was “room for optimism
Lithuania
Luxembourg
€4.60
€4.20
turkey
UaE
tL40
dh22.00
611 it handed to customers in 2021 but He told the Financial Times a flood of that we are on the way out” of the crisis.

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2 ★ FINANCIAL TIMES friday 18 february 2022

INTERNATIONAL

eurozone People’s party

Top ECB economist shifts inflation stance Spanish

opposition
Comments reflect growing than if it was going to spend a period ing to rule out raising rates this year. two years, it clears a path for them to and slow growth that would be required at war over
corruption
below 2 per cent.” Lane is one of the most important end net purchases in the ECB’s €4.8tn if inflation was likely to remain well
consensus for a faster than The shift in Lane’s position matters influences over ECB monetary policy bond-buying programme and to pre- above its target for several years. “That
planned end to stimulus because the expected level of inflation and his comments underline how a con- pare the ground for raising interest rates is not what we see in front of us,” he said.

Martin arnolD — frankfurt

in 2023 and 2024 is the main factor gov-
erning whether the ECB will speed plans
for removing the vast stimulus it has
sensus is forming on its governing coun- for the first time since 2011.
Lane told a webinar organised by
market news and data provider MNI
“Impressive to see how fast a consen-
sus at the ECB could be built on normali-
sation,” Carsten Brzeski, head of macro
allegations
Philip Lane, chief economist of the provided via bond purchases and nega-
Lane drew a distinction that he did not want to prejudge next research at ING, said on Twitter. “Only
European Central Bank, has shifted his tive interest rates during the pandemic. between a ‘normalisation month’s meeting. He said the change in unsolved questions are: when to hike Daniel DoMbey — Madrid
position on eurozone inflation by saying His comments mark a change from inflation expectations was not “stagger- the deposit rate and what to do once the
it looks unlikely to drop below its 2 per only three weeks ago when Lane said
of policy’ and more drastic ingly huge” so any change in policy deposit rate is back at zero.”
Spain’s main opposition People’s party
has descended into fratricidal strife, as
cent target in the next two years. inflation was equally likely to drop ‘monetary tightening’ would still be gradual. The ECB forecast in December that
Isabel Díaz Ayuso, the charismatic
“Inflation is expected to settle around below the ECB’s target as to stabilise at He also drew a distinction between a inflation would fall back below its 2 per
leader of the Madrid region, accuses
2 per cent,” Lane said yesterday, citing that level in the medium term. cil about the need to withdraw its stimu- likely “normalisation of policy” — cent target by the fourth quarter of this
the PP’s leadership of seeking to
higher expectations of investors, ana- Since then, record eurozone inflation lus faster than planned when it meets in widely interpreted as ending asset pur- year and remain at 1.8 per cent for the
“destroy” her through fabricated cor-
lysts and consumers and structural of 5.1 per cent prompted ECB president three weeks’ time. chases and raising its deposit rate to next two years, justifying continued
ruption claims.
changes in the economy. “In terms of Christine Lagarde to say inflation risks If policymakers judge that inflation is zero — and a more drastic “monetary stimulus. But it is widely expected to
asset purchases it is a different path were “tilted to the upside” while refus- on track to hit its target over the next tightening” to push up financing costs raise these forecasts next month. The split between Díaz Ayuso and Pablo
Casado, the PP’s national leader,
involves allegations of bribes for public
contracts and could determine the
Central europe. border tension future direction of the centre-right
party.
“It is very painful when leaders of

Poland braced for Ukraine refugee flood your own party, instead of supporting
you, want to destroy you,” Díaz Ayuso
told a press conference yesterday.
“There’s nothing more serious than
accusing one of your own, with govern-
ment responsibilities, of corruption and
Warsaw has been planning for doing so without proof, putting my fam-
up to 1mn arrivals if Russian ily in the middle.”
She said reports in the Spanish media
troops launch invasion detailing anonymous allegations about
the national party’s suspicions concern-
ing possible corruption in Madrid
JaMes shotter — Hrubieszow
“come from Pablo Casado’s circle”.
In a chilly supermarket car park near The spat could significantly damage
the Polish town of Hrubieszow stand a one or both of the party’s two most high-
handful of Ukrainian vans, evidence of profile politicians just when the PP is
cross-border shoppers hunting for seeking to regain political momentum
cheap goods. But the 17,500 in this town and contend with the rise of Vox, its
5km inside Poland’s border would face rival on the hard right, after disappoint-
the prospect of much more traffic head- ing results in Sunday’s regional elections
ing west if Russia invades Ukraine. in Castile-León region.
The Kremlin has repeatedly denied it “This is a massive battle,” said Pablo
is planning an invasion, yet has massed Simón, a professor of politics at
more than 100,000 troops on the bor- Madrid’s Carlos III University.
ders of Ukraine. In recent weeks, there “If it goes on, it will be much more
has been a drumbeat of warnings from likely that the Socialists keep national
western officials that an attack is immi- power in the next election [due by the
nent and could trigger an exodus of ref- end of 2023], that Vox is strengthened
ugees. In recent days, western embas- and that the PP’s prospects are
sies in Kyiv have stepped up evacua- undermined.”
tions of staff. The focus of the corruption claims is
Many in Hrubieszow, close to one of the suggestion — which Díaz Ayuso
the EU’s eastern boundaries, are unsure forcefully denied — that her brother,
how to interpret the blizzard of claim Tomás, charged a private company
and counterclaim about Russia’s inten- commission for a €1.5mn public con-
tions. But, as elsewhere in Poland, offi- tract for anti-Covid masks.
cials are sizing up the implications. Meanwhile, PP leaders denied reports
“If [there was a wave of] refugees and that they or others on their behalf had
it was necessary to ensure those fami- asked private detectives to illegally spy
lies’ livelihoods and housing, it would be Pedestrian zone: However, others question whether “My sister [who works in a supermar- Wary of being accused of double on Tomás Díaz Ayuso.
difficult,” said Pawel Wojciechowski, a woman walks the central European nation could cope ket] said that they had a problem with standards given resistance to quotas in Díaz Ayuso said Casado had told her
the town’s deputy mayor. “We don’t from Ukraine with such a large refugee influx, particu- finding Poles, but the Ukrainians want the 2015-16 migrant crisis, Polish offi- in September he knew about the mask
have enough [social housing] for our into Medyka in larly if they arrived over a short period. to work there, and for them it is very cials shy away from suggesting a similar transaction and considered it illegal.
compatriots, so it would be hard to find south-east “The capacity of Poland to absorb good,” said Kamil Rodzik, from Zamosc, way of sharing out the refugee burden in She added that while her brother “con-
spaces for others.” Poland people coming from Ukraine is quite a town 50km west of Hrubieszow. the event of a crisis in Ukraine. But they firmed that he had commercial rela-
Poland’s conservative-nationalist Wojtek Radwanski/AFP/Getty
high because of the community of “Maybe we will hear Ukrainian more argue the EU and other member states tions with the business [that won the
government opposed EU efforts to Ukrainians who are already here,” said on the street. It is also hard to use have a duty to help. contract], it was completely legal” and
make members accept quotas of asylum Agnieszka Kosowicz, president of the Ukrainians politically as a card to scare “It was our choice, a European choice, that her administration had not inter-
seekers during the 2015-16 crisis from Polish Migration Forum. people . . . We want to help them.” to support Ukraine, offering them [a vened in the contract.
the war in Syria. But in the event of a “But as far as the state system is con- free trade deal], offering them an associ- Tensions between Díaz Ayuso and
serious escalation of the conflict in cerned, I am quite sceptical about 200 km RUSSIA ation agreement with the EU, offering Casado have weakened the party’s poll
Ukraine, Poland is likely to be one of the whether we can call Poland pre- Baltic Sea LITHUANIA them free visa programmes. It was not standing, robbing it of the momentum it
main destinations for those fleeing. pared . . . We have very inadequate RUSSIA
only a Polish decision,” said Marcin had gained from the Madrid leader’s tri-
Although Poland and Ukraine share a integration procedures, and the integra- Przydacz, deputy foreign minister. umph in a snap election in May.
complicated and sometimes painful his- tion institutions have not been given Minsk “The responsibility should be shared Yesterday, Teodoro García Egea, the
tory, they have close linguistic and cul- more resources or capacity or staff.” POLAND among all member states, but we are PP’s number two, acknowledged that
GERMANY

tural ties. Poland is also already home to In Hrubieszow, which until the sec- BELARUS already . . . in the first row to offer this the party leadership had no proof
Warsaw
a sizeable Ukrainian community, hav- ond world war was home to a mix of Jew- assistance.” against Díaz Ayuso, but said she had not
ing taken in more than 1mn since Russia ish, Catholic and Orthodox groups, Lublin In Hrubieszow, however, people are co-operated with its inquiries.
annexed Crimea in 2014 and fuelled a locals are generally open to the idea of still optimistic. “Of course there is a pos- He linked her attack on Casado with a
separatist war in Donbas. Poland taking in Ukrainians, not least Lviv Kyiv sibility that Ukrainians will come, but bid she is making to take control of
Hrubieszów
“We have to be prepared for the because it would help plug gaps in the CZECH Poland will not be their only destina- Madrid’s party machinery as well as its
REPUBLIC
worst-case scenario, and for some time labour market. But they expect that, SLOVAKIA UKRAINE tion,” said Lukasz Koszyniuk, who regional government.
[we] have been taking actions to ensure rather than seeking work in Hrubies- works in customer services. “I don’t The PP’s failure to win an overall
that we are prepared for the arrival of a zow, or on the farms around it, most AUSTRIA think that 60 or 70-year-olds will come majority in its traditional redoubt of
wave of up to a million people,” Poland’s would head further west to cities such as HUNGARY MOLDOVA because you don’t pull up your roots Castile-León has further undermined
deputy interior minister, Maciej Wasik, Lublin, Warsaw and Wroclaw, or even ROMANIA when you are old. I think we can man- Casado, whom many supporters see as
said last month. seek higher wages in Germany. age. But we cannot take all of them.” less effective than Diaz Ayuso.

Monetary policy
MAKE A SMART INVESTMENT
Subscribe to the FT today at FT.com/subscription Powell faces task of building consensus at divided Fed
FRIDAY 31 MARCH 2017 WORLD BUSINESS NEWSPAPER UK £2.70 Channel Islands £3.00; Republic of Ireland €3.00
Colby sMith — new York That has left Jay Powell, acting chair won’t only be getting mixed messages rates were raised “really aggressively,
Trump vs the Valley A Five Star plan? Dear Don...
until confirmed for a second term by the from the economy, but the interpreta- we run the risk of slamming the brakes
Tech titans need to minimise
political risk — GILLIAN TETT, PAGE 13
Italy’s populists are trying to woo
the poor — BIG READ, PAGE 11
May’s first stab at the break-up
letter — ROBERT SHRIMSLEY, PAGE 12
At the start of the pandemic, US central
HMRC warns Lloyd’s of Brussels Insurance market Senate, with the task of forging consen- tion of those mixed messages from the on the economy”. Philadelphia’s Patrick
bank officials were united on the need
UK £3.80; Channel Islands £3.80; Republic of Ireland €3.80 SATURDAY 1 APRIL / SUNDAY 2 APRIL 2017
Briefing
to tap new talent pool with EU base
customs risks THE END
i US bargain-hunters fuel Europe M&A

sus on a committee that is also split on economy will mean mixed messages Harker wants a “methodical” approach,
Europe has become the big target for cross-border
dealmaking, as US companies ride a Trump-fuelled
equity market rally to hunt for bargains across the
HOW DRIVERLESS
OF THE TECHNOLOGY IS
Atlantic.— PAGE 15; CHINA CURBS HIT DEALS, PAGE 17

being swamped
to shore up the world’s largest econ-
i Report outlines longer NHS waiting times
A report on how the health service can survive CHANGING AN
ROAD
more austerity has said patients will wait longer for
AMERICAN WAY OF LIFE

what to do with a balance sheet that has from members of the Federal Reserve.” echoing comments by San Francisco’s
non-urgent operations and for A&E treatment while

by Brexit surge
some surgical procedures will be scrapped.— PAGE 4 Censors and sensitivity
i Emerging nations in record debt sales Warning: this article may be
FT WEEKEND MAGAZINE
FEBRUARY 4 2017

Developing countries have sold record levels of upsetting — LIFE & ARTS

omy and stave off a financial crisis by

government debt in the first quarter of this year,
taking advantage of a surge in optimism toward
emerging markets as trade booms.— PAGE 15

Credit Suisse
3 Confidence in IT plans ‘has collapsed’ Art of persuasion Mystery deepens

increased to nearly $9tn as a result of The Fed must raise rates to a level that Mary Daly. “At this point they cannot
i London tower plans break records
3 Fivefold rise in declarations expected
A survey has revealed that a
record 455 tall buildings are
planned or under construction over disputed painting of Jane Austen How To Spend It

engulfed in
JAMES BLITZ — WHITEHALL EDITOR adjust its negotiation position with the in London. Work began on

cutting interest rates to zero and buy-

EU, a Whitehall official said. “If running almost one tower a week
A computer system acquired to collect our own customs system is proving during 2016.— PAGE 4
duties and clear imports into the UK much harder than we anticipated, that
may not be able to handle the huge ought to have an impact on how we i Tillerson fails to ease Turkey tensions

fresh tax probe

surge in workload expected once Britain
leaves the EU, customs authorities have
admitted to MPs.
HM Revenue & Customs told a parlia-
mentary inquiry that the new system
the central bank’s pandemic largesse. begins to constrain economic activity guide clearly about what this rate-hik-
press for certain options in Brussels.” The US secretary of state has failed to reconcile
In a letter to Andrew Tyrie, chairman
of the Commons treasury select com-
mittee, HMRC said the timetable for
tensions after talks in Ankara with President Recep
Tayyip Erdogan on issues including Syria and the
extradition of cleric Fethullah Gulen.— PAGE 9
Chic new lodgings
delivering CDS was “challenging but in Scotland

ing trillions of dollars of assets.

needed urgent action to be ready by
March 2019, when Brexit is due to be
completed, and the chair of the probe
said confidence it would be operational
achievable”. But, it added, CDS was “a i Toshiba investors doubt revival plan
complex programme” that needed to be In a stormy three-hour meeting, investors accused MAGAZINE
linked to dozens of other computer sys- managers ofhaving an entrenched secrecy culture
tems to work properly. In November, 3 UK, France and Netherlands swoop
and cast doubt on a revival plan after Westinghouse

“How to thread the needle for a deci- without choking it off. According to the ing cycle can look like,” said Matthew
in time “has collapsed”.
Setting up a digital customs system
HMRC assigned a “green traffic light” to
CDS, indicating it would be delivered on 3 Blow for bid to clean up Swiss image
filed for Chapter 11 bankruptcy protection.— PAGE 16

has been at the heart of Whitehall’s
Brexit planning because of the fivefold
increase in declarations expected at
time. But last month, it wrote to the i HSBC woos transgender customers
committee saying the programme had The bank has unveiled a range of gender-neutral
RALPH ATKINS — ZURICH it followed “a strategy offull client tax
been relegated to “amber/red,” which DUNCAN
titles such asROBINSON — BRUSSELS
“Mx”, in addition to Mr, Mrs, Misscompliance”
or but was still trying to

FINANCIAL TIMES
British ports when the UK leaves the EU.
About 53 per cent of British imports
come from the EU, and do not require
means there are “major risks or issues Ms, in a move to embrace diversity and cater togather the information about the probes.
apparent in a number ofkey areas”. Credit
needs Suisse hascustomers.
of transgender been targeted by
— PAGE 20 HM Revenue & Customs said it had
HMRC said last night: “[CDS] is on sweeping tax investigations in the UK, launched a criminal investigation into

28821, Coslada, Madrid. Legal deposit number

checks because they arrive through the track to be delivered by January 2019, France and the Netherlands, setting suspected tax evasion and money laun-

single market and customs union. But
Theresa May announced in January that
Brexit would include departure from
both trading blocs. HMRC handles 60m
declarations a year but, once outside the
But as the Federal Reserve prepares to sion-making process that is a bit frayed closely watched “dot plot” projections Luzzetti, economist at Deutsche Bank.
and it will be able to support frictionless back Switzerland’s attempts to clean up dering by “a global financial institution
international trade once the UK leaves
Datawatch
its image as a tax haven. and certain ofits employees”. The UK
the EU . . . Internal ratings are designed The Swiss bank said yesterday it was tax authority added: “The international
to make sure that each project gets the
focus and resource it requires for suc-
Terror attacks inwith
co-operating western Europe after
authorities
offices in London, Paris and Amsterdam
Recent reach
itsattacks
notably the message
2011
— of this investigation sends a clear
that there is no hiding place for
The lure of the exotic
Robin Lane Fox on the flair

(deposito Legal) M-32596-1995;

customs union, the number is expected cessful delivery.” were contacted
Highlighted attack byOthers massacre bythose seeking to evade tax.”
local officials

bracken House, 1 friday street, London eC4M 9bt.

to hit 300m.
The revelations about the system,
called Customs Declaration Service, are
HMRC’s letters to the select commit-
tee, which will be published today, pro-
vide no explanation for the rating
Lloyd’s of London chose Brus-
insurers to follow. Most of the
“concerning client tax matters”. Anders BreivikDutch in prosecutors, who initiated the
AFP Dutch authorities said their counter- action, said they seized jewellery, paint-
Norway, the of foreign flora — HOUSE & HOME
EU, with Dublin and Luxem- parts in Germany wereBrussels attacks in Paris
also involved, ings and gold ingots as part of their
and Nice, and the while French officials said their

likely to throw a sharper spotlight on
whether Whitehall can implement a
change, but some MPs believe it was
caused by Mrs May’s unexpected deci-
sels over “five or six” other
cities in its decision to set up an
business written in Brussels
will be reinsured back to the
bourg thought to be more likely
homes for the industry. But
unwind that unprecedented monetary is a heavy lift,” said Diane Swonk, chief by FOMC members and branch presi- “It does open up the potential for dislo-
while Australia’s revenue department
Norway probe;
said it was investigating a Swiss Brussels suicide
Paris Nice bank. investigation had revealed “several

Publishing director, roula khalaf;

host of regulatory regimes — in areas
ranging from customs and immigration
to agriculture and fisheries — by the
time Britain leaves the EU.
Problems with CDS and other projects
sion to leave the EU customs union.
Timetable & Great Repeal Bill page 2
Scheme to import EU laws page 3
Editorial Comment & Notebook page 12
Philip Stephens & Chris Giles page 13
EU base to help deal with the
expected loss of passporting
rights after Brexit.
John Nelson, chairman of the
centuries-old insurance mar-
syndicates at its City of London
headquarters, pictured above.
The Belgian capital had not
been seen as the first choice for
London’s specialist insurance
Mr Nelson said the city won on
its transport links, talent pool
and “extremely good regula-
tory reputation”.
Sources: Jane’s Terrorism and Insurgency Centre terror incidents in
Lex page 14
bombings — have
The inquiries threaten to undermine thousand” bank accounts opened in
bucked the trend
efforts by the country’s banking sector Switzerland and not declared to French
of generally low
to overhaul business models and ensure tax authorities.
fatalities from
customers meet international tax The Swiss attorney-general’s office
requirements following a US-led clamp- western Europesaid it was “astonished at the way this
down on evaders, which resulted in operation has been organised with the

Publishing Company, the financial times Limited,

essential to Brexit could force London to JPMorgan eye options page 18 ket, said he expected other groups after the UK leaves the Insurers set to follow page 18
billions of dollars in fines. deliberate exclusion of Switzerland”. It

subscriptions & Customer service

support in the face of surging inflation, economist at Grant Thornton. “We dents, last released in December, the cation about what Fed officials expect
The probes risk sparking an interna- demanded a written explanation from
tional dispute after the Swiss attorney- Dutch authorities.

City watchdog sends a clear message as

general’s office expressed “astonish- In 2014, Credit Suisse pleaded guilty
ment” that it had been left out of the in the US to an “extensive and wide-
actions co-ordinated by Eurojust, the ranging conspiracy” to help clients THE RISE
Escape OF
the taper ECO-GLAM
trap
banker loses job over WhatsApp boast
subscription offers: www.ft.com/subscription registered office as above. Local representative office;
EU’s judicial liaison body. evade tax. It agreed to fines of $2.6bn.
Credit Suisse, whose shares fell 1.2 per Additional reporting by Laura Noonan in How high earners can evade
cent yesterday, identified itself as the Dublin, Caroline Binham and Vanessa
subject ofinvestigations in the Nether- Houlder in London, and Michael Stothard a pension headache — FT MONEY
lands, France and the UK. The bank said in Paris Austen’s descendants insist the Rice portrait depicts her as a girl — see magazine

policymakers are split on how to act — magic number is 2.5 per cent. and what markets price in.”
Bridgeman Art Library

C/ infanta Maria teresa 4, bajo 2, 28016, Madrid. issn

Berrys after discussions with regulators. media at work, but banks are unable to

Contact: +44 207 775 6000, fte.subs@ft.com

LAURA NOONAN — DUBLIN
JENNIFER THOMPSON — LONDON
Christopher Niehaus, a former Jeffer- ban people from installing apps on their

Brussels takes tough stance on Brexit

A boastful WhatsApp message has cost ies banker, passed confidential client private phones.
a London investment banker his job information to a “personal acquaint- Andrew Bodnar, a barrister at Matrix
and a £37,000 fine in the first case of ance and a friend” using WhatsApp, Chambers, said the case set “a precedent

with Spain handed veto over Gibraltar

Shutdown risk as border

1135-8262.
regulators cracking down on commu- according to the FCA. The regulator said in that it shows the FCA sees these mes- 390_Cover_PRESS.indd 1 19/01/2017 13:57

Manage your personal account: mma.ft.com

wall bid goes over the top nications over Facebook’s popular Mr Niehaus had turned over his device saging apps as the same as everything
chat app. to his employer voluntarily. else”.

and how quickly. “The argument now is how quickly to Kansas City’s Esther George, a voting
Congressional Republicans seeking to The FCA said Mr Niehaus had shared Information shared by Mr Niehaus
avert a US government shutdown after The fine by the Financial Conduct confidential information on the messag- included the identity and details of a

US inflation at 40-year high

April 28 have resisted Donald Trump’s Authority highlights the increasing ing system “on a number of occasions” client and information about a rival of ALEX BARKER — BRUSSELS ambitious trade and airline access deals. mise. If Britain wants to prolong its

Uae: Masar Printing & Publishing, P.o. box 485100,

attempt to tack funds to pay for a wall problem new media pose for companies last year to “impress” people. Jefferies. In one instance the banker GEORGE PARKER — LONDON Gibraltar yesterday hit back at the status within the single market after

advertising
on the US-Mexico border on to
stopgap spending plans. They fear
that his planned $33bn increase in
defence and border spending could
force a federal shutdown for the first
that need to monitor and archive their
staff’s communication.
Several large investment banks have
banned employees from sending client
information over messaging services
Several banks have banned the use of
new media from work-issued devices,
but the situation has become trickier as
banks move towards a “bring your own
device” policy. Goldman Sachs has
boasted how he might be able to pay off STEFAN WAGSTYL — BERLIN clause, saying the territory had “shame- Brexit, the guidelines state it would
his mortgage if a deal was successful. The EU yesterday took a tough opening fully been singled out for unfavourable require “existing regulatory, budgetary,
Mr Niehaus was suspended from Jef- stance in Brexit negotiations, rejecting treatment by the council at the behest of supervisory and enforcement instru-
feries and resigned before the comple- Britain’s plea for early trade talks and Spain”. Madrid defended the draft ments and structures to apply”.
tion of a disciplinary process. Living wage rise to pile clause, pointing out that it only reflected Mr Tusk wants talks on future trade

dubai. editor in Chief: roula khalaf. Minutes from January’s meeting of get to neutral,” said Michael Gapen, member on the committee, expressed
explicitly giving Spain a veto over any
time since 2013, as Democrats refuse including WhatsApp, which uses an clamped down on its staff’s phone bills Jefferies declined to comment while pressure on care services “the traditional Spanish position”. to begin only once “sufficient progress”

tel: +44 20 7873 4000 asiaads@ft.com,

to accept the proposals. encryption system that cannot be
US budget Q&A and accessed without permission from the
Trump attack over health bill i PAGE 8 user. Deutsche Bank last year banned
WhatsApp from work-issued Black-
as iPhone-loving staff spurn their work-
issued BlackBerrys.
Bankers at two institutions said staff
are typically trained in how to use new
arrangements that apply to Gibraltar.
Facebook did not respond to a request Senior EU diplomats noted that has been made on Britain’s exit bill and
for comment. About 2.3m people will benefit from European Council president Donald Mr Tusk’s text left room for negotiators citizen rights, which Whitehall officials
Additional reporting by Chloe Cornish today’s increase in the national living Tusk’s first draft of the guidelines, to work with in coming months. Prime believe means simultaneous talks are
Lombard page 20 wage to £7.50 per hour. But the rise which are an important milestone on minister Theresa May’s allies insisted possible if certain conditions are met.
will pile pressure on English councils, the road to Brexit, sought to damp Brit- that the EU negotiating stance was Boris Johnson, the foreign secretary,

emeaads@ft.com France: Publishing director, Jonathan slade, 46 rue La Annual % change in US CPI
which will have to pay care workers a ain’s expectations by setting out a largely “constructive”, with one saying it reassured European colleagues at a
lot more. Some 43 per cent of care “phased approach” to the divorce proc- was “within the parameters of what we Nato summit in Brussels that Mrs May
Subscribe In print and online World Markets staff — amounting to 341,000 people ess that prioritises progress on with- were expecting, perhaps more on the had not intended to “threaten” the EU

the Federal Open Market Committee, chief US economist at Barclays, who her support this week for the sale of
aged 25 and over — earn less than the drawal terms. upside”. when she linked security co-operation
www.ft.com/subscribenow new living wage and the increase is The decision to add the clause giving British officials admitted that the EU’s after Brexit with a trade deal.
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letters.editor@ft.com released on Wednesday, showed that noted the debate over whether to “front- assets to curb inflation. Cleveland’s
Printed in London, Liverpool, Glasgow, Dublin, FTSE 100 7369.52 7373.72 -0.06 € index 89.046 89.372 $ index 104.636 103.930 Ger Gov 2 yr 102.58 -0.75 0.00
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Friday 18 February 2022
Omicron surge
in Hong Kong
strains China’s
zero-Covid drive
Xi strategy further delays reopening
of financial centre to the world
PRiMRoSe RioRdan and cHan Ho-HiM
HONg kONg
toM MitcHell — SiNgapOre
The conflict between preserving Hong
Kong’s status as a leading financial cen-
tre and Xi Jinping’s insistence on a
nationwide “zero Covid” strategy has
been starkly illustrated this week, as the
Chinese president instructed the terri-
tory’s government to rein in China’s
worst outbreak in more than two years
at any cost.
During a week in which the Chinese
government had hoped the rest of the
world would be transfixed by athletic
brilliance at the Beijing Winter Olym-
pics, which have been an organisational
triumph for the host nation, there have
instead been competing images of eld-
erly patients lying in beds outside
swamped Hong Kong hospitals.
The Omicron coronavirus variant is
spreading rapidly, with the Hong Kong
government reporting 6,116 new cases
yesterday, bringing the total to more
than 16,000 over the past month. Before
this outbreak, Hong Kong had recorded
about 12,600 cases by late December.
Some experts argue the distressing
scenes stem in part from China’s insist-
Carrie Lam is
considering
unprecedented
mandatory Covid
tests for the city’s
7.4mn population
ence on eradicating outbreaks by isolat-
ing all positive cases in hospitals and
quarantine centres, even if people have
only mild symptoms or are asympto-
matic. But Chinese government policy
advisers and pro-Beijing figures in Hong
Kong felt there was little chance that Xi
would relent, further delaying the day
when the territory can restore quaran-
tine-free travel with the outside world.
Carrie Lam, Hong Kong chief execu-
tive, said yesterday her administration
was weighing unprecedented citywide,
mandatory Covid testing for its 7.4mn
population, with help from Beijing.
“The reality is that there are very few
severe cases,” said Jin Dong-yan, an epi-
demiologist at the University of Hong
Kong. “Logically, it shouldn’t cause a big
run on our medical facilities, but [it
does] if you take in all patients. Hospi-
tals should primarily admit the elderly,
pregnant women and children.”
Siddharth Sridhar, a virologist also at
HKU, has likened local hospitals to
“sandcastles in a tsunami”.
Chinese authorities, however, fear
failure of its zero-Covid strategy in Hong
Kong could jeopardise their success in
suppressing the virus across the rest of
the country over the past two years.
“If [Hong Kong] lives with the virus,
[Beijing] would definitely be concerned
about whether the virus would spread
into the mainland,” said Tam Yiu-
chung, Hong Kong’s most senior repre-
sentative in China’s parliament, the
National People’s Congress.
As a result, Xi directed officials in the
congressional committee
Trump lease on Washington
hotel at risk of termination
JoSHua cHaffin — New YOrk
A congressional committee has asked
federal regulators to terminate the
Trump Organization’s lease for its sig-
nature hotel in Washington, citing pos-
sible irregularities in the company’s
financial reports.
The request, if honoured, would also
scupper the planned sale of the property
for $375mn to a Miami investment
group, a transaction that would bring an
expected $100mn profit to the former
president’s company.
That transaction is currently in a 45-
day review by the General Services
Administration, the federal agency that
leased the property, known as the Old
Post Office Building, to the Trump
Organization in 2013 for redevelopment
as a five-star hotel.
The move by the House of Represent-
atives oversight committee comes amid
mounting scrutiny of the former presi-
dent’s finances. The New York attorney-
general last month said she had found
★ FINANCIAL TIMES 3
INTERNATIONAL
central government and China’s south-
ern Guangdong province to help Hong
Kong replicate their success in building
as many quarantine facilities as needed.
Regina Ip, a pro-Beijing lawmaker
and member of the council that advises
Lam, said there was little chance Beijing
would deviate from the strategy. “They
are determined to help us return to
zero,” she said.
But getting back to zero cases may no
longer be possible, say some health
experts. The last time China confronted
a citywide epidemic with daily case
counts as high as Hong Kong’s — in Overwhelmed: healthcare workers tend to Covid patients outside a Hong Kong hospital on Wednesday night — Bertha Wang/Bloomberg
Wuhan in January 2020 — it enforced an
uncompromising lockdown for months.
“You can’t close down Hong Kong,
you have to accept reality,” said Jin. He
argued the territory should now be
allowed to live with the virus and reopen
international travel even if that meant
keeping the border with China closed
indefinitely. “If Hong Kong can connect
with the world [after reducing the out-
break] to a low level, then it can walk a
path for China’s future opening-up.”
Pro-Beijing figures in the territory
said Xi’s administration would not be
swayed by such arguments, even as
more companies temporarily relocate
executives outside the territory.
Michael Tien, a Hong Kong business-
man and pro-Beijing legislator, counters
that companies are withdrawing execu-
tives because they need to travel to
other countries in the region rather than
China, which enforces two- or three-
week quarantines on all arrivals.
Even if Lam could get permission
from Xi to let Hong Kong live with the
virus and gradually restore interna-
tional travel links before those into
China, low vaccination rates for the ter-
ritory’s most vulnerable populations
make it a risky strategy. This, along with
an inadequate testing and quarantine
infrastructure, has left Hong Kong dan-
gerously exposed during the outbreak.
Both mainland China and regional
rival Singapore have managed far more
successful vaccination campaigns, with
the latter having fully vaccinated more
than 90 per cent of its eligible popula-
tion. In Hong Kong, by contrast, less
than 30 per cent of people aged 80 or
older have received two shots.
Tam hopes the latest measures will
offer Hong Kong an escape from its pre-
dicament without having to enforce a
Wuhan-style clampdown.
“Could we screen all residents on
Hong Kong Island followed by Kowloon
and the New Territories?” he said, refer-
ring to the city’s three big administra-
tive areas. “That might be a way out.”
But if it is not, one veteran member of
Hong Kong’s pro-Beijing camp, who
asked not to be named, predicted Xi
would not hesitate to take more drastic
measures to eradicate the outbreak and
restore the territory to near-zero Covid
levels. “Do not,” he said, “underestimate
the Communist party’s determination.”
Additional reporting by Wang Xueqiao
Stanchart warning see Companies
Gordon Brown see Opinion
“significant evidence” of fraud commit-
ted by his real estate company for over-
valuing various assets — from office
towers to a penthouse apartment — in
an unaudited statement of financial
health he provided to lenders, business
partners and the media.
Citing those revelations, the former
president’s longtime accountant, Maz-
ars, this week retracted a decade of such
reports, saying they could no longer be
relied upon, and severed ties with
Trump’s company.
Carolyn Maloney, Democratic chair of
the House oversight committee, and her
Democratic colleague, Gerald Connolly,
have previously accused the company of
lying about the Trump International
Hotel’s finances and of receiving prefer-
ential treatment from Deutsche Bank,
which provided a $170mn construction
loan, after Trump became president.
Both parties have denied this.
The GSA, the Trump Organization
and Deutsche Bank did not immediately
respond to requests for comment.
4 ★ FINANCIAL TIMES Friday 18 February 2022

INTERNATIONAL

West Africa

France to refocus anti-terror campaign in Sahel

Collapse of Mali ties
prompts strategy rethink
by Macron and allies
VICToR mAllET — Paris
France and its European and west Afri-
can allies have announced they will shift
the focus of their anti-terrorism cam-
paign in the Sahel eastward to Niger and
south to the Gulf of Guinea after being
pushed out of Mali by an unco-operative
military junta.
“The two terrorist organisations al-
Qaeda and Isis have chosen to make
Africa, particularly the Sahel and now
increasingly the Gulf of Guinea, a prior-
ity in their strategy of expansion,”
French president Emmanuel Macron
said in Paris yesterday.
France and European countries con-
tributing to a combined special forces
group called Takuba that helps Sahel
governments fight Islamists have said
they cannot work with Mali. Its military
rulers have rejected demands for a
return to democracy and hired nearly
1,000 mercenaries from Russia’s Wag-
ner group to protect themselves.
A joint declaration by France and its
European, African and Canadian part-
ners in the Sahel military operations
said they were ready to extend their
support to “neighbouring countries in
the Gulf of Guinea and west Africa”.
Macron said they would withdraw
from Mali, which has been at the heart
of the French-led campaign since
French forces recaptured northern
towns such as Timbuktu from the
Islamists in 2013, over the next four to
six months and redeploy over the bor-
der in Niger.
The French president was flanked by
two west African allies, presidents
Macky Sall of Senegal and Nana Akufo-
Addo of Ghana, whose countries’ north-
ern regions fringe the Sahel. Both said
they appreciated French and European
military support for the region.
French officials have said Paris has
about 4,300 soldiers in the Sahel, of
whom nearly 2,500 are in Mali. In all,
there are 25,000 international military
personnel in the region, including those
with UN peacekeeping operations and
an EU military training mission, both of
which are expected to maintain a pres-
‘All of west Africa,
including the coastal
states, [is] vulnerable
to terrorist outrages’
ence in Mali. Islamist militants, long
active in the Sahel region on the south-
ern fringes of the Sahara, have recently
been targeting coastal states such as
Nigeria and Benin. Nine people were
killed in three bomb explosions in
northern Benin earlier this month.
France later announced its forces in
neighbouring Burkina Faso had killed
40 jihadis it said were responsible.
Speaking after yesterday’s announce-
ment, Akufo-Addo said terrorists could
not be allowed to “find a permanent
home in west Africa”, having been
chased from the Middle East and
Afghanistan.
“All of west Africa, including the
coastal states . . . [is] vulnerable to the
penetration of terrorist outrages,” he
said. “We are therefore re-examining
with our friends and partners the man-
ner in which we can respond.”
Akufo-Addo is head of the Economic
Community of West African States,
which together with the EU has imposed
sanctions on Mali.
Sall, who is head of the African Union,
said yesterday: “We’re glad that com-
mitments have been renewed to stay in
the region and reorganise the forces.
The struggle against terrorism in the
Sahel cannot be a matter only for Afri-
can countries.”
Mali armed forces spokesman Souley-
mane Dembélé shrugged off France’s
announcement. “I think that there has
been no military solution, because ter-
rorism has engulfed the entire territory
of Mali,” he said, according to Reuters.
Additional reporting by David Pilling in
London

summit. differing priorities

EU and Africa leaders meet amid tense relations

Both sides will struggle to agree
on jihadis, Covid jabs, the green
agenda, rights and migration
dAVId pIllINg — London
Charles Michel, president of the Euro-
pean Council, calls it a “new alliance
between Africa and Europe”. President
Emmanuel Macron of France refers to a
“New Deal with Africa”. Ursula von der
Leyen, president of the European Com-
mission, last week promised €150bn of
investments in the continent by 2027 as
part of the EU’s Global Gateway, its
counter-offer to China’s Belt and Road
Initiative.
Yet as leaders from both continents
descended on Brussels yesterday for the
start of a much-delayed two-day EU-Af-
rica Summit, some African delegates
are wondering what the new alliance is
all about.
“I think there’s a bit more excitement
from the European side than from the
African side,” said Lidet Tadesse Shif-
eraw, associate director of the European
Centre for Development Policy Manage-
ment. “The EU is an important partner
to the African continent, but it’s no
longer the main or the most important
partner,” she said. “The EU could be set-
ting itself up for failure by announcing
so many flagship projects to woo the
African side.”
The summit comes at a time of
strained relations. France is preparing
to pull troops out of Mali after Bamako’s
military government hired Russian
mercenaries to fight terrorists and
expelled the French ambassador.
Europe has watched nervously as gener-
als in Mali, Burkina Faso and Guinea
have toppled civilian governments and
as offshoots of Isis and other jihadi
groups gain ground from the Sahel to
central Africa.
A lot of goodwill has been lost over
Covid vaccines, with Europe accused of
helping to propagate “vaccine apart-
heid” by snapping up Covid jabs and
opposing a waiver of intellectual prop-
erty rights. Europe has also been criti-
cised for allegedly discriminatory travel
Making a stand: bans on countries such as Nigeria and
EU and African South Africa, the latter of which alerted
Union leaders the world to the Omicron strain of Cov-
prepare to open
the summit in
id-19 in November.
Many African leaders are also wary of
Brussels Europe’s green agenda, which they see
yesterday
John Thys/AP
as an attempt to block hydrocarbons
projects that they argue are needed to
industrialise and bring electricity to the
600mn Africans without it. In his inau-
gural speech as chair of the African
Union, Macky Sall, president of Senegal,
said ending the financing of gas projects
would “thwart our efforts for social
development . . . it is legitimate that
our countries demand a fair and equita-
ble energy transition”.
European and African leaders spend
much time talking past each other, said
Aanu Adeoye, an analyst at Chatham
House, a UK think-tank. “It feels like
there’s a disconnect in terms of what the
priorities for both sides are,” he said, cit-
ing as an example differing views on
immigration where “the Europeans are
mostly interested in stopping the flow of
migrants, while African countries are
interested in talking about growing
their economies”.
“The Europeans rightly or wrongly
feel the need to talk about human
rights . . . and the rule of law, but a lot of
times leaders don’t want to be preached
at,” said Adeoye, adding that the Euro-
‘Africa peans do not always live up to their own
moral standards. “In Libya, the EU is
should not essentially paying for the Libyan coast-
simply be guard to keep people in check and these
guys are employing tactics that wouldn’t
viewed as a be acceptable on European soil.”
venue for Apart from concerns about flows of
migrants from a continent whose popu-
strategic lation is expected to nearly double to
competition 2.5bn by 2050, much of Europe’s
attempt to recast the relationship is a
but one that reaction to China’s perceived success in
holds cementing trade and investment ties.
Trade between China and Africa rose
intrinsic in the first two decades of the century,
opportunity’ hitting $176bn in 2020. Trade between
EU states and Africa, although higher at
about €225bn in 2020, has stagnated
over the past decade.
“I think the Europeans are very nerv-
ous about losing ground in Africa,” said
Geert Laporte, director of the European
Think Tanks Group, adding that not
only China but also Russia, Turkey and
others have made big inroads.
Laporte voices European frustration
at what he characterises as an essen-
tially transactional relationship in spite
of all the talk about shared values and
alliances. “The two parties always say
we want a partnership beyond finance
and beyond aid,” he said. “But always it
turns around money.”
Yunnan Chen, senior research officer
at the Overseas Development Institute,
a UK think-tank, argues that Europe can
compete with China “for economic and
soft power” but only if it learns what
China, which has no colonial baggage,
has got right as well as where it has fallen
short. “Africa should not simply be
viewed as a venue for strategic competi-
tion, but one that holds intrinsic oppor-
tunity.”
Michaël Tanchum, a policy fellow at
the Africa programme of the European
Council on Foreign Relations, also
makes the case for a different lens on
Africa, which he says has 100 cities with
more than 1mn people. “When you look
at the next 20 years, where is the supply
of affordable labour and where are the
markets?” he asked. “Any country that
doesn’t have a constructive relationship
with Africa is going to lose its relative
position in the global economy.”
Rémy Rioux, chief executive of the
French Development Agency, said
Europe was doing better at co-ordinat-
ing its financial offering across member
states and institutions. “No other region
has such a presence on the ground, so it’s
really a question of organising ‘Team
Europe’,” he said. “We are progressing
very rapidly and this summit will only
reinforce that.”
Tadesse Shiferaw of the ECDPM said
the decolonisation movement and Black
Lives Matter had shifted the balance
between Africa and Europe.
“There’s been a mental and attitudi-
nal shift globally. Europe understands
that, but it is struggling to keep up.”

Ecological research Infrastructure spending

Global handouts to heavy
polluters hit $1.8tn a year
CAmIllA HodgsoN
Governments worldwide are spending
at least $1.8tn a year on subsidies in
support of heavily polluting industries
led by coal, oil, gas and agriculture,
according to research, despite their
commitment to climate change targets.
About 2 per cent of global gross domes-
tic product was spent annually on subsi-
dies that encourage unsustainable pro-
duction or consumption, deplete natu-
ral resources and degrade ecosystems,
independent researchers Doug Koplow
and Ronald Steenblik concluded.
Koplow, who has advised govern-
ments on subsidies, and Steenblik, who
worked at the OECD on the issue, identi-
fied subsidies they assessed had a nega-
tive impact across eight sectors, includ-
ing building, transport and fishing.
The biggest beneficiary of the hand-
outs was the fossil fuel industry, which
enjoyed $640bn a year, while the agri-
cultural and forestry sectors received
$520bn and $155bn respectively, the
research found. Those estimates were
likely to be conservative, it noted, since
the existence and size of government
support was not always reported.
The subsidies persisted in part
because of “the power of vested inter-
ests”, said the Business for Nature and B
Team groups that commissioned the
study, a coalition of more than 70 busi-
ness, industry and non-profit groups.
The findings come just months after
global negotiators from almost 200
countries agreed to the “phaseout of
inefficient fossil fuel subsidies” at the
COP26 UN climate summit, although
this pledge did not include a deadline.
Iran, China and India gave out the
most in fossil fuel consumption subsi-
dies in 2019, to the tune of $87.9bn,
$34bn and $33bn respectively, accord-
ing to the International Energy Agency.
Mexico, China and Argentina pro-
vided the most direct support to fossil
fuel producers, excluding tax breaks, of
$11.3bn, $3.9bn and $2.5bn respectively,
according to OECD data.
The OECD analysis did not include the
support provided by some of the biggest
oil and gas producing nations, such as
Saudi Arabia, because of issues with
data transparency.
Despite pledges by governments to
build back “greener” from the pan-
demic, support packages have contin-
ued to assist polluting industries.
Delta Merner, who leads the Union of
Concerned Scientists’ Science Hub for
Climate Litigation, said fossil fuel subsi-
dies could face legal challenges, on the
grounds that they were inconsistent
with a country’s net zero target.
UN climate fund on brink see Companies
Winter Olympics costs spiral as China seeks to burnish status
FT REpoRTERs
China has spent at least Rmb56bn
($8.8bn) to host the Winter Olympics,
with the cost to retrofit or build a dozen
new venues almost double the original
budget, despite a pledge to ensure the
Games would be “economical”.
The Chinese government has disclosed
little about the costs of the Games,
which Beijing has sought to use as a
showcase for its rising global status. But
dozens of procurement and bidding
documents reviewed by the Financial
Times show that officials spared little
expense to host the event.
China budgeted $1.5bn to construct or
refurbish a dozen venues, including
building Olympic villages at three sites,
but the documents show the projects
cost at least $3bn.
Authorities also spent significantly to
avoid any potential blemish to the spec-
tacle and ward off a Covid-19 outbreak.
This included Rmb32mn to finance pol-
lution studies and monitoring systems
to ensure blue skies and Rmb4m to buy
dividers in canteens.
Making enough artificial snow for the
skiing events in Yanqing, 90km from
Beijing, has also been a challenge. China
spent about Rmb10bn to turn an unde-
veloped mountain valley into an Olym-
pic ski resort and sliding complex,
including Rmb755mn to build a system
to pump in water to produce snow.
“It’s amazing what they’ve done with
this place,” said Irish skier Jack Gower.
Other flagship projects include
Rmb1.5bn for the National Speed Skat-
ing Oval and Rmb653mn to construct
the National Cross-Country Skiing Cen-
tre.
After winning the contest to host the
Games, China embarked on a transport
upgrade to whisk athletes and coaches
between venues, including Rmb16.3bn
for a new highway from Yanqing to
Chongli, site of the third Olympic Vil-
lage. It also added a new high-speed rail
link to the area at a cost of Rmb6.7bn.
The International Olympic Commit-
tee said the “latest indications” were
that spending on venues was within
budget. It added that the two transport
Transport and stadium costs
were higher than expected
for Beijing Olympics
$bn
Other
Transportation
Stadiums
Initial budget Actual spending
Source: Beijing Organising Committee for the
2022 Olympic and Paralympic Winter
Games, FT calculations
projects were “long-term regional
development plans” and did not “form
part of the current Games budget”.
But a week after winning the Games,
Beijing transport commission head
Zhou Zhengyu unveiled the projects as
part of an Olympic transport upgrade
intended “to meet the requirements of
the event, and also to provide real long-
term support for regional develop-
ment”.
The high cost of the Beijing Olympics
will add to a longstanding debate about
the financial logic of hosting the Games,
with a number of cities struggling to
recoup expenses or make use of stadi-
ums and infrastructure constructed for
the event.
“Every city competes to exhibit the
most fantabulous candidate file to win
the Games,” said Wladimir Andreff, an
economics expert at the French Minis-
try of Sports.
“It means underestimating the costs,
10 sometimes by hiding information, and
overestimating the economic benefits,”
8 he added.
6
But then the winner is left with the
bill. “It’s the winner’s curse,” said Andr-
4 eff, adding that transport projects
should be included in the budget if they
2 are connected to the Games.
0
Zhangjiakou, the city that adminis-
ters Chongli and is also co-hosting
events, faces financial difficulties after
undertaking a debt-fuelled investment
spree to build infrastructure, including
expanding its airport, adding roads and
transport terminals, and moving thou-
sands of villagers from their ancestral
lands.
“Authorities have run out of funds,”
said one resident, who was resettled
from his village to make way for an
Olympics-related project. He added
that the local government still owed him
70 per cent of the Rmb450,000 agreed
in compensation, with a monthly pay-
ment plan in place to pay off the unset-
tled portion over 24 months.
China has also spent millions of dol-
lars producing media content to pro-
mote the Games. Zhangjiakou’s local
government hired China News Service,
a state-owned news agency, to flood for-
eign social media and livestreaming
platforms with positive content about
the Games and the city.
Covid-19 has added to the costs, with
the Games forced to take place in a
closed loop designed to separate partici-
pants in the event from the rest of China
to prevent transmission of the virus.
On a recent night, a young unpaid
police cadet stood along the fence sepa-
rating the Games from the rest of
Beijing. “I’m on the day shift from six in
the morning to about 11 at night,” he
said. “It’s always like this in China,
there’s nothing we can do about it,” he
pointed out.
Reporting by Ryan McMorrow, Thomas
Hale, Nian Liu and Sun Yu in Beijing and
Andy Lin in Hong Kong
Friday 18 February 2022 ★ FINANCIAL TIMES 5

Coal comeback Buoyant Us producers ride wave of record profits but analysts warn that respite will be shortlived y PAGE 6

Sequoia sets Good punt Silver Lake to take New Zealand

All Blacks stake after convincing players
Amazon and
Visa agree
aside $500mn global truce
on card fees
for plunge into DAve lee — sAn FrAncisco

Amazon has reached a worldwide deal

crypto projects
with Visa to continue accepting pay-
ments from its credit cards, ending a
tense, months-long stand-off over ris-
ing transaction fees.
“We’ve recently reached a global agree-
ment with Visa that allows all customers

3 Venture capital firm announces rejig to continue using their Visa credit cards
in our stores,” the company said in a

3 Techs keen to tap explosive returns
Miles KruppA — sAn FrAncisco
Sequoia Capital, one of Silicon Valley’s
most influential venture capital groups,
plans to move deeper into cryptocur-
rency markets, earmarking at least
$500mn for investments in digital
assets.
The California-based firm announced
yesterday that it had set aside
$500mn-$600mn for a fund that would
primarily invest in cryptocurrency
tokens traded on third-party exchanges.
The push is part of a business-wide rejig,
with a dedicated fund allowing it to play
a more active role in cryptocurrency
networks, including validating transac-
tions and voting on governance matters.
“The area in crypto where we have the
most opportunity for improvement is
‘There’s a balance that we
need to find between
protecting consumers and
maintaining innovation’
really in the liquid stuff,” said Shaun
Maguire, a partner at Sequoia. “Our
founders have asked us for a lot of help
there, and we just haven’t been able to
deliver in the traditional venture capital
model.”
Sequoia’s move shows how big tech
investors are plunging into cryptocur-
rency markets, seeking the explosive
financial returns that have largely gone
to enthusiasts and specialist funds.
Hundreds of projects based on
ethereum and other digital ledgers have
issued digital assets, using them to
organise new consumer and financial
applications. Tiger Global Management,
one of the largest tech investors, made
its first token investment in December
in the freelancing network Braintrust.
The new fund will allow Sequoia to
become a bigger participant in the
cryptocurrency projects it backs. One-
fifth of Sequoia’s investments in the US
and Europe last year went to the crypto-
currency sector, including start-ups
such as the $8bn digital asset security
group Fireblocks.
Unlike traditional start-ups, many
cryptocurrency projects do not have
traditional boards of directors, instead
distributing tokens that allow users and
investors to vote on major decisions.
Sequoia has previously purchased
shares and tokens in cryptocurrency
projects through its traditional venture
funds. Its token investments have
included the social media start-up DeSo
and the data-storage network Filecoin.
Global regulators have recently
increased their scrutiny of cryptocur-
rency groups, sending a chill through
the riskiest corners of the more than
$2tn market while raising the spectre
that many tokens might eventually be
classified as securities.
Maguire said Sequoia would apply a
“20-year lens” to its cryptocurrency
holdings and avoid trading tokens
except for “exceptional circumstances”.
“We expect regulation, but there’s a
balancewe need to find between protect-
ing consumers and maintaining innova-
tion in a really important space. It
reminds me of early internet regulation.”
Sequoia announced the fund as part
of a restructuring to create a single over-
arching entity, the Sequoia Fund, that
permanently holds investor capital.
The cryptocurrency fund and
Sequoia’s flagship funds will distribute
their proceeds to the Sequoia Fund,
which will allow investors to withdraw
capital twice a year after an initial two-
year lock-up period.
The group managed more than $80bn
in assets at the end of September,
according to regulatory filings.
see Opinion
Defensive mechanisms: New Zealand’s Jordie Barrett fends off South Africa’s Faf de Klerk last year — Patrick Hamilton/AFP
sAMuel Agini — london
Silver Lake has agreed to invest in the
organisation behind New Zealand’s
All Blacks, as private equity firms
continue to buy into sport amid the
coronavirus pandemic.
Under the terms of the deal, Silver
Lake will back a new commercial
entity that will contain New Zealand
Rugby’s revenue-generating assets,
according to a statement.
The US private equity firm will put
in NZ$200mn ($134mn) in exchange
for a perpetual convertible security,
which it will be able to convert into
equity after three years. This values
the new entity at NZ$3.5bn.
Private equity firms and other insti-
tutional investors have stepped up
their interest in sport since the out-
break of the coronavirus pandemic,
which disrupted fixtures and cost
leagues and teams around the globe
billions in revenue.
Assuming that Silver Lake wins the
remaining approvals required, the
deal will also set up a battle for influ-
ence over rugby against Luxembourg-
based CVC Capital Partners, which
has injected funds into Premiership
Rugby in England, Pro14 club compe-
titions and the Six Nations.
Silver Lake is already a major inves-
tor in sport, having taken a minority
stake in the group that owns Man-
chester City football club. It is also a
backer of sports retailer Fanatics, and
Endeavor, which owns the Ultimate
Fighting Championship mixed mar-
tial arts series.
New Zealand-based institutional
investors will be given the chance to
invest a further amount of up to
$100mn later this year.
Silver Lake, which will underwrite
the co-investment, will then hold
5.71-8.58 per cent of the commercial
entity, rather than the 10-15 per cent
originally proposed last year.
statement, but declined to share any
specifics of the deal.
The surcharge applied to the use of
Visa credit cards on Amazon’s Australia
and Singapore sites was set to be lifted
yesterday, while Amazon’s threat to
block Visa credit card payments on its
UK store has been dropped, the com-
pany confirmed to the Financial Times.
Visa said it was “pleased” to have
reached a “broad, global agreement”.
The company said the deal, announced
late on Wednesday, included a “joint
commitment to collaboration on new
product and technology initiatives to
ensure innovative payment experiences
for our customers in the future”.
Amazon, the world’s largest online
retailer, has recently experimented with
alternative payment methods for buy-
ing goods on its stores, including “buy
now, pay later” facilities.
Relations between the two companies
had deteriorated as Amazon protested
against sharp increases to Visa’s online
transaction fees. Last October, Visa
began charging 1.5 per cent of the trans-
“I want to acknowledge that the action value for credit card payments
journey to get here hasn’t been easy at made online between the UK and EU,
times. There was healthy debate and and 1.15 per cent for debit card transac-
some adjustments by all parties, but tions, up from 0.3 per cent and 0.2 per
always with the good of the game at cent, respectively. The move came after
the heart of this process,” said Stewart payment companies escaped an EU cap
Mitchell, chair of New Zealand Rugby. on cross-border interchange fees — a
Silver Lake’s investment in the All levy credit card companies charge on
Blacks proved controversial when behalf of issuing banks — when the UK
talks were revealed last year. A pro- left the bloc.
spective deal provoked opposition The rate increase prompted Amazon
from the rugby players’ association, in November to announce it would stop
which has now backed the agreement. accepting Visa credit cards as a form of
David Kirk, the former All Black payment on its UK stores in mid-
captain who chairs the New Zealand January, an escalation in the negotia-
Rugby Players Association, described tions between the world’s largest online
it as a “pivotal moment” for the sport. retailer and the world’s biggest pay-
“The agreement provides capital on ments provider.
a sound economic basis, and Silver Last month, Amazon said the UK ban
Lake brings additional capability to had been postponed while the parties
execute on the new growth opportu- worked on a “potential solution”, sug-
nities,” he said. gesting a deal was close. Visa chief exec-
The investment requires approval utive Al Kelly had previously said Ama-
from the country’s provincial rugby zon’s negotiating tactics had been “odd”
unions and the Maori Rugby Board. and “unfortunate”.

Forces that drove the semiconductor boom are far from finished
sharply after the pandemic-induced
inside business demand for the low-cost laptops for
online school lessons was met.
Technology Demand for internet equipment is
also slowing as families working from
Kathrin home have upgraded their WiFi gear.
Similarly, the growth in sales of LCD tel-
Hille evision sets and online gaming gadgets
is expected to decrease as the receding
pandemic allows consumers in Europe
and America to go out again.
to $5,600 during the same period.
Apart from this increase in demand
for chips, there is structural change in
the end market. “For the past 20 years,
the main end user has been consumers.
But now, the industry may return to a
situation where corporates and govern-
ments are driving demand,” Nystedt
says. “While consumers want low-cost
products, enterprises and governments
expect quality. This might change the

T
he semiconductor industry
has long struggled with a
cycle of boom and down-
turns. Now though the
industry is confident it can
beat the patterns of the past to extend
what has been an extraordinary run.
The industry, which reported a 26.2
per cent jump in sales to an all-time high
of $555.9bn last year, wants to pour
record-breaking sums into new fabrica-
tion plants, or fabs.
Taiwan Semiconductor Manufactur-
ing Company, the world’s largest con-
tract chipmaker, is preparing to spend
another $44bn expanding capacity this
year. Likewise, Intel is planning a multi-
year expansion worth up to $100bn
building what could be the largest fab.
Such splurges in the past have led to
overcapacity, often coming as demand
softens. And now warnings are starting
to appear about current conditions. Sev-
eral analysts say the chip shortage that
has kept fabs full and driven prices up
could turn into a glut as early as 2023.
“There is the concern that there is
going to be overcapacity,” said Dylan
Patel, a chip expert at Semianalysis, a
research firm. “I do see this cycle being
longer than in the past, but I also see the
next down cycle being deeper.”
There have been signs of softening
demand in some segments for months
now: sales of Chromebooks dropped
But many industry experts argue that
this is only the beginning of an extraor-
dinary boom for the global chip market.
“There is nothing normal about this
chip cycle,” said Dan Nystedt, vice-pres-
ident at TriOrient, an Asia-based pri-
vate investment company. The disrup-
tion caused by the US-China trade war
and then Covid-19 led many in the
industry to misjudge demand and
underinvest, he
said. “There are ‘Consumers want low-cost
bigger trends going
on which are likely products but enterprises
to drive up demand and governments expect
for much longer.”
The chip indus- quality. This might change
try was in the past the pricing structure’
powered by one or
two key devices such as the personal
computer and then the smartphone.
The rise of artificial intelligence is now
enabling the use of chips in almost eve-
rything from cars to factories to home
appliances. Then additional computing
power is required to store and process
the vast amounts of data gathered on
the smart devices and infrastructure.
As a result semiconductor content per
device is ballooning. Applied Materials,
a US chip equipment maker, predicts
that one smartphone will contain $275
worth of chips by 2025, up from $100
in 2015. The chip content per car is
forecast to increase from $310 to $690
and per datacentre server from $1,620
pricing structure.”
Chip executives therefore believe that
comparisons with the industry’s past
patterns, in which there have been cycli-
cal drops every two to four years on
average, fall short. Moreover, as build-
ing fabs gets ever more expensive, the
big jumps in capital expenditure from
TSMC and its rivals Samsung and Intel
do not mean equally large jumps in
capacity.
“Most people would be amazed to see
that these investments will translate
into a 10 to 15 per cent increase of capac-
ity per year over the next few years,”
says Sebastian Hou, managing director
Businesses For Sale
at Neuberger Berman, the investment
manager. “That is probably just enough
to meet the increase in demand.”
Add to this dynamic the weakening of
global supply chains as governments
from the US to Europe to Japan and
China seek to build local capacity to
hedge against both geopolitical rivals
and risks of disruption such as those
that emerged in the pandemic. This
means customers are likely to build
greater stockpiles of chips to ensure
they have enough.
“We were very efficient under the glo-
balised supply chain, but efficiency will
Business for Sale, Business Opportunities, Business Services,
decrease,” said Hou. “More capacity will Business Wanted, Franchises
be built than was considered necessary Runs Daily
under the globalised supply chain.” .........................................................................................................................................................................................................................................................................
Classified Business Advertising
UK: +44 20 7873 4000 | Email: advertising@ft.com
kathrin.hille@ft.com
6 ★ FINANCIAL TIMES friday 18 february 2022

COMPANIES & MARKETS

Financials Banks

Climate ETF flops after backers delay StanChart says

Fund launched to fanfare
at COP26 looks set to shut
due to lack of seed cash
KrisTen TALMAn — wasHiNgtoN
pATriCK TeMpLe-WesT — NEw YorK
A UN-backed green investment fund is
on the brink of failure three months
after its launch at the Glasgow climate
summit because institutions, including
big banks, did not deliver expected seed
funding.
The MSCI Global Climate Select
exchange traded fund was unveiled in
early November. Trading under the
ticker NTZO, it excludes fossil fuel com-
panies and boosts holdings of compa-
nies with lower carbon emissions.
The fund has amassed less than $2mn
and is likely to be wound down as soon
as the end of March without further
investment, said Ethan Powell, founder
of Dallas-based Impact Shares, the fund
manager. He said Impact Shares has
been spending about $25,000 a month
to manage the ETF.
The case illustrates how corporate
organising to combat climate change
can fall short when capital is needed.
The ETF was created by Impact Shares
and Global Investors for Sustainable
Development (GISD), a group of 30
companies that launched in October
2019 to help fund the UN’s sustainable
development goals.
Bank of America, Citigroup and
Santander, all GISD members, pledged
seed money to NTZO but have refused
until other investors step up, said Jim
Healy and Sudip Thakor, former Credit
Suisse bankers involved with the fund.
“It is a classic case of everyone just going
through the motions,” said Thakor. He
said he invested $500,000 in the ETF,
Banks had pledged seed
money to NTZO but were
waiting for others to step
up, said people involved
while Healy and his wife put in $1mn.
Bank of America and Citigroup
pledged up to $50mn and $12.5mn for
the ETF respectively, but with the pro-
viso that their investments could not
account for more than 25 per cent of the
Energy. fossil fuels
fund, Healy and Thakor said. They
added Santander, the Spanish bank,
pledged $50mn but would not have
more than 5 per cent.
Because of the ETF’s small size, the
banks could not provide their maxi-
mum dollar commitments without
exceeding the pledged percentages.
Bank of America said it “stood by
ready to provide seed capital on the
basis that the ETF would be able to
gather sufficient volume from long-
term institutional investors”. Citigroup
said it was willing “to provide seed capi-
tal for the NTZO ETF contingent on pre-
set criteria and regulatory require-
ments”, adding “any claim to the con-
trary is false”.
Santander said it “remains commit-
ted” to investing in the ETF “once the
fund has been seeded and the informa-
tion required to complete due diligence
has been provided”. The UN said it “con-
tinues to support innovative finance
solutions” and will “support those
efforts when called upon”.
Impact Shares and the UN announced
the new ETF as global leaders met in
Scotland for the COP26 climate summit.
Fani Titi, Investec’s chief executive and
a GISD member, was quoted saying the
climate ETF “created a real opportunity
for investors to finance greater good”.
Healy and Thakor said they expected
to get their money back if the ETF was
forced to shut down.
“There needs to be some accountabil-
ity,” said Healy. “We care about global
warming and we just resent the facade
that the GISD represents to us.”
zero-Covid
policy imperils
HK hub status
sTephen Morris And TABBy Kinder
LoNdoN
WiLLiAM LAngLey — HoNg KoNg
Bill Winters, Standard Chartered chief
executive, warned that Hong Kong
would struggle to retain its dominant
position as Asia’s top financial centre
the longer China persisted with its
zero-Covid policy.
The bank, which generates almost a
quarter of its income in Hong Kong, has
been forced to close a third of its more
than 70 retail branches in the territory
as officials battle the worst coronavirus
outbreak since the pandemic started.
“The longer [Hong Kong] endures the
relatively restrictive mobility patterns
compared to other hubs, the harder it
will be to maintain its dominant posi-
tion,” Winters said. “Hopefully it will
return to that regional role . . . All in all,

US coal industry loads up on record profits
Miners benefit from soaring
gas prices but power plants are
slowly cleaning up their acts
MyLes MCCorMiCK — NEw YorK
For a sector written off as being in termi-
nal decline, the US coal industry is rak-
ing in money.
Over the past week America’s biggest
coal mining companies have enjoyed
profit bonanzas, notching up some of
their best results in decades thanks to
resurgent demand and soaring prices.
Peabody Energy, the world’s largest
private sector producer, reported its
most profitable quarter on record. Arch
Resources, the next biggest, posted its
best results since large asset sales five
years ago.
“These are prices that we’ve never
seen, frankly, in 20-plus years,” Paul
Lang, Arch’s chief executive, told inves-
tors. “It’s an amazing position to be in.”
The bumper results have given a jolt
to an industry undergoing slow-motion
contraction. Annual US coal use has
halved from a peak of more than 1bn
short tons more than a decade ago.
About 90 per cent of the country’s coal
production feeds power plants, and
competition from cheap natural gas and
renewable energy has sidelined coal-
fired generating units.
Yet last year those conditions partially
reversed as gas prices swung higher.
Coal stockpiles became depleted, spur-
ring mines to catch up. The US Energy
Information Administration recently
forecast coal production would rise this
year and next.
“This is a phenomenon that we’re see-
ing across pretty much every energy
commodity where we’ve had this whip-
saw of demand from the pandemic
lows,” said Dan Klein, head of future
energy pathways at S&P Global Platts.
“And supply is usually slow to calibrate
to that.”
Volumes of coal burnt in power sta-
tions jumped an estimated 20 per cent
last year to 503mn short tons, the first
annual rise in coal generation since
2014, according to the EIA. This helped
push energy-related carbon emissions
up more than 6 per cent in 2021. Coal
emits roughly double the carbon diox-
ide of natural gas when burnt.
The trend mirrors the international
picture, with global power generation
from coal jumping 9 per cent last year to
an all-time high — a trend Fatih Birol,
director of the International Energy
Coal is lifted Agency, said was a “worrying sign of
onto a truck in how far off track the world is” in its
Kentucky. Some efforts to combat climate change.
producers, such Joe Biden, US president, is seeking to
as Arch and end carbon emissions from the power
Alliance, have sector by 2035.
sought to pivot Peabody’s share price is eight times its
into coking coal, level at the beginning of last year. It
used to make reported net income of $513mn in the
steel — Scott Olson/Getty final three months of 2021, up from a
loss of $129mn a year earlier, while Arch
swung from a loss to a profit of $227mn.
Both groups’ operations include large
mines in Wyoming’s Powder River
Basin. Alliance Resource Partners, with
mines in Appalachia and the Illinois
Basin of the US Midwest, said net
income jumped by almost half to
$52mn.
But the respite will be shortlived, say
analysts, as America’s power generators
continue to turn their back on the dirti-
est fossil fuel and the industry’s struc-
tural decline accelerates.
Analysts at the Institute for Energy
Economics and Financial Analysis, a
research group, estimate about 94 giga-
watts of coal-fired power capacity —
roughly half of the US fleet — will be shut
between 2021 and 2030.
In the past two weeks, two of the big-
gest electric utilities, Duke Energy and
Georgia Power, part of Southern Com-
pany, have announced plans to phase
out their coal generation by 2035.
Regis Repko, senior vice-president for
generation and transmission market
transformation at North Carolina-based
Duke, said coal had become socially
unacceptable. “The driver for that is
really our customers. Our customers
have told us — and continue to tell us —
they want their energy from cleaner
resources. So those views of the custom-
ers translate really to policymakers and
investors,” he said.
Renewable portfolio standards
imposed by states are also forcing utili-
ties to switch to cleaner forms of genera-
tion, even though the Biden administra-
we look at China and still see a tonne of
opportunity.”
Hong Kong’s efforts this year to eradi-
cate the virus have included a ban on
flights from eight countries, including
the US and UK.
Coal prices in Powder River The measures — including up to three
Basin hit records in 2021 weeks of quarantine on arrival — have
Spot ($ per short tonne) prompted companies such as Citigroup
and Bank of America to look at relocat-
40
ing staff to Singapore.
35 Winters said that, while Hong Kong’s
role as gateway for capital into the Chi-
30 nese mainland remained undisputed,
the territory faced “strong competition”
25 from Singapore and Tokyo.
“I am very sorry to see a spike in
20 cases,” he said. “Hong Kong is reasona-
bly well vaccinated, so it should be able
15 to withstand it, [but] we are watching
how closely it follows the China zero-
10
Covid strategy . . . In the meantime
there will be a slight depressive effect,
2015 17 19 21 22 but we are coping quite well.”
Almost 100GW of coal-fired The concern came as StanChart yes-
power capacity will be retired terday reported an unexpected fourth-
quarter pre-tax loss.
this decade Despite outlining plans to return $5bn
Cumulative (gigawatts per year) to investors in the next two years,
100 including the immediate launch of a
$750mn stock buyback, and more
80 ambitious financial targets, the bank’s
shares ended down 4.5 per cent.
60 Under Winters, now in his seventh
40 year in charge, the emerging-markets-
focused bank has struggled to match the
20 growth rates and profitability of local
peers across its 59 markets in Asia,
0 Africa and the Middle East.
2021 23 25 27 30 The lender is counting on deeper cost
Data as of Jan 7. Does not include recent
announcements by Duke Energy, Georgia Power
cuts, a shift to wealth management and
and others a boost from rising interest rates to gal-
Sources: S&P Global Platts; Institute for Energy vanise a thus-far tepid recovery.
Economics and Financial Analysis
As well as contending with China’s
zero-Covid policy, StanChart and larger
‘These tion’s plans to impose a federal clean rival HSBC have had to navigate geopo-
energy standard fell through. litical tensions over Hong Kong and the
are prices “Maybe they’ve gotten a reprieve for a fallout from the crisis at China real
that we’ve year or two here with coal prices being estate group Evergrande.
up as much as they are, but they’re going StanChart disclosed that its total
never seen, to be very shortly facing that kind of exposure to China was $66bn, including
frankly, in brutal economics once again as coal $4bn to commercial real estate. Almost
demand drops,” said Seth Feaster, an $1bn of the property exposure was to
20-plus analyst at the IEEFA. the mainland and $3bn in Hong Kong. It
years. It’s an Some producers, such as Arch, Alli- added $95mn to reserves to cover
ance and Pennsylvania-based Consol potential real estate defaults in the
amazing Energy, have sought to pivot into metal- quarter.
position to lurgical coal, used to make steel, or “Obviously there is a lot going on in
increase exports of thermal coal to serve China right now,” said Winters. “We are
be in’ the Asian market. But the US is one of reasonably optimistic that real estate is
the highest-cost producers globally, facing a liquidity crisis, not a solvency
making it difficult to compete abroad. crisis . . . The government seems to be
Arch, in its annual report filed on moderating policies a little bit, so we are
Wednesday, said that it was “managing hopeful things will stabilise and
the long-term wind-down of its legacy recover.”
thermal assets”. While 90 per cent of its The bank fell to a pre-tax loss of
sales volumes were thermal coal, more $208mn for the last three months of
than half of revenue came from metal- 2021, short of analysts’ expectations of a
lurgical coal, owing to its higher price. $288mn profit.
see Markets see Lex

Banks personal goods

Commerzbank expects €1bn rates windfall
oLAF sTorBeCK — fraNKfurt
Commerzbank has estimated that
higher interest rates in Europe will
deliver a €1bn windfall to its earnings
as the German lender said it wanted to
resume dividend payments.
Germany’s second-largest listed bank
remains heavily reliant on interest
income, which has been squeezed by
years of negative interest rates across
the eurozone.
With eurozone inflation now climbing
well above the European Central Bank’s
target, expectations have risen that the
ECB might lift interest rates as soon as
this year. That prospect has helped
drive Commerzbank shares up by more
than a fifth this year, pushing the bank’s
market capitalisation to above €11bn
for the first time since 2018.
Shares in the bank rose 3.2 per cent
yesterday.
In a presentation published alongside
its annual results yesterday, Commerz-
bank said that investors’ current inter-
est rate expectations implied that the
bank’s interest income would be €1.1bn
higher in 2024 than it has previously
forecast.
About €200mn of this is likely to
come this year as Commerzbank’s
Polish subsidiary, mBank, benefits from
the rate increases Poland’s central bank
has delivered since late last year.
Commerzbank’s formal current guid-
ance, first given a year ago, assumes that
negative interest rates will remain
unchanged. Under such a scenario,
operating profits will hit €2.7bn in 2024,
the bank said last year, up from €1.2bn
in 2021.
The bank, which has been long
dogged by high costs and lacklustre
growth, said yesterday that it wanted to
resume dividend payments after fore-
casting a net profit of more than €1bn
in 2022. That is up from €430mn last
year.
Since the global financial crisis of
2008-09, Commerzbank has only paid a
token dividend of €0.20 per share twice.
Manfred Knof, chief executive, said
its 2021 performance “increases our
confidence that we will achieve our
ambitious goals for 2024”.
Knof was parachuted in from
Deutsche Bank last year following a
boardroom battle and vowed to imple-
ment a last-ditch turnround plan aimed
at cutting a third of the bank’s jobs in
Germany.
Its full-year results showed that reve-
nue gained 3.3 per cent, as rising fee
income more than offset a 2.5 per cent
fall in interest income. Provision for
loan losses fell more than two-thirds to
€570mn, while operating costs dropped
2 per cent to €6bn.
Commerzbank’s common tier one
equity — a key benchmark of its balance
sheet strength — improved 0.4 percent-
age points to 13.6 per cent of risk
weighted assets at the end of last year.
see FT View
Gucci powers Kering’s forecast-beating sales
LeiLA ABBoud — Paris
French luxury group Kering delivered
strong fourth-quarter sales at its Gucci
brand, a significant profit driver, as
100th anniversary events and a new
collection attracted shoppers, showing
how the sector is prospering despite
the pandemic.
Its shares rose 4.95 per cent in Paris yes-
terday, making it the biggest gainer on
France’s blue-chip CAC 40 index. The
long-awaited comeback at Italian fash-
ion house Gucci helped Kering beat ana-
lysts’ expectations for annual sales and
operating profit and propose a record
dividend of €12 a share for 2021, from
€8 a share in 2020.
The luxury-goods sector has
shrugged off the economic shock of the
pandemic, with affluent consumers in
the US and China, its two largest mar-
kets, barely slowing their purchases of
handbags, jewellery and clothing.
The biggest brands have been taking
market share from smaller independent
rivals after splashing out more on mar-
keting and boosting their once sleepy
ecommerce operations.
Kering’s annual net profit was in line
with expectations at €3.2bn. Annual
revenue came to €17.6bn, which was 35
The French luxury
group proposed a
record dividend of
€12 per share for
2021 following a
comeback by Gucci
per cent higher on a comparable basis
than the pandemic trough of 2020, and
up 13 per cent compared with pre-crisis
2019. That is only just outpaced by the
strong recovery at sector leader LVMH,
where organic revenue growth was 36
per cent last year compared with 2020,
and 14 per cent higher than 2019.
The picture is less favourable, though,
when Kering stacks up against LVMH’s
fashion and leather-goods division,
home to its powerhouse brands Louis
Vuitton and Dior.
Sales at the LVMH unit rose to almost
€31bn last year, or 42 per cent on a like-
for-like basis from 2019. That compares
with Gucci’s 2021 revenue of €9.7bn,
which was 10 per cent higher on a com-
parable basis relative to 2019.
“We are not yet where we want to be
but we are definitely going in the right
direction,” said Kering chief executive
François-Henri Pinault. Kering’s results
may prove a boost to the group control-
led by the billionaire Pinault family and
help it to narrow the valuation gap that
has opened with competitors.
Before the results announcement,
Kering shares had risen about 18 per
cent since the pandemic struck in early
2020, compared with a 71 per cent rise
for LVMH and a 114 per cent rise for
Hermès.
“Gucci is on the right track,” said Citi
analyst Thomas Chauvet in a note.
Friday 18 February 2022 ★ FINANCIAL TIMES 7

COMPANIES & MARKETS

Supply woes and rising material

Industrial goods

GFG routed
costs blow wind groups off course transactions
via Gupta’s
Romania bank
European leaders lose tens of billions in value and seek more support to meet global climate goals RobeRT SmITH — London

Sanjeev Gupta has turned to a bank

LeSLIe Hook
European wind groups were among the
“green rush” darlings of the early pan-
demic, when global emissions pledges
stoked a surge in clean energy stocks
just as the crude price crash crushed oil
groups.
Now they have been blown badly off
course as supply chain disruption and
soaring raw material costs prompt a
stark reversal of fortunes.
Over the past year more than $58bn
has been wiped from the market value
of the region’s three biggest wind com-
panies — turbine makers Vestas and Sie-
mens Gamesa, and offshore developer
Orsted.
Turbine makers have suffered “easily
the worst year for profitability for the
last 15 or 20 years”, said Sean McLough-
lin, head of industrials research at
HSBC. “A lot of things that could have
gone wrong have gone wrong.”
Manufacturers of turbines are partic-
ularly vulnerable to supply chain prob-
lems and surging freight costs. When
components fail to arrive, assembly is
delayed, setting back the construction
of entire wind projects and triggering
financial penalties.
“We have components where delivery
times have been increased from five
weeks to nearly 50 weeks,” Andreas
Nauen, Siemens Gamesa chief execu-
tive, said this month, a day after the
company announced it was replacing
him following its latest profit warning.
He said his company had been hit by a
“perfect storm” of problems.
Logistics in the sector are complex at
the best of times. A single wind turbine
can weigh more than 100 tonnes, con-
taining steel, copper and rare earths in
thousands of highly engineered compo-
nents that are manufactured all over the
world.
“Wind turbines have really heavy
material use,” Mads Nipper, Orsted
chief executive, told the Financial
Times. “We are talking hundreds and
hundreds of tonnes of material” in each
turbine in which prices had surged.
Ben Backwell, chief executive of the
Global Wind Energy Council, said a six-
fold surge in freight costs since the start
of 2020 and price rises of 50 per cent for
steel and 60 per cent for copper, had
“significant impacts on production
costs”.
The resulting surge in the cost of wind
turbines has reversed years of steady
price declines.
“Historically, this was an industry
where costs were always falling, because
the technology has gotten better and
better,” said Deepa Venkateswaran, util-
ities analyst at Bernstein. “No one
thought there would be a time when
prices would rise. Obviously this has
been a rude shock.”
Wind turbine prices in the second half
of last year were 9 per cent higher than
in the previous six months, lifting them
back to levels last seen in 2015, accord-
ing to Sanjeet Sanghera, head of wind at
energy research group BNEF.
Turbine makers now find themselves
caught between contracts signed years
ago and goods that must be delivered
today. Prices in the sector are negotiated
years in advance, making it hard for
manufacturers to pass on price rises to
customers.
“If you were selling Moleskine books
Wind turbine supply chain he owns in Romania to process transac-
tions, as criminal inquiries draw
China is the top production scrutiny on his metals empire after
base for most parts and A gearbox is used with a
his main lender Greensill Capital’s
materials. Europe is number conventional generator to
two, followed by the US
collapse.
increase rotational speed. Only
13% of gearbox demand is met Gupta, whose British bank Wyelands
by makers' in-house output, the last week announced it had “no viable
rest from about 20 independents future” and was braced for potentially
Blades can be more The nacelle sits atop crippling fines from regulators, owns
than 100 metres the tower and houses Bucharest-based Banca Romana de
long and account for generator, brake and Credite si Investitii.
15%-20% of the controller. China met BRCI has processed a number of pay-
turbine cost. Nearly more than 60% of wind ments for businesses in Gupta’s GFG
half of blade demand is turbine demand in 2020, Alliance in the past year, according to
met by in-house most for the domestic people familiar with the transactions
production of 15 makers, market. Steel is a main
the rest from nearly 20
and documents seen by the FT.
part of the tower, nacelle The documents show that Gupta’s
independent suppliers. and equipment. Onshore
China accounts for 60% foundations use business last year used a bank account
of blade output concrete, offshore ones at BRCI for a contentious carbon credits
steel. Steel makes up transaction, struck the month after
90% of total materials for Greensill’s collapse sparked a liquidity
offshore turbines crisis at GFG.
In that April 2021 deal, Gupta’s Czech
steelworks sold carbon emission allow-
ances worth about €40mn to its sister
plant in the Romanian city of Galati,
sparking an outcry from Czech politi-
cians.
China accounts for 65% of generator production, followed by Europe (24%) and the Murali Subramanian, who oversees
US (3%). Conventional drive generators require a gearbox while direct drives attach Gupta’s banking arm from Dubai and
to the rotor. Direct and hybrid drive magnetic generators use rare earth materials, sits on BRCI’s board, said the bank pro-
primarily neodymium and dysprosium. A direct drive generator can account for vided “non-credit services” to compa-
35%-40% of the turbine cost. More than a quarter of wind turbines installed in 2020 nies in the GFG Alliance. But GFG com-
Stock buffeted required rare earth materials panies made up only a “small fraction”
Rebased (Jan 2020 = 100) of the bank’s client base.
Banks have to abide by strict anti-
Vestas Orsted Siemens Gamesa Nordex money-laundering rules and Gupta’s
250 250 businesses are under criminal investiga-
tion for alleged laundering in the UK
200 200 and France.
People familiar with the transactions
150 150 said GFG had turned to BRCI to process
certain payments given heightened
100 100 scrutiny from other financial institu-
tions. Subramanian disputed this,
50 50 insisting BRCI had “very strong AML
2020 2021 2022 2020 2021 2022 2020 2021 2022 2020 2021 2022 and compliance functions. BRCI would
not be obliged to carry [transactions]
Sources: Global Wind Energy Council, US Department of Energy; Bloomberg Image: Dreamstime
out. It would not be beholden to GFG to
do everything it needs to do”.
$58bn or Lego bricks, you can pass on that “There’s a fundamental change that ‘We took on been battered, the situation in China, BRCI said it was a “completely inde-
Sum wiped from additional cost in a price increase next needs to be driven in this industry. Who the world’s biggest installer of wind tur- pendent banking institution with a fully
market value of week to your customers,” said Nipper, a takes on which risks?,” said Nauen. a lot of risk bines last year, has been quite different. independent board of directors”. It was
European sector former Lego executive. “Whereas many “[For many years] we took on a lot of The global turbine market is largely “governed by the regulatory framework
Big Three in a year of the turbines that we, for example, risk with regards to cost inflation, trans-
with regards bifurcated: Chinese turbine makers pri- overseen by the National Bank of Roma-
would have bought . . . we locked those port risk and many other things. And I to cost marily sell domestically, with non- nia and operates in line with its rules
50% prices a long time ago.” don’t think that this can continue.” inflation, Chinese peers supplying outside China. and decrees, as well as those of Roma-
Increase in the price While the supply chain crisis has not More comprehensive hedging strate- Turbine prices fell in China last year, nian commercial law”.
of steel since the
start of 2020, while
hit Orsted as hard as the turbine mak- gies are also being adopted, although transport bucking the global trend. “There seems GFG said BRCI was “one of a number
ers, the company has faced a different this only works up to a point — there is risk . . . and to be a pricing gap emerging,” said of Romanian banks which handles the
copper is up 60%
problem: unusually low wind speeds no way to hedge for supply chain disrup- BNEF’s Sanghera. “Prices in China collections and remittance of funds for
that last year wiped DKr2bn ($305mn) tion. I don’t think dropped to historic lows but prices else- transactions on behalf of Liberty
from revenues. “You can sit with the world’s most that this can where increased.” Galati”.
Backwell believes that global climate effective price hedge, but if you don’t get This is partly because of a price war While Gupta is known for borrowing
goals could be jeopardised if the right the component or the raw material on continue’ among China’s turbine makers and billions from Greensill to buy up steel-
policies are not put in place to support time, or at the site, where you actually partly down to lower steel costs in the works, he also sought to establish a
the sector. want it [it does not help],” said Henrik country. Chinese manufacturers also financial services empire from banking
“What really is difficult to bite off, is Andersen, Vestas chief executive. seem to be faring better financially than to insurance. Wyelands gathered
that you go to COP26 and everyone loves “Many of the things you can do by their western counterparts — large tur- £700mn from savers at its peak but was
the wind industry, and everyone backs hedging is a price-risk hedging, but it bine makers such as Goldwind and Zhe- forced to return deposits last year amid
the energy transition. And yet some of doesn’t cover the underlying fundamen- jiang Windey are still profitable. concerns over its financial position.
the leading companies in the sector are tal physical delivery,” he added. “And But even though European wind com- The steel baron took over Romania’s
finding it incredibly hard to make any that is actually more than half of the panies are struggling, many analysts see BRCI in February 2020, days after the
money out of it,” said Backwell. “The problem right now.” light at the end of the tunnel. FT revealed that Wyelands had chan-
whole market signal is very dysfunc- While long-term demand for wind Rising turbine prices are allowing the nelled money into Gupta’s wider empire
tional.” turbines is set to be boosted by net zero higher costs of materials and logistics to through entities his employees often
The rising turbine prices are forcing emissions targets that now cover most be passed on to the customer. And with referred to as “Friends of Sanjeev”.
some turbine makers and developers to of the global economy, the near-term so many net zero targets in place, long- BRCI appears to have previously pro-
renegotiate contracted projects, leading outlook is not so rosy. term demand for wind turbines is still vided financing linked to GFG. Docu-
to delays or postponements. Total wind installations are forecast to set to grow. ments seen by the FT show that the
New contract designs shift more of the dip slightly this year and next, partly “I’m hoping that 2022 is like a bot- bank had outstanding credit facilities
logistics risk on to the customer — for because of the end of subsidies for wind tom,” said Bernstein’s Venkateswaran. related to Gupta’s Liberty Commodities
example by offering logistics on a “cost power in the US and in China. “And the industry will come out trading business, around the time
plus” basis. While European turbine makers have stronger at the other end.” Greensill collapsed.

banks Contracts & Tenders

Goldman chief targets stronger profitability

JoSHua FRankLIn — new York
Goldman Sachs yesterday lifted a key
profitability target as the Wall Street
bank redoubles efforts to close the val-
uation gap that has opened with rivals.
Bridging the gap in Goldman’s stock
price relative to rivals such as Morgan
Stanley is one of the central challenges
for David Solomon, the bank’s chief
executive since 2018.
In a presentation, Solomon said Gold-
man was aiming for a return on average
tangible common equity (ROTE), a key
measure of profitability, of 15 to 17 per
cent over the next three years from a
previous goal of more than 14 per cent.
“We’re focused on doing the right
thing and I know that the market
rewards performance over time,” Solo-
mon said.
Solomon gave the new targets at a
conference organised by Credit Suisse.
It was in stark contrast to the bank’s
investor event in January 2020, when
Solomon and his team presented to
investors for more than six hours.
Solomon said there was “a lot of scep-
ticism” about the bank’s 2020 targets
and its ability to meet them, a feeling he
blamed on Goldman’s record of secrecy
around the bank.
“We’re talking about scepticism
because Goldman Sachs has not been a
transparent organisation. We haven’t
had investor days, we haven’t put tar-
gets out,” Solomon said.
The new ROTE target is roughly in
line with what some analysts were antic-
ipating. Analysts at Jefferies earlier this
‘We’re focused on doing
the right thing and I know
that the market rewards
performance over time’
week said they expected Goldman to
give a target of more than 15 per cent.
By comparison, Morgan Stanley last
month told investors it was targeting a
ROTE of at least 20 per cent over the
“longer term”, without giving a more
precise timeframe.
JPMorgan Chase has set itself a “medi-
um-term” ROTE target for upwards of
17 per cent but warned last month it
would probably miss this goal this year.
Goldman shares were down 2.6 per
cent during early afternoon trading in
New York.
Goldman’s new ROTE target is below
the 24.3 per cent it reported last year on
the back of record profits from its tradi-
tional cornerstone investment banking
and trading divisions.
Last year’s blockbuster earnings are
not seen as sustainable as the Federal
Reserve tightens monetary policy.
But Solomon is betting that market
share gains in those traditional busi-
nesses as well as an expansion in newer
areas, such as alternative asset manage-
ment and consumer banking, will be
stable enough to guarantee more dura-
ble profitability.
“The combination of those activities
is lifting our returns and giving us more
confidence and our ability to say that
these are return targets that we can live
up to,” Solomon said.
Among its other new targets, Gold-
man indicated it aims to increase reve-
nues at its consumer business, under
the brand name Marcus, from $1.5bn in
2021 to more than $4bn by 2024.
In asset management, the bank is tar-
geting fees of more than $10bn in 2024.
See Lex
8 ★ FINANCIAL TIMES Friday 18 February 2022

COMPANIES & MARKETS

Fixed income. liquidity crunch Crypto

Circle raises
US Treasury volatility soars its valuation
to early pandemic levels goal to $9bn
in Spac deal
siddhArth VEnkAtArAmAkrishnAn
lOndOn

US financial technology company Circle

said yesterday that its planned deal to
list on Wall Street via a blank cheque
company chaired by former Barclays
chief Bob Diamond has doubled in value
to $9bn.
The group, which runs the US dollar-
pegged stablecoin USD Coin, announced
it was pushing ahead with plans to com-
bine with Concord Acquisition Corp and
list on the New York Stock Exchange.
This comes despite the collapse of a pre-
vious $415mn arrangement to fund the
Spac deal, which had valued the com-
bined company at $4.5bn.
The company said it would instead
seek to list with new investors at a valua-
tion between $7.65bn and $9bn, a big
increase that it claimed reflected
“improvements in Circle’s financial out-
look and competitive position”.
The technology group pointed to the
growth of its digital currency, with more
than twice the amount of USD Coin in
circulation than when the initial Spac
agreement was announced last July.
The deal is expected to close by
December, with the company blaming
“a variety of reasons outside the parties’
control” for the inability to merge
before the original closing date of April
this year.

respond both to developments on the

Choppiness of largest bond
market makes it harder for
traders to buy and sell debt
kAtE duGuid And EriC PlAtt
new YOrk
US government debt has been hit with
the most serious bout of volatility since
the pandemic-fuelled ructions of early
2020, making it more difficult for inves-
tors to transact in the world’s most
important bond market.
An Ice Data Services index tracking
volatility in Treasuries this week hit its
highest point in almost two years, as
investors worried about Russia-Ukraine
tensions as well as signs of persistently
high inflation and the prospect of the US
Federal Reserve moving rapidly to
tighten monetary policy.
“Every morsel of commentary from a
Fed speaker or piece of data does have a
fairly outsized impact,” said Michael de
Pass, head of Treasury trading at Citadel
Securities, one of the biggest US market
makers. Intensifying tumult in Treasur-
ies has in turn made it more challenging
— and more expensive — to trade in the
$22tn market.
The Treasury market is the world’s
deepest, and its liquidity, or the ease of
buying and selling Treasuries, under-
pins virtually all other financial transac-
tions. Liquidity this week hit its weakest
since December, the Bloomberg US gov-
ernment debt liquidity index said.
Liquidity in two-year Treasuries, as
tracked by Goldman Sachs, fell 44 per
cent below its 21-day average as trading
volumes surged. Shorter-term debt has
sold off sharply in recent weeks as trad-
ers bet the Fed will deliver six or seven
Volatility in the Treasury market is the most extreme since 2020
Move US Treasury Volatility index
2020 21
Sources: Bloomberg; Ice Data Services
quarter-point rate increases this year in
its attempt to slow inflation.
De Pass said “liquidity, as a result of
that heightened volatility, has been
meaningfully impaired at times”, point-
ing at the outsize reaction last week to St
Louis Fed president James Bullard’s
comments about the possibility of a
supersized 0.5 percentage point rate rise
in March. Liquidity glitches have hap-
pened with more frequency in the mar-
ket in recent years. Primary dealers, the
24 banks that have historically been
responsible for ensuring liquidity in
Treasuries, have pulled back from that
role since the 2008 financial crisis.
Some of that market-making is now
implemented by hedge funds and high-
frequency traders. But problems have
emerged, as was the case in March 2020
when liquidity evaporated in Treasur-
ies, leading to a collapse in prices across
financial markets.
In a sign of the pick up in volatility this
year, US government bond yields, which
move inversely to their prices, hit multi-
year highs last Thursday, following the
release of data showing that consumer
160
140
120
100
80
60
40
20
22
prices rose in January at their fastest
annual pace since 1982. The two-year
Treasury yield, which tracks interest
rate expectations, rose to a peak of 1.64
per cent, marking the biggest single-day
rise since 2009, as traders bet that the
Fed would tighten monetary policy
more aggressively to damp inflation.
The benchmark 10-year Treasury
yield also rose, albeit at a slower pace
than its shorter-dated counterpart,
breaking through the 2 per cent level for
the first time since August 2019.
But last Friday, the Treasury market
reversed a sizeable proportion of the
prior session’s moves, as the US warned
of an immediate threat that Russia
would invade Ukraine.
The same dynamic played out yester-
day, with Treasuries rallying after Presi-
dent Joe Biden warned that Russia was
on the brink of invading Ukraine within
“several days”. Investors flocked to the
safety of assets typically viewed as
havens during periods of geopolitical
uncertainty, including US sovereign
debt, sending Treasury yields lower.
Yields have since swung as traders
Volatility could
hinder the US’s Ukraine border and to shifting expecta-
ability to taper tions of how fast and how aggressively
the Fed will raise borrowing costs and
its bond-buying
Andrew Harrer/Bloomberg
shut down its coronavirus-induced
bond-buying programme to contain
surging consumer prices.
Volatility levels may hinder the Fed’s
ability to begin unwinding some of its
stimulus measures, including how
quickly it can begin reducing the size of
its nearly $9tn balance sheet, Columbia
Threadneedle rates strategist Edward
Al-Hussainy said.
“If the Fed sells Treasuries into this
market, we will likely see a significant
dislocation. It will be an unforced error.
I don’t think they will make it,” he
added.
The dramatic swings have not been
reserved to the Treasury market. US
stocks have also whipsawed as Russia
moved troops along Ukraine’s border.
The blue-chip S&P 500 share index has
closed higher or lower by 1 per cent on
five of the 12 trading days this month.
In a sign of the near-term worries, yes-
terday it was more expensive to pur-
chase futures tracking the Cboe’s Vix
volatility index expiring in March than
contracts ending in April, May or June,
according to intraday trading data.
The “inverted” curve contrasts with
‘Every the typical pricing, in which futures
contracts that expire months from now
morsel of tend to trade at higher prices than near-
commentary dated ones given it is less clear how the
world or market will look.
from a “When that front end spikes, that is
Fed speaker when you know there is real fear,” said
Matthew Tym, the head of equity deriv-
does have ative trading at Cantor Fitzgerald.
an outsized He added that it indicated an “immi-
nent fear now rather than somewhere
impact’ down the road”.
Circle has tried to pitch its
stablecoin as a trusted
and regulated tool for the
non-crypto economy
Circle’s latest announcement comes
as part of a growing trend that has seen
crypto-focused businesses secure vast
valuations as investors continue to pile
into the hype-fuelled sector. Last
month, cryptocurrency exchange FTX
was valued at $32bn in a new funding
round.
Concord said the previous funding
arrangements with investors including
Marshall Wace, Fidelity Management &
Research and accounts advised by
Cathie Wood’s Ark Investment Manage-
ment had been terminated. However, it
added that a new funding agreement
could allow the company to raise up to
$750mn from private investors.
“Being a public company will further
strengthen trust and confidence in Cir-
cle and is a critical milestone as we con-
tinue our mission to build a more inclu-
sive financial ecosystem,” said Jeremy
Allaire, co-founder and chief executive
of Circle.
Circle, which operates USD Coin
alongside cryptocurrency exchange
Coinbase, has tried to pitch its stable-
coin as a trusted and regulated tool for
the non-cryptocurrency economy,
announcing its intentions last year to
seek a banking licence.
Our global Stablecoins are intended to be a
team gives you bridge between traditional and digital
market-moving money, and aim to help manage volatil-
news and views, ity during crypto market trading. They
24 hours a day also are often used as collateral to make
ft.com/markets it easier for customers to buy other
cryptocurrencies.

Asset management Commodities

Investor groups back SEC private equity fee reform
Chris Flood — lOndOn
AntoinE GArA — new YOrk
Consultants and investor groups wel-
comed US regulators’ plans to force
greater fee transparency on private
equity managers, saying they would
help pensions and other fund manag-
ers track performance and demand
fair costs.
The Securities and Exchange Commis-
sion last week proposed that private
equity funds provide quarterly data on
fees, expenses and performance, in a
move that would transform disclosure
standards and curtail managers’ ability
to present potentially misleading infor-
mation to investors.
The shift would bring private equity
in to line with public markets as main-
stream funds turn to private equity to
pad out returns when public stock mar-
kets are volatile and bond yields still
close to historic lows.
“The SEC is trying to play catch-up.
They want more information as private
equity gets more pervasive as an invest-
ment option,” said David Larsen, a pri-
vate fund accounting expert at Kroll,
the business intelligence provider.
In a highly critical report published in
late January, the SEC pointed to numer-
ous instances of private equity compa-
nies providing inaccurate or misleading
information about their performance
and overcharging when, for example, a
portfolio company had been sold.
Private equity managers generally
charge “two and 20” — a 2 per cent
annual management fee and a 20 per
cent performance fee if a return hurdle
is met. This can add up to about 6 per
cent a year over the life of a fund. Some
tracker funds that have offered similar
returns charge just 0.06 per cent. Inves-
tors additionally pay a wide range of fees
and expenses for services charged to
companies owned by private equity
companies, eating in to final returns.
The SEC wants details of all fees and
expenses paid to private equity manag-
ers disclosed, including hidden
expenses such as consulting, legal and
monitoring charged to portfolio groups
and ultimately funded by investors.
“These are a very investor-friendly
set of proposals. They will provide more
leverage to investors,” said Igor Rozen-
blit, founder of the Iron Road Partners
consultancy and a former SEC regulator.
US private equity managers control-
led assets of $4.7tn spread across 15,584
funds at the end of 2020, a sector that
has doubled in size in less than five years
as more investors have been drawn to
the potential for high returns.
The Institutional Limited Partners
Association, representing large inves-
tors in private equity funds, said the
SEC’s proposals would help address con-
flicts of interest that were becoming
prevalent across the private equity
industry, such as offering preferential
terms to favoured clients.
“These proposed rules will ensure
that investors can validate that the fees
and expenses that they are charged
match what was contractually agreed
and deter practices that feed any mis-
The regulator wants a fuller picture
as the funds become more pervasive
alignment of interests,” said Chris
Hayes, ILPA’s senior policy counsel.
The regulator wants all private equity
managers to use common performance
measures, including gross and net inter-
nal rates of return and net multiples of
invested capital, to make it easier for
funds to compare them.
Jeffrey Hooke, a finance lecturer at
Johns Hopkins Carey Business School,
said: “There will be a lot of surprise
among institutional investors when
they are provided with honest returns
data which are unaffected by manipula-
tion and exaggeration.”
The timing of introduction of any
rules is unclear as the proposals will
undergo a consultation period. Some
believe Gary Gensler, head of the SEC,
will push for completion before the mid-
terms. Stiff resistance is expected from
the private equity industry.
The American Investment Council,
the lobbying body that represents the
private equity industry, said its mem-
bers were already “working closely”
with investors. “We are concerned that
these new regulations are unnecessary
and will not strengthen returns for pen-
sion investors or help [PE-owned] com-
panies innovate and compete,” said
Drew Maloney, AIC chief executive.
Australia’s biggest coal-fired
plant to close ahead of time
JAmEs FErnyhouGh — MelbOurne
Australia’s largest coal-fired power sta-
tion will close seven years earlier than
planned, joining a list of plants forced
offline in the country by the prolifera-
tion of cheap wind and solar energy.
The plant’s owner Origin Energy, a
major utility and gas producer, said the
2.88 gigawatt Eraring power plant,
located in the coal-rich Lake Macquarie
region north of Sydney, was unable to
compete with the “influx of renewables”
and would close in 2025.
“Australia’s energy market today is
very different to the one when Eraring
was brought online in the early 1980s,”
Origin chief executive Frank Calabria
said. “The economics of coal-fired
power stations are being put under
increasing, unsustainable pressure by
cleaner and lower cost generation,
including solar, wind and batteries.”
The federal government, which has
attempted to prolong the life of coal
plants on the grounds that they provide
necessary baseload power, called the
decision “bitterly disappointing”.
Green and renewables groups wel-
comed the decision, but called for a
more co-ordinated national approach to
ensure an orderly transition.
“These accelerated coal retirements
need to be co-ordinated to ensure our
electricity system remains stable
through this rapid transition, and so
that we maximise opportunities for
local economies,” said Kane Thornton,
head of the Clean Energy Council.
Last week, utility giant AGL Energy
announced it was bringing forward the
closure of two of its coal plants. Ener-
gyAustralia, the third of the big three
utilities, said last year it would retire a
coal plant in Victoria five years earlier
than planned. All three companies have
seen earnings from coal generation
plummet in recent years.
Australia depends on coal-fired
power for nearly 60 per cent of its elec-
tricity, making it one of the world’s high-
est carbon-emitting nations per capita,
according to World Bank data.
The country’s rapid exit from coal has
raised concerns there will not be enough
available power to back up intermittent
wind and solar, leading to a scramble
among state and federal governments to
plug the gap with batteries, pumped
hydro power and gas plants.
Friday 18 February 2022 ★ FINANCIAL TIMES 9

COMPANIES & MARKETS

The day in the markets Short selling

What you need to know
does not count as
3 Russian equities and currency weaken
a carbon offset
Haven rally sends gold back towards $1,900
as traders fear imminent conflict
3 Stocks on the both sides of the Gold price ($ per troy ounce)
Atlantic turn sharply lower
3 Core government debt rallies in
response to market jitters
1,950
Jason Mitchell
Wall Street and European stocks sank
while haven assets rallied yesterday, as
1,900
Markets Insight
the US said that Russia was on the brink 1,850

C
of invading Ukraine within several days.
The blue-chip S&P 500 index was ould short selling by hedge well as to corporate profitability. For the impact the portfolio would have on
down 1.2 per cent at lunchtime in New 1,800 funds of carbon polluters instance, investors could look at the the environment. Shorting a high-car-
York and the tech-focused Nasdaq help save the planet? negative impact that greenhouse emis- bon-emitting company may provide
Composite lost 1.7 per cent. Despite being likened by sions from the fossil fuel industry have financial de-risking benefits, but it does
1,750
In a tweet yesterday morning, Linda critics every now and then to on climate and society to understand not reduce the tonnes of CO2 released
Thomas-Greenfield, US ambassador to greedy nihilists responsible for multiple potential future regulatory risk. into the atmosphere.
the UN, said that “the evidence on the 1,700 episodes of market volatility, short sell- This is an idea that is gathering Moreover, there is no equivalency
ground is that Russia is moving towards ers who bet on falling prices can play a momentum with regulators and inves- between short selling and offsetting. A
an imminent invasion”. role in moving the world towards net tors. In the EU, legislation was intro- short is neither a carbon offset nor a
Later, Joe Biden, the US president, said 1,650 zero carbon emissions. duced last year to make financial groups sink to store carbon. Even carbon off-
that there was a “very high risk” of a But one suggestion being made by and investors disclose double material- sets, which can be contentious given
Russian invasion, adding that he believed Jan 2021 Feb some in the hedge fund world should be ity. The EU Taxonomy Regulation, questions about their role and quality, at
that Moscow was engaged in “a false flag 2022 treated with scepticism. which some investors will begin report- least operate on the understanding that
Source: Refinitiv
operation to have an excuse to go in”. The argument that has been made is ing on from 2023, looks at the environ- they are minimising and ideally reduc-
Russia’s Moex share index dropped that investors should be able to net out mental sustainability of economic activ- ing CO2 atmospheric emissions. Short
3.7 per cent, while the rouble lost 1.4 per tensions now adding to that,” said Hani confirmation,” said César Pérez Ruiz, chief their long holdings in higher carbon- selling does not even do that.
cent against the dollar. Redha, global multi-asset manager at investment officer at Pictet Wealth emitting companies with short posi- The point we are making is not that
Elsewhere in Europe, the region-wide PineBridge Investments. “It was already Management. “It’s natural to take a bit of tions in such businesses to reduce the
Focusing purely on the short selling cannot be beneficial in an
Stoxx 600 index closed 0.7 per cent lower raining and now it’s pouring.” profit at this point.” estimate of the overall carbon footprint financial impact ignores environmental, social and governance
and London’s large-cap FTSE 100 dipped The market unease spurred investors He added: “Markets are already of their portfolios. context. It can. Indeed, engagement
0.9 per cent. Meanwhile, the mid-cap to seek haven assets such as core nervous about the [Fed] moving too While there is some merit to this view,
the fundamental mission of with companies on carbon issues — even
FTSE 250 slid 1.2 per cent, with travel government debt and gold. quickly [with interest rate rises] and it risks conflating two very different the push to cut emissions among those being shorted — is a power-
stocks among the steepest fallers. The yield on the 10-year US Treasury killing the economic cycle.” approaches to assessing climate change ful means to help steer them on the path
Financial markets have whipsawed note fell 6 basis points to 1.98 per cent, Oil markets remained choppy. Brent in portfolios: known in jargon as to a world of net zero emissions.
over the past week, as developments in while the yield on the equivalent German crude, the international benchmark, fell “financial materiality” and “double ities and whether they do no significant Shorting on the basis of ESG factors
Ukraine added to nerves already frayed Bund dropped 4bp to 0.23 per cent. 2.4 per cent to $92.56 a barrel, having materiality”. harm to other sustainable objectives. can also increase a portfolio’s exposure
by surging inflation and central banks’ Gold was nearing $1,900 per troy fluctuated during the week in response to With the former, portfolio managers The UK, for example, is making to market signals from them. This has
tightening monetary policy. ounce, having risen 1.6 per cent. speculation about how western sanctions are focused purely on the financial explicit moves to incorporate double the potential to deliver above market
“The [stock] market was under “Everything is unconfirmed and we’re on Russia could disrupt fuel supplies. impact of climate change on a company, materiality under the Financial Con- returns, or alpha, or to increase the
pressure already, with geopolitical at an impasse until we get more Naomi Rovnick and Hudson Lockett which allows them to evaluate the duct Authority’s proposed Sustainable speed of recovery from asset price falls.
effects it will have on the risk and per- Disclosure Requirements regulation. If But shorting cannot plausibly be con-
formance of their investments. This approved, this would change the nature sidered an offset. An approach that
Markets update could be insurance or manufacturing of corporate reporting and bring it more largely relies on leverage, short expo-
losses stemming from an increase in in line with the EU’s approach. sure and notional reporting rather than
extreme weather events, or a negative If investors really care about combat- real-world impact will come across as
financial impact coming from climate ing climate change, they need to under- inauthentic and likely not endear hedge
US Eurozone Japan UK China Brazil regulation. stand and ultimately account for both funds to the climate cause.
Stocks S&P 500 Eurofirst 300 Nikkei 225 FTSE100 Shanghai Comp Bovespa In this context, expressing portfolio the financial and non-financial portfolio In the push for net zero, where inves-
Level 4421.67 1816.83 27232.87 7537.37 3468.04 114161.40 exposure to climate change in terms of effects of their investments. An tor commitments have already been
% change on day -1.19 -0.63 -0.83 -0.87 0.06 -0.89 net long and short exposure is both via- approach that focuses purely on finan- met with a degree of scepticism, hedge
Currency $ index (DXY) $ per € Yen per $ $ per £ Rmb per $ Real per $ ble and useful: it shows how economi- cial impact ignores the fundamental funds should avoid giving critics
Level 95.823 1.137 114.965 1.362 6.337 5.167 cally exposed they are to carbon risk. mission of the net zero push to reduce another excuse to attack them.
% change on day 0.127 0.000 -0.403 0.295 0.030 0.148 In double materiality, fund managers carbon emissions in the atmosphere.
Govt. bonds 10-year Treasury 10-year Bund 10-year JGB 10-year Gilt 10-year bond 10-year bond try to understand the risk that their Netting out short and long exposures The writer is co-head of responsible
Yield 1.972 0.229 0.219 1.382 2.779 11.142 investments pose to the environment as is no longer viable when you consider investment at Man Group
Basis point change on day -7.060 -4.400 0.260 -6.500 -0.800 0.300
World index, Commods FTSE All-World Oil - Brent Oil - WTI Gold Silver Metals (LMEX)
Level 470.71 93.13 90.10 1862.60 23.50 4801.90
% change on day -0.83 1.38 -0.57 0.76 0.92 0.60
Yesterday's close apart from: Currencies = 16:00 GMT; S&P, Bovespa, All World, Oil = 17:00 GMT; Gold, Silver = London pm fix. Bond data supplied by Tullett Prebon.

Main equity markets

S&P 500 index Eurofirst 300 index FTSE 100 index
4800 1920 7680

7520
4640
1840 7360
4480 7200

| | | | | | | | |
4320 || | | | | | | | | | | | | | | | | | | 1760 || | | | | | | | | | | | | | | | | | | 7040 | | | | | | | | | | |

Dec 2022 Feb Dec 2022 Feb Dec 2022 Feb

Biggest movers
% US Eurozone UK
Marathon Oil 5.39 Klepierre 5.69 Reckitt Benckiser 5.94
Equinix 4.38 Kering 4.95 Fresnillo 4.29
Ups

Cisco Systems 3.91 Carrefour 4.83 Standard Chartered 1.71

Devon Energy 3.74 Rwe 4.66 Sse 1.36
Newmont 3.66 Continental 3.29 Ocado 1.34
%
Viacomcbs -17.81 Sodexo -6.05 Evraz -7.48
Albemarle -17.70 Raiffeisen Bank Internat -4.58 Abrdn -4.18
Downs

Lkq -12.13 Schindler -3.20 Int Consolidated Airlines S.a. -4.08

Nvidia -7.04 Akzo Nobel -3.12 Rolls-royce Holdings -3.04
Bank Of New York Mellon -5.34 Danske Bank -3.03 Imperial Brands -2.88
Prices taken at 17:00 GMT Based on the constituents of the FTSE Eurofirst 300 Eurozone
All data provided by Morningstar unless otherwise noted.

Wall Street Europe London

Food-delivery platform DoorDash surged Norway’s AutoStore, a specialist in Takeover target John Menzies surged
after reporting a 31 per cent year-on-year warehouse automation, jumped after its more than 24 per cent on news that
rise in fourth-quarter revenue despite results comfortably beat analysts’ National Aviation Services, a Kuwait-
restaurant venues reopening. Monthly revenue and earnings estimates. based suitor, had bought 12mn shares in
active users also climbed 22 per cent in Fourth-quarter sales rose 58.3 per cent the Edinburgh services group,
2021 to a record 25mn. year on year to $93.2mn, which was representing a 13.2 per cent stake, at
The results “reflected a strong flywheel 20 per cent above the consensus, while £6.05 each — a 29.3 per cent premium on
of growth, with underlying US restaurant adjusted core profits of $41.1mn came in Wednesday’s closing price.
profitability improving year on year and 12 per cent above Citi’s forecast. An earlier unsolicited £5.10-per-share
quarter on quarter”, said Bank of Karl Johan Lier, chief executive, said bid by Nas had been rejected because it
America, which noted that DoorDash’s AutoStore was benefiting from labour was deemed “highly opportunistic” by
growth continued to outpace its rivals. shortages and high ecommerce growth, John Menzies’s board.
Elon Musk’s Tesla slid on news that its prompting the group to raise its 2022 A ratings upgrade helped lift
electric cars were under investigation by revenue guidance to between $550mn FirstGroup, the transport company. RBC
the National Highway Traffic Safety and $600mn, up from $500mn. Europe raised its rating to “outperform”
Administration for “phantom braking”. Kering, the French luxury group behind from “sector perform”, saying the group
The agency said it had received such brands as Saint Laurent, Bottega was “well placed in a more supportive
354 complaints “alleging unexpected Veneta and Balenciaga, rose sharply off policy environment”.
brake activation” in some Model 3 and Y the back of strong Gucci sales. Fourth- Analyst Ruairi Cullinane said the
vehicles. quarter revenue hit €5.3bn, with Gucci company could benefit from regulatory
While using Tesla’s Autopilot feature, accounting for €3.1bn of that total, said changes.
customers claimed that their vehicles RBC Europe. Consumer goods group Reckitt
“unexpectedly” applied brakes “while The broker said Kering was “one of the Benckiser rallied after suggesting that it
driving at highway speeds”. strongest luxury conglomerates in the would be able to increase operating
Another electric-vehicle group, Fisker, sector”, with Gucci this year expected to margins in 2022, “despite significant
rose after Henrik Fisker, chief executive, reap some benefits to changes in its commodity inflationary pressures”.
reassured investors that it would start operations. But Danni Hewson, financial analyst at
production of its Ocean sport-utility Dutch engineering group Arcadis AJ Bell, warned that “consumers may not
vehicle in November. rallied after delivering “better than be able to keep stomaching price
Fisker said his company was working consensus’ expectations on nearly all increases” and could switch to cheaper,
closely with its suppliers “to stay on track metrics”, said KBC Securities. The less well-known brands. Reckitt’s
to deliver . . . amid global semiconductor company also issued a special dividend of household names include Air Wick air
and other supply constraints”. €0.60 per share on top of its regular freshener, Dettol disinfectant and Cillit-
Ray Douglas payout of €0.70. Ray Douglas Bang cleaner. Ray Douglas
10 ★ FINANCIAL TIMES Friday 18 February 2022

MARKET DATA

WORLD MARKETS AT A GLANCE FT.COM/MARKETSDATA

Change during previous day’s trading (%)
S&P 500 Nasdaq Composite Dow Jones Ind FTSE 100 FTSE Eurofirst 300 Nikkei Hang Seng FTSE All World $ $ per € $ per £ ¥ per $ £ per € Oil Brent $ Sep Gold $

-1.19% -1.59% -1.15% -0.87% -0.63% -0.83% -0.83% -0.403% -0.239%

No change
0.30% 0.295% 2.78% 0.76%
Stock Market movements over last 30 days, with the FTSE All-World in the same currency as a comparison
AMERICAS EUROPE ASIA
Jan 18 - - Index All World Jan 18 - Feb 17 Index All World Jan 18 - Feb 17 Index All World Jan 18 - Feb 17 Index All World Jan 18 - Feb 17 Index All World Jan 18 - Feb 17 Index All World

S&P 500 New York S&P/TSX COMP Toronto FTSE 100 London Xetra Dax Frankfurt Nikkei 225 Tokyo Kospi Seoul
21,380.02 7,589.66 15,809.72 28,257.25 2,842.28
4,532.76 21,205.16 7,537.37 2,744.09
15,267.63 27,232.87
4,421.67

Day -1.19% Month -2.04% Year 12.52% Day -0.11% Month 0.19% Year 16.25% Day -0.87% Month -0.08% Year 12.21% Day -0.67% Month -1.38% Year NaN% Day -0.83% Month 0.93% Year -10.55% Day 0.53% Month 3.03% Year -13.25%

Nasdaq Composite New York IPC Mexico City FTSE Eurofirst 300 Europe Ibex 35 Madrid Hang Seng Hong Kong FTSE Straits Times Singapore
53,232.20 53,303.03 3,441.57
14,340.26 1,873.19 8,774.90 24,792.77
13,900.02 8,671.10 3,287.95
1,816.83 24,127.85

Day -1.59% Month -2.35% Year -0.43% Day -1.04% Month 2.60% Year 17.90% Day -0.63% Month -2.09% Year 13.21% Day -0.76% Month 0.68% Year 6.35% Day 0.30% Month 3.92% Year -19.55% Day 0.07% Month 6.05% Year 17.40%

Dow Jones Industrial New York Bovespa São Paulo CAC 40 Paris FTSE MIB Milan Shanghai Composite Shanghai BSE Sensex Mumbai
114,352.37 7,172.98 3,597.43 60,754.86
35,028.65 27,370.85
34,533.45 6,946.82 3,468.04
108,013.47 26,669.27 57,892.01

Day -1.15% Month -1.70% Year 9.24% Day -0.89% Month 0.68% Year -5.16% Day -0.26% Month -0.75% Year 20.05% Day -1.11% Month -0.60% Year 13.70% Day 0.06% Month 3.17% Year -5.12% Day -0.18% Month -0.33% Year 10.98%

Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous
Argentina Merval 90851.59 90577.55 Cyprus CSE M&P Gen 68.46 68.68 Italy FTSE Italia All-Share 29045.34 29377.17 Philippines Manila Comp 7438.93 7452.82 Taiwan Weighted Pr 18268.57 18231.47 Cross-Border DJ Global Titans ($) 503.62 509.81
Australia All Ordinaries 7574.80 7573.00 Czech Republic
PX 1438.61 1449.01 FTSE Italia Mid Cap 46272.75 46677.73 Poland Wig 66390.19 67607.05 Thailand Bangkok SET 1711.58 1701.45 Euro Stoxx 50 (Eur) 4110.43 4137.22
S&P/ASX 200 7296.20 7284.90 Denmark OMXC Copenahgen 20 1649.76 1661.81 FTSE MIB 26669.27 26969.32 Portugal PSI 20 5658.54 5662.88 Turkey BIST 100 2009.99 2041.43 Euronext 100 ID 1311.10 1317.69
S&P/ASX 200 Res 5663.60 5626.90 Egypt EGX 30 11535.02 11568.14 Japan 2nd Section 7201.18 7219.58 PSI General 3976.96 3937.00 UAE Abu Dhabi General Index 8333.19 8358.50 FTSE 4Good Global ($) 11033.22 11165.26
Austria ATX 3884.58 3948.15 Estonia OMX Tallinn 1945.13 1972.28 Nikkei 225 27232.87 27460.40 Romania BET Index 13139.68 13321.69 UK FT 30 2858.70 2871.90 FTSE All World ($) 470.71 474.63
Belgium BEL 20 4069.47 4106.15 Finland OMX Helsinki General 11812.64 12014.18 S&P Topix 150 1662.11 1675.01 Russia Micex Index 3511.08 3646.41 FTSE 100 7537.37 7603.78 FTSE E300 1816.83 1828.32
BEL Mid 10277.78 10328.81 France CAC 40 6946.82 6964.98 Topix 1931.24 1946.63 RTX 1450.02 1524.51 FTSE 4Good UK 6929.42 6994.44 FTSE Eurotop 100 3484.31 3504.94
Brazil IBovespa 114161.40 115180.95 SBF 120 5377.15 5394.56 Jordan Amman SE 2162.03 2159.28 Saudi-Arabia TADAWUL All Share Index 12476.54 12495.22 FTSE All Share 4212.87 4251.96 FTSE Global 100 ($) 2881.78 2915.49
Canada S&P/TSX 60 1293.22 1294.37 Germany M-DAX 33389.03 33532.54 Kenya NSE 20 1900.71 1900.71 Singapore FTSE Straits Times 3441.57 3439.30 FTSE techMARK 100 6248.94 6294.59 FTSE Gold Min ($) 2139.09 2077.82
S&P/TSX Comp 21359.55 21383.64 TecDAX 3286.46 3322.44 Kuwait KSX Market Index 6633.44 6603.51 Slovakia SAX 401.64 402.94 USA DJ Composite 11505.78 11627.37 FTSE Latibex Top (Eur) 4440.00 4432.20
S&P/TSX Div Met & Min 1368.82 1365.54 XETRA Dax 15267.63 15370.30 Latvia OMX Riga 1261.78 1265.52 Slovenia SBI TOP - - DJ Industrial 34533.45 34934.27 FTSE Multinationals ($) 3108.05 3100.39
Chile S&P/CLX IGPA Gen 22986.77 23378.55 Greece Athens Gen 955.00 963.60 Lithuania OMX Vilnius 938.33 943.81 South Africa FTSE/JSE All Share 76156.68 76502.59 DJ Transport 15097.56 15294.52 FTSE World ($) 846.85 854.40
China FTSE A200 12292.23 12250.51 FTSE/ASE 20 2338.55 2359.84 Luxembourg LuxX 1743.14 1759.20 FTSE/JSE Res 20 78009.33 78015.13 DJ Utilities 912.43 913.04 FTSEurofirst 100 (Eur) 4791.15 4819.02
FTSE B35 9000.71 8988.96 Hong Kong Hang Seng 24792.77 24718.90 Malaysia FTSE Bursa KLCI 1605.02 1603.20 FTSE/JSE Top 40 69409.74 69735.63 Nasdaq 100 14369.62 14603.64 FTSEurofirst 80 (Eur) 5730.24 5763.07
Shanghai A 3634.64 3632.27 HS China Enterprise 8711.40 8678.94 Mexico IPC 53122.68 53680.86 South Korea Kospi 2744.09 2729.68 Nasdaq Cmp 13900.02 14124.10 MSCI ACWI Fr ($) 720.10 717.81
Shanghai B 284.74 284.62 HSCC Red Chip 4291.54 4296.19 Morocco MASI 13760.26 13767.72 Kospi 200 369.55 367.30 NYSE Comp 16608.37 16770.36 MSCI All World ($) 3060.29 3054.26
Shanghai Comp 3468.04 3465.83 Hungary Bux 51305.38 51756.19 Netherlands AEX 751.20 758.92 Spain IBEX 35 8671.10 8737.20 S&P 500 4421.67 4475.01 MSCI Europe (Eur) 1874.71 1875.95
Shenzhen A 2408.84 2403.43 India BSE Sensex 57892.01 57996.68 AEX All Share 1029.58 1037.69 Sri Lanka CSE All Share 12352.38 12364.80 Wilshire 5000 44691.13 45285.23 MSCI Pacific ($) 3044.61 2993.43
Shenzhen B 1155.72 1153.39 Nifty 500 14772.05 14789.90 New Zealand NZX 50 12256.82 12121.89 Sweden OMX Stockholm 30 2229.15 2263.41 Venezuela IBC 5427.28 5437.40 S&P Euro (Eur) 1906.52 1918.11
Colombia COLCAP 1261.61 1260.21 Indonesia Jakarta Comp 6835.12 6850.20 Nigeria SE All Share 47064.82 47063.28 OMX Stockholm AS 903.68 921.85 Vietnam VNI 1507.99 1492.10 S&P Europe 350 (Eur) 1870.79 1882.82
Croatia CROBEX 2013.05 2011.29 Ireland ISEQ Overall 8309.99 8371.66 Norway Oslo All Share 1017.37 1006.88 Switzerland SMI Index 12075.27 12191.57 S&P Global 1200 ($) 3351.29 3382.94
Israel Tel Aviv 125 2087.81 2065.77 Pakistan KSE 100 45441.10 45684.80 Stoxx 50 (Eur) 3732.77 3753.96
(c) Closed. (u) Unavaliable. † Correction. ♥ Subject to official recalculation. For more index coverage please see www.ft.com/worldindices. A fuller version of this table is available on the ft.com research data archive.

STOCK MARKET: BIGGEST MOVERS UK MARKET WINNERS AND LOSERS

AMERICA LONDON EURO MARKETS TOKYO Feb 17 %Chg %Chg Feb 17 %Chg %Chg Feb 17 %Chg %Chg Feb 17 %Chg %Chg
ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's FTSE 100 price(p) week ytd FTSE 250 price(p) week ytd FTSE SmallCap price(p) week ytd Industry Sectors price(p) week ytd
traded m's price change traded m's price change traded m's price change traded m's price change Winners Winners Winners Winners
Nvidia 115.4 246.45 -18.66 Rio Tinto 255.8 5588.00 -120.00 Nestle N 474.3 112.22 0.08 Nippon Yusen Kabushiki Kaisha 1261.6 10000.00 70.00 Fresnillo 695.00 10.0 - Indivior 268.40 21.8 5.5 Menzies(john) 584.00 22.2 92.9 Health Care Equip.& Services 8367.67 35.2 1.5
Tesla 75.4 889.03 -34.36 Bp 235.0 397.90 -5.85 Asml Holding 385.3 578.20 4.30 Tokyo Electron 743.5 58220.00 290.00 Reckitt Benckiser 6152.00 5.5 4.0 Tate & Lyle 765.00 10.8 15.8 Lsl Property Services 440.00 10.6 1.6 Tobacco 35822.44 28.9 5.4
Advanced Micro Devices 58.8 115.60 -2.09 Shell 176.6 1969.40 -54.10 Novartis N 336.3 76.47 -0.72 Softbank . 635.2 5117.00 -119.00 Airtel Africa 151.40 5.1 13.4 Syncona 198.00 7.0 -8.4 Clipper Logistics 781.00 8.5 8.9 Gas Water & Multiutilities index 5970.05 26.5 -0.5
Apple 43.5 171.21 -1.35 Astrazeneca 175.9 8918.00 2.00 Intesa Sanpaolo 305.9 2.74 -0.05 Toyota Motor 582.8 2160.50 -32.00 British American Tobacco 3435.50 5.1 25.1 Bh Macro 3920.00 4.3 3.4 Hostelworld 89.40 6.6 29.2 Pharmaceuticals & Biotech. 18705.99 24.8 2.5
Amazon.com 43.1 3152.75 -9.26 Glencore 156.8 420.70 -4.60 Totalenergies 296.8 50.65 -0.77 Kawasaki Kisen Kaisha, 543.0 7540.00 -110.00 Polymetal Int 1182.00 4.8 -9.1 Playtech 667.00 4.1 -8.8 Topps Tiles 63.80 6.0 -5.6 Oil & Gas Producers 6915.79 24.1 -2.3
Microsoft 33.6 294.59 -4.91 Unilever 141.3 3799.50 -18.50 Ericsson, Telefonab. L M Ser. B 292.0 9.25 -0.08 Mitsui O.s.k.lines, 493.8 9040.00 -30.00 Sse 1605.50 3.2 -3.4 Endeavour Mining 1840.00 4.0 13.6 Rps 112.00 4.7 -10.4 Industrial Metals 7171.80 20.8 5.2
Meta Platforms 29.4 214.43 -2.11 British American Tobacco 139.3 3435.50 -3.50 Iberdrola 285.8 9.41 -0.01 Recruit Hldgs Co Ltd 444.5 4828.00 -295.00 Astrazeneca 8918.00 3.1 2.5 Centamin 94.66 3.8 8.0 Alfa Fin Software Holdings 175.00 3.6 -9.8 Banks 3465.89 20.7 -1.3
Viacomcbs 25.9 29.58 -6.41 Reckitt Benckiser 135.4 6152.00 345.00 Kering 270.5 663.90 31.30 Sony 395.7 12160.00 -175.00 Ocado 1360.50 2.9 - Bytes Technology 465.40 3.0 - Boot (henry) 304.00 3.1 8.6 Electricity 9869.78 20.1 2.1
Alphabet 17.7 2699.59 -55.17 Glaxosmithkline 116.7 1579.60 3.60 Allianz Se Na O.n. 270.0 222.50 -2.90 Mitsubishi Ufj Fin,. 361.0 738.80 -7.00 B&m Eur Value Retail S.a. 575.80 2.8 -9.3 Ultra Electronics Holdings 3000.00 2.8 -5.4 Fisher (james) & Sons 419.50 2.4 15.4 Beverages 28005.74 18.3 -4.0
Paypal Holdings 15.0 107.65 -2.90 Hsbc Holdings 112.7 540.10 -8.20 Siemens Ag Na O.n. 254.8 139.50 -3.04 Hitachi, 310.9 6150.00 246.00 Antofagasta 1373.00 2.1 2.6 Petropavlovsk 16.00 1.8 - Jpmorgan Global Core Real Assets 88.60 2.3 -3.4 Media 9537.99 17.0 0.3
Entain 1699.00 1.1 0.4 Hochschild Mining 104.00 1.8 -19.4 Vitec (the) 1320.00 1.9 -9.0 Real Estate Investment Trusts 3233.77 16.3 -2.1
BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's
Burberry 1994.00 0.9 10.0 Gcp Infrastructure Investments 104.40 1.8 -4.1 Aberdeen New Dawn Investment Trust 318.00 1.9 0.0 Aerospace & Defense 4255.46 16.2 3.0
price change chng% price change chng% price change chng% price change chng%
Ups Ups Ups Ups Losers Losers Losers Losers
Marathon Oil 22.21 1.14 5.39 Reckitt Benckiser 6152.00 345.00 5.94 Kering 663.90 31.30 4.95 Pacific Metals Co., 3315.00 150.00 4.74 Evraz 305.30 -29.3 - Darktrace 319.80 -22.3 - Funding Circle Holdings 74.00 -15.9 - Automobiles & Parts 3211.22 -32.7 0.3
Equinix 703.08 29.50 4.38 Ultra Electronics Holdings 3000.00 134.00 4.68 Bay.motoren Werke Ag St 95.97 1.92 2.04 Hitachi, 6150.00 246.00 4.17 Jd Sports Fashion 165.00 -7.7 - Wizz Air Holdings 4217.00 -13.4 0.3 Rm 156.00 -13.3 - Mining 18601.90 -23.9 9.2
Cisco Systems 56.37 2.12 3.91 Fresnillo 695.00 28.60 4.29 Engie 14.40 0.27 1.92 Mitsubishi 4120.00 135.00 3.39 Barclays 192.64 -7.7 2.4 Baltic Classifieds 164.00 -12.3 -29.0 Luceco 255.50 -12.0 - Travel & Leisure 7826.79 -17.0 6.3
Devon Energy 55.87 2.02 3.74 Indivior 268.40 8.60 3.31 Heineken 98.46 1.46 1.51 Inpex 1170.00 32.00 2.81 Abrdn 231.70 -6.8 - Synthomer 305.80 -11.6 - Ao World 92.20 -11.7 -15.4 Household Goods 14836.20 -16.0 -0.7
Newmont 66.64 2.36 3.66 Plus500 Ltd 1510.00 43.00 2.93 Dassault Systemes 41.57 0.54 1.33 Odakyu Electric Railway Co., 2234.00 59.00 2.71 Int Consolidated Airlines S.a. 166.30 -6.7 18.7 Puretech Health 244.50 -10.9 - Augmentum Fintech 134.50 -10.3 -17.7 Life Insurance 7330.45 -10.3 -1.6
Aveva 2690.00 -6.5 - Fdm (holdings) 893.00 -10.7 -30.2 Honeycomb Investment Trust 890.00 -9.2 -6.3 Chemicals 12830.19 -10.3 -5.9
Downs Downs Downs Downs
Spirax-sarco Eng 11880.00 -6.3 - Micro Focus Int 417.00 -10.5 -0.1 Made.com 82.00 -8.9 - Food Producers 6780.52 -10.2 1.1
Viacomcbs 29.58 -6.41 -17.81 Evraz 305.30 -24.70 -7.48 Adyen 1925.00 -107.00 -5.27 Recruit Hldgs Co Ltd 4828.00 -295.00 -5.76
London Stock Exchange 6754.00 -5.9 -2.9 Reach 236.50 -8.7 -14.0 Aberforth Split Level ome Trust 76.60 -8.8 -4.7 General Financial 11209.21 -5.7 -5.2
Albemarle 202.45 -43.55 -17.70 Wizz Air Holdings 4217.00 -337.00 -7.40 Neste 36.92 -1.51 -3.93 Bandai Namco Holdings . 7838.00 -298.00 -3.66
Schroders 3216.00 -5.6 -9.4 Baillie Gifford Us Growth Trust 226.00 -8.1 - Card Factory 55.00 -8.5 -7.4 Software & Computer Services 1855.29 -4.3 -3.8
Lkq 48.86 -6.75 -12.13 Darktrace 319.80 -23.80 -6.93 Alcon N 68.21 -2.52 -3.57 Chugai Pharmaceutical Co., 3868.00 -147.00 -3.66
Hargreaves Lansdown 1288.00 -5.5 -5.2 Rank 154.40 -8.1 -1.9 On The Beach 286.00 -8.3 3.8 Industrial Engineering 14978.91 -3.6 -7.3
Nvidia 246.45 -18.66 -7.04 Puretech Health 244.50 -17.00 -6.50 Infineon Tech.ag Na O.n. 32.37 -1.19 -3.53 Z Holdings 546.30 -20.00 -3.53
Natwest 240.30 -5.2 6.0 Mitchells & Butlers 245.80 -7.7 -1.9 Metro Bank 95.50 -7.6 -0.1 Food & Drug Retailers 4208.22 0.0 0.0
Bank Of New York Mellon 59.16 -3.34 -5.34 Ferrexpo 274.40 -18.80 -6.41 Axa 27.19 -0.81 -2.89 Yamaha Motor Co., 2713.00 -92.00 -3.28
Smith (ds) 366.40 -5.1 -6.0 Petershill Partners 199.60 -7.6 - Georgia Capital 648.00 -7.4 0.9 Electronic & Electrical Equip. 9909.55 0.3 -5.0
Based on the constituents of the S&P500 Based on the constituents of the FTSE 350 index Based on the constituents of the FTSEurofirst 300 Eurozone index Based on the constituents of the Nikkei 225 index
Based on last week's performance. †Price at suspension.

CURRENCIES
DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND
Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's
Feb 17 Currency Mid Change Mid Change Mid Change Feb 17 Currency Mid Change Mid Change Mid Change Feb 17 Currency Mid Change Mid Change Mid Change Feb 17 Currency Mid Change Mid Change Mid Change
Argentina Argentine Peso 106.6770 0.1015 121.2762 0.1581 145.2949 0.5758 Indonesia Indonesian Rupiah 14317.5000 60.0000 16276.9159 73.8986 19500.5519 140.2548 Poland Polish Zloty 3.9817 0.0290 4.5266 0.0346 5.4230 0.0557 ..Three Month 0.7341 -0.0022 0.8344 -0.0022 - -
Australia Australian Dollar 1.3892 -0.0056 1.5793 -0.0058 1.8921 -0.0019 Israel Israeli Shekel 3.2103 0.0199 3.6496 0.0240 4.3724 0.0403 Romania Romanian Leu 4.3474 -0.0012 4.9424 0.0004 5.9212 0.0162 ..One Year 0.7339 -0.0022 0.8331 -0.0022 - -
Bahrain Bahrainin Dinar 0.3770 - 0.4286 0.0002 0.5135 0.0015 Japan Japanese Yen 114.9650 -0.4650 130.6985 -0.4824 156.5833 -0.1594 Russia Russian Ruble 76.3675 1.1525 86.8187 1.3403 104.0132 1.8785 United States United States Dollar - - 1.1369 0.0004 1.3620 0.0041
Bolivia Bolivian Boliviano 6.9100 - 7.8557 0.0028 9.4115 0.0284 ..One Month 114.9650 -0.4651 130.6985 -0.4823 156.5832 -0.1595 Saudi Arabia Saudi Riyal 3.7524 - 4.2659 0.0015 5.1108 0.0154 ..One Month - - 1.1368 -0.2211 1.3620 0.0041
Brazil Brazilian Real 5.1668 0.0077 5.8739 0.0108 7.0372 0.0316 ..Three Month 114.9648 -0.4654 130.6986 -0.4821 156.5829 -0.1601 Singapore Singapore Dollar 1.3430 -0.0010 1.5268 -0.0006 1.8292 0.0042 ..Three Month - - 1.1365 -0.2211 1.3619 0.0041
Canada Canadian Dollar 1.2697 - 1.4435 0.0005 1.7293 0.0052 ..One Year 114.9634 -0.4683 130.6988 -0.4818 156.5832 -0.1621 South Africa South African Rand 14.9488 -0.1363 16.9946 -0.1489 20.3603 -0.1236 ..One Year - - 1.1350 -0.2210 1.3617 0.0041
Chile Chilean Peso 797.2500 -4.2250 906.3573 -4.4822 1085.8611 -2.4638 Kenya Kenyan Shilling 113.6000 - 129.1467 0.0455 154.7241 0.4664 South Korea South Korean Won 1197.1500 -0.4000 1360.9855 0.0248 1630.5282 4.3720 Vietnam Vietnamese Dong 22790.0000 35.0000 25908.9508 48.9105 31040.1877 141.0857
China Chinese Yuan 6.3370 0.0019 7.2042 0.0047 8.6310 0.0286 Kuwait Kuwaiti Dinar 0.3024 - 0.3438 0.0001 0.4119 0.0012 Sweden Swedish Krona 9.3372 0.0343 10.6150 0.0427 12.7173 0.0849 European Union Euro 0.8796 -0.0003 - - 1.1980 0.0032
Colombia Colombian Peso 3951.0000 -15.7550 4491.7132 -16.3226 5381.2943 -5.1740 Malaysia Malaysian Ringgit 4.1875 0.0022 4.7606 0.0042 5.7034 0.0202 Switzerland Swiss Franc 0.9200 -0.0028 1.0460 -0.0028 1.2531 0.0000 ..One Month 0.8795 -0.0003 - - 1.1980 0.0032
Costa Rica Costa Rican Colon 639.8850 0.2600 727.4562 0.5517 871.5286 2.9802 Mexico Mexican Peso 20.3030 -0.0368 23.0816 -0.0336 27.6529 0.0335 Taiwan New Taiwan Dollar 27.8715 -0.0210 31.6858 -0.0127 37.9612 0.0859 ..Three Month 0.8793 -0.0003 - - 1.1978 0.0032
Czech Republic Czech Koruna 21.4470 0.0066 24.3821 0.0160 29.2110 0.0970 New Zealand New Zealand Dollar 1.4922 -0.0105 1.6964 -0.0114 2.0324 -0.0082 Thailand Thai Baht 32.1775 -0.1800 36.5811 -0.1917 43.8260 -0.1123 ..One Year 0.8777 -0.0003 - - 1.1964 0.0032
Denmark Danish Krone 6.5426 -0.0041 7.4379 -0.0020 8.9110 0.0213 Nigeria Nigerian Naira 416.0000 - 472.9315 0.1666 566.5954 1.7080 Tunisia Tunisian Dinar 2.8724 -0.0006 3.2655 0.0005 3.9122 0.0110
Egypt Egyptian Pound 15.7348 0.0537 17.8882 0.0673 21.4309 0.1375 Norway Norwegian Krone 8.9172 0.0211 10.1376 0.0276 12.1453 0.0653 Turkey Turkish Lira 13.5852 -0.0484 15.4443 -0.0495 18.5031 -0.0099
Hong Kong Hong Kong Dollar 7.7996 -0.0011 8.8670 0.0019 10.6231 0.0306 Pakistan Pakistani Rupee 175.4000 -0.2000 199.4043 -0.1570 238.8962 0.4486 United Arab Emirates UAE Dirham 3.6731 - 4.1757 0.0015 5.0027 0.0151
Hungary Hungarian Forint 314.1928 1.2534 357.1915 1.5502 427.9331 2.9920 Peru Peruvian Nuevo Sol 3.7485 -0.0240 4.2615 -0.0258 5.1055 -0.0172 United Kingdom Pound Sterling 0.7342 -0.0022 0.8347 -0.0022 - -
India Indian Rupee 75.1075 0.0312 85.3863 0.0656 102.2970 0.3508 Philippines Philippine Peso 51.3400 0.0475 58.3661 0.0745 69.9255 0.2753 ..One Month 0.7342 -0.0022 0.8346 -0.0022 - -
Rates are derived from WM Reuters Spot Rates and MorningStar (latest rates at time of production). Some values are rounded. Currency redenominated by 1000. The exchange rates printed in this table are also available at www.FT.com/marketsdata
UK SERIES
FTSE ACTUARIES SHARE INDICES www.ft.com/equities FT 30 INDEX FTSE SECTORS: LEADERS & LAGGARDS FTSE 100 SUMMARY
Produced in conjunction with the Institute and Faculty of Actuaries Jan 18 Jan 17 Jan 14 Jan 13 Jan 12 Yr Ago High Low Year to date percentage changes Closing Day's Closing Day's
£ Strlg Day's Euro £ Strlg £ Strlg Year Div P/E X/D Total FT 30 2858.70 2871.90 2832.90 2844.10 2840.90 0.00 2880.10 2808.10 Tobacco 22.31 FTSE All{HY-}Share Index 0.12 FTSE 250 Index -8.19 FTSE 100 Price Change FTSE 100 Price Change
Feb 17 chge% Index Feb 16 Feb 15 ago yield% Cover ratio adj Return FT 30 Div Yield - - - - - 0.00 3.93 2.74 Mobile Telecomms 21.10 Beverages 31.66 Equity Invest Instr -8.49 3I Group PLC 1320.5 -24.50 Itv PLC 117.95 -3.40
FTSE 100 (100) 7537.37 -0.87 7040.16 7603.78 7608.92 6710.90 3.18 2.12 14.84 12.97 7477.69 P/E Ratio net - - - - - 0.00 19.44 14.26 Oil & Gas 20.65 Utilities -0.35 Household Goods & Ho -9.88 Abrdn PLC 231.70 -10.10 Jd Sports Fashion PLC 165.00 -1.00
FTSE 250 (250) 21557.59 -1.24 20135.54 21828.94 21852.51 21149.49 2.12 2.96 15.95 43.07 17487.41 FT 30 hourly changes Oil & Gas Producers 20.65 Pharmace & Biotech -0.35 Beverages -9.93 Admiral Group PLC 2993 -49.00 Kingfisher PLC 318.90 -
FTSE 250 ex Inv Co (181) 22308.76 -1.43 20837.16 22631.84 22671.52 21669.57 2.09 0.89 53.47 39.41 18443.96 8 9 10 11 12 13 14 15 16 High Low Oil Equipment & Serv 20.58 Health Care -0.75 Industrials -10.35 Airtel Africa PLC 151.40 0.30 Land Securities Group PLC 793.00 -14.40
FTSE 350 (350) 4240.22 -0.93 3960.51 4280.19 4283.36 3836.68 3.01 2.22 15.01 7.48 8359.68 2871.9 2850.8 2849.7 2857 2858.6 2860.9 2862.8 2860.5 2860.4 2871.9 2843.1 Telecommunications 18.86 Financials -1.04 Industrial Transport -10.42 Anglo American PLC 3523 -59.00 Legal & General Group PLC 272.60 -4.50
FTSE 350 ex Investment Trusts (279) 4157.49 -0.94 3883.24 4197.03 4200.23 3730.41 3.06 1.91 17.12 7.21 4233.20 FT30 constituents and recent additions/deletions can be found at www.ft.com/ft30 Banks 13.67 Consumer Goods -1.42 Automobiles & Parts -11.49 Antofagasta PLC 1373 -30.00 Lloyds Banking Group PLC 51.29 -0.64
FTSE 350 Higher Yield (112) 3532.26 -0.82 3299.26 3561.33 3552.33 3067.52 4.22 1.59 14.90 9.44 7770.32 Fixed Line Telecomms 13.43 Electricity -2.16 Real Est Invest & Se -13.39 Ashtead Group PLC 4919 -17.00 London Stock Exchange Group PLC 6754 -130.00
FTSE 350 Lower Yield (238) 4594.90 -1.07 4291.80 4644.57 4665.53 4360.43 1.60 4.12 15.15 3.28 5543.26 FT WILSHIRE 5000 INDEX SERIES Mining 12.87 Consumer Services -3.36 General Retailers -14.26 Associated British Foods PLC 1899 -1.00 M&G PLC 213.40 -3.00
FTSE SmallCap (249) 7119.03 -0.47 6649.42 7152.68 7139.94 6557.42 2.69 4.38 8.48 27.77 11650.20 Basic Materials 8.25 Media -3.53 Industrial Metals & -14.27 Astrazeneca PLC 8918 2.00 Meggitt PLC 745.20 0.20
FTSE SmallCap ex Inv Co (130) 6015.02 -0.52 5618.24 6046.45 6032.97 5224.65 2.19 1.66 27.45 12.34 10234.83 Feb 16 Feb 16 Travel & Leisure 3.42 Personal Goods -3.58 Support Services -14.55 Auto Trader Group PLC 634.00 -6.60 Melrose Industries PLC 155.55 -2.85
FTSE All-Share (599) 4212.87 -0.92 3934.97 4251.96 4254.78 3813.85 3.00 2.28 14.66 7.71 8388.68 FTSE 100 Index 2.07 Life Insurance -4.15 Software & Comp Serv -15.01
FT Wilshire 5000 45811.40 FT Wilshire Mid Cap 5923.02 Avast PLC 618.60 -3.20 Mondi PLC 1909 -5.00
FTSE All-Share ex Inv Co (409) 4092.50 -0.94 3822.54 4131.12 4134.07 3669.55 3.05 1.90 17.23 7.12 4231.26 Nonlife Insurance 2.00 FTSE SmallCap Index -4.56 Technology -15.27
FT Wilshire 2500 5863.83 FT Wilshire Small Cap 5579.58 Aveva Group PLC 2690 -11.00 National Grid PLC 1078.6 -2.20
FTSE All-Share ex Multinationals (530) 1276.58 -1.13 988.98 1291.11 1293.60 1240.46 2.69 3.24 11.47 2.06 2629.79 Aerospace & Defense 1.68 Food & Drug Retailer -5.06 Industrial Eng -16.02
FT Wilshire Mega Cap 5895.74 FT Wilshire Micro Cap 5653.71 Aviva PLC 432.30 -9.40 Natwest Group PLC 240.30 -3.10
FTSE Fledgling (82) 13049.20 -0.26 12188.41 13082.77 13027.61 11373.32 2.31 6.65 6.52 35.28 27537.47 Food Producers 0.74 Real Est Invest & Tr -6.21 Tech Hardware & Eq -17.87
FT Wilshire Large Cap 5900.38 B&M European Value Retail S.A. 575.80 0.80 Next PLC 6918 -60.00
FTSE Fledgling ex Inv Co (34) 17834.20 -0.31 16657.76 17890.13 17773.50 127.34 1.93 -2.90 -17.86 57.28 36612.51 Gas Water & Multi 0.26 Health Care Eq & Srv -6.29 Leisure Goods -20.30
Source: Wilshire. Wilshire Advisors LLC (Wilshire) is an investment advisor registered with the SEC. Further Bae Systems PLC 594.40 -3.80 Ocado Group PLC 1360.5 18.00
FTSE All-Small (331) 4960.39 -0.46 4633.18 4983.25 4973.71 4555.03 2.67 4.49 8.34 19.02 10412.19 NON FINANCIALS Index 0.20 Construct & Material -7.28 Electronic & Elec Eq -20.92
information is available at https://www.wilshire.com/solutions/indexes . Wilshire® is a registered service Barclays PLC 192.64 -3.36 Pearson PLC 623.20 -
FTSE All-Small ex Inv Co (164) 4522.56 -0.51 4224.23 4545.83 4534.94 117.64 2.18 1.51 30.43 9.48 9746.84 Financial Services -7.96 Chemicals -22.17
mark. Copyright ©2022 Wilshire. All rights reserved. Barratt Developments PLC 602.60 -9.80 Pershing Square Holdings LTD 2715 -40.00
FTSE AIM All-Share (764) 1072.23 -0.64 1001.50 1079.17 1078.55 1223.12 1.05 1.56 60.76 1.60 1244.26
Berkeley Group Holdings (The) PLC 3976 -76.00 Persimmon PLC 2408 -36.00
FTSE All-Share Technology (22) 1997.46 -1.02 1874.46 2018.09 2027.59 2166.13 1.77 0.63 89.88 9.64 2847.78
BP PLC 397.90 -5.85 Phoenix Group Holdings PLC 652.00 -11.60
FTSE All-Share Telecommunications (7) 2187.60 -1.48 2052.88 2220.38 2205.29 1912.59 4.09 0.30 81.51 0.00 3164.09 FTSE GLOBAL EQUITY INDEX SERIES British American Tobacco PLC 3435.5 -3.50 Polymetal International PLC 1182 -4.50
FTSE All-Share Health Care (13) 13092.89 0.04 12286.63 13087.29 13098.01 11270.89 3.08 0.74 43.85 0.00 11799.04
Feb 17 No of US $ Day Mth YTD Gr Div Feb 17
YTD Total No of US $ Day Mth YTD Total YTD Gr Div British Land Company PLC 539.20 -7.80 Prudential PLC 1183.5 -32.50
FTSE All-Share Financials (254) 4911.76 -1.33 4609.29 4978.14 4999.49 4692.48 2.71 5.20 7.10 6.44 5280.57
Regions & countries stocks indices % % % % Yield Sectors
retn stocks indices % % % retn % Yield Bt Group PLC 195.15 -5.75 Reckitt Benckiser Group PLC 6152 345.00
FTSE All-Share Real Estate (53) 1151.54 -0.84 1130.46 1161.34 1152.40 995.72 2.58 2.13 18.20 1.86 1176.47
FTSE Global All Cap 9332 808.02 0.4 -3.2 -4.6
-4.5 1270.35
1.8 Oil Equipment & Services 25 268.20 1.3 1.3 14.6 481.48 15.4 4.2 Bunzl PLC 2740 33.00 Relx PLC 2241 -20.00
FTSE All-Share Consumer Discretionary (90) 5279.27 -1.34 4954.17 5350.95 5384.42 5067.75 1.65 0.19 314.40 5.22 5475.22
FTSE Global All Cap 9332 808.02 0.4 -3.2 -4.6
-4.5 1270.35
1.8 Basic Materials 368 684.34 1.2 1.2 1.7 1209.70 1.8 3.8 Burberry Group PLC 1994 26.00 Rentokil Initial PLC 499.70 -0.90
FTSE All-Share Consumer Staples (25)19773.75 0.32 18556.08 19711.41 19854.89 18231.24 3.79 1.60 16.52 24.13 17518.81
FTSE Global Large Cap 1799 724.58 0.3 -3.5 -4.6
-4.4 1173.97
1.9 Chemicals 172 922.21 1.3 1.3 -4.8 1587.58 -4.8 2.3 Coca-Cola Hbc AG 2431 -15.00 Rightmove PLC 623.40 -5.00
FTSE All-Share Industrials (88) 6655.60 -0.76 6245.74 6706.82 6747.04 6127.13 1.80 2.54 21.84 4.67 7541.96
FTSE Global Mid Cap 2282 1029.19 0.4 -2.3 -4.1
-4.0 1522.00
1.9 Forestry & Paper 22 316.11 0.5 0.5 3.6 619.26 3.8 2.9 Compass Group PLC 1751 -28.00 Rio Tinto PLC 5588 -120.00
FTSE All-Share Basic Materials (24) 8900.78 -1.52 8352.67 9038.23 8968.69 8167.73 5.27 2.22 8.57 3.70 11407.30
FTSE Global Small Cap 5251 1079.77 0.5 -3.1 -5.7
-5.6 1529.61
1.6 Industrial Metals & Mining 96 586.89 0.9 0.9 6.1 1070.88 6.4 5.9 Crh PLC 3648 -58.00 Rolls-Royce Holdings PLC 118.02 -3.70
FTSE All-Share Energy (13) 7156.10 -2.25 6715.43 7321.15 7185.47 5171.50 3.22 1.45 21.36 64.63 8456.68
FTSE All-World 4081 474.63 0.3 -3.3 -4.5
-4.3 790.07
1.9 Mining 78 1031.06 1.2 1.2 10.8 1894.09 10.8 5.1 Croda International PLC 7254 -68.00 Royal Mail PLC 421.70 -4.50
FTSE All-Share Utilities (10) 8669.70 0.21 8135.82 8651.51 8602.43 7096.33 4.16 1.62 14.88 32.24 12727.00
FTSE World 2656 854.40 0.3 -3.4 -4.9
-4.7 1909.00
1.8 Industrials 756 552.18 0.6 0.6 -8.1 864.71 -8.0 1.6 Dcc PLC 6200 -84.00 Sage Group PLC 685.20 -2.80
FTSE All-Share Software and Computer Services (20) 2146.18 -1.01 2014.02 2168.04 2178.50 2339.32 1.77 0.62 91.32 10.73 3237.58
FTSE Global All Cap ex UNITED KINGDOM In 9037 853.09 0.4 -3.4 -4.9
-4.7 1316.25
1.8 Construction & Materials 143 674.30 0.8 0.8 -8.8 1111.75 -8.7 2.0 Dechra Pharmaceuticals PLC 3910 -10.00 Sainsbury (J) PLC 278.20 -2.10
FTSE All-Share Technology Hardware and Equipment (2) 5703.13 -1.41 5351.93 5784.63 5792.67 4937.32 1.79 0.89 62.45 0.00 7250.56
FTSE Global All Cap ex USA 7514 588.64 0.8 -2.3 -1.9
-1.8 1016.73
2.5 Aerospace & Defense 35 852.55 1.0 1.0 6.1 1312.19 6.2 1.3 Diageo PLC 3616 11.00 Schroders PLC 3216 -54.00
FTSE All-Share Telecommunications Equipment (2) 534.44 -0.29 501.53 535.99 531.39 627.56 1.84 2.46 22.08 0.00 749.02
FTSE Global All Cap ex JAPAN 7941 842.49 0.3 -3.2 -4.7
-4.6 1336.70
1.8 General Industrials 71 267.05 0.2 0.2 -3.8 462.34 -3.4 2.2 Electrocomponents PLC 1012 -8.00 Scottish Mortgage Investment Trust PLC 1059 -10.50
FTSE All-Share Telecommunications Service Providers (5) 3415.86 -1.51 3205.51 3468.24 3444.84 2955.36 4.16 0.27 88.34 0.00 4496.43
FTSE Global All Cap ex Eurozone 8668 853.07 0.4 -3.2 -4.7
-4.5 1312.98
1.8 Electronic & Electrical Equipment 143 704.50 1.0 1.0 -12.4 997.39 -12.4 1.3 Entain PLC 1699 -5.00 Segro PLC 1277.5 -0.50
FTSE All-Share Health Care Providers (3) 8610.30 -1.67 8080.07 8756.82 8675.67 6215.34 0.12 53.19 15.62 0.00 7949.00
FTSE Developed 2205 781.80 0.3 -3.6 -5.2
-5.1 1238.97
1.8 Industrial Engineering 149 1071.34 0.8 0.8 -7.4 1672.36 -7.3 1.7 Evraz PLC 305.30 -24.70 Severn Trent PLC 2829 -13.00
FTSE All-Share Medical Equipment and Services (2) 5549.22 -0.47 5207.50 5575.54 5626.03 7020.66 2.29 1.07 40.75 0.00 5223.57
FTSE Developed All Cap 5828 815.68 0.3 -3.6 -5.3
-5.2 1273.84
1.7 Industrial Transportation 125 1072.66 0.6 0.6 -3.4 1692.76 -3.4 1.6 Experian PLC 2891 -19.00 Shell PLC 1969.4 -54.10
FTSE All-Share Pharmaceuticals and Biotechnology (8)18639.79 0.09 17491.95 18623.12 18631.12 15638.87 3.16 0.71 44.81 0.00 15119.80
FTSE Developed Large Cap 885 733.24 0.2 -3.8 -5.4
-5.3 1182.85
1.8 Support Services 90 594.76 -0.1 -0.1 -16.3 874.06 -16.2 1.2 Ferguson PLC 11105 50.00 Smith & Nephew PLC 1208.5 -3.50
FTSE All-Share Banks (11) 3421.23 -1.31 3210.55 3466.77 3507.34 2725.87 2.33 5.91 7.25 0.20 2906.96
FTSE Developed Europe Large Cap 237 435.79 0.1 -2.9 -3.0
-2.9 2.6 Consumer Goods
838.24 544 656.45 0.5 0.5 -4.7 1082.65 -4.7 1.9 Flutter Entertainment PLC 11015 -45.00 Smith (Ds) PLC 366.40 -3.30
FTSE All-Share Finance and Credit Services (7) 9688.83 -2.04 9092.19 9890.80 9950.04 12964.48 1.52 1.64 40.23 16.06 12794.61
FTSE Developed Europe Mid Cap 351 726.89 0.3 -4.0 -5.7
-5.7 1216.69
2.3 Automobiles & Parts 129 721.07 0.7 0.7 -6.7 1148.61 -6.7 1.1 Fresnillo PLC 695.00 28.60 Smiths Group PLC 1511.5 -30.50
FTSE All-Share Investment Banking and Brokerage Services (33) 9681.04 -1.38 9084.88 9816.68 9826.01 9884.92 4.09 2.77 8.84 13.39 13025.71
FTSE Dev Europe Small Cap 730 1026.86 0.1 -4.9 -7.0
-7.0 1651.52
2.0 Beverages 68 783.55 0.3 0.3 -2.8 1305.94 -2.8 2.1 Glaxosmithkline PLC 1579.6 3.60 Smurfit Kappa Group PLC 4025 1.00
FTSE All-Share Closed End Investments (190)13035.28 -0.69 12232.56 13126.28 13125.40 13468.96 2.23 9.60 4.66 41.12 7992.65
FTSE North America Large Cap 255 974.56 0.0 -4.3 -6.6
-6.4 1445.70
1.4 Food Producers 133 767.68 0.3 0.3 -2.2 1295.96 -2.1 2.3 Glencore PLC 420.70 -4.60 Spirax-Sarco Engineering PLC 11880 -130.00
FTSE All-Share Life Insurance (6) 7457.07 -2.22 6997.86 7626.39 7592.49 7646.00 3.62 2.23 12.41 0.00 8753.22
FTSE North America Mid Cap 411 1247.16 0.2 -2.2 -4.6
-4.5 1.5 Household Goods & Home Construction
1706.84 61 608.72 0.5 0.5 -7.0 1003.57 -6.6 2.4 Halma PLC 2315 -31.00 Sse PLC 1605.5 21.50
FTSE All-Share Nonlife Insurance (7) 3723.89 -2.20 3494.57 3807.84 3809.31 3716.54 4.20 1.59 15.00 14.04 7666.40
FTSE North America Small Cap 1330 1246.99 0.3 -2.6 -5.5
-5.4 1.3 Leisure Goods
1640.21 48 301.63 0.7 0.7 -5.3 421.32 -5.3 1.2 Hargreaves Lansdown PLC 1288 -21.50 St. James's Place PLC 1516 -0.50
FTSE All-Share Real Estate Investment and Services (13) 2727.05 -1.22 2559.12 2760.79 2777.70 2539.20 1.78 3.12 17.96 1.71 8001.41
FTSE North America 666 635.54 0.0 -3.9 -6.2
-6.0 1.4 Personal Goods
963.44 90 1052.70 0.0 0.0 -8.8 1594.27 -8.8 1.5 Hikma Pharmaceuticals PLC 1989.5 5.50 Standard Chartered PLC 558.00 9.40
FTSE All-Share Real Estate Investment Trusts (40) 2895.24 -0.76 2716.95 2917.51 2886.56 2461.53 2.75 1.99 18.25 5.27 4252.79
FTSE Developed ex North America 1539 305.57 0.8 -3.0 -3.1
-3.0 568.64
2.5 Tobacco 15 1091.92 1.3 1.3 13.6 2955.51 13.6 5.6 HSBC Holdings PLC 540.10 -8.20 Taylor Wimpey PLC 148.75 -4.00
FTSE All-Share Automobiles and Parts (2) 3227.67 -2.09 3028.91 3296.62 3313.92 5050.49 1.58 -7.62 -8.32 0.00 3333.47
FTSE Japan Large Cap 172 441.42 2.1 -3.8 -3.2
-3.2 633.15
2.1 Health Care 337 727.24 0.4 0.4 -7.9 1141.76 -7.8 1.7 Imperial Brands PLC 1753.5 -52.00 Tesco PLC 293.70 -1.05
FTSE All-Share Consumer Services (3) 2899.72 -1.58 2721.15 2946.23 3003.79 2437.62 0.80 1.68 74.58 22.86 3658.83
FTSE Japan Mid Cap 337 608.88 1.7 -1.3 -0.8
-0.8 829.29
2.3 Health Care Equipment & Services 128 1492.31 0.2 0.2 -10.3 1815.58 -10.3 0.9 Informa PLC 609.00 -11.00 Unilever PLC 3799.5 -18.50
FTSE All-Share Household Goods and Home Construction (13)12462.00 -1.70 11694.58 12677.13 12752.13 13591.89 5.97 1.71 9.81 0.57 10420.28
FTSE Global wi JAPAN Small Cap 882 674.63 1.8 -2.4 -3.0
-3.0 952.48
2.5 Pharmaceuticals & Biotechnology 209 467.06 0.5 0.5 -6.0 784.64 -5.8 2.3 Intercontinental Hotels Group PLC 5080 -22.00 United Utilities Group PLC 1050.5 -3.50
FTSE All-Share Leisure Goods (2) 20235.78 -1.55 18989.65 20554.31 20732.52 25497.40 1.98 2.46 20.53 157.98 21814.46
FTSE Japan 509 180.93 2.0 -3.3 -2.7
-2.7 290.58
2.2 Consumer Services 446 660.55 0.2 0.2 -6.2 934.11 -6.2 0.9 Intermediate Capital Group PLC 1773.5 -21.00 Vodafone Group PLC 137.96 -1.54
FTSE All-Share Personal Goods (5) 30135.01 0.48 28279.28 29991.38 29957.61 26798.19 1.74 1.78 32.28 16.03 23192.62
FTSE Asia Pacific Large Cap ex Japan 960 830.83 1.3 -2.0 -0.3
-0.2 2.4 Food & Drug Retailers
1473.15 68 340.60 -0.1 -0.1 -1.1 530.88 -0.9 2.3 International Consolidated Airlines Group S.A. 166.30 -7.08 Whitbread PLC 3143 -49.00
FTSE All-Share Media (11) 9830.23 -1.22 9224.88 9951.15 10028.74 8237.88 1.75 1.32 43.40 0.40 6756.60
FTSE Asia Pacific Mid Cap ex Japan 901 1096.25 1.2 -3.0 -3.3
-3.1 1872.36
2.8 General Retailers 152 1176.26 0.2 0.2 -8.0 1595.04 -7.9 0.7 Intertek Group PLC 5194 -26.00 Wpp PLC 1192.5 -20.00
FTSE All-Share Retailers (21) 2449.53 -0.84 2298.69 2470.27 2490.59 2395.34 1.55 4.07 15.84 0.00 3107.40
FTSE All-Share Travel and Leisure (33) 7734.41 -1.75 7258.12 7872.45 7869.91 8154.78 0.11 -92.48 -10.15 0.00 7948.58 FTSE Asia Pacific Small Cap ex Japan 2005 674.94 1.6 -4.9 -7.3
-7.2 2.2 Media
1121.93 83 425.26 -0.4 -0.4 -9.4 605.00 -9.3 0.9
FTSE All-Share Beverages (5) 28113.36 0.16 26382.13 28068.38 28619.54 23985.03 2.01 1.56 31.81 0.00 22080.28 FTSE Asia Pacific Ex Japan 1861 656.79 1.2 -2.1 -0.6
-0.5 2.4 Travel & Leisure
1237.56 143 514.17 0.8 0.8 0.2 743.43 0.3 0.9
FTSE All-Share Food Producers (10) 6964.75 -0.24 6535.85 6981.30 6948.96 7361.62 2.17 2.32 19.86 0.00 6617.35 FTSE Emerging All Cap 3504 896.21 1.1 -0.4 1.8
1.9 2.6 Telecommunication
1513.63 88 152.33 0.3 0.3 2.8 347.43 3.3 4.1 UK STOCK MARKET TRADING DATA
FTSE All-Share Tobacco (2) 35822.50 -0.60 33616.54 36037.48 35904.18 28087.62 6.56 1.52 10.02 172.32 32028.70 FTSE Emerging Large Cap 914 843.79 1.2 -0.3 2.5
2.6 2.5 Fixed Line Telecommuniations
1433.37 34 114.67 -0.3 -0.3 1.7 298.91 2.6 5.8 Feb 17 Feb 16 Feb 15 Feb 14 Feb 11 Yr Ago
FTSE All-Share Construction and Materials (15) 8348.54 -1.49 7834.43 8474.98 8478.94 7407.68 2.24 0.57 78.29 0.00 9869.58 FTSE Emerging Mid Cap 962 1170.05 0.7 0.3 1.8
2.0 3.2 Mobile Telecommunications
1986.40 54 183.65 0.6 0.6 3.3 361.89 3.7 3.2 Order Book Turnover (m) 81.55 99.63 108.48 64.33 64.33 64.33
FTSE All-Share Aerospace and Defense (9) 4491.67 -0.93 4215.07 4533.70 4535.84 3621.65 2.11 7.20 6.59 2.10 5366.75 FTSE Emerging Small Cap 1628 928.02 0.9 -2.7 -4.2
-4.2 2.4 Utilities
1500.30 195 324.96 0.3 0.3 -5.3 740.26 -5.0 3.4 Order Book Bargains 855660.00 953126.00 1058513.00 826531.00 826531.00 826531.00
FTSE All-Share Electronic and Electrical Equipment (10)11714.27 -1.49 10992.90 11890.86 12017.12 12113.83 1.48 2.17 31.23 0.00 11408.20 FTSE Emerging Europe 87 416.87 1.4 2.5 0.6
1.0 5.7 Electricity
839.98 140 360.38 0.3 0.3 -6.5 809.90 -6.2 3.4 Order Book Shares Traded (m) 1415.00 1382.00 1634.00 1418.00 1418.00 1418.00
FTSE All-Share General Industrials (9) 5586.44 -0.45 5242.42 5611.53 5636.67 5362.13 2.32 1.21 35.61 0.00 7161.99 FTSE Latin America All Cap 258 797.93 0.8 9.9 12.5
12.8 5.8 Gas Water & Multiutilities
1457.38 55 336.36 0.4 0.4 -2.5 789.74 -2.4 3.3 Total Equity Turnover (£m) 5104.31 5425.12 5190.12 5423.90 5423.90 5423.90
FTSE All-Share Industrial Engineering (5)16405.93 -1.67 15395.65 16684.90 16893.41 17143.27 1.17 2.51 34.14 0.00 21677.51 FTSE Middle East and Africa All Cap 333 866.18 1.4 2.9 8.7
8.9 2.5 Financials
1542.87 865 308.22 0.4 0.4 2.7 576.73 2.9 2.6 Total Mkt Bargains 1116863.00 1239388.00 1407661.00 1077762.00 1077762.00 1077762.00
FTSE All-Share Industrial Support Services (32)10711.57 -0.46 10051.95 10760.87 10866.41 10008.69 1.54 1.93 33.64 15.05 12105.35 FTSE Global wi UNITED KINGDOM All Cap In 295 366.78 0.3 -0.6 1.9
2.0 3.0 Banks
725.20 268 245.74 0.3 0.3 8.6 508.48 8.9 3.1 Total Shares Traded (m) 5817.00 7231.00 7716.00 6612.00 6612.00 6612.00
FTSE All-Share Industrial Transportation (8) 5814.03 -0.16 5456.00 5823.16 5836.63 5025.96 1.48 3.16 21.31 8.24 5984.44 FTSE Global wi USA All Cap 1818 1090.77 0.0 -3.9 -6.4
-6.3 1.3 Nonlife Insurance
1560.06 72 363.43 0.6 0.6 3.7 590.44 3.8 2.8 † Excluding intra-market and overseas turnover. *UK only total at 6pm. ‡ UK plus intra-market turnover. (u) Unavaliable.
FTSE All-Share Industrial Materials (1)18803.51 0.27 670.36 18753.50 18603.47 21403.99 1.69 2.64 22.39 0.00 23268.03 FTSE Europe All Cap 1488 515.37 0.2 -3.1 -3.7
-3.6 2.6 Life Insurance
952.30 53 259.31 1.0 1.0 7.3 482.03 7.5 3.3 (c) Market closed.
FTSE All-Share Industrial Metals and Mining (10) 7723.88 -1.72 7248.24 7859.24 7800.79 6821.47 5.61 2.24 7.96 0.50 11085.60 FTSE Eurozone All Cap 664 498.40 0.1 -3.8 -3.9
-3.7 2.3 Financial Services
914.51 213 498.27 0.1 0.1 -0.2 745.75 0.0 1.6
FTSE All-Share Precious Metals and Mining (6)17809.59 1.42 16712.87 17560.04 16922.53 22976.38 4.95 1.54 13.13 63.66 12178.12 FTSE EDHEC-Risk Efficient All-World 4081 529.22 0.3 -2.6 -3.1
-2.9 2.1 Technology
815.70 348 612.07 -0.1 -0.1 -9.8 792.31 -9.7 0.8
FTSE All-Share Chemicals (7) 14322.38 -1.33 13440.40 14515.69 14606.91 16121.08 2.30 2.56 16.98 32.45 14055.83 FTSE EDHEC-Risk Efficient Developed Europe 588 393.59 0.2 -3.9 -4.7
-4.7 2.4 Software & Computer Services
672.80 189 936.77 -0.4 -0.4 -12.4 1127.88 -12.3 0.5 All data provided by Morningstar unless otherwise noted. All elements listed are indicative and believed
FTSE All-Share Oil. Gas and Coal (13) 6944.92 -2.25 6517.25 7105.10 6973.42 5018.89 3.22 1.45 21.36 62.72 8511.44 Oil & Gas 134 378.15 1.0 3.8 15.4
16.0 3.7 Technology Hardware & Equipment
744.18 159 534.72 0.3 0.3 -6.7 741.97 -6.6 1.1 accurate at the time of publication. No offer is made by Morningstar or the FT. The FT does not warrant nor
Oil & Gas Producers 93 372.54 1.0 4.2 17.3
17.9 3.8 Alternative Energy
750.46 16 183.94 -0.2 -0.2 -11.8 262.86 -11.8 0.6 guarantee that the information is reliable or complete. The FT does not accept responsibility and will not be
FTSE Sector Indices Real Estate Investment & Services 158 334.61 1.0 1.0 1.7 634.19 1.7 2.9
Non Financials (345) 5081.68 -0.80 4746.46 5122.41 5120.23 93.72 3.08 1.51 21.48 10.09 8907.77 liable for any loss arising from the reliance on or use of the listed information.
Real Estate Investment Trusts 101 531.21 0.7 0.7 -10.9 1208.87 -10.8 3.0
For all queries e-mail ft.reader.enquiries@morningstar.com
FTSE Global Large Cap 1799 724.58 0.3 0.3 -4.6 1173.97 -4.4 1.9
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FTSE 250 21830.44 21758.80 21716.52 21777.74 21758.23 21772.74 21678.67 21585.89 21559.38 21851.96 21541.68 and RAFI® are registered trademarks and the patented and patent-pending proprietary intellectual property of Research Affiliates, LLC (US Patent Nos. 7,620,577; 7,747,502; 7,778,905; 7,792,719; Patent Pending Publ.
FTSE SmallCap 7152.10 7141.31 7138.80 7143.03 7145.10 7142.53 7130.19 7117.75 7108.09 7152.69 7107.28 Nos. US-2006-0149645-A1, US-2007-0055598-A1, US-2008-0288416-A1, US-2010- 0063942-A1, WO 2005/076812, WO 2007/078399 A2, WO 2008/118372, EPN 1733352, and HK1099110). ”EDHEC™” is a trade mark
FTSE All-Share 4250.51 4232.87 4226.58 4229.34 4228.75 4234.96 4217.95 4198.52 4204.18 4250.51 4197.68 of EDHEC Business School As of January 2nd 2006, FTSE is basing its sector indices on the Industrial Classification Benchmark - please see www.ftse.com/icb. For constituent changes and other information about FTSE,
Time of FTSE 100 Day's high:08:07:30 Day's Low15:03:15 FTSE 100 2010/11 High: 7672.40(10/02/2022) Low: 7297.15(24/01/2022) please see www.ftse.com. © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the London Stock Exchange Group companies and is used by FTSE International Limited under licence.
Time of FTSE All-Share Day's high:08:03:00 Day's Low15:50:00 FTSE 100 2010/11 High: 4296.96(10/02/2022) Low: 4099.16(24/01/2022)
Further information is available on http://www.ftse.com © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the
London Stock Exchange Group companies and is used by FTSE International Limited under licence. † Sector P/E ratios greater than 80 are not shown.
For changes to FTSE Fledgling Index constituents please refer to www.ftse.com/indexchanges. ‡ Values are negative.

UK RIGHTS OFFERS UK COMPANY RESULTS UK RECENT EQUITY ISSUES

Amount Latest Company Turnover Pre-tax EPS(p) Div(p) Pay day Total Issue Issue Stock Close Mkt
Issue paid renun. closing Diverse Income Trust (The) Int 16.102L 37.125 4.500L 10.240 0.90000 0.90000 May 31 2.000 1.944 date price(p) Sector code Stock price(p) +/- High Low Cap (£m)
price up date High Low Stock Price p +or- Gabelli Merger Plus+ Trust Int 1.400 5.706 0.140 0.550 12.00000 12.00000 Feb 3 24.000 23.900 02/16 45.00 AIM CPH2 Clean Power Hydrogen PLC 63.01 1.51 69.00 45.00 16724.1
There are currently no rights offers by any companies listed on the LSE. Moneysupermarket.com Group Pre 316.700 344.900 70.200 87.800 9.800 12.900 8.61000 8.61000 May 12 11.710 11.710 02/16 185.00 AIM STG Strip Tinning Holdings PLC 187.50 0.17 200.00 170.00 2685.8
Polar Capital Global Financials Trust Pre 56.450 45.815L 28.990 24.274L 2.00000 1.61824 Feb 28 4.400 3.560 02/09 76.00 AIM IX/ i(x) Net Zero PLC 77.00 0.00 78.00 76.00 6087.4
Reckitt Benckiser Group Pre 13234.000 13993.000 260.000L 1873.000 4.500L 167.000101.60000101.60000 Jun 9 174.600 174.600 02/07 3.75 AIM ARV Artemis Resources Ltd 3.90 0.00 5.00 3.50 5414.5
Riverstone Credit Opportunities Income Pre 4.451 7.433 0.049 0.076 1.70000 2.00000 Mar 25 3.500 3.800 02/04 50.50 AIM HERC Hercules Site Services PLC 50.00 -0.20 55.00 48.04 2932.5
Standard Chartered Pre 14632.000 14915.000 3347.000 1613.000 0.613 0.104 9.00000 9.00000 May 12 12.000 9.000 02/02 1000.00 HMA1 HIRO Metaverse Acquisitions I SA 999.50 -4.50 1010.00 996.00 11839.1
01/17 8.00 GENF Genflow Biosciences PLC 12.50 -0.50 13.50 11.50 3656.3
01/11 3.00 ELEG Electric Guitar PLC 3.35 0.00 3.50 3.22 193.8

Figures in £m. Earnings shown basic. Figures in light text are for corresponding period year earlier. §Placing price. *Intoduction. ‡When issued. Annual report/prospectus available at www.ft.com/ir
For more information on dividend payments visit www.ft.com/marketsdata For a full explanation of all the other symbols please refer to London Share Service notes.
Friday 18 February 2022 ★ FINANCIAL TIMES 11

MARKET DATA

FT500: THE WORLD'S LARGEST COMPANIES

52 Week 52 Week 52 Week 52 Week 52 Week 52 Week
Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m Stock Price Day Chg High Low Yld P/E MCap m
Australia (A$) Finland (€) CntJpRwy 16350 150.00 18455 14660 0.83 -23.33 29296.74 Nordea Bk 107.70 -1.30 114.64 74.29 8.02 11.32 45340.25 BlackRock 771.89 -11.53 973.16 670.28 2.10 20.32 117263.59 MondelezInt 65.79 0.08 69.47 52.91 1.99 20.74 91777.03
ANZ 28.22 0.12 29.64 25.64 3.77 13.55 57124.61 Nokia 5.09 -0.02 5.71 3.20 - -15.95 32729.56 Denso 8523 -104.00 9575 6388 1.71 20.53 58414.78 SEB 119.20 -2.65 141.85 95.56 3.71 9.90 27702.77 Boeing 215.35 -3.58 278.57 183.77 - -14.33 125549 Monsanto 9.75 - 10.00 9.51 - - 243.75
BHPBilltn 47.97 0.64 54.55 35.56 4.47 15.71 174807.89 SampoA 43.62 -0.89 47.33 35.80 4.01 32.58 27480.17 EastJpRwy 7278 10.00 8626 6442 1.43 -5.75 23925.47 SvnskaHn 95.58 -1.78 108.15 85.72 4.62 9.40 19907.65 Booking Holdings 2645 -58.26 2715.66 2053.58 - 284.00 108612.92 MorganStly 97.91 -3.24 109.73 74.17 1.81 12.32 175690.87
CmwBkAu 98.81 0.24 110.19 81.56 2.58 20.42 121372.72 France (€) Fanuc 22780 -470.00 29700 21720 2.07 29.04 40007.79 Swedbank 167.54 -2.38 196.70 144.14 4.66 8.61 20311.9 BrisMySq 67.27 -0.33 69.75 53.22 2.94 -27.98 146629.28 Netflix 393.61 -4.47 700.99 351.46 - 35.14 174748.32
CSL 277.00 13.31 319.78 240.10 1.03 38.82 96051.37 Airbus Grpe 116.32 -1.56 121.00 89.58 - 21.19 103950.86 FastRetail 63700 -730.00 110500 61860 0.79 32.38 58773.47 Telia Co 37.41 -0.30 39.97 33.75 5.48 -10.20 16383.15 CapOne 155.43 -3.44 177.95 115.31 0.97 5.73 66152.31 NextEraE 75.34 0.11 93.47 68.33 2.02 62.68 147827.41
NatAusBk 30.85 0.21 30.98 24.41 2.96 16.17 71963.05 AirLiquide 150.32 1.92 157.40 124.25 1.88 26.72 81228.73 Fuji Hvy Ind 1959.5 -6.50 2413 1943 2.97 14.79 13110.08 Volvo 209.35 -5.30 240.80 182.00 3.09 11.61 35615.07 CardinalHlth 54.60 0.06 62.96 45.85 3.61 13.93 15126.17 Nike 144.84 -1.65 179.10 125.44 0.80 36.93 229034.81
Telstra 3.90 -0.17 4.20 3.04 2.64 24.31 32982.43 AXA 27.19 -0.81 29.09 19.42 5.41 11.40 74862.58 Hitachi 6150 246.00 7460 4755 1.95 9.97 51795.28 Switzerland (SFr) Carnival 22.67 -0.64 31.52 16.32 - -2.76 22360.87 NorfolkS 275.04 -1.72 298.75 238.62 1.47 23.43 65948.39
Wesfarmers 50.81 -4.11 67.20 49.01 3.34 23.51 41470.81 BNP Parib 62.02 -0.73 68.07 46.84 4.42 9.03 87029.91 HondaMtr 3681 -31.00 3724 2911.5 4.38 6.89 57999.11 ABB 32.00 -0.37 35.30 25.79 2.47 34.09 71409.97 Caterpillar♦ 199.59 -4.05 246.69 186.98 2.13 21.13 107966.53 Northrop 398.60 4.94 408.75 288.08 1.53 13.83 62222.23
Westpc 23.49 0.20 27.12 20.00 3.84 16.82 59201.48 ChristianDior 653.00 2.00 733.50 453.80 0.94 29.45 134002.65 JapanTob 2350 -14.50 2417 1898 6.29 10.25 40882 CredSuisse 8.36 -0.09 13.50 8.16 2.84 279.86 24097.44 CharlesSch 86.62 -2.71 96.24 60.36 0.84 32.48 156895.35 NXP 192.61 -7.05 239.91 164.19 1.08 33.63 51221.4
Woolworths 34.47 -0.08 42.66 32.46 3.01 27.47 30073 Cred Agr 13.14 -0.29 14.27 10.96 6.26 9.37 46525.6 KDDI 3780 -8.00 3899 3200 3.30 12.88 75760.43 Nestle 117.38 0.08 128.90 95.00 2.30 27.43 359137.76 Charter Comms 599.57 -9.89 825.62 549.59 - 27.19 107497.55 Occid Pet 40.01 0.36 43.16 21.62 0.10 -53.53 37368.58
Belgium (€) Danone 55.44 0.07 65.30 51.42 7.49 17.56 43342.72 Keyence 54880-2500.00 76210 47150 0.38 50.20 116098.27 Novartis 79.98 -0.75 86.92 73.01 3.85 19.87 211624.36 Chevron Corp 133.14 -1.16 139.44 92.86 3.99 25.44 256652.1 Oracle 76.71 -2.49 106.34 61.08 1.61 21.60 204836.64
AnBshInBv 55.87 -0.43 65.86 46.66 0.94 22.60 110338.96 EDF 8.34 -0.02 13.25 8.00 2.59 5.10 30692.36 MitsbCp 4120 135.00 4122 2869 3.49 13.13 53243.85 Richemont 130.40 -1.60 146.10 85.94 1.52 29.10 73983.81 Chubb 204.28 -0.63 211.78 155.08 1.56 10.29 87991.83 Pepsico 166.01 -0.29 177.24 128.32 2.55 28.00 229534.22
KBC Grp 74.90 -1.38 86.50 56.68 0.60 12.43 35497.81 Engie SA 14.40 0.27 14.60 10.98 3.78 70.03 39878.4 MitsubEst 1789.5 -29.50 2047.5 1546 1.69 16.43 21659.21 Roche 345.00 -4.30 384.20 293.05 2.59 21.63 263446.69 Cigna 229.11 0.11 272.81 191.74 1.32 9.60 75933.42 Perrigo 38.20 -0.35 50.90 35.34 2.50 -12.16 5110.16
EssilorLuxottica 166.24 -1.60 195.00 128.95 1.38 52.82 83618.06 MitsubishiEle 1445.5 5.50 1817 1337.5 2.88 11.92 26997.6 Swiss Re 98.12 -1.32 102.20 77.26 6.00 24.87 33859.94 Cisco 56.37 2.12 64.29 44.15 2.59 21.09 237742.69 Pfizer♦ 49.35 -0.34 61.71 33.36 3.17 14.20 276966.9
Brazil (R$)
Hermes Intl 1255 13.50 1678 872.80 0.37 57.56 150621.42 MitsuiFud 2585 -36.50 2816.5 2211 1.77 11.57 21708.96 Swisscom 545.20 -1.40 562.40 456.30 4.02 14.95 30696.61 Citigroup♦ 65.46 -1.49 80.29 57.59 3.15 6.14 132673.56 Phillips66 87.51 -0.79 94.34 63.19 4.16 -75.33 38338.15
Ambev 14.83 -0.25 19.86 13.35 3.17 15.50 45190.51
LOreal 356.60 1.45 433.65 302.20 1.15 47.50 217057.42 MitUFJFin 738.80 -7.00 770.30 547.20 3.66 7.90 85354.09 UBS 18.74 -0.19 19.90 13.23 3.65 9.51 75412.65 CME Grp 238.59 -0.33 256.94 185.79 1.50 34.84 85748.33 PhilMorris 111.59 0.02 112.02 83.98 4.39 19.25 172945.29
Bradesco 17.87 -0.14 24.57 16.06 2.92 11.60 16845.48
LVMH 684.10 -3.50 741.60 518.70 0.90 35.44 392560.99 Mizuho Fin 1610.5 -8.50 1732.5 1397 5.01 6.12 35571.36 Zurich Fin 434.80 -7.20 454.00 352.80 4.59 14.84 71104.92 Coca-Cola 61.08 0.18 62.33 48.97 2.76 29.79 263830.19 PNCFin 205.00 -3.59 224.52 164.46 2.32 15.52 86641.37
Cielo 2.51 0.02 4.45 2.01 4.45 7.65 1319.8
Orange 10.93 0.06 11.12 8.93 6.58 32.22 33065.49 Murata Mfg 8116 -32.00 10535 7861 1.54 16.36 47707.72 Cognizant 86.54 -2.88 92.44 66.19 1.10 24.13 45455.29 PPG Inds 150.36 -0.92 182.97 132.10 1.48 25.02 35695.59
ItauHldFin 22.61 -0.23 30.15 18.91 3.85 7.95 21697.58 Taiwan (NT$)
PernodRic 193.20 2.30 214.50 156.10 2.12 37.64 57518.65 Nippon T&T 3288 -35.00 3391 2663 3.32 10.93 103589.6 ColgtPlm 78.58 0.24 85.18 74.01 2.29 24.77 66226.84 ProctGmbl 158.77 0.76 165.35 121.54 2.11 28.68 384215.12
Petrobras 36.24 -0.03 37.80 20.60 6.61 3.52 52201.45 Chunghwa Telecom 121.50 - 122.00 108.00 3.58 26.43 33816.96
Renault 36.34 -0.84 41.42 27.48 - -26.97 12217.26 NipponTT 3288 -35.00 3391 2663 3.32 10.93 103589.6 Comcast 47.37 -0.72 61.80 45.47 2.09 15.08 214291.74 Prudntl 115.79 -2.37 124.22 81.11 3.97 6.24 43768.62
Vale 86.54 -2.96 120.45 61.85 16.43 4.74 85964.83 Formosa PetChem 99.50 0.70 117.50 90.30 0.60 18.03 34007.2
Safran 114.36 -1.64 127.74 96.17 0.39 35.53 55546.08 Nissan Mt 608.50 -2.20 654.30 501.00 - 45.85 22339.91 ConocPhil 91.28 1.07 94.93 47.51 1.90 26.81 120393.47 PublStor 349.34 -2.38 376.56 229.14 2.31 41.32 61258.36
Canada (C$) HonHaiPrc 106.00 0.50 134.50 96.50 3.81 10.43 52723.31
Sanofi 93.63 0.14 95.16 74.92 3.51 19.78 134498.06 Nomura 545.30 -2.90 721.00 471.00 4.39-235.94 15337.37 Corning 41.71 -0.69 46.82 34.25 2.28 40.88 35276.15 Qualcomm 169.45 -3.15 192.68 122.17 1.59 21.32 190645.07
Bausch Hlth 31.86 -0.45 43.97 28.47 - -7.60 8993.06 MediaTek 1130 - 1200 821.00 3.31 18.45 64823.85
Sant Gbn 61.81 -0.38 64.93 41.91 2.21 14.69 36822.18 Nppn Stl 2014 -19.50 2381 1501 4.13 3.89 16648.09 Costco 514.40 2.00 571.49 307.00 0.61 42.96 228101.67 Raytheon 94.36 -0.39 96.96 71.99 2.02 56.63 141235.95
BCE 66.74 0.22 68.17 54.42 5.24 21.61 47780.64 TaiwanSem 645.00 - 665.00 518.00 1.61 29.25 600078.79
Schneider 146.40 0.66 173.78 121.40 1.83 27.36 94707.37 Panasonic 1227.5 20.50 1541 1163.5 2.12 10.22 26200.32 CrownCstl 164.37 -0.30 209.49 146.15 3.27 53.70 71041.25 Regen Pharm 626.94 -3.96 686.62 441.00 - 9.94 66279.93
BkMontrl♦ 148.89 -0.49 152.87 98.21 2.90 12.63 76025.43 Seven & I 5709 -135.00 6083 4035 1.81 21.67 44019.46 Thailand (THB) CSX 35.20 0.03 37.76 29.05 1.05 21.91 78061.93 S&P Global 387.08 0.53 484.21 322.37 0.78 33.03 93286.28
SocGen 32.99 -0.90 37.68 18.84 1.72 7.31 31396.21
BkNvaS 92.43 -0.31 95.00 70.57 3.96 11.79 87675.95 ShnEtsuCh 18245 -290.00 21480 16965 1.65 19.47 66124.58 PTT Explor 40.00 -0.25 42.50 34.00 4.85 12.69 35506.66 CVS 102.77 -1.17 111.25 68.02 1.97 17.76 134886.7 Salesforce 202.98 -8.76 311.75 201.51 - 83.55 199935.3
Total 50.65 -0.77 52.50 33.91 5.50 14.04 150274.58
Brookfield 70.70 -0.80 79.04 51.17 0.93 25.88 91346.76 Softbank 5117 -119.00 10695 4584 0.89 2.87 76687.29 United Arab Emirates (Dhs) Danaher 271.22 3.53 333.96 211.22 0.30 34.56 193807.54 Schlmbrg 41.25 -0.44 42.64 24.52 1.22 34.90 57858.59
UnibailR 71.84 -0.16 85.65 53.86 - -2.36 11319.23
CanadPcR 94.30 -0.13 100.00 82.12 0.82 20.06 69045.07 Sony 12160 -175.00 14745 9989 0.46 12.52 133386.28 Emirtestele 33.48 0.32 36.90 19.74 2.41 30.98 79271.26 Deere 388.68 -1.88 400.34 298.54 0.92 20.60 119789.85 Sempra Energy 134.65 -0.58 144.93 114.66 3.26 37.87 42997.56
Vinci 102.18 -0.38 103.74 82.94 2.05 25.34 68871.31
CanImp 162.58 -0.33 167.50 113.20 3.66 11.47 57717.22 SumitomoF 4321 -57.00 4461 3641 4.82 10.21 51655.88 Delta 43.83 -0.58 52.28 33.40 - -361.58 28048.12 Shrwin-Will 270.61 -2.02 354.15 218.06 0.78 36.65 70952.91
Vivendi 11.52 -0.07 12.09 5.57 5.36 10.67 14518.34 United Kingdom (p)
CanNatRs 68.42 -0.01 69.48 34.23 2.72 13.65 62904.38 Takeda Ph 3543 8.00 4365 2993 5.29 11.34 48761.98 Devon Energy 55.87 2.02 56.42 19.61 2.24 31.60 37820.61 SimonProp 145.86 2.00 171.12 104.12 4.71 23.48 47931.22
Germany (€) AscBrFd 1899 -1.00 2528 1719 0.33 31.39 20476.28
CanNatRy 161.57 0.53 168.66 125.00 1.52 24.07 89258.59 TokioMarine 7061 5.00 7196 4907 2.89 21.60 42839.54 DiscFinServ♦ 123.93 -2.89 135.69 88.66 1.48 7.32 36320.88 SouthCpr 68.02 -0.61 83.29 54.92 4.01 16.50 52584.99
Allianz 222.50 -2.90 232.50 182.52 4.44 10.40 103319.48 AstraZen 8918 2.00 9523 6499.8 2.33 108.33 153827.8
Enbridge♦ 52.78 -0.01 55.60 42.98 6.36 18.36 84225.8 Toyota 2160.5 -32.00 2375.5 1557.2 2.46 9.29 306602.34 Disney 154.30 -2.05 203.02 129.26 - 252.42 280923.73 Starbucks♦ 94.12 -1.06 126.32 92.42 1.93 26.32 108266.24
BASF 67.85 -0.67 72.88 57.06 5.01 11.26 70847.39 Aviva 432.30 -9.40 448.80 357.20 6.25 14.41 23629.8
GtWesLif 39.31 -0.08 41.50 31.08 4.51 11.02 28815.56 DominRes 78.75 0.08 81.67 67.85 3.23 24.59 63668.38 StateSt 96.33 -3.95 103.76 71.37 2.23 14.04 35221.06
Bayer 54.08 0.01 57.73 43.91 3.80 -6.83 60400.5 Mexico (Mex$) Barclays 192.64 -3.36 217.63 111.83 1.56 5.27 44771.39
ImpOil 56.38 0.87 57.72 25.99 1.76 74.25 30109.59 DukeEner♦ 98.54 0.02 108.38 85.56 3.98 25.27 75810.53 Stryker 254.15 -5.44 281.16 227.84 1.00 50.62 95952.98
BMW 95.97 1.92 97.23 68.87 2.04 5.20 65680.04 AmerMvl 19.06 -0.18 21.89 13.25 2.01 12.41 40954.77 BP 397.90 -5.85 419.15 263.90 3.90 16.53 108012.8
Manulife 27.08 -0.40 28.09 22.76 4.19 7.87 41433.79 DuPont 80.41 -1.71 86.28 66.37 1.51 29.70 41242.89 Sychrony Fin 44.07 -0.78 52.49 36.45 2.02 6.17 22972.45
Continental 90.23 2.87 132.68 82.36 - 18.33 20516.29 FEMSA UBD 158.00 -1.47 180.66 141.15 2.27 820.93 16818.5 BrAmTob 3435.5 -3.50 3456.5 2478 6.16 12.73 87240.97
Nutrien 99.05 3.77 99.96 66.05 2.37 19.45 43006.59 Eaton 154.38 -2.65 175.72 123.30 1.97 29.68 61535.87 T-MobileUS 125.34 -2.12 150.20 101.51 - 46.65 156586
Daimler 70.16 0.23 76.80 48.69 1.99 6.29 84434.57 WalMrtMex 74.70 -1.20 79.99 58.72 0.81 31.15 64245.04 BT 195.15 -5.75 206.70 122.65 - 18.95 26372.02
RylBkC♦ 143.45 -1.42 148.26 106.27 3.07 12.74 160560.3 eBay 56.57 -1.08 81.19 51.51 1.25 19.58 36773.66 Target♦ 206.21 -1.60 268.98 166.83 1.42 15.26 98801.44
Deut Bank 13.69 -0.19 14.64 9.19 - 15.63 32166.31 Netherlands (€) Compass♦ 1751 -28.00 1823 1391.5 - 87.55 39221.43
SHOP 888.71 -50.21 2228.73 883.36 - 25.82 79788.31 Ecolab 180.53 -2.29 238.93 178.39 1.07 45.59 51732.56 TE Connect♦ 145.54 -3.70 166.44 123.31 1.36 21.28 47491.65
Deut Tlkm 17.24 -0.26 18.92 14.60 3.58 14.68 97708.81 ASML Hld 578.20 4.30 777.50 422.25 0.49 42.54 267187.58 Diageo 3616 11.00 4364.1 2805.28 1.95 31.89 123984.71
Suncor En 37.83 0.26 38.53 21.90 2.25 23.35 42793.73 Emerson 93.96 -1.91 105.99 83.65 2.17 24.35 55896.8 Tesla Mtrs 889.03 -34.36 1243.49 539.49 - 285.75 892820.28
DeutsPost 49.96 -0.98 61.38 40.68 2.78 12.57 70368.13 Heineken 98.46 1.46 103.80 80.84 0.73 48.84 64474.68 GlaxoSmh 1579.6 3.60 1696.9 1190.8 5.06 18.55 105804.12
ThmReut 129.33 -0.73 156.62 101.02 1.58 7.77 49512.79 EOG Res 112.90 1.13 116.89 60.46 1.41 21.58 66056.66 TexasInstr 166.47 -1.77 202.26 161.04 2.48 21.16 153742.88
E.ON 12.14 0.13 12.54 8.27 3.99 7.81 36453.92 ING 12.73 -0.21 14.00 8.57 0.97 12.39 56491.36 Glencore 420.70 -4.60 442.35 263.50 1.03 36.32 82653.33
TntoDom 107.54 -0.21 109.08 74.99 2.99 13.69 154544.61 EquityResTP 85.73 -0.51 92.54 65.37 2.84 31.06 32148.27 TheTrvelers 170.59 -1.68 174.55 144.44 2.05 11.83 41966.62
Fresenius Med 59.20 -0.28 71.14 52.06 2.33 18.31 19719.72 Unilever 45.43 -0.15 51.05 43.00 2.40 25.69 158445 HSBC 540.10 -8.20 567.20 329.55 3.00 13.00 147492.99
TrnCan 66.75 0.26 68.20 53.20 5.19 34.52 51562.94 Exelon 41.89 -0.12 44.02 27.36 3.69 24.25 40956.52 ThrmoFshr 545.82 -4.53 668.94 433.52 0.19 25.09 215079.33
Fresenius SE 37.08 -0.81 47.60 32.91 2.44 11.65 19061.92 Imperial Brands♦ 1753.5 -52.00 1822 1330 7.88 5.86 22777.92
China (HK$) Norway (Kr) ExxonMb 78.38 0.03 83.08 51.80 4.48 -55.82 331826.97 TJX Cos♦ 65.56 -1.54 76.94 61.15 1.18 30.13 78205.11
HenkelKgaA 71.30 0.55 86.50 65.25 2.64 19.15 21058.46 LlydsBkg 51.29 -0.64 54.50 36.91 1.11 7.89 50346.08
AgricBkCh 3.08 0.01 3.30 2.54 7.40 3.95 12138.45 DNB 208.80 -2.00 220.50 165.70 4.15 13.41 36302.45 Facebook 214.43 -2.11 384.33 212.36 - 15.18 495134.87 Truist Financial Corp 63.52 -1.19 66.10 51.87 2.91 14.83 84792.31
Linde 265.20 0.70 306.00 201.80 1.39 43.96 154532.09 Natl Grid 1078.6 -2.20 1105.6 805.40 4.56 25.14 49310.07
Bk China 3.13 -0.02 3.20 2.67 7.60 3.78 33558.46 Equinor♦ 267.25 1.40 285.40 150.80 1.59 34.91 97633.45 Fedex 226.19 -2.82 319.90 216.34 1.27 12.10 59933.42 UnionPac 251.98 -1.83 256.11 195.68 1.64 26.71 160485.8
MuenchRkv 263.50 -4.15 282.25 215.25 3.83 15.79 41968.2 Natwest Group 240.30 -3.10 258.10 167.55 2.50 11.72 39163.61
BkofComm 5.49 0.01 5.56 4.33 7.04 3.95 24644.5 Telenor 136.75 -1.70 159.95 131.80 10.04 11.79 21461.43 FordMtr♦ 17.72 -0.30 24.91 11.13 - 25.05 69680.1 UPS B 212.05 -3.26 232.31 156.59 1.94 28.72 154617.99
SAP 105.26 -0.24 129.74 100.46 1.81 21.16 147009.34 Prudential 1183.5 -32.50 1598.5 1155.25 0.99 16.45 41705.39
BOE Tech 0.74 -0.01 1.21 0.65 - -62.20 18.88 Qatar (QR) ReckittB 6152 345.00 6709 4905.16 2.84 -26.62 59005.85 Franklin 30.44 -0.95 38.27 24.91 3.72 8.44 15282.16 USBancorp 57.91 -0.69 63.01 48.15 3.00 11.51 85868.81
Siemens 139.50 -3.04 156.98 124.96 2.58 21.57 134802.53
Ch Coms Cons 4.96 -0.01 5.17 3.57 4.38 3.36 2809.84 QatarNtBk 20.85 -0.14 21.95 16.35 2.17 15.71 52891.95 RELX 2241 -20.00 2634.82 1484.9 2.10 32.38 59051.02 GenDyn 214.93 0.52 216.21 161.57 2.71 18.28 59684.24 UtdHlthcre 475.01 -5.05 509.23 320.35 1.15 29.17 446931.8
Volkswgn 250.00 -3.80 357.40 180.40 1.98 6.83 83868.55
Ch Evrbrght 2.98 -0.02 3.54 2.63 8.59 3.76 4844.16 Russia (RUB) RioTinto 5588 -120.00 6876.26 4354 6.02 6.70 102078.73 GenElectric 99.25 -2.16 116.17 88.05 0.33 74.43 109107.7 ValeroEngy 87.64 -0.40 93.77 58.85 4.52 -80.33 35830.35
Ch Rail Cons 5.61 -0.08 5.99 4.57 4.99 2.81 1493.42 Hong Kong (HK$) GenMills 67.39 0.63 69.85 54.31 3.12 18.03 40650.1 Verizon 53.42 0.02 59.85 49.69 4.63 11.22 224226.75
Gzprm neft 330.00 -6.84 24450.71 186.00 - - 102298.22 RollsRoyce 118.02 -3.70 161.91 86.69 - 2.58 2989.58
Ch Rail Gp 4.99 - 5.20 3.53 4.41 4.08 2691.8 AIA 89.30 1.00 105.80 77.40 1.50 20.37 138507.04 GenMotors 49.25 -1.18 65.18 47.07 - 6.52 71562.32 VertexPharm 231.34 -4.43 254.93 176.36 - 27.46 58893.77
Lukoil 6614.98 -415.17 7554.91 7.45 - - 60016.27 RylDShlA 1895.2 -24.00 1930.8 16.51 2.92 43.31 118189.98
ChConstBk 6.00 - 6.74 5.03 6.61 4.21 184948.24 BOC Hold 31.55 -0.55 32.75 22.20 3.90 14.12 42768.06 GileadSci 61.43 -0.48 74.12 60.82 4.62 10.36 77050.51 VF Cp 60.28 -0.67 90.79 59.82 3.28 23.22 23442.99
MmcNrlskNckl 21692.03 -939.721681283.31 343.80 - - 43645.27 StandCh 558.00 9.40 573.60 406.20 1.59 13.58 25055.58
China Vanke 19.90 -0.04 35.00 16.84 7.65 4.92 4850.75 Ch OSLnd&Inv 24.25 -0.20 25.50 15.42 4.93 5.07 34029.07 GoldmSchs 351.47 -8.58 426.16 307.58 1.65 5.73 117668.82 ViacomCBS 29.58 -6.41 101.97 27.84 3.27 6.02 17946.37
Novatek 1513.98 -114.73 1984.96 1280.4 - - 60194.61 Tesco 293.70 -1.05 304.10 2.74 3.41 22.42 32752.67
ChinaCitic 3.80 - 4.29 3.28 8.16 3.32 7250.74 ChngKng 53.05 0.20 56.05 40.70 3.36 10.82 24782.46 Halliburton 33.15 -0.42 34.32 17.82 0.55 72.93 29787.65 Visa Inc 225.88 -2.94 252.67 190.10 0.57 39.72 374604.73
Rosneft 567.00 -3.94 39143.78 116.00 - - 78687.44 Vodafone 137.96 -1.54 142.74 106.30 5.61-308.64 50120.88
ChinaLife 13.72 -0.26 17.28 12.22 5.55 5.36 13089.62 Citic Ltd 8.96 0.05 10.24 6.27 5.39 3.56 33418.31 HCA Hold 254.24 2.25 263.92 170.13 0.57 12.86 79074.44 Walgreen 47.02 -0.86 57.05 43.62 4.14 6.64 40591.05
Sberbank 270.00 -0.21 568.52 221.04 - - 76321.52 WPP 1192.5 -20.00 1231.5 11.00 2.01 30.30 20564.11
ChinaMBank 69.30 0.95 72.45 55.55 2.20 12.95 40790.75 Citic Secs 19.68 - 21.52 14.89 2.48 10.55 5748.72 Hew-Pack 37.12 -0.77 39.07 25.96 2.08 7.01 40190.66 WalMartSto 136.28 2.75 152.57 126.28 1.60 47.96 378024.16
Surgutneftegas 34.49 -1.76 49.50 29.80 - - 16136.72 United States of America ($)
ChinaMob 54.50 -1.10 59.20 45.90 6.32 8.27 143074.08 CK Hutchison 60.15 1.05 65.80 48.80 3.81 6.79 29571.86 HiltonWwde 154.84 -1.50 160.96 108.50 - 1179.18 43157.27 WellsFargo 56.98 -1.16 60.30 34.03 0.89 13.40 233983.27
CNOOC 9.83 0.01 10.60 7.55 4.63 7.65 56270.53 Saudi Arabia (SR) 21stC Fox A 43.27 0.26 44.95 31.50 1.10 14.33 13664.94
ChinaPcIns 24.45 -0.05 42.75 20.85 5.94 6.99 8700.01 HomeDep 351.54 1.45 420.61 246.59 1.82 23.63 367091.84 Williams Cos 29.69 -0.32 31.02 22.18 5.55 35.84 36074.23
HangSeng 166.60 -1.20 169.50 131.00 3.27 20.62 40837.36 AlRajhiBnk 158.60 -0.80 160.80 83.00 1.53 28.33 105665.7 3M 149.71 -4.43 208.95 149.09 3.99 14.66 85499.38
ChMinsheng 3.15 -0.03 5.01 2.56 8.34 3.86 3360.32 Honywell 186.76 -2.30 236.86 184.54 2.01 23.79 128083.51 Yum!Brnds 123.88 1.10 139.85 101.94 1.61 23.68 36313.33
HK Exc&Clr 437.40 -2.20 587.00 421.00 2.12 42.83 71100.5 Natnlcombnk 72.80 -0.20 75.00 45.10 2.01 21.63 58202.76 AbbottLb 121.63 -2.05 142.60 105.36 1.42 29.88 215076.74
ChMrchSecs 16.58 -0.10 23.85 16.01 4.61 14.68 19418.93 HumanaInc 425.76 -3.01 475.44 365.34 0.65 20.35 54724.76 Venezuela (VEF)
MTR 42.80 - 49.00 40.50 2.85-144.10 33986.63 SaudiBasic 121.20 -1.20 136.60 102.00 2.71 17.69 96897.99 Abbvie 144.86 -1.01 147.22 102.05 3.54 34.64 255993.05
Chna Utd Coms 3.94 -0.03 4.60 3.70 1.68 19.03 19122.32 IBM 126.06 -3.12 152.84 114.56 5.11 21.97 112990.11 Bco de Vnzla 0.38 - 594.00 0.09 258.89 - 312.74
SandsCh 24.00 0.45 40.55 14.64 - -21.26 24903.55 SaudiTelec 116.60 -2.00 139.80 103.20 3.47 20.42 62146.9 Accenture 329.37 -4.35 417.37 244.44 1.13 33.26 216835.07
ChShenEgy 22.10 0.10 22.70 14.22 9.91 7.77 9570.1 IllinoisTool 218.64 -1.44 248.11 196.36 2.14 25.17 68418.35 Bco Provncl 1.89 0.01 798000 1.80 - 0.00 159.94
SHK Props 99.20 0.20 126.00 92.35 4.94 10.88 36855.94 Singapore (S$) Adobe 466.77 -10.93 699.54 420.78 - 39.04 220477.75
ChShpbldng 4.06 -0.03 5.08 3.78 - -292.17 14148.87 Illumina 321.11 -12.75 526.00 318.07 - 52.03 50189.49 Mrcntl Srvcs 5.00 - 601.00 2.5936338.11 0.00 68.69
Tencent 479.00 2.80 775.50 412.20 0.33 20.22 589833.06 DBS 36.53 -0.27 37.49 25.40 2.38 14.88 69859.68 AEP♦ 85.06 -0.35 91.66 74.80 3.52 17.69 42840.61
ChStConEng 5.36 -0.05 5.77 4.38 3.97 4.33 34539.78 Intcntl Exch 124.47 -1.25 139.79 109.04 1.05 22.73 69933.76
JardnMt US$ 60.34 0.06 68.88 49.13 2.81 91.34 43098.18 Aetna - - - - - - -
ChUncHK 4.30 - 5.50 3.82 4.08 8.47 16869.05 India (Rs) Intel 47.67 -0.56 68.49 46.30 2.91 9.16 194112.24 Closing prices and highs & lows are in traded currency (with variations for that
OCBC 13.41 0.01 13.54 10.45 3.05 12.13 44851.31 Aflac♦ 63.81 -0.71 66.97 46.13 2.01 10.22 42212.12
CNNC Intl 7.09 -0.09 8.92 4.62 1.82 17.94 19103.97 Bhartiartl 717.00 -4.80 781.80 490.34 - -54.71 56173.55 Intuit 512.73 -15.42 716.86 365.15 0.47 67.63 145188.16 country indicated by stock), market capitalisation is in USD. Highs & lows are
SingTel 2.56 0.01 2.63 2.21 4.07 76.77 31470.61 AirProd 244.24 -1.10 316.39 240.38 2.42 26.51 54152.25
CSR 3.63 -0.02 4.14 3.19 6.09 7.84 2034.34 HDFC Bk 1506.5 -9.25 1725 1353 - 25.17 111185.1 John&John 166.13 -1.08 179.92 151.47 2.52 24.58 437353.07 based on intraday trading over a rolling 52 week period.
UOB 32.86 0.11 33.33 23.45 2.34 17.14 40909.61 Alexion 182.50 3.05 187.45 99.91 - 59.43 40336.01
Daqin 6.91 -0.09 7.25 5.80 6.88 9.97 16211.32 Hind Unilevr 2307.55 21.05 2859.3 2120 1.37 63.17 72187.2 JohnsonCn 66.99 -0.51 81.69 52.66 1.61 31.58 47077.04 ♦ ex-dividend
Allstate 122.38 -1.10 140.00 102.55 2.45 5.84 35083.41
GuosenSec 10.92 -0.11 13.29 10.32 2.09 12.97 15211.16 HsngDevFin 2411.8 47.95 3021.1 2286.85 0.97 20.65 58170.05 South Africa (R) JPMrgnCh 152.45 -2.55 172.96 139.57 2.45 9.55 450530.31
Alphabet 2699.59 -55.17 3030.93 1990.23 - 25.76 811914.93 ■ ex-capital redistribution
HaitongSecs 7.03 -0.05 7.81 6.36 9.22 5.34 3073.15 ICICI Bk 750.35 -13.70 867.00 531.15 0.27 24.34 69389.64 Firstrand 66.61 -0.93 68.15 48.97 1.70 13.53 24995.26 Kimb-Clark 131.11 0.09 144.47 125.27 3.46 22.07 44181.51
Altria 50.88 0.27 52.59 42.53 6.91 33.81 93465.99 # price at time of suspension
Hngzh HikVDT 46.09 0.10 70.44 45.14 1.72 27.16 59225.24 Infosys 1724.8 -8.50 1909.8 1244.75 1.79 33.58 96580.03 MTN Grp 183.22 -3.20 196.39 70.20 - 43.19 23094.63 KinderM 16.81 -0.33 19.29 14.62 6.40 21.61 38105.08
Amazon 3152.75 -9.26 3773.08 2746.37 - 61.041604259.21
Hunng Pwr 4.22 0.13 5.74 2.53 5.05 -50.67 2543.19 ITC 222.65 -0.10 265.30 199.10 4.93 18.78 36529.77 Naspers N 2264.86 -3.20 3835.39 1262.66 0.25 12.75 65983.55 Kraft Heinz 37.18 0.56 44.95 32.79 4.35 19.68 45503.78
AmerAir 18.49 -0.34 26.09 14.91 - -3.49 11969.31
IM Baotou Stl 2.61 0.03 4.14 1.16 - 30.09 13046.89 L&T 1868.7 8.00 2008 1306 0.98 29.64 34953.56 South Korea (KRW) Kroger 44.91 0.34 48.89 32.00 1.66 33.48 33020.33
AmerExpr 196.11 -2.27 199.55 126.08 0.86 23.13 148917.11
In&CmBkCh 4.79 0.03 5.75 4.08 6.78 4.32 53303.69 OilNatGas 171.75 3.20 176.35 97.45 2.14 5.88 28767.58 HyundMobis 228500-2000.00 330000 220000 2.23 8.75 18051.16 L Brands 79.92 -0.15 - - - - -
AmerIntGrp 61.15 0.81 63.54 41.17 2.11 9.50 50768.55
IndstrlBk 22.30 0.12 28.07 17.08 3.56 6.15 69026.85 RelianceIn 2443.5 30.55 2751.35 1876.7 0.29 30.11 220120.59 KoreaElePwr 22150 -250.00 27450 20050 5.61 -12.77 11877.8 LasVegasSd 47.28 -0.33 66.77 33.75 - -25.72 36121.44
AmerTower 230.39 -1.94 303.72 197.50 2.21 41.47 104922.76
Kweichow 1886.99 -5.56 2627.88 1525.5 1.01 47.73 374065.29 SBI NewA 512.95 -3.75 549.00 321.30 0.80 15.63 60950.99 SK Hynix 133000 2500 150500 90500 0.90 11.09 80879.02 LibertyGbl 28.31 -0.68 30.58 23.19 - 1.36 5007.49
Amgen♦ 221.44 -1.22 261.00 198.64 3.14 22.60 124729.6
Midea 0.51 - 0.85 0.46 - 46.61 19.69 SunPhrmInds 862.55 -6.30 902.85 562.10 0.89 32.58 27554.47 SmsungEl 75000 200.00 86200 68300 4.11 14.23 373999.65 Lilly (E)♦ 243.47 -2.11 283.91 178.58 1.36 36.80 232901.55
Anthem 453.38 -5.20 472.01 288.32 0.97 20.11 110041.28
New Ch Life Ins 23.60 -0.25 33.20 20.55 7.17 3.99 3129.02 Tata Cons 3784.2 -28.90 3989.9 2880 0.94 36.63 186372.19 Spain (€) Linde 301.74 -2.09 346.50 241.88 1.39 43.99 154658.26
Aon Cp 281.83 -3.22 326.25 221.82 0.70 69.93 62096.28
PetroChina 4.12 0.03 4.29 2.61 6.46 7.43 11145.28 Israel (ILS) BBVA 5.75 -0.07 6.29 4.22 1.06 10.15 43572.24 Lockheed 389.23 2.33 398.85 324.23 2.70 17.76 105996.45
Apple 171.21 -1.35 182.13 116.21 0.50 30.21 2793969.9
PingAnIns 66.60 0.05 99.80 48.80 4.16 7.99 63594.49 TevaPha 27.13 -0.17 38.81 24.96 - 12.79 9382.61 BcoSantdr 3.34 -0.04 3.51 2.65 0.85 10.07 65843.98 Lowes 225.58 -1.44 263.31 150.84 1.13 23.71 151980.52
Aptiv 144.05 -2.22 180.81 127.63 - 48.84 38966.21
PngAnBnk 16.42 0.01 25.16 15.82 1.09 9.81 50283.22 CaixaBnk 3.23 -0.05 3.43 2.22 0.85 4.10 29635.69 Lyondell 102.08 -1.07 118.02 84.17 4.31 5.89 33970.59
Italy (€) ArcherDan 76.49 -0.41 78.03 54.94 1.94 16.35 42791.66
Pwr Cons Corp 8.95 -0.20 9.96 3.74 1.03 18.01 15739.8 Iberdrola 9.41 -0.01 11.74 8.59 4.62 18.02 68853.15 Marathon Ptl 77.73 -0.33 81.39 50.19 3.01 105.41 47849.63
Enel 6.48 -0.03 8.77 6.20 5.69 29.97 74919.18 AT&T 23.78 -0.16 33.88 22.02 8.84 181.10 169789.2
SaicMtr 18.87 -0.11 23.45 18.03 3.25 9.14 34790.66 Inditex 25.46 0.03 32.85 24.71 0.87 26.69 90209.37 Marsh&M 152.40 -1.54 175.12 112.98 1.63 28.52 76946.05
ENI 13.33 0.03 13.80 8.89 5.17 32.37 54656.56 AutomData 202.00 -2.24 248.96 164.52 1.86 31.64 84849.14
ShenwanHong 0.08 -0.01 0.11 0.05 - -14.04 88.73 Repsol 11.87 -0.06 12.00 8.69 5.10 14.59 20611.38 MasterCard 374.29 -8.65 401.50 306.00 0.58 45.58 362955.19
Generali 18.61 -0.35 19.35 15.36 5.58 11.53 33450.46 Avago Tech 586.21 -11.00 677.76 419.14 2.44 39.33 242030.85
ShgPdgBk 8.56 -0.03 11.24 8.41 5.55 5.30 39649.2 Telefonica 4.36 -0.02 4.45 3.52 9.26 2.37 28654.77 McDonald's 251.84 -1.25 270.17 202.73 2.07 25.70 188186.29
IntSPaolo 2.74 -0.05 2.92 2.06 1.34 84.39 60503.35 BakerHu 29.68 -0.03 30.11 18.75 2.45 45.91 28295.16
Sinopec Corp 4.09 0.05 4.69 3.40 3.80 4.41 13378.99 McKesson 274.95 -0.87 282.73 169.34 0.64 -9.16 41187.44
Unicred 14.68 -0.41 15.93 7.98 0.84 25.01 37337.71 Sweden (SKr) BankAm 46.54 -1.15 50.11 33.79 1.63 13.79 380846.35
Sinopec Oil 2.16 0.01 2.90 1.94 - 242.97 4625.26 Medtronic 102.35 -0.80 135.89 98.38 2.35 29.68 137611.05
Japan (¥) AtlasCpcoB 443.90 -3.10 534.40 404.90 1.73 30.48 18551.41 Baxter 82.75 -2.38 89.70 73.12 1.28 34.42 41432.38
Denmark (kr) Merck 76.54 -0.68 91.40 68.38 3.43 22.75 193329.94
AstellasPh 2018 4.00 2052 1590 2.37 30.13 32680.27 Ericsson 98.21 -0.90 121.80 91.00 2.20 15.06 32315.89 BectonDick 265.40 -5.73 280.62 235.13 1.26 38.36 75578.24
DanskeBk 126.45 -3.95 133.25 100.70 1.63 10.32 16663.73 Metlife♦ 70.34 -1.19 72.55 54.37 2.70 11.51 59167.21
Bridgestne 5263 - 5467 4104 2.87 17.01 32672.5 H&M 176.58 -2.72 229.50 157.90 - 30.80 27623.43 BerkshHat 472203.96-2240.04488399.85362860.01 - 8.42 292737.18
MollerMrsk 23370 190.00 24070 12320 1.47 5.16 31818.68 Microsoft♦ 294.59 -4.91 349.67 224.26 0.77 32.622208501.88
Canon 2827.5 -3.50 2938 2182 3.13 13.64 32803.17 Investor 196.54 -3.86 228.75 154.50 1.37 2.29 38350.2 Biogen 212.45 -2.10 468.55 209.07 - 20.13 31222.25
NovoB 672.90 -0.10 773.70 420.15 1.43 32.68 182307.87 Mnstr Bvrg 81.95 -1.27 99.89 80.92 - 28.37 43362.95
BkNYMeln 59.16 -3.34 64.63 41.90 2.17 14.90 48855.57

FT 500: TOP 20 FT 500: BOTTOM 20 BONDS: HIGH YIELD & EMERGING MARKET BONDS: GLOBAL INVESTMENT GRADE
Close Prev Day Week Month Close Prev Day Week Month Day's Mth's Spread Day's Mth's Spread
price price change change % change change % change % price price change change % change change % change % Red Ratings Bid Bid chge chge vs Red Ratings Bid Bid chge chge vs
ShenwanHong 0.08 0.09 -0.01 -8.14 0.02 25.4 38.60 SHOP 888.71 938.91 -50.21 -5.35 -246.44 -21.7 -28.76 Feb 17 date Coupon S* M* F* price yield yield yield US Feb 17 date Coupon S* M* F* price yield yield yield US
NatAusBk 30.85 30.64 0.21 0.69 2.46 8.7 13.71 ViacomCBS 29.58 35.99 -6.41 -17.81 -6.20 -17.3 -11.57 High Yield US$ US$
Kraft Heinz 37.18 36.62 0.56 1.52 2.89 8.4 3.74 Ericsson 98.21 99.11 -0.90 -0.91 -18.39 -15.8 -14.45 HCA Inc. 04/24 8.36 BB- Ba2 BB 113.75 4.24 0.00 0.12 - FleetBoston Financial Corp. 01/28 6.88 BBB+ Baa1 A- 129.00 2.54 -0.01 -0.05 -
CSL 277.00 263.69 13.31 5.05 21.39 8.4 6.40 Illumina 321.11 333.86 -12.75 -3.82 -36.97 -10.3 -7.77 High Yield Euro The Goldman Sachs Group, Inc. 02/28 5.00 BBB+ A3 A 117.21 2.47 0.00 0.32 -
BakerHu 29.68 29.71 -0.03 -0.10 2.24 8.2 8.16 SocGen 32.99 33.89 -0.90 -2.66 -3.79 -10.3 0.93 Aldesa Financial Services S.A. 04/21 7.25 - - B 71.10 28.23 0.00 0.64 25.98 NationsBank Corp. 03/28 6.80 BBB+ Baa1 A- 127.69 2.72 -0.01 0.06 -
HondaMtr 3681.00 3712.00 -31.00 -0.84 260.00 7.6 9.75 MorganStly 97.91 101.15 -3.24 -3.20 -9.66 -9.0 -4.58 GTE LLC 04/28 6.94 BBB+ Baa2 A- 128.27 2.80 0.00 -0.11 -
Devon Energy 55.87 53.85 2.02 3.74 3.65 7.0 10.55 Softbank 5117.00 5236.00 -119.00 -2.27 -495.00 -8.8 2.16 Emerging US$ United Utilities PLC 08/28 6.88 BBB Baa1 A- 130.43 2.62 -0.07 -0.22 -
PhilMorris 111.59 111.57 0.02 0.02 6.52 6.2 8.55 Novatek 1513.98 1628.71 -114.73 -7.04 -144.00 -8.7 -8.26 Peru 03/19 7.13 BBB+ A3 BBB+ 104.40 2.60 - - 0.34 Barclays Bank plc 01/29 4.50 A A1 A+ 96.46 5.02 0.00 0.02 -
MitsubEst 1789.50 1819.00 -29.50 -1.62 101.50 6.0 8.00 CNNC Intl 7.09 7.18 -0.09 -1.25 -0.64 -8.3 0.57 Colombia 01/26 4.50 - Baa2 BBB- 109.50 2.33 0.16 0.52 1.28
Brazil 04/26 6.00 - Ba2 BB- 115.15 2.78 -0.01 0.65 1.73 Euro
Aptiv 144.05 146.26 -2.22 -1.51 8.13 6.0 5.40 Intuit 512.73 528.15 -15.42 -2.92 -44.85 -8.0 -7.50 Electricite de France (EDF) 04/30 4.63 A- A3 A- 137.45 0.82 -0.01 0.10 -
HCA Hold 254.24 251.99 2.25 0.89 14.23 5.9 5.75 Vale 86.54 89.50 -2.96 -3.31 -7.33 -7.8 1.44 Poland 04/26 3.25 - A2 A- 111.22 0.98 0.03 0.16 -0.07
Mexico 05/26 11.50 - Baa1 BBB- 149.00 1.61 0.00 -0.12 0.56 The Goldman Sachs Group, Inc. 02/31 3.00 BBB+ A3 A 124.42 0.68 0.00 -0.11 -
CK Hutchison 60.15 59.10 1.05 1.78 3.25 5.7 8.70 Keyence 54880.00 57380.00 -2500.00 -4.36 -4620.00 -7.8 -5.75 The Goldman Sachs Group, Inc. 02/31 3.00 BBB+ A3 A 121.70 0.93 0.00 0.02 -
SK Hynix 133000.00 130500.00 2500.00 1.92 7000.00 5.6 10.37 Barclays 192.64 196.00 -3.36 -1.71 -16.01 -7.7 -4.63 Turkey 03/27 6.00 - Ba2 BB+ 101.26 5.82 0.00 0.17 3.07
Turkey 03/27 6.00 - B2 BB- 102.88 5.43 0.14 0.83 4.38 Finland 04/31 0.75 AA+ Aa1 AA+ 111.08 -0.27 0.00 -0.05 -0.87
ChShenEgy 22.10 22.00 0.10 0.45 1.15 5.5 15.04 Unicred 14.68 15.09 -0.41 -2.73 -1.17 -7.4 4.93
Peru 08/27 4.13 BBB+ A3 BBB+ 103.50 3.66 0.01 -0.02 0.80 Yen
ReckittB 6152.00 5807.00 345.00 5.94 319.00 5.5 2.20 TJX Cos 65.56 67.10 -1.54 -2.30 -5.08 -7.2 -8.89
Russia 06/28 12.75 - Baa3 BBB 168.12 2.48 0.07 0.05 - Mexico 06/26 1.09 - Baa1 BBB- 98.73 1.34 -0.02 -0.14 0.27
Cielo 2.51 2.49 0.02 0.80 0.13 5.5 9.57 Cred Agr 13.14 13.44 -0.29 -2.19 -1.01 -7.1 -1.02
Schlmbrg 41.25 41.69 -0.44 -1.06 2.08 5.3 5.59 Naspers N 2264.86 2268.06 -3.20 -0.14 -170.39 -7.0 -8.01 Brazil 02/47 5.63 - Ba2 BB- 101.48 5.52 0.08 0.80 - £ Sterling
BrAmTob 3435.50 3439.00 -3.50 -0.10 166.50 5.1 7.94 Brookfield 70.70 71.50 -0.80 -1.12 -5.30 -7.0 0.31 Emerging Euro innogy Fin B.V. 06/30 6.25 BBB Baa2 A- 137.45 2.19 -0.03 0.02 -
Westpc 23.49 23.29 0.20 0.86 1.11 5.0 15.71 Surgutneftegas 34.49 36.25 -1.76 -4.85 -2.53 -6.8 -5.26 Brazil 04/21 2.88 BB- Ba2 BB- 103.09 0.05 0.01 -0.09 -1.19 innogy Fin B.V. 06/30 6.25 BBB Baa2 A- 128.68 3.20 0.00 -0.01 0.40
OilNatGas 171.75 168.55 3.20 1.90 7.80 4.8 -0.49 BNP Parib 62.02 62.75 -0.73 -1.16 -4.54 -6.8 -1.56 Mexico 04/23 2.75 BBB+ A3 BBB+ 107.76 0.76 0.00 -0.07 -1.56 Interactive Data Pricing and Reference Data LLC, an ICE Data Services company. US $ denominated bonds NY close; all other London
Mexico 04/23 2.75 - Baa1 BBB- 106.48 -0.26 - - -0.36 close. *S - Standard & Poor’s, M - Moody’s, F - Fitch.
Based on the FT Global 500 companies in local currency Based on the FT Global 500 companies in local currency
Bulgaria 03/28 3.00 BBB- Baa2 BBB 117.04 1.00 0.02 -0.15 -1.42
Interactive Data Pricing and Reference Data LLC, an ICE Data Services company. US $ denominated bonds NY close; all
other London close. *S - Standard & Poor’s, M - Moody’s, F - Fitch.

INTEREST RATES: OFFICIAL BOND INDICES VOLATILITY INDICES GILTS: UK CASH MARKET
Feb 17 Rate Current Since Last Mnth Ago Year Ago Day's Month's Year Return Return Feb 17 Day Chng Prev 52 wk high 52 wk low Red Change in Yield 52 Week Amnt
US Fed Funds 0.00-0.25 15-03-2020 1.00-1.25 1.50-1.75 1.25-1.50 Index change change change 1 month 1 year VIX 26.32 2.03 24.29 38.94 14.10 Feb 17 Price £ Yield Day Week Month Year High Low £m
US Prime 4.75 30-10-2019 5.25 5.25 4.25 Markit IBoxx VXD 24.29 1.90 22.39 39.58 2.67 - - - - - - - - -
US Discount 2.65 30-09-2019 2.75 2.75 1.75 ABF Pan-Asia unhedged 218.58 0.23 0.19 -0.55 -0.43 -3.35 VXN 31.40 1.95 29.45 44.05 18.01 Tr 1.75pc '22 100.58 0.69 -4.17 -11.54 46.81 -1250.00 104.23 100.51 29.68
Euro Repo 0.00 16-03-2016 0.00 0.00 0.00 Corporates( £) 374.06 0.44 -2.44 -5.49 -4.67 -6.14 VDAX 27.83 2.03 25.80 93.30 - Tr 0.75pc '23 99.35 1.21 -4.72 -1.63 72.86 12000.00 101.08 99.08 33.73
UK Repo 0.50 03-02-2022 0.25 0.25 0.25 Corporates($) - - - - - - † CBOE. VIX: S&P 500 index Options Volatility, VXD: DJIA Index Options Volatility, VXN: NASDAQ Index Options Volatility. Tr 0.125pc '24 97.69 1.33 -5.00 -1.48 62.20 2116.67 100.10 97.31 34.12
Japan O'night Call 0.00-0.10 01-02-2016 0.00 0.00--0.10 0.00--0.10 Corporates(€) 232.94 0.20 -2.22 -3.56 -2.98 -4.23 ‡ Deutsche Borse. VDAX: DAX Index Options Volatility. Tr 2pc '25 102.40 1.31 -4.38 -2.96 47.19 1537.50 119.69 99.56 38.33
Switzerland Libor Target -1.25-0.25 15-01-2015 -0.75--0.25 -1.25--0.25 -1.25--0.25 Eurozone Sov(€) 244.77 0.34 -2.73 -3.80 -3.29 -5.63 Tr 0.125pc '26 95.55 1.29 -4.44 -3.73 41.76 658.82 99.57 94.88 33.89
Gilts( £) 338.36 0.50 -2.09 -5.87 -4.26 -5.64 BONDS: BENCHMARK GOVERNMENT Tr 1.25pc '27 99.80 1.29 -4.44 -4.44 34.38 360.71 105.84 98.96 39.34
INTEREST RATES: MARKET Global Inflation-Lkd - - - - - - Red Bid Bid Day chg Wk chg Month Year Tr 0.875pc '29 96.52 1.35 -4.26 -4.26 26.17 164.71 103.32 95.65 41.87
Over Change One Three Six One Markit iBoxx £ Non-Gilts - - - - - - Date Coupon Price Yield yield yield chg yld chg yld Tr 4.25pc '32 126.21 1.49 -3.87 -3.25 24.17 115.94 138.01 125.04 38.71
Feb 17 (Libor: Feb 16) night Day Week Month month month month year Overall ($) - - - - - - Australia 04/24 2.75 103.24 1.23 0.02 0.15 0.50 1.12 Tr 4.25pc '36 133.42 1.59 -2.45 -1.85 23.26 78.65 147.98 132.25 30.41
US$ Libor 0.07371 0.000 -0.003 0.017 0.13671 0.48814 0.78714 1.32986 Overall( £) 341.56 0.48 -2.13 -5.64 -4.23 -5.63 05/32 1.25 90.97 2.24 0.05 0.13 0.38 0.82 Tr 4.5pc '42 150.92 1.61 -2.42 -3.01 19.26 49.07 169.96 148.84 27.21
Euro Libor -0.64957 -0.064 0.000 0.001 -0.61943 -0.58057 -0.55600 -0.48571 Overall(€) 237.61 0.31 -2.56 -3.68 -3.17 -5.24 Austria 05/34 2.40 119.85 0.70 -0.04 0.10 0.42 0.71 Tr 3.75pc '52 153.04 1.56 -1.89 -3.11 20.00 38.05 180.27 150.30 24.10
£ Libor 0.18063 -0.005 0.000 0.000 0.48140 0.87270 1.36380 0.81363 Treasuries ($) - - - - - - 02/47 1.50 112.28 0.95 -0.03 0.11 0.35 0.59 Tr 4pc '60 174.63 1.44 -2.04 -4.00 22.03 32.11 213.01 170.76 24.12
Swiss Fr Libor -0.002 -0.77540 -0.75300 -0.70280 -0.55320 FTSE Belgium 10/23 0.20 100.98 -0.38 -0.03 -0.01 0.23 0.26 Gilts benchmarks & non-rump undated stocks. Closing mid-price in pounds per £100 nominal of stock.
Yen Libor 0.000 -0.06375 -0.02063 0.03960 0.04867 Sterling Corporate (£) - - - - - - Canada - - - - - - -
Euro Euribor
Sterling CDs
-0.003
0.000
-0.55800
0.50000
-0.52400
0.63000
-0.46100
0.78500
-0.28600 Euro Corporate (€) 104.47 -0.05 - - 0.54 -1.73 03/24 2.25 101.38 1.55 0.01 0.19 0.33 1.23 GILTS: UK FTSE ACTUARIES INDICES
Euro Emerging Mkts (€) 761.42 -8.93 - - -6.54 7.45 Denmark - - - - - - -
US$ CDs 0.000 0.14000 0.36000 0.57000 Eurozone Govt Bond 110.04 -0.19 - - -0.34 -0.64 11/23 1.50 103.09 -0.27 -0.04 0.04 0.30 0.28 Price Indices Day's Total Return Return
Euro CDs 0.000 -0.53000 -0.53000 -0.49000 Fixed Coupon Feb 17 chg % Return 1 month 1 year Yield
CREDIT INDICES Day's Week's Month's Series Series Finland 04/23 1.50 102.32 -0.50 -0.04 -0.02 0.12 0.17
04/31 0.75 101.87 0.54 -0.05 0.08 0.43 0.72 1 Up to 5 Years 85.26 0.15 2420.12 -0.89 -2.49 1.28
Short 7 Days One Three Six One Index change change change high low 2 5 - 10 Years 170.07 0.43 3548.08 -1.88 -5.36 1.36
Feb 17 term notice month month month year Markit iTraxx France 05/23 1.75 102.88 -0.52 -0.03 -0.03 0.10 0.13
3 10 - 15 Years 198.36 0.50 4435.37 -2.87 -6.61 1.56
Euro -0.67 -0.37 -0.68 -0.38 -0.68 -0.38 -0.68 -0.38 -0.64 -0.34 -0.47 -0.17 Crossover 5Y 321.73 -2.39 19.38 62.31 343.01 238.24 05/27 1.00 103.97 0.24 -0.04 0.01 0.42 0.65
4 5 - 15 Years 176.21 0.45 3766.09 -2.22 -5.71 1.45
Sterling 0.45 0.55 0.58 0.68 0.71 0.86 0.90 1.05 Europe 5Y 66.15 0.06 3.93 13.42 69.82 47.15 Germany - - - - - - -
5 Over 15 Years 334.46 0.73 5636.18 -5.11 -7.53 1.52
US Dollar 0.11 0.31 0.05 0.25 0.04 0.24 0.26 0.46 0.47 0.67 0.82 1.02 Japan 5Y 54.78 -1.21 1.32 6.28 57.13 45.63 08/23 2.00 103.85 -0.57 -0.03 -0.06 0.09 0.14
7 All stocks 171.48 0.48 3758.46 -3.07 -5.59 1.50
Japanese Yen -0.20 0.00 -0.20 0.00 -0.15 0.15 -0.15 0.15 -0.15 0.15 -0.15 0.15 Senior Financials 5Y 74.59 0.04 4.05 13.34 79.46 54.29 08/27 0.50 102.54 0.04 -0.04 0.01 0.37 0.62
Libor rates come from ICE (see www.theice.com) and are fixed at 11am UK time. Other data sources: US $, Euro & CDs: 08/50 0.00 86.60 0.51 -0.03 0.10 0.29 0.35 Day's Month Year's Total Return Return
Markit CDX Greece 01/28 3.75 111.24 1.74 -0.04 0.15 0.93 1.32
Tullett Prebon; SDR, US Discount: IMF; EONIA: ECB; Swiss Libor: SNB; EURONIA, RONIA & SONIA: WMBA. Index Linked Feb 17 chg % chg % chg % Return 1 month 1 year
Emerging Markets 5Y 213.20 -4.22 6.47 0.53 229.97 168.20
Ireland - - - - - - - 1 Up to 5 Years 315.59 0.52 0.63 4.33 2645.91 0.63 5.49
Nth Amer High Yld 5Y 356.39 -3.58 15.37 39.71 370.46 287.02
- - - - - - - 2 Over 5 years 842.90 1.67 -2.69 6.49 6399.26 -2.68 6.87
Nth Amer Inv Grade 5Y 65.35 -0.25 3.86 9.65 67.99 48.82
03/24 3.40 107.56 -0.23 -0.04 0.02 0.30 0.33 3 5-15 years 523.27 1.19 -0.98 3.87 4207.63 -0.97 4.66
Websites: markit.com, ftse.com. All indices shown are unhedged. Currencies are shown in brackets after the index names.
Italy 07/24 1.75 103.10 0.43 -0.06 0.01 0.41 0.65 4 Over 15 years 1107.19 1.86 -3.37 7.15 8168.31 -3.37 7.37
08/27 2.05 104.55 1.19 -0.07 0.09 0.57 1.03 5 All stocks 750.38 1.54 -2.34 6.23 5808.08 -2.33 6.69
05/31 6.00 136.64 1.68 -0.08 0.15 0.60 1.12
COMMODITIES www.ft.com/commodities BONDS: INDEX-LINKED 03/48 3.45 119.45 2.44 -0.06 0.12 0.45 1.05 Yield Indices Feb 17 Feb 16 Yr ago Feb 17 Feb 16 Yr ago
Japan 04/23 0.05 99.97 0.07 0.00 0.01 -0.02 0.00 5 Yrs 1.28 1.34 0.16 20 Yrs 1.64 1.68 1.11
Energy Price* Change Agricultural & Cattle Futures Price* Change Price Yield Month Value No of
02/28 0.07 98.88 0.36 0.01 0.01 0.11 - 10 Yrs 1.48 1.53 0.63 45 Yrs 1.35 1.38 1.06
Crude Oil† Mar 92.78 2.51 Corn♦ Mar 651.50 5.75 Feb 16 Feb 16 Prev return stock Market stocks
12/34 1.20 110.05 0.40 0.01 0.03 0.11 0.14 15 Yrs 1.61 1.65 0.96
Brent Crude Oil‡ 93.13 1.27 Wheat♦ Mar 789.25 10.25 Can 4.25%' 26 123.33 -0.558 -0.502 -0.19 5.25 77038.69 8
12/49 0.40 87.64 0.90 0.03 0.09 0.20 0.23
RBOB Gasoline† Mar 2.64 0.05 Soybeans♦ Mar 1605.25 18.50 Fr 2.10%' 23 107.98 -3.241 -3.223 0.09 18.05 265794.77 17
Netherlands 07/23 1.75 103.24 -0.54 -0.03 -0.03 0.10 0.14 inflation 0% inflation 5%
Heating Oil† - - Soybeans Meal♦ Mar 453.60 4.30 Swe 1.00%' 25 122.12 -1.780 -1.745 -0.42 35.88 212106.32 6
07/27 0.75 103.32 0.13 -0.05 0.02 0.40 0.63 Real yield Feb 17 Dur yrs Previous Yr ago Feb 17 Dur yrs Previous Yr ago
Natural Gas† Mar 4.69 0.07 Cocoa (ICE Liffe)X Mar 1694.00 -27.00 UK 0.125%' 24 107.71 -3.400 -3.312 -0.85 15.24 805625.85 31
Ethanol♦ - - Cocoa (ICE US)♥ Mar 2637.00 32.00 New Zealand 04/27 4.50 108.74 2.67 0.02 0.11 0.38 1.76 Up to 5 yrs -3.22 2.20 -2.98 -2.90 -3.75 2.21 -3.34 -3.39
UK 2.50%' 24 363.66 -2.844 -2.753 -1.07 6.82 805625.85 31
Uranium† - - Coffee(Robusta)X Mar 2290.00 -1.00 05/31 1.50 89.33 2.82 0.01 0.10 0.36 1.38 Over 5 yrs -2.13 23.25 -2.06 -2.08 -2.16 23.31 -2.07 -2.11
UK 2.00%' 35 297.55 -2.294 -2.262 -2.70 9.08 805625.85 31
Carbon Emissions‡ - - Coffee (Arabica)♥ Mar 248.95 -4.95 05/31 1.50 89.33 2.82 0.01 0.10 0.36 1.38 5-15 yrs -2.53 9.49 -2.40 -2.59 -2.64 9.50 -2.47 -2.71
US 0.625%' 23 104.29 -2.993 -2.895 0.62 47.03 1719817.18 45
White SugarX 484.10 1.30 Norway - - - - - - - Over 15 yrs -2.07 28.57 -2.01 -2.02 -2.09 28.59 -2.02 -2.04
Diesel† - - US 3.625%' 28 127.48 -0.731 -0.721 -1.47 16.78 1719817.18 45
Sugar 11♥ 18.13 0.06 - - - - - - - All stocks -2.14 21.04 -2.07 -2.09 -2.17 21.13 -2.08 -2.12
Base Metals (♠ LME 3 Months) Representative stocks from each major market Source: Merill Lynch Global Bond Indices † Local currencies. ‡ Total market
Aluminium 3272.00 22.00 Cotton♥ Mar 122.15 0.02 Portugal 10/23 4.95 108.79 -0.26 -0.07 -0.09 0.30 0.30 See FTSE website for more details www.ftse.com/products/indices/gilts
value. In line with market convention, for UK Gilts inflation factor is applied to price, for other markets it is applied to par
Aluminium Alloy 2550.00 25.00 Orange Juice♥ Mar 133.45 0.55 04/27 4.13 118.53 0.47 -0.05 0.06 0.55 0.66 ©2018 Tradeweb Markets LLC. All rights reserved. The Tradeweb FTSE
amount.
Copper 9941.50 -13.50 Palm Oil♣ - - Spain - - - - - - - Gilt Closing Prices information contained herein is proprietary to
Lead 2338.00 -11.00 Live Cattle♣ Feb 143.55 0.50 BONDS: TEN YEAR GOVT SPREADS 10/23 4.40 107.84 -0.20 -0.05 -0.10 0.28 0.27 Tradeweb; may not be copied or re-distributed; is not warranted to be
Nickel 23945.00 495.00 Feeder Cattle♣ May 134.88 - Sweden 11/23 1.50 102.65 -0.03 -0.03 -0.11 0.11 0.27 accurate, complete or timely; and does not constitute investment advice.
Tin 43920.00 225.00 Lean Hogs♣ Apr 105.83 1.58 Spread Spread Spread Spread 12/27 0.13 121.91 -1.61 -0.06 -0.06 0.45 0.11 Tradeweb is not responsible for any loss or damage that might result from the use of this information.
Zinc 3614.00 33.50 Bid vs vs Bid vs vs 06/30 0.13 120.03 -1.58 -0.07 -0.09 0.40 0.05
% Chg % Chg Yield Bund T-Bonds Yield Bund T-Bonds Switzerland - - - - - - - All data provided by Morningstar unless otherwise noted. All elements listed are indicative and believed accurate
Precious Metals (PM London Fix)
Gold 1862.60 14.05 Feb 16 Month Year 06/24 1.25 103.57 -0.29 -0.06 -0.01 0.21 0.43 at the time of publication. No offer is made by Morningstar, its suppliers, or the FT. Neither the FT, nor
Australia 2.24 - - Netherlands 0.13 - -
Silver (US cents) 2350.00 21.50 S&P GSCI Spt 640.88 2.72 35.46 United Kingdom - - - - - - - Morningstar’s suppliers, warrant or guarantee that the information is reliable or complete. Neither the FT nor
Austria 0.70 - - New Zealand 2.82 - -
Platinum 1043.00 28.00 DJ UBS Spot 111.26 1.98 30.61 Canada - - - Norway - - - 07/23 0.75 99.25 1.28 -0.13 0.13 0.64 1.27 Morningstar’s suppliers accept responsibility and will not be liable for any loss arising from the reliance on the
Palladium 2280.00 28.00 TR/CC CRB TR 282.05 3.99 41.43 Denmark - - - Portugal 0.47 - - 07/27 1.25 99.43 1.36 -0.10 0.09 0.43 1.03 use of the listed information. For all queries e-mail ft.reader.enquiries@morningstar.com
Bulk Commodities LEBA EUA Carbon 58.91 -1.98 129.94 Finland 0.54 - - Spain - - - 07/47 1.50 97.23 1.63 -0.03 0.05 0.33 0.42
Iron Ore 142.23 -2.66 LEBA UK Power 1048.00 -37.43 -39.60 Germany - - - Sweden -1.58 - - United States 03/23 0.50 99.27 1.18 -0.05 0.18 0.57 1.04 Data provided by Morningstar | www.morningstar.co.uk
GlobalCOAL RB Index 232.50 6.00 Ireland - - - Switzerland - - - 03/27 0.63 93.66 1.93 -0.01 0.12 0.36 1.15
Baltic Dry Index 1886.00 -10.00 Italy 1.68 - - United Kingdom - - - 04/32 3.38 140.85 - - - - -
Sources: † NYMEX, ‡ ECX/ICE, ♦ CBOT, X ICE Liffe, ♥ ICE Futures, ♣ CME, ♠ LME/London Metal Exchange.* Latest prices, $ Japan 0.40 - - United States - - - 02/50 0.25 101.37 0.20 0.00 0.16 - -
unless otherwise stated. Interactive Data Pricing and Reference Data LLC, an ICE Data Services company. Interactive Data Pricing and Reference Data LLC, an ICE Data Services company.
12 ★ FINANCIAL TIMES Friday 18 February 2022

MANAGED FUNDS SERVICE

Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Data Provided by
Mirabaud - UK Equity High Alpha £ 151.33 - -1.09 -

abrdn Capital (CI) Limited (JER) EdenTree Investment Management Ltd (UK) Prusik Investment Management LLP (IRL)
www.morningstar.co.uk
PO Box 189, St Helier, Jersey, JE4 9RU 01534 709130 PO Box 3733, Swindon, SN4 4BG, 0800 358 3010 Enquiries - 0207 493 1331 Data as shown is for information purposes only. No offer
FCA Recognised Authorised Inv Funds Regulated is made by Morningstar or this publication.
Aberdeen Standard Capital Offshore Strategy Fund Limited EdenTree Short Dated Bond Cls B 97.38 - 0.27 0.77 Prusik Asian Equity Income B Dist $ 192.27 - 0.30 -
Bridge Fund £ 2.3098 - 0.0010 1.60 Prusik Asia Emerging Opportunities Fund A Acc $ 205.29 - -0.62 -
Global Equity Fund £ 3.4169 - 0.0000 0.94 Prusik Asia Fund U Dist. £ 243.34 - 1.32 -
Global Fixed Interest Fund £ 0.8894 - 0.0007 4.78
Income Fund
Sterling Fixed Interest Fund
UK Equity Fund
£ 0.6759
£ 0.8247
£ 2.0777
-
-
-
0.0001 2.72
0.0043 3.00
-0.0057 3.08
Guide to Data
The fund prices quoted on these pages are
Blue Whales Investment Funds ICAV (IRE) Guinness Global Investors Stonehage Fleming Investment Management Ltd (IRL) supplied by the operator of the relevant fund.
www.bluewhale.co.uk, info@bluewhale.co.uk Ennismore European Smlr Cos Hedge Fd www.stonehagefleming.com/gbi Details of funds published on these pages,
Guinness Global Equity Income Y GBP Dist £ 17.73 - -0.03 - Oasis Crescent Global Investment Funds (UK) ICVC (UK)
Other International Funds enquiries@stonehagefleming.com
FCA Recognised - Ireland UCITS Guinness Global Innovators Y GBP Acc £ 27.41 - -0.14 - Regulated including prices, are for the purpose of
Blue Whale Growth USD T $ 11.29 - -0.14 - NAV € 682.95 - 0.30 - Guinness Sustainable Global Equity Y GBP Acc £ 11.15 - 0.00 - Oasis Crescent Global Equity Fund USD A (Dist) $ 38.72 - 0.03 - Purisima Investment Fds (CI) Ltd (JER) Regulated information only and should only be used as a
Regulated SF Global Best Ideas Eq B USD ACC $ 260.59 - 0.01 -
Oasis Crescent Global Income Fund USD A (Dist) $ 10.78 - 0.00 2.59 guide. The Financial Times Limited makes no
PCG B 335.41 - 6.93 0.00 SF Global Best Ideas Eq D GBP INC £ 291.15 - -1.22 -
Oasis Crescent Global Low Equity Fund USD D (Dist) $ 13.56 - 0.03 0.08 representation as to their accuracy or
PCG C 326.86 - 6.75 0.00
Oasis Crescent Global Medium Equity Fund USD A (Dist) $ 14.94 - 0.03 0.11 completeness and they should not be relied
Oasis Crescent Global Property Equity Fund USD A (Dist) $ 9.92 - 0.07 - upon when making an investment decision.
Oasis Crescent Global Short Term Income Fund USD A (Dist) $ 0.98 - 0.00 1.71
Oasis Crescent Variable Fund GBP A (Dist) £ 10.52 - 0.01 0.00 The sale of interests in the funds listed on these
pages may, in certain jurisdictions, be restricted
by law and the funds will not necessarily be
Euronova Asset Management UK LLP (CYM)
HPB Assurance Ltd available to persons in all jurisdictions in which
Regulated Anglo Intl House, Bank Hill, Douglas, Isle of Man, IM1 4LN 01638 563490 the publication circulates. Persons in any doubt
Smaller Cos Cls One Shares € 57.62 - -0.81 0.00 Superfund Asset Management GmbH should take appropriate professional advice.
International Insurances
Smaller Cos Cls Two Shares € 36.93 - -0.52 0.00 www.superfund.com, +43 (1) 247 00 Data collated by Morningstar. For other
Holiday Property Bond Ser 1 £ 0.48 - 0.01 0.00
Smaller Cos Cls Three Shares € 18.43 - -0.26 0.00 Other International Funds queries contact reader.enquiries@ft.com
Smaller Cos Cls Four Shares € 24.34 - -0.29 0.00 Superfund Green Gold $ 1579.26 - 17.22 - +44 (0)207 873 4211.
Algebris Investments Superfund Green Silver $ 1397.03 - 19.34 -
(IRL) Omnia Fund Ltd
Regulated Other International Funds Regulated The fund prices published in this edition along
Algebris Financial Credit I EUR € 187.55 - 0.24 0.00 Estimated NAV $ 738.77 - 57.51 0.00 Superfund Green US$ $ 1167.16 - 3.15 - with additional information are also available
Algebris Financial Credit R EUR € 162.27 - 0.21 0.00 on the Financial Times website, www.ft.com/
Algebris Financial Credit Rd EUR € 103.58 - 0.13 4.43 funds. The funds published on these pages are
Algebris Financial Income I EUR € 193.09 - -0.40 0.00 grouped together by fund management
Brooks Macdonald International Fund Managers Limited (JER)
Algebris Financial Income R EUR € 176.98 - -0.36 0.00 5 Anley Street, St Helier, Jersey, JE2 3QE Janus Henderson Investors (UK) company.
Algebris Financial Income Rd EUR € 112.10 - -0.23 3.30 +44 (0) 1534 700 104 (Int.) +44 (0) 800 735 8000 (UK) PO Box 9023, Chelmsford, CM99 2WB Enquiries: 0800 832 832
Algebris Financial Equity B EUR € 166.37 - -0.67 0.00 Brooks Macdonald International Investment Funds Limited FIL Investment Services (UK) Limited (1200)F (UK) www.janushenderson.com Ram Active Investments SA Prices are in pence unless otherwise indicated.
Algebris Financial Equity R EUR € 141.04 - -0.57 0.00 Euro High Income € 1.4126 - 0.0017 2.50
Beech Gate, Millfield Lane, Lower Kingswood, Tadworth, KT20 6RP Authorised Inv Funds www.ram-ai.com The change, if shown, is the change on the
Callfree: Private Clients 0800 414161 Janus Henderson Instl UK Idx Opps A Acc £ 1.13 - 0.01 - Other International Funds previously quoted figure (not all funds update
Algebris IG Financial Credit I EUR € 106.38 - 0.20 0.00 High Income £ 0.7810 - 0.0035 3.77 Broker Dealings: 0800 414 181 RAM Systematic Emerg Markets Eq $ 241.90 241.90 1.88 - prices daily). Those designated $ with no prefix
Algebris IG Financial Credit R EUR € 105.15 - 0.19 0.00 Sterling Bond £ 1.4684 - 0.0068 2.06 OEIC Funds Orbis Investments (U.K.) Limited (GBR)
28 Dorset Square, London, NW1 6QG
RAM Systematic European Eq € 571.93 571.93 -0.36 - refer to US dollars. Yield percentage figures (in
Algebris Global Credit Opportunities I EUR € 127.32 - 0.09 0.00 Brooks Macdonald International Multi Strategy Fund Limited Fidelity American Fund W-ACC-GBP £ 55.41 - -0.41 -
www.orbis.com 0800 358 2030
RAM Systematic Funds Global Sustainable Income Eq $ 161.90 161.90 0.16 0.00 Tuesday to Saturday papers) allow for buying
Algebris Global Credit Opportunities R EUR € 124.88 - 0.09 0.00 Balanced Strategy A £ 0.9488 - 0.0007 - Fidelity Cash Fund Y-ACC-GBP £ 1.02 - 0.00 -
Regulated RAM Systematic Global Eq Sustainable Alpha $ 115.06 115.06 -0.55 - expenses. Prices of certain older insurance
Algebris Global Credit Opportunities Rd EUR € 124.88 - 0.09 0.00 Balanced Strategy £ 0.9471 - 0.0007 - FID Emerg Europe, Middle East and Africa Fund W-ACC-GBP £ 2.84 - -0.05 1.70 Orbis OEIC Global Cautious Standard £ 11.33 - 0.04 - RAM Systematic Long/Short European Eq € 151.73 151.73 -0.13 - linked plans might be subject to capital gains
Algebris Core Italy I EUR € 161.11 - -0.32 0.00 Cautious Balanced Strategy A £ 0.9623 - 0.0014 - Fidelity Global Enhanced Income Fund W-ACC-GBP £ 2.20 - -0.01 - Orbis OEIC Global Balanced Standard £ 17.96 - 0.10 - RAM Systematic US Sustainable Eq $ 407.68 407.68 -1.35 - tax on sales.
Algebris Core Italy R EUR € 153.85 - -0.31 0.00 Growth Strategy A £ 0.9653 - 0.0108 - Fidelity Sustainable Global Equity W-Accumulation £ 31.77 - -0.01 - Orbis OEIC Global Equity Standard £ 21.69 - 0.09 - RAM Tactical Global Bond Total Return € 149.68 149.68 0.08 -
High Growth Strategy A £ 0.9578 - 0.0104 - Fidelity Global High Yield Fund Y-ACC-GBP £ 15.18 - -0.01 - Guide to pricing of Authorised Investment
Orbis OEIC UK Equity Standard £ 10.96 - -0.10 - RAM Tactical II Asia Bond Total Return $ 152.70 152.70 -0.04 -
Cautious Balanced Strategy £ 1.3473 - 0.0019 0.00 Fidelity Japan Fund W-ACC-GBP £ 5.53 - -0.01 - M & G Securities (1200)F (UK) Funds: (compiled with the assistance of the
Growth Strategy £ 2.0179 - 0.0028 0.00 Fidelity Japan Smaller Companies Fund W-ACC-GBP £ 3.83 - -0.02 - PO Box 9038, Chelmsford, CM99 2XF IMA. The Investment Association, Camomile
High Growth Strategy £ 2.8166 - 0.0024 0.00 Fidelity Select 50 Balanced Fund PI-ACC-GBP £ 1.19 - 0.00 - www.mandg.co.uk/charities Enq./Dealing: 0800 917 4472 Court 23 Camomile Street, London EC3A 7LL.
US$ Growth Strategy $ 1.9623 - 0.0029 0.00 Fidelity Special Situations Fund W-ACC-GBP £ 42.35 - -0.21 - Authorised Inv Funds Tel: +44 (0)20 7831 0898.)
Dealing Daily. Initial Charge Nil for A classes and up to 2% for other classes M&G Charibond Charities Fixed Interest Fund (Charibond) Inc £ 1.18 - 0.00 - Toscafund Asset Management LLP (UK)
Fidelity Sustainable Water & Waste W Acc £ 1.22 - -0.01 - www.toscafund.com
Short Dated Corporate Bond Fund Y ACC GBP £ 10.94 - 0.03 4.06 M&G Charibond Charities Fixed Interest Fund (Charibond) Acc £ 41.57 - 0.13 -
Authorised Funds
OEIC: Open-Ended Investment Company.
Fidelity Sustainable Water & Waste W Inc £ 1.21 - -0.01 0.57 M&G Charity Multi Asset Fund Inc £ 0.91 - 0.00 -
Aptus Global Financials B Acc £ 5.01 - -0.03 -
Similar to a unit trust but using a company
The Antares European Fund Limited M&G Charity Multi Asset Fund Acc £ 105.05 - -0.37 - rather than a trust structure.
Fidelity UK Growth Fund W-ACC-GBP £ 3.34 - -0.05 - Aptus Global Financials B Inc £ 3.33 - -0.02 -
Other International
Fidelity UK Select Fund W-ACC-GBP £ 3.65 - -0.01 - Ruffer LLP (1000)F (UK)
AEF Ltd Usd $ 592.10 - 14.14 0.00 65 Gresham Street, London, EC2V 7NQ Different share classes are issued to reflect a
Institutional OEIC Funds
AEF Ltd Eur € 551.41 - 12.93 0.00 Order Desk and Enquiries: 0345 601 9610 different currency, charging structure or type of
Europe (ex-UK) Fund ACC-GBP £ 7.28 - -0.01 0.61
Authorised Inv Funds holder.
Authorised Corporate Director - Link Fund Solutions
CG Asset Management Limited (IRL) LF Ruffer Diversified Rtrn C Acc 105.44 - -0.09 0.00 Selling price: Also called bid price. The price
25 Moorgate, London, EC2R 6AY LF Ruffer Diversified Rtrn C Inc 105.58 - -0.09 0.00 at which units in a unit trust are sold by
Dealing: Tel. +353 1434 5098 Fax. +353 1542 2859
LF Ruffer European C Acc 853.86 - -10.61 0.90 investors.
FCA Recognised
MMIP Investment Management Limited (GSY) LF Ruffer European C Inc 154.53 - -1.92 - Toscafund Asset Management LLP
CG Portfolio Fund Plc Regulated LF Ruffer European O Acc 829.78 - -10.36 0.59 Buying price: Also called offer price. The price
www.toscafund.com
Absolute Return Cls M Inc £ 138.28 138.28 0.22 - Multi-Manager Investment Programmes PCC Limited LF Ruffer Equity & General C Acc 565.50 - -1.05 0.43
at which units in a unit trust are bought by
Tosca A USD $ 435.51 - 18.22 0.00
Artemis Fund Managers Ltd (1200)F (UK) Capital Gearing Portfolio GBP P £ 38387.49 38387.49 66.37 - UK Equity Fd Cl A Series 01 £ 3413.21 3450.57 95.55 0.00 LF Ruffer Equity & General C Inc 514.99 - -0.96 0.43
investors. Includes manager’s initial charge.
Findlay Park Funds Plc (IRL) Platinum Capital Management Ltd Tosca Mid Cap GBP £ 236.40 - 0.49 0.00
57 St. James's Street, London SW1A 1LD 0800 092 2051 Capital Gearing Portfolio GBP V £ 186.70 186.70 0.32 - Diversified Absolute Rtn Fd USD Cl AF2 $ 1710.11 - 8.43 0.00
30 Herbert Street, Dublin 2, Ireland Tel: 020 7968 4900 LF Ruffer Equity & General O Acc 549.59 - -1.06 0.15 Tosca Opportunity B USD $ 360.92 - 1.38 0.00
Authorised Inv Funds Dollar Fund Cls D Inc £ 166.34 166.34 -0.40 1.42 Diversified Absolute Return Stlg Cell AF2 £ 1599.62 - 6.86 0.00
Other International Funds Single price: Based on a mid-market valuation
FCA Recognised LF Ruffer Equity & General O Inc 508.14 - -0.98 0.14 Pegasus Fund Ltd A-1 GBP £ 54.08 - -2.15 0.00
Artemis Corporate Bond I Acc 108.75 - 0.13 - Dollar Hedged GBP Inc £ 105.91 105.91 0.21 1.47 Global Equity Fund A Lead Series £ 1798.17 1804.16 -92.22 0.00
Platinum All Star Fund - A $ 161.38 - - - of the underlying investments. The buying and
American EUR Unhedged Class € 157.75 - 0.37 - LF Ruffer Gold C Acc 265.03 - 6.47 0.00
Artemis Positive Future Fund 79.41 - 1.59 - Real Return Cls A Inc £ 200.87 200.87 -0.37 1.45 Platinum Global Growth UCITS Fund $ 11.76 - 0.22 - selling price for shares of an OEIC and units of a
American Fund USD Class $ 179.27 - 0.54 - LF Ruffer Gold C Inc 160.41 - 3.92 -
Artemis Target Return Bond I Acc 107.71 - 0.15 - Platinum Essential Resources UCITS Fund SICAV USD Class E $ 10.49 - -0.07 0.00 single priced unit trust are the same.
American Fund GBP Hedged £ 89.87 - 0.26 0.00 LF Ruffer Gold O Acc 257.48 - 6.27 0.00
Platinum Global Dividend UCITS Fund $ 54.15 - 0.47 0.00
American Fund GBP Unhedged £ 132.00 - -0.17 - LF Ruffer Japanese C Inc 163.92 - -0.69 -
Treatment of manager’s periodic capital
LF Ruffer Japanese C Acc 352.26 - -1.48 0.00
charge: The letter C denotes that the trust
LF Ruffer Total Return C Acc 569.70 - 2.85 1.13 deducts all or part of the manager’s/operator’s
LF Ruffer Total Return C Inc 364.30 - 1.82 1.14 periodic charge from capital, contact the
LF Ruffer Total Return O Acc 553.60 - 2.73 1.13 manager/operator for full details of the effect of
LF Ruffer Total Return O Inc 353.82 - 1.75 1.14 Troy Asset Mgt (1200) (UK) this course of action.
Marwyn Asset Management Limited (CYM) 65 Gresham Street, London, EC2V 7NQ
Chartered Asset Management Pte Ltd Regulated Order Desk and Enquiries: 0345 608 0950
Other International Funds Marwyn Value Investors £ 329.72 - -6.14 0.00
Exit Charges: The letter E denotes that an exit
Authorised Inv Funds
CAM-GTF VCC $ 328355.75 328355.75 8925.13 0.00 charge may be made when you sell units,
Foord Asset Management Authorised Corporate Director - Link Fund Solutions
CAM GTi VCC $ 780.49 - -32.39 -
contact the manager/operator for full details.
Website: www.foord.com - Email: info@foord.com Trojan Investment Funds
RAIC VCC $ 1.64 1.64 0.03 2.06 FCA Recognised - Luxembourg UCITS Trojan Ethical O Acc 127.98 - 0.41 0.00 Time: Some funds give information about the
Foord International Fund | R $ 50.70 - 0.52 - Trojan Ethical Global Inc O Acc 98.13 - 0.42 - timing of price quotes. The time shown
Foord Global Equity Fund (Lux) | R $ 18.30 - 0.12 - Trojan Ethical Global Inc O Inc 97.65 - 0.41 - alongside the fund manager’s/operator’s name
Regulated Rubrics Global UCITS Funds Plc (IRL) Trojan Ethical O Inc 127.73 - 0.41 0.00 is the valuation point for their unit trusts/OEICs,
Foord Global Equity Fund (Sing) | B $ 21.82 - 0.15 - www.rubricsam.com unless another time is indicated by the symbol
Foord International Trust (Gsy) $ 49.40 - 0.51 - Regulated alongside the individual unit trust/OEIC name.
Rubrics Emerging Markets Fixed Income UCITS Fund $ 138.59 - 0.07 -
Rubrics Global Credit UCITS Fund $ 17.72 - 0.00 -
Ashmore Group Rubrics Global Fixed Income UCITS Fund $ 177.58 - 0.12 -
The symbols are as follows: ✠ 0001 to 1100
hours; ♦ 1101 to 1400 hours; ▲ 1401 to 1700
61 Aldwych, London WC2B 4AE. Dealing team: +352 27 62 22 233 Dodge & Cox Worldwide Funds (IRL) Polar Capital Funds Plc (IRL)
Authorised Inv Funds 48-49 Pall Mall, London SW1Y 5JG. Regulated
Emerging Markets Equity Fund $ 152.05 - 0.61 -
hours; # 1701 to midnight. Daily dealing prices
www.dodgeandcox.worldwide.com 020 3713 7664 Automation & Artificial Intelligence CL I USD Acc $ 18.47 18.47 0.09 -
Emerging Markets Equity ESG Fund $ 173.23 - 0.72 - FCA Recognised
are set on the basis of the valuation point, a
Asian Starts I USD Acc $ $ 17.81 - 0.26 -
Emerging Markets Frontier Equity Fund $ 206.59 - 0.81 0.35 Dodge & Cox Worldwide Funds plc - Global Bond Fund Zadig Gestion (Memnon Fund) (LUX) short period of time may elapse before prices
Biotechnology I USD $ 36.90 36.90 -0.02 -
FCA Recognised become available. Historic pricing: The letter H
Emerging Markets Blended Debt Fund $ 68.38 - 0.24 - EUR Accumulating Class € 15.56 - -0.02 - China Stars I USD Acc $ $ 14.11 14.11 0.16 -
Franklin Templeton International Services Sarl (IRL) Memnon European Fund - Class U2 GBP £ 218.99 - -1.36 - denotes that the managers/operators will

Slater
Emerging Markets Blended Debt ESG Fund $ 100.16 - 0.27 - EUR Accumulating Class (H) € 11.24 - 0.01 - Emerging Market Stars I USD Acc $ 14.25 - 0.17 -
JPMorgan House - International Financial Services Centre,Dublin 1, Ireland normally deal on the price set at the most recent
Emerging Markets Active Equity Fund $ 157.63 - 0.72 - EUR Distributing Class € 11.75 - -0.02 - European Ex UK Inc EUR Acc € 13.86 13.86 0.05 -
Other International Funds valuation. The prices shown are the latest

Investments
Emerging Markets Corporate Debt Fund $ 77.59 - -0.04 - EUR Distributing Class (H) € 8.43 - 0.01 - Financial Opps I USD $ 16.79 - 0.03 -
Franklin Emerging Market Debt Opportunities Fund Plc Milltrust International Managed Investments ICAV (IRL) available before publication and may not be the
Emerging Markets Debt Fund $ 75.82 - 0.25 - GBP Distributing Class £ 12.04 - -0.03 - Global Convertible I USD $ 15.62 15.62 0.06 -
Franklin Emg Mkts Debt Opp CHFSFr 14.00 - -0.03 5.71
mimi@milltrust.com, +44(0)20 8123 8316 www.milltrust.com current dealing levels because of an intervening
Emerging Markets Local Currency Bond Fund $ 71.04 - 0.28 - GBP Distributing Class (H) £ 8.96 - 0.01 - Regulated Global Insurance I GBP £ 8.48 - 0.01 -
Franklin Emg Mkts Debt Opp GBP £ 9.13 - -0.02 5.61 portfolio revaluation or a switch to a forward
USD Accumulating Class $ 12.78 - 0.02 - British Innovation Fund £ 121.92 - 2.89 0.00 Global Technology I USD $ 86.36 - -0.41 - pricing basis. The managers/operators must
Franklin Emg Mkts Debt Opp USD $ 16.01 - -0.04 5.65
Dodge & Cox Worldwide Funds plc-Global Stock Fund MAI - Buy & Lease (Australia) A$ 103.45 - 0.50 0.00 Healthcare Blue Chip Fund I USD Acc $ 18.67 18.67 0.09 0.00 deal at a forward price on request, and may
USD Accumulating Share Class $ 31.26 - 0.09 - MAI - Buy & Lease (New Zealand)NZ$ 91.20 - -6.06 0.00 Healthcare Dis I Acc USD $ $ 13.73 - -0.01 - move to forward pricing at any time. Forward
GBP Accumulating Share Class £ 37.83 - -0.05 - Milltrust Global Emerging Markets Fund - Class A $ 111.15 - 0.78 0.00 Healthcare Opps I USD $ 63.77 - 0.28 - pricing: The letter F denotes that that
GBP Distributing Share class £ 25.75 - -0.04 - Income Opportunities B2 I GBP Acc £ 2.91 2.91 0.00 - managers/operators deal at the price to be set
EUR Accumulating Share Class € 41.25 - 0.03 - Japan Value I JPY ¥ 130.97 130.97 -1.15 - at the next valuation.
GBP Distributing Class (H) £ 14.93 - 0.04 0.53 North American I USD $ 36.98 36.98 0.12 -
Dodge & Cox Worldwide Funds plc-U.S. Stock Fund Smart Energy I USD Acc $ $ 9.39 9.39 0.07 - Investors can be given no definite price in
Atlantas Sicav (LUX)
Smart Mobility I USD Acc $ $ 9.58 9.58 0.11 - advance of the purchase or sale being carried
USD Accumulating Share Class $ 41.46 - 0.09 - Slater Investments Ltd (UK)
Regulated out. The prices appearing in the newspaper are
GBP Accumulating Share Class £ 47.44 - -0.10 - GAM UK Val Opp I GBP Acc £ 14.11 14.11 0.02 - www.slaterinvestments.com; Tel: 0207 220 9460
American Dynamic $ 7388.13 7388.13 -14.14 - the most recent provided by the managers/
GBP Distributing Share Class £ 28.63 - -0.06 - funds@gam.com, www.funds.gam.com FCA Recognised
American One $ 7305.33 7305.33 -142.30 - operators. Scheme particulars, prospectus, key
EUR Accumulating Share Class € 47.23 - -0.01 - Regulated Slater Growth A Acc 795.43 795.43 -1.66 0.00
Bond Global € 1534.81 1534.81 0.19 - Milltrust International Managed Investments SPC features and reports: The most recent
GBP Distributing Class (H) £ 16.88 - 0.04 0.41 LAPIS GBL TOP 50 DIV.YLD-Na-D £ 117.06 - -0.16 - Slater Income A Inc 152.30 152.30 -0.27 5.22
Eurocroissance € 1395.62 - -34.86 -
LAPIS GBL F OWD 50 DIV.YLD-Na-D £ 107.67 - -0.32 -
em@milltrust.com, +44(0)20 8123 8316, www.milltrust.com
Slater Recovery A Acc 389.37 389.37 0.18 0.00 particulars and documents may be obtained
Far East $ 1190.28 - 0.53 0.00 Regulated
Slater Artorius 367.20 367.20 -0.14 -
free of charge from fund managers/operators. *
Milltrust Alaska Brazil SP A $ 80.86 - 0.85 0.00 Indicates funds which do not price on Fridays.
Milltrust Laurium Africa SP A $ 114.70 - 2.05 0.00
Milltrust Marcellus India Fund $ 142.17 - 0.94 - Charges for this advertising service are based
Milltrust Singular ASEAN SP Founders $ 153.79 - 0.47 0.00
Polar Capital LLP (CYM) on the number of lines published and the
Milltrust SPARX Korea Equity SP A $ 132.59 - 4.70 0.00 Regulated classification of the fund. Please contact
Milltrust VTB Russia Fund SP $ 144.34 - 2.39 0.00 European Forager A EUR € 227.04 - -2.52 0.00 data@ft.com or call +44 (0)20 7873 3132 for
Milltrust Xingtai China SP A $ 143.48 - 0.18 0.00 further information.
The Climate Impact Asia Fund SP (Class A) $ 100.86 - -0.68 -
Genesis Investment Management LLP
The Climate Impact Asia Fund (Class B) $ 100.63 - -0.69 -
Other International Funds
Emerging Mkts NAV £ 7.21 - -0.16 1.54

Private Fund Mgrs (Guernsey) Ltd (GSY)

Regulated
Monument Growth 15/02/2022 £ 551.40 557.05 -3.63 -
Mirabaud Asset Management (LUX)
Dragon Capital www.mirabaud.com, marketing@mirabaud-am.com
www.dragoncapital.com Conviction based investment vehicles details available here www.mirabaud-am.com
Fund information:info@dragoncapital.com Regulated
Other International Funds Mir. - Glb Strat. Bd I USD $ 121.51 - 0.10 -
Vietnam Equity (UCITS) Fund A USD $ 39.46 - 0.41 - Mir. - DiscEur D Cap GBP £ 200.87 - -0.89 -
Friday 18 February 2022 ★ 13
14
Soderbergh’s thriller brings adrenaline to WFH
FIlM
Danny
Leigh
A
mid the first wave of Covid,
Steven Soderbergh seemed
to have the answers. In the
unreal weeks in which the
virus spread around the
globe, his 2011 cautionary tale Contagion
became a hit revived through stream-
ing, a go-to for audiences wowed by
seeming powers of prophecy or seeking
clues about the arc of the crisis. (Then
British health secretary Matt Hancock
claimed decisions on vaccine strategy
were made after watching the film.)
Now two years on Soderbergh gives us
KIMI, another smart and ticklish
thriller, easily read as a metaphor for a
world uncertainly stepping back out of
the pandemic. It also makes for a caustic
jab at the tech business and a zippy
genre fun-ride. Call it a triple bill, all
wrapped up in 89 minutes.
Soderbergh moves fast. Soon we have
word of a major IPO, a nicely turned
joke about Zoom and apparent indus-
trial blackmail. This is just the prologue.
The movie is set in Seattle, although so
much happens indoors it could often be
anywhere. In Covid times, the white-
collar world is working from home.
Here, their ranks include Angela Childs
(Zoë Kravitz), a tech analyst with
bobbed hair the colour of a Smurf.
Her gig (fictional but plausible) is
“voice-stream interpreter” for the AI
virtual assistant that gives the film its
title. The gimmick is that when a user
brings a glitch to KIMI’s attention — no,
play “Me!” by Taylor Swift, not “play me
Taylor Swift” — an actual human hears
the exchange and then makes the neces-
sary tweak.
The work suits Angela, a bright spark
with agoraphobia and obsessive-com-
pulsive behaviours. (Covid has not
★ FINANCIAL TIMES
arts
Top: Zoë Kravitz in helped.) Hollywood thrillers have a
‘KIMI’. Above: Claude difficult history with mental health —
Perron in ‘Bigbug’ but Angela is more than her symptoms
and those symptoms are gracefully han-
dled. They also feel of a piece with the
world the film roots itself in: the free-
lance, home-working economy whose
kitchen-table offices and endless hours
the pandemic so widely exported.
Angela’s workstation/living space alone
may now give audiences the heebie-
jeebies. Soderbergh isn’t above slyly
pushing our buttons. He is also alive to
the dark thrum of living in isolation,
whether through viruses or the march
of progress.
If all this sounds acutely contempo-
rary but not exactly thrilling, the plot
cranks the adrenaline with hints of old
masterpieces. Angela’s view from her
jazzy factory conversion nods know-
ingly to Rear Window. Another great, The
Conversation, is called to mind when
what sounds like a crime turns up bur-
ied in one of KIMI’s recordings. Bigger
twists yet loom down the line. While the
film sometimes gives its modernity a
playfully hip sheen, it also tips its hat to
the laws of classical drama. A bottle of
kombucha is set before the camera; so
too Chekhov’s gun. (Actually Chekhov’s
nailgun, but still.)
Kravitz is terrific, a Hitchcock blonde
gone blue. She and the movie suit each
other. When Angela does leave home,
the sequence that follows has a tele-
scopic wooze that brilliantly captures
barely managed panic.
The Soderbergh so ahead of the curve
with Contagion has always had a
reporter’s eye for the world right now
and the one coming next. It’s easy to for-
get how flat-out entertaining he can be.
Here the result is a treat, an elegant,
stripped-back film, if one with a strange
message for a movie released via
streaming. The modern home is a dan-
gerous place, KIMI says. You really
should start going out again.
On Sky/Now TV in the UK now and on
HBO Max in the US
Long before his sugar-coated Amélie,
director Jean-Pierre Jeunet made the
frantic 1991 black comedy Delicatessen,
set in a post-apocalyptic France. (Cue an
awful secret in the boucherie.) Now
with his tiring sci-fi burlesque Bigbug,
Jeunet gazes ahead once more. This
time, things to come look different.
Unfolding in the techno-burbs of 2045,
the film has the bubblegum gleam of
old retro-futurism: the bright tomorrow
of all our yesterdays, arranged like a
furniture showroom.
Chief among the objets is a riot of
time-saving contraptions, overseen by
higher machines employed as domestic
staff. Overseeing them is an all-seeing AI
given humanoid form, played with a set
of memorable teeth by François Lev-
ental. (Bigbug and KIMI often seem like
two students answering the same exam
question.) In the hyperconnected fam-
ily home where the story takes place,
the cast divide neatly (ish) into robots
and homo sapiens. To represent the lat-
ter, we have a jumpy divorcee, her rak-
ish lover and his teenage son — and,
making what should be a flying visit, her
oafish ex-husband, his younger girl-
friend and the original couple’s daugh-
ter. If that already sounds like farce,
throw in a neighbour then lock the
doors. An apparent mechanical hiccup
has made humanity prisoners.
Jeunet’s future has no place for back-
ers Netflix. Maybe his deafening film
helped render it extinct. Occasionally,
the director registers a dry aside about
the cost of living with tech, only to be
drowned out by his own racket. The
movie is immersive. You too will feel
trapped, gasping for air and banging on
the glass for help.
On Netflix now
Twice during the sorrowful documen-
tary Downfall: The Case Against Boe-
ing are moments that might have come
from a corporate promo. In the first,
tranquil scenes of departure lounges
remind us of the scale of the miracle
by which mass air travel grew so safe
as to actually become dull. Later, the
film maps the history of the business
that made that possible: Boeing, one-
time American paragon, its flawless
reputation reflected in a long tradition
of collective responsibility. “An excel-
lent company,” one former employee
says sadly.
Two recent disasters involving the
newly launched Boeing 737 MAX laid
waste to that. The film details how and
why. The crash of the October 2018 Lion
Air flight from Jakarta is re-enacted as if
watching a flight simulator: enough to
convey what it must have been like for
the pilots to feel a 160,000-pound plane
apparently demand its own descent into
the Java Sea. The six-minute journey of
Ethiopian Airlines Flight 302 the follow-
ing March has the feel of a recurring
nightmare. But nightmares are usually
inexplicable. Director Rory Kennedy —
‘KIMI’ is easily read as a
metaphor for a world
uncertainly stepping
back out of the pandemic
working with producers Ron Howard
and Brian Grazer — is deft enough with
insight and detail that even those who
followed the news story will leave with
fresh understanding.
In January 2021 Boeing agreed to pay
$2.5bn in fines and compensation to
avoid criminal prosecution. Kennedy
lets us be the judge, tracing events with
clear outrage but a steady, diligent eye.
The physical cause of the disasters
proves almost fable-like. A complacent
business sends a cheaply tweaked old
design to compete with a fitter rival in
Airbus, a shortcut requiring new,
unproven onboard technology. That
money-saver was, in the phrase of one
insider, a “monster” in waiting.
But it didn’t end up in the air by acci-
dent. The crux of Kennedy’s film is the
abandonment of safety as absolute
Friday 18 February 2022
KIMI
Steven Soderbergh
AAAAE
Bigbug
Jean-Pierre Jeunet
AAEEE
Downfall: The Case Against Boeing
Rory Kennedy
AAAAE
The Real Charlie Chaplin
Peter Middleton & James Spinney
AAAAE
priority that once defined Boeing. The
business story behind that can feel an
inch simplified (while the role of the
FAA feels underplayed). Still, the sud-
den, stark elevation of shareholder
value above all is robustly spotlit, giving
rise to a spivvish culture of concealment
that would, as is said, have disgraced a
manufacturer of washing machines.
The film does not lose sight of the fact
the real tragedy was the 346 lives lost on
the two flights. Yet it also makes a pow-
erful account of how even an excellent
company can rot from the inside out.
On Netflix now
Telling the tale of Charlie Chaplin also
means unpacking a slab of 20th-century
history. The explosion of mass enter-
tainment, America from Ellis Island to
exile, revolutions, war, the birth of mod-
ern celebrity, the press, capitalism,
communism, Hitler, J Edgar Hoover. All
of it needs house room, supporting play-
ers in the life of the figure in the bowler
hat. Most biographers would demand a
10-part series. Singular new documen-
tary The Real Charlie Chaplin is con-
fined to the length of a feature. Remark-
ably, every chapter on the timeline
makes it in. Yet the film is far more than
the sum of its bullet points.
Naturally, the pace is brisk. But there
are bold, risky flourishes too; the movie
keeps finding new angles and tangents.
Among them is an unheard 1983 audio
interview with Effie Wisdom, a child-
hood friend of Chaplin with whom he
was later reacquainted. Here it is
restaged on camera with an actress
miming the words of Wisdom, then 92.
Fascinating and uncanny, the sequence
invites you to ask what life Chaplin
might have made had he stayed in Eng-
land. It will put the one he built in Holly-
wood into novel relief even for an audi-
ence who think they already know him.
(The film should also make a useful
beginner’s guide.)
The time travel goes both ways. If
Chaplin became a symbol of the 20th
century, he also sprang from the 19th —
not least that pauper childhood in a still-
Dickensian London the film suggests he
never really escaped. Of course, he also
pushed endlessly on into the future. So
it only feels right that the movie frames
him in contemporary terms. His
(mis)treatment of women is rightly
foregrounded. But amid his flaws and
contradictions, directors Peter Middle-
ton and James Spinney credit him too as
a true virtuoso, an eternal one-of-a-
kind. You sense he would have appreci-
ated the inventive dazzle of the film.
In UK cinemas now and on Showtime in
the US
Left: ‘The Real
Charlie Chaplin’
tells a fresh
story of the
star’s life and
times. Below: a
mass funeral for
victims of the
Ethiopian
Airlines Boeing
737 MAX crash
in 2019 — a key
part of
‘Downfall: The
Case Against
Boeing’
Friday 18 February 2022
Inflation is biting, labour shortages are acute and the government is pushing for national wage rises of
more than 3 per cent. So why do some believe Japanese unions will struggle to get business to fall in line?
F
or a generation of Japanese
entering the workforce this
year, their entire lives have
been spent with three things
stuck at zero: inflation, inter-
est rates and the chances of the shunto
“spring offensive” of wage demands
being anything other than a crushing
disappointment.
Companies in Japan have resisted
raising prices by any means possible for
the past three decades, helping to estab-
lish a mindset where inflationary expec-
tations withered to nothing, and compa-
nies felt no shame in offering the
nation’s workforce one of the lowest
average wage increases in the OECD.
Despite a shrinking labour force and a
job market so tight that companies
struggle to recruit everyone from wait-
ers to software engineers, trade unions
have gone along with it.
Suddenly, two years into a pandemic
and with the prices of the nation’s
favourite snacks rising for the first time
since 1979 — along with energy and
commodity prices — there is a sense of
change in the air. And optimism that the
newest members of Japan’s workforce
will be able to enjoy the first shunto in
decades to actually make a difference.
Inflation has averaged an annual 0.3
per cent over the past 30 years but is
tipped to reach 1.1 per cent in 2022. Not
high by global standards, but huge in
Japan, and company bosses, union lead-
ers, analysts and economists say that
could weigh heavily on the shunto — four
weeks of talks between big employers,
such as Toyota and Sony, and the unions
— that are set to begin.
“Calls for wage hikes will likely get a
1.1% 116
Projected inflation Jobs available
rate in 2022, a large for every 100
rise for Japan applicants
lot more shrill” as the talks progress,
says Nicholas Smith, CLSA Japan strate-
gist. Crucially they have government
backing, with Prime Minister Fumio
Kishida actively encouraging wage rises
of more than 3 per cent.
“Wages in Japan peaked in 1997 and
have barely grown since then, and are
now among the lowest in the developed
world,” Tomoko Yoshino, the new head
of the nation’s largest labour union asso-
ciation, Rengo, told members ahead of
the pay talks. “Wages have not kept pace
with the growth in productivity, and it is
difficult to say that they have been dis-
tributed appropriately to workers.”
Yoshino, the first female Rengo boss,
has encouraged all its member unions,
representing 7mn workers, to push for
wage rises. At the same time the coun-
try’s biggest business lobby, the Keidan-
ren, which in 2021 described “blanket
pay hikes as unrealistic”, is now urging
member companies recovering from
the pandemic to raise pay. Uncertainty
over any new coronavirus variants may
yet curb wage increases. But Kishida
senses a historic opportunity, say offi-
cials who work closely with him. His
predecessor Shinzo Abe gave his name
to a clutch of economic reforms, Abe-
nomics, which, among other unfulfilled
ambitions, had hoped to secure a sus-
tainable culture of wage rises without
which it is difficult to grow the economy.
In 2013, Abe convinced companies to
raise wages above the level demanded
by unions, achieving a 2.4 per cent rise
in 2015, but its one-off nature caused
people to sneer that it was a govern-
ment-manufactured shunto.
Kishida, who has pitched himself as
the architect of a “new capitalism”,
hopes the current circumstances — a
tight labour market and diminishing
immunity from inflationary pressures
— will allow him to preside over a more
identifiably organic shunto success story
and push inflation closer to the Bank of
Japan’s long-held 2 per cent target.
“Kishida is pushing this ‘new capital-
ism’ agenda with a focus on redistrib-
ution of wealth,” says Atsuo Ito, an
independent political analyst. “Wage
increases are very important for this
plan to succeed.” The success of the rul-
ing Liberal Democratic party in upper
house elections in the summer might
also hinge on what happens over the
next few weeks, he adds.
Ito has dubbed the upcoming season
the “spring of price hikes” but
warned that it will be “very difficult”
for unions to “secure wage hikes that
could offset inflation on this scale”.
Closing the wealth gap
The circumstances are ideal, it seems,
for labour to become more assertive
in Japan. Kishida has, in his
five months at the helm,
repeatedly talked about
“distribution” — a still
vaguely explained policy
position that appears at
odds with the “trickle-
down” ideology behind
★ FINANCIAL TIMES
FT BIG READ. JAPAN
By Antoni Slodkowski, Eri Sugiura and Leo Lewis
A new day for higher pay
Japanese Abenomics. “The current situation is
workers, above, based on a major fundamental policy
have barely difference between Abe and Kishida on
seen their wages the issue of fiscal stimulus, and one clear
increase in example of how Kishida is distancing
30 years. Prime himself from Abe is the shunto,” says
Minister Fumio Takao Toshikawa, a political analyst.
Kishida, below, Kishida has vowed to abandon
senses an “shareholder capitalism” and promote
opportunity to his vision of a more inclusive Japan.
change that There has been speculation among busi-
FT montage/Bloomberg ness leaders — denied by officials — that
the government could withhold public
sector contracts from companies that
are too stingy with wages.
To advocates, Kishida’s distribution
talk is a signal that the LDP has at last
acknowledged that there is something
inherently wrong with a system — in the
world’s third-largest economy — that
has failed to deliver serious wage rises.
Real wages have risen just 0.39 per cent
since 2000 and South Korea now out-
strips Japan in average pay, according to
OECD data.
Both the national government and
‘If the central bank have, for the better part of
three decades, attempted to address
unions are deflation and bring sustainable growth
to an economy where consumer spend-
weak, it ing accounts for over half of gross
doesn’t domestic product.
When those policies have fizzled,
matter their failure has been explained as the
how often result of structural shortcomings. Some
critical ingredient has always been miss-
the prime ing from a huge larder of factors that
includes higher real inflation, more liq-
minister uid labour markets, genuinely disrup-
says he tive politics, more assertive unions or
lower savings rates, even when other
wants to parts of the mix seemed about right.
This time, say both analysts and
see wage labour leaders, there does appear to be a
hikes of 3% critical mass of pressures — including
bumper profits for companies and ris-
— it doesn’t ing living costs for workers — driving
demand for wage rises.
carry’ Japan’s official consumer price infla-
tion in December stood at 0.5 per cent —
which has allowed some to argue it is
immune from the sorts of rises seen in
the US and Europe. But it has been held
artificially low by massive price cuts
that the government in effect forced on
mobile phone companies to woo voters
12 months ago. From March, year-on-
year comparisons in the CPI will have
moved beyond that price-cut blip,
producing a potentially eye-catching
inflation figure that will feed into the
pay talks.
The massive shrinkage in
the working-age population,
now declining at about
550,000 per year, is another
factor. Pre-pandemic, those
numbers were partially
offset with large-scale immi-
gration that amounted to roughly
200,000 new entrants every year.
Since Covid-19 hit, Japan’s border con-
trols have made it nearly impossible for
companies and entire workforce-
hungry sectors such as nursing and
retail to bring in large numbers of for-
eign workers. Although the government
has indicated a tentative reopening, it is
unclear when, or if, foreign workers will
return in similar numbers.
Japan’s job market figures continue to
reflect extraordinary tightness. There
are 116 jobs available for every 100
applicants. CLSA’s analysis of the Bank
of Japan’s quarterly surveys of business
sentiment shows companies reporting
labour shortages at levels equivalent to
the years during the peak of the late
1980s bubble.
The political tailwinds of Kishida’s
“new capitalism” rhetoric and more
assertive unions are combining to
demand wage increases and shedding
the fear that doing so threatens the cor-
porations that underpin the economy.
Large companies that raise wages by
3 per cent or more and small businesses
that increase them by 1.5 per cent will
be eligible for tax breaks under new
government plans. Up to 40 per cent of
wage increases could be deducted from
corporate tax in some cases. Perhaps
buoyed by this and conscious of how
much more competitive the labour
market has become due to Japan’s
demographics, trade unions appear
more determined.
“We understand that the business
environment is tough, but we’re still
planning to push for a boost to base pay,”
says Natsuki Sagara, a senior officer at
the Japan Railways Rengo union. “As the
prime minister says, if we don’t increase
wages of the workers it won’t be possible
to reduce the gap between the rich and
the poor.”
Uneven pandemic recovery
Yet doubts over the scale of this year’s
wage rises remain, amid the threat
of more Covid variants, companies’
worries over rising material costs and
the unions’ poor record in pushing for
higher pay.
That is especially true for the hotels
and transportation sectors, experts say,
which are still licking their wounds after
the pandemic. Their fate stands in sharp
contrast with manufacturing, where
operating profit in the July-September
quarter grew more than twofold from
the same period the year earlier.
“Providers of face-to-face services
are struggling, especially in hospitality
and travel where demand is well below
pre-Covid levels,” says Stefan Angrick,
senior economist at Moody’s Analytics.
“[Yet] tech and manufacturing are
Japan’s long-running wage slump
% change in real wages since 2000
-10 0 10 20
Norway
S Korea
Chile
Denmark
US
Germany
France
UK
Israel
Portugal
Japan
Greece
Spain
Italy
Source: OECD
benefiting from shifts in consumer
demand and are outperforming.”
On top of that, some observers doubt
whether the unions — which have
historically emphasised collaboration
over confrontation with companies to
protect jobs — have the stomach for an
aggressive push on wages.
“They don’t have the energy to fight,”
says Shoichi Ibusuki, a labour lawyer.
“If the unions are weak, it doesn’t mat-
ter how many times the prime minister
says he wants to see wage hikes of 3 per
cent and more — it doesn’t carry.”
Unions working in transport or hospi-
tality or other areas badly affected by
the pandemic will be in a much weaker
position to demand wage rises. And
moves to reopen the economy will prove
too little too late for many companies to
boost wages, say observers.
“I think coronavirus is still at the back
of the minds of lots of companies
because they can’t quite see the path
towards recovery and the business envi-
ronment remains uncertain,” says Ito.
“Because of that, I think there’ll be lots
of firms that will be very cautious when
it comes to wage hikes this year.”
Who pays for higher wages?
Japan, like other countries, is trying to
determine whether inflation is a tempo-
rary phenomenon or here to stay. At the
moment it can be traced back to a spike
in fuel prices and supply chain bottle-
necks. And doesn’t indicate that the
Japanese economy has taken off, mak-
ing companies reluctant to raise wages.
Companies warn that the long-
entrenched deflationary mindset
makes it near impossible to pass on
the increases to consumers. “In the US,
inflation, including massively growing
labour costs, is passed on to all the
products, and retailers admit that as a
natural thing. Australia and other coun-
tries too,” Yoshinori Isozaki, chief exec-
utive of Japan’s beer group Kirin, told
reporters on Monday. “But the strangest
15
thing in the world is that is not possible
in Japan.”
It is similar in the service industry,
30 40 says Soichiro Ishikawa, the general sec-
retary of the Japan Federation of Service
& Tourism Industries Workers’ Unions,
who notes that a prolonged deflationary
mindset has held hotel managers back
from increasing room rates and, as a
result, boosting employees’ wages.
To help the reluctant corporations,
Kishida has offered subsidies — addi-
tional to the tax cuts — to smaller com-
panies unable to raise wages on their
own. But Akihiko Matsuura, chair of UA
OECD Zensen, one of the biggest labour unions
average
representing textile, garment and res-
taurant workers, dismisses the meas-
ures as ineffective.
“Wages are paid to workers over a
long period,” says Matsuura. “I think
only a few managers will raise them
because of subsidies that can be
removed at any time.”
The greater problem with using
shunto as a vehicle to boost wages, say
labour experts, is that the negotiations
involve only the largest corporations. At
least 70 per cent of Japanese workers are
employed by small and medium firms
and more than a third are on contracts
or work part time. “If these workers’
wages don’t rise, you can’t expect con-
sumption to grow — and that’s where
wage increases are needed most,” says
Ibusuki, the labour lawyer.
Even those arguing that shunto
2022 could be different acknowledge
that history is pulling against it. Labour
market liquidity, though significant in
some sectors, remains low throughout
much of the economy and companies,
as hoarders of cash, may be able to
convince staff that long-term survival
outweighs any immediate need to
raise wages.
‘Covid-19 Hisashi Yamada, the vice-chair of the
Japan Research Institute think-tank,
is still at says to consider the entire issue of wage
increases as a balance between the
the back of unions, companies and government, is
the minds wrong. Japan’s long-term suppression of
wage increases, he says, is the symptom
of lots of of a system that prioritises maintaining
companies. employment above the fundamental
vigour of the economy. And that the
So lots of shunto will not break free from its long
history of carefully choreographed dis-
firms will appointment.
be very “If you want to raise wages, you have
to eliminate unprofitable businesses
cautious and increase profitable sectors, because
the source of wages is profit, and wages
when it will not rise otherwise,” says Yamada.
comes to “Japanese unions are reluctant to do so,
because protecting employment at the
wage hikes same company is a major priority.
“The big picture has not changed in
this year’ that sense,” he adds.
16
FRIDAY 18 FEBRUARY 2022
Central banks are facing
a set of hard choices
A trade-off between inflation and growth is crucial to monetary policy
The last time UK inflation was as high
as it is now the British pound was
linked to the now-defunct Deutsche-
mark. In the US, the rate of price
growth is the highest since 1982, which
economic historians see as roughly the
end of the 1970s Great Inflation. Euro-
zone inflation, meanwhile, is the high-
est it has been in the currency bloc’s
history — unsurprising, perhaps, given
soaring natural gas prices and the spec-
tre of an inflationary war in Europe.
Only Asia seems immune from the
pressures.
It is clear that emergency stimulus is
no longer required for economies with
tight labour markets and high infla-
tion. Yet central banks face hard
choices over how fast and far to raise
rates. Move too early and they risk
choking off growth, while doing noth-
ing to counter cost pressures that are
more to do with Covid-related bottle-
necks and geopolitical tensions. Move
too late and an even more aggressive
approach may be required to tame
inflation. The worry for central bank-
ers is a “wage-price spiral” as workers
attempt to shield their take-home pay
from the effects of higher prices. A tight
labour market, fuelled by cheap
money, could cause rising inflation to
feed off itself. Workers, aware that
vacancies are at a record high in many
advanced economies, might sensibly
try to ensure their pay packets keep
pace with prices (though there are
some questions about whether workers
in modern, deregulated labour mar-
kets have the clout to negotiate wage
rises that keep up with inflation). Any
wage gains, however, would be illusory
and quickly fade as they, in turn,
sparked higher inflation.
Combating a wage-price spiral
moves central banks into controversial
territory. Andrew Bailey, Bank of Eng-
land governor, attracted a backlash for
comments that workers should exer-
UK media investigations
are under serious threat
Supreme Court has tilted balance too far in favour of privacy rights
What is the correct balance between
the right of an individual under police
investigation but not yet charged to
have their privacy protected, and the
public’s right to know about potential
criminal activity? In Britain the scales
have been tilted too far in favour of the
former — a shift cemented by a
Supreme Court judgment this week.
This creates serious risks of legitimate
media investigation being suppressed,
and wrongdoing going unreported.
This is more than a free-speech issue.
The UK’s reputation as a place to do
business rests in large part on its claim
of transparency and robust rule of law,
backed by a vigilant free press.
The judgment relates to a Bloomberg
article in 2016 that named a business-
man, now known only as ZXC, as being
investigated by a UK law enforcement
agency, though he had not been
charged; his employer was already
known to be subject to a probe. The
information came from a confidential
letter from the agency to a foreign state
requesting information, which
Bloomberg had obtained. The Supreme
Court endorsed two lower courts’ rul-
ings that the news organisation had
breached the businessman’s privacy
right under article 8 of the European
Convention on Human Rights.
This sets the seal on a change that has
been under way since the 2011 Leveson
inquiry into British press standards
recommended that names of those
arrested or suspected of a crime should
not, in most cases, be released to the
press or public. Police stopped doing so.
In 2018, the High Court backed Cliff
Richard’s complaint that BBC coverage
of a police raid on the singer’s home, in
a probe that was later dropped, had
breached his privacy rights. The legal
starting point is now that people under
criminal investigation, pre-charge, can
expect privacy relating to that fact.
The media, it is clear, have a duty not
cise pay restraint. One tabloid went so
far as to label him the “Plank of Eng-
land” on its front page along with a ref-
erence to his high salary. But while Bai-
ley’s words were clumsy, it is the job of a
central banker to play “bad cop” when
required. Unelected technocrats do not
need to be liked.
A bigger concern than public rela-
tions is that tightening too fast will
bring about the very situation central
bankers wish to combat. Since the ‘80s,
some economists have argued that in
the long run monetary stimulus can
only lead to inflation, not real income
growth — necessitating that central
bankers should be conservative and, in
the interests of workers as well as eve-
ryone else, overly sensitive to inflation-
ary risks from rising labour costs. But a
growing contingent of economists
argue it is precisely this conservatism
that has led to multiple decades of mea-
gre wage growth. Focusing excessively
on inflation can lead to a permanent
loss of economic output and productiv-
ity, scarring the economy. In the US, the
pattern of higher nominal wage growth
— especially for lower income house-
holds — could end. Not only could this
be bad for workers, it would also cut off
the demand necessary to convince
businesses to invest more. To top it off,
the supply problems that led to infla-
tion in the first place may remain.
These are the most difficult mone-
tary policy decisions central bankers
have faced since the early 1980s. That
makes effective communication, and
avoiding Bailey’s “foot-in-mouth” com-
ments, vital. Workers, just as much as
companies, are right to act in their own
interests and pursue the best deals they
can. Central bankers, however, must
make it clear that monetary policy will
tighten and they will always pursue a
2 per cent norm for inflation; workers
should similarly expect central banks
to do their best too.
to spread accusations recklessly. The
principle of “innocent until proven
guilty” should be respected in report-
ing law enforcement investigations.
There may be an argument to shield
the identity of those probed over, say,
alleged sex offences, where lives can be
destroyed by accusations that prove
baseless. This is much less true, how-
ever, of businesspeople being probed
over fraud or malfeasance claims.
Especially in white-collar crimes,
years can pass between legal probes
opening and charges being issued. The
interests of shareholders, investors,
customers or creditors may, mean-
while, be at stake. Once proceedings
are active, journalists are restricted in
what they can report by contempt of
court rules. If media are prevented
from identifying people under investi-
gation, serious wrongdoing may escape
press scrutiny until too late.
A severe chilling effect occurs when
media must debate whether naming
individuals, on public interest grounds,
merits the risk of a costly legal claim
alleging infringement of privacy, which
may include reputational damages.
Add that to England’s reputation as
venue of choice for libel claimants and
journalists face formidable obstacles.
The balance needs to be reset. Before
the 1998 Human Rights Act incorpo-
rated rights under the European con-
vention into UK law, and privacy law
expanded, courts viewed being named
as part of legal probes as something
individuals had to deal with. Though
some of its aims are questionable, a
government review of the Human
Rights Act offers a chance to provide
legislative clarity over how judges
should weigh competing rights to per-
sonal privacy and public transparency.
If it values a free press and wishes to
safeguard Britain’s business image, the
government should act to ensure jour-
nalists can do their job effectively.
★ FINANCIAL TIMES
Letters
Corporate lenders must be on lookout for early signs of default
In your article “US banking regulators
warn of risks in leveraged loan market”
(Report, FT.com, February 14) you are
right to point out the risks from rising
debt leverage ratios and loosening
lending standards. It is also correct to
highlight that more risky lending has
been done by non-banks than banks.
But risk aversion alone is not a strategy.
Banks need to keep lending to support
their investment and transaction
banking networks. As Jamie Dimon,
head of JPMorgan, has warned for
Turkey and UAE enjoy a
‘guns and butter’ moment
It is one of the oldest maxims of
international diplomacy that more
trade means less war. The trade-
focused visit by Turkey’s president
Recep Tayyip Erdogan to the United
Arab Emirates this week (“Erdogan
visits UAE for trade talks in effort to
draw line under feud”, Report,
February 15) shows both countries
understand that buying and selling
more from each other will make them
both safer and wealthier.
It may seem obvious, but a Middle
East that seeks to swap goods and
services, rather than projectiles and
fiery rhetoric, is a more stable one.
Contrary to the stereotypical view,
the region is showing tentative signs of
relative calmness.
The UAE and Saudi Arabia have
recently both made efforts to ease
tensions with Iran, as well as this
Turkish-UAE rapprochement. Israel is
now on talking terms with many more
of its neighbours.
Rapprochement and reconciliation
are the only tools for sustainable stake
holding.
Decades of peace-talks, diplomatic
ups-and-downs and many tragic
conflicts have not served to stabilise
the Middle East. Turkey and the UAE
tried a war of words for nearly a decade
to no avail.
Their efforts to double bilateral trade
will achieve more for both their
peoples, by growing new businesses,
and helping diversify both their
economies.
Perhaps the obvious answer to the
long-running question of Middle East
security has been staring us in the face
all along: more trade equals more
stability.
Ambassador Anil Trigunayat
Former Indian Ambassador to Jordan
(2014-16) and Libya (2012-14)
New Delhi, India
Western press needs to
ditch Taiwan moniker
As a retired diplomat of Taiwan, I wish
to echo the letter by Kaarli Harry
Eichhorn, who called for the ex-Soviet
moniker when talking about the
Baltic states to be dropped (Letters,
February 11).
By the same token, most of the
western media — including your
newspaper — has for decades tended to
describe Taiwan as a “runaway ” or
“renegade” province of China, or as a
“self-governing island claimed by
Beijing as part of its territory and to be
reunited with China, by force if
necessary”.
The fact of the matter is that Taiwan,
with its 23mn-strong population and a
robust economy playing a key role in
England’s
Gypsies and
Travellers fear
a darkening
political mood
Notebook
by Robert Wright
many years, banks are being
marginalised by the rise of non-bank
lenders. It has long been lamented on
Wall Street that a new generation of
bankers and risk managers have grown
up not having seen an interest rate
tightening cycle. In other parts of the
bank, higher rates will be positive
news, but corporate lending comes
with the threat of a potential increase
in non-performing loans.
Corporate lending suffers greater
losses in an economic downturn than
the global high-tech and
semiconductor supply chain, is an
independent sovereign state and has
never been ruled by the People’s
Republic of China, nor has it ever paid
a dime of tax to the authoritarian giant
neighbour.
Against all odds, Taiwan was recently
ranked by the Economist Intelligence
Unit (EIU) as the most democratic
country in the entire Asia Pacific, and
ahead of both the UK and the US in
global rankings.
Despite constant coercion and
intimidation from Beijing, Taiwan
continues to demonstrate its success
story as a full-fledged democracy and
open society. It is time to drop a
moniker maliciously driven by the
Chinese propaganda machine and
simply call the island Taiwan!
Ambassador Stanley Kao (Ret.)
Taipei, Taiwan
At least restore freedom of
movement for the young
Your editorial justly sets out the unfair
burden placed on the young by recent
political decisions. But it treats Brexit
exclusively as an economic issue
(“Britain’s young face a poorer future”,
FT View, February 16).
Yet it is the narrowing of horizons
through the atmosphere of nationalism
and the ending of freedom of
movement that provides the biggest
harm.
Given public hostility to immigration
it is unlikely that there will be a general
return to that right. But perhaps the
UK electorate would support a
reciprocal freedom of movement
agreement to return that right to the
under-30s.
It would be one way in which my
generation (l was born in 1954) can
repay the young.
Michael Romberg
London W1, UK
The scene outside Terry Green’s static
caravan, on a site in East Sussex, feels
calculated to underline his
marginalisation as a member of
England’s Gypsy and Traveller
community. A large, often smelly
recycling plant dominates the view.
Turning his head, Green can see the
tower of a fire brigade training facility
that sometimes belches acrid smoke.
It is a common predicament for
residents of the majority of Gypsy
campsites that are, like this one,
owned by local authorities. Some are
cheek by jowl with sewage works.
Many others adjoin recycling plants or
are surrounded by embankments of
earth. “They try to hide Gypsies away
from public view,” Green says.
Yet more worrying for Green and
many other English gypsies is a sense
that wider society is growing less
tolerant of the centuries-old minority.
The most recent insult was delivered
by comedian Jimmy Carr, who made a
joke about the murder of hundreds of
thousands of Gypsies being one of “the
positives” to come of the Holocaust.
The audience applauded.
There is worse news ahead. The
police, crime, sentencing and courts
bill, currently moving through
parliament, would criminalise some
forms of trespass on private land and
give police the power to confiscate
caravans — the homes of people
engaged in such trespass. Jake Bowers,
a Gypsy who founded a campaign
against the bill, calls it an “attempt to
cleanse the British landscape of our
nomadic culture”.
If you are not satisfied with the FT’s response to your complaint, you can appeal
to the FT Editorial Complaints Commissioner: complaints.commissioner@ft.com
consumer and property lending, owing
to lower levels of collateral.
Technology-led disruption and
inflationary cost pressures will lead to
more differentiation between
corporate borrowers in this credit
cycle. Sophisticated non-bank lenders
are armed with quants and
technologists able to capture and make
sense of the huge proliferation of data.
Banks need to fight back. They must
look for early warning signals of
default. At Galytix we believe that
Price rise trend has been
visible since early 2021
Stefan Gerlach’s dismissal of those who
see central banks as being way behind
the inflation curve is evidently based
on a belief that a temporary rise in
energy costs is the only concern
(“Central banks are circumspect on
inflation for a reason”, Letters,
February 10). But prices — at least here
in the UK — have been rising long
before this became a problem, visible
in some instances since early 2021.
One might draw his attention to
several recent FT articles. Chris Giles
reported (Report, January 20) the
Office for National Statistics as saying
“the increase in December’s rate of
inflation was broad-based,” quoting
food, furniture, household goods,
clothing and footwear. Daniel Thomas
(Report, January 25) quoted a hotel
manager saying “everything is going
up,” with his drinks supplier telling
him of an average 12 per cent rise
coming his way. Both reports
mentioned increasing energy prices,
but these were being foretold, not yet
present. Then, to reinforce the
generality of price increases, the
headline of an FT leader on January 31
told us “Headline inflation may not tell
the full story”.
Flooding the world with ultra cheap
money has at last spilled out of bloated
asset values into the wider economy.
Its full effects are likely to be with us
for a long time, whatever central banks
choose to do now.
Eric Chalker
Tonbridge, Kent, UK
Criminals’ cryptic ads were
‘legal but harmful’ too
I have read with great interest the
report by Tim Bradshaw and others
entitled “Tech sector alarmed at Patel
push to monitor ‘legal but harmful’
content” (Report, February 16).
It reminded me of a plethora of
thriller movies I have watched where
the criminals would communicate
using classified ads in newspapers. The
classifieds would be legal whereas the
encrypted content was harmful. I
wonder what Priti Patel, the UK home
secretary, would do in such
circumstances.
I have always thought that we need
to protect the internet from the big
four tech groups — Alphabet, Amazon,
Apple and Meta — as they have
disproportionate power, with no real
liability. Now it seems that our priority
must be to protect it from Patel’s ideas,
which also happen to be legal but
harmful to the internet and civil
liberties.
Can Baskent
Lecturer in Computer Science
Middlesex University, London NW4, UK
He points out that problems with
trespassing have multiplied since the
mid 1990s, when local authorities
were absolved of the obligation to
provide enough “pitches” (single-
caravan spaces on sites) to cater to
expected demand. Research last year
found that, out of 4,503 permanent
pitches and 354 transit pitches at
Gypsy campsites in England, only 59
and 42 respectively were available. At
least 1,696 households were on waiting
lists for permanent pitches.
In the 2011 census, 58,000 people in
England identified as Gypsy or Irish
Traveller, although campaigners think
there may be a far larger hidden
population. Green despairs of
politicians’ wariness about speaking
up for one of the few groups still seen
as fair game for jokes as harsh as
Carr’s. “We’re vote-losers,” he says.
Those on the other side have
justifications for their stances. One
moderate former Conservative
minister privately expresses concern
about the implications for civil rights
of parts of the legislation going
through parliament. But he says he
would have voted for the provisions
on Gypsy sites, based on experiences
of his former constituents. He recalls
how many had fields and other
properties wrecked by illegal camps.
The government says the police bill
will protect communities by
“clamping down” on such camps.
Green accepts that some Gypsies
cause problems when stopping
unauthorised on private property.
But, if there were enough legal places
Friday 18 February 2022
Email: letters.editor@ft.com
Include daytime telephone number and full address
Corrections: corrections@ft.com
systematic processes combining
artificial intelligence with human
knowledge of the industry are crucial
to bringing together a bank’s internal
data with the wide range of external
data on borrowers, peers and supply
chains.
As Warren Buffett says: “Only when
the tide goes out do you discover who is
swimming naked.”
Rupak Ghose
Chief Operating Office, Galytix,
London SW5, UK
Ignoring climate crisis is
what will make us poorer
Gregory Shenkman (Letters, February
16) claims that Adam Smith made it
clear that the best outcomes for all
result from “free markets and
enlightened self-interest”, and that
current environmental, social and
governance investment practices, since
they are inconsistent with a free
market, will make us all poorer in
every respect.
I’m not sure Smith did say quite that.
But if he did, he was not taking into
account the ubiquity of the “prisoner’s
dilemma”. This is where a group of
individuals, each of whom acts out of
self-interest, all do worse than if they
had co-operated with one another. The
obvious current example is climate
change, which is much more likely to
make us all poorer in every respect
than ESG investing.
Nor is it clear why such investing is
inconsistent with a free market.
Investors make their own informed
choices about which products to buy,
and prices will depend on the market
rather than on any kind of
objectionable governmental
interference.
Roger Crisp
Professor of Moral Philosophy
Uehiro Fellow and Tutor, St Anne’s College
University of Oxford, UK
With respect, you miss one
English language nuance
Gillian Tett’s astute observations on the
vagaries of the way the English use
their own language misses out on at
least one critical nuance (“It’s time for
us all to speak more like the Dutch”,
Opinion, Magazine, FT Weekend,
February 12). When an Englishman
wishes to say “I think that you are
wrong” he says “with respect”. When
he says “with all due respect” he means
“I think that you are completely
wrong”. And when he says “with the
utmost respect” he means “I think that
you are an idiot”.
Frank E Bannister
Dublin, Ireland
Surprising assumptions
about economic theory
Many of your readers may be surprised
to learn that economic theory
continues to be founded upon
assumptions of “equilibria” and
“steady states” (“Economics should
never waste a good crisis”, FT View, FT
Weekend, February 12), at a time when
we appear to be living in a world of
constant change.
David Simpson
Former Professor of Economics
University of Strathclyde 1975-89
Dunbar, East Lothian, UK
to go, caravans would not end up
parked in car parks, housing estates or
fields, he adds. “It would just be,
‘That’s the designated stopping place
— go there’,” he says.
Carr insists he was drawing
attention to the groups whose fate in
the Holocaust was less well known. He
made that point to his audience after
telling the joke. That explanation
meets with cold fury among Gypsies.
Bowers calls the joke the “light
entertainment equivalent” of parts of
the police bill. “It’s all part of creating
the same mood music,” he says.
Neither the harshness of Carr’s slur
nor the constraints of the police bill
look likely to lead to a sudden
cataclysm for England’s Gypsies.
Instead, the meanness of public policy
is gradually squeezing their traditions.
A shortage of campsite spaces forced
Green to live for 28 years in a bricks-
and-mortar council house before he
secured a space at his current site.
Bowers, who gave up the nomadic
life when he had children, says there is
pressure to assimilate. “For most
people, that policy of assimilation has
forced them either to live on council
sites, which are ghastly, or forced
them into housing,” he says. “The vast
majority of people don’t live on sites.”
Green, meanwhile, says Carr’s joke
has given licence to anyone to make
racist remarks. “After that joke, the
basic feeling is, ‘Fine, you can make
fun of the Gypsy people’,” he says.
“‘Nothing is going to happen to you.’”
robert.wright@ft.com
Friday 18 February 2022
Finance ministers must take on Covid burden-sharing at the G20
Gordon
Brown
I
t is often said that there are two
kinds of finance ministers: those
who fail and those who get out just
in time. And, in my experience,
what most often brings ministers
down is the unexpected; those things
you omit to plan for that leave you
struggling to keep up with events.
Predictably, the crowded agenda of
this week’s first G20 finance ministers
meeting under Indonesia’s presidency
will cover most aspects of our
unbalanced global recovery and our
ever more fragile geopolitics: the
fallout from Ukraine, not least on
energy supplies, unexpectedly high
inflation, rising protectionism and a
downgrading on likely growth, as well as
the future of sanctions, given the Afghan
famine.
But the world will be a more danger-
ous place, and global recovery impeded,
Regulators
have cryptos
in their sights
FINANCE
Gillian
Tett
W
hen cryptocurrency
prices surged last year,
this created hordes of
newly-minted digital
millionaires. Now we
are seeing some real-world conse-
quences.
This week Fidelity, the asset manager,
revealed that its clients donated $10bn
to its charitable arm in 2021: including
$331mn of crypto asset donations,
mostly bitcoin. This was a 12-fold
increase on 2020.
Some of this giving might have
reflected mere generosity (or guilt). But
pre-emptive “tax optimisation” strate-
gies probably sparked it too, since inves-
tors are waiting for “clarity from the
Inland Revenue Services on what crypto
taxation looks like in the future,” Jacob
Pruitt, head of Fidelity Charitable, tells
me.
Either way, the pattern shows that the
once anarchic, anti-establishment
crypto world is increasingly mingling
with the sober sphere of tax planning
and stodgy mainstream financial enti-
ties. Is this a good thing? Many Fidelity
investors (and their targeted charities)
would say “yes”. But for regulators, the
issue has been provoking rising angst
Arpa is an ideological pet project that might yet succeed
TECH NOLOGY
John
Thornhill
M
any thought that Britain’s
ambitions to create a
high-risk, high-reward
research agency would
vanish once the prime
minister’s policy wizard Dominic Cum-
mings disappeared from Downing
Street in a puff of acrid smoke. But, sur-
prisingly, Cummings’ obsession with
creating a British version of the
Advanced Research Project Agency —
the US technology funding agency that
helped inspire the internet and GPS —
still casts a spell over Whitehall.
A bill to create an Advanced Research
and Invention Agency has reached its
final stages in parliament. The Treasury
has earmarked £800mn of funding over
four years. And the government has just
landed something of a coup by hiring
if an item that has been at the top of
finance ministers’ agendas for the past
two years — the pandemic and the
financing of the global health response
— is downgraded to ‘any other compe-
tent business’ out of a misguided com-
placency that we are now in the Covid
endgame.
The inescapable truth is that the very
global health organisations that we
will continue to rely on to contain the
pandemic are running out of money.
There is a gaping and immediate $16bn
hole in their finances that, even after
a record 120mn Covid cases since the
start of the year, no one yet seems pre-
pared to fill.
When asked how much cash Covax,
the global body co-ordinating the sup-
ply of vaccines, has left, Seth Berkley,
the head of Gavi, the global alliance for
vaccines, replied, “None”.
Gavi alone needs $4.4bn — including
an emergency $545mn for syringes,
transport and insurance to administer
vaccines that otherwise will pass their
use-by date. The Global Fund — which
urgently needs $6.5bn — has used up its
reserves to deliver $4.1bn of tests,
ahead of this week’s meeting of G20
leaders.
To understand why, take a look at an
important report that the Financial Sta-
bility Board, a global committee of regu-
lators and central bankers, issued ahead
of the G20.
The report notes that the crypto
world has hitherto not posed any sys-
temic financial risk. For while its mar-
ket capitalisation more than tripled in
size in 2021, to reach $2.6tn, this
“remain[s] a small portion of overall
global financial system assets”. And
“episodes of price volatility” have “so far
been contained within cryptoasset mar-
kets and have not spilled over to finan-
cial markets and infrastructures”. Phew.
But the FSB report shows regulators
fear that this benign picture is starting
to change. “Cryptoassets markets,” it
warns, “are fast evolving and could
reach a point where they represent a
threat to global financial stability.”
What worries the FSB can be summed
up in four L-words: legality, leverage,
liquidity and leakage.
The first of these is relatively easy to
describe: the pseudonymous, border-
less nature of crypto has made it a
breeding ground for money laundering
and other nefarious practices. This
week, for example, a crypto research
group called Chainalysis suggested that
criminals held $11bn of crypto from
known illicit sources in 2021 — a four-
fold rise on 2020.
However, leakage is a more subtle
issue. Until recently, most FSB regula-
tors and central banks seemed to view
Peter Highnam as Aria’s first chief execu-
tive. The highly regarded deputy director
of the US’s Darpa (the successor agency
to Arpa) is a computer scientist who
knows a lot about public-private sector
research initiatives and is a graduate of
Manchester and Bristol universities.
In spite of the enthusiasm to create a
shiny new institution, it remains unclear
exactly what Aria will do. A year ago, a
mystified parliamentary committee
declared Aria to be a “brand in search of
a product”. Others have described it as:
“hot air, sweetened by the giddy scent of
post-Brexit techno-nationalism.” Is
Aria an ideological pet project or a prag-
matic response to a glaring need? Para-
doxically, it might be both.
One of the striking aspects of British
research is how comparatively little
there is of it, but how good it is. The UK
spends just 1.7 per cent of GDP on
research and development compared
with 2.5 per cent across OECD countries.
Yet Britain ranks third in generating the
most citations in science journals,
behind the US and China.
Britain’s design flaw is that it is tragi-
cally bad at turning impressive papers
★ FINANCIAL TIMES
Opinion
therapeutics and PPE to over 100 low-
and middle-income countries. And the
WHO is $2.3bn short for in-country
delivery of treatments and for its work
co-ordinating research, advice and
capacity building. These are just three
of the nine agencies that form the
ACT-Accelerator, the global body set
up to co-ordinate the provision of
therapeutics, diagnostics, vaccines and
Gavi alone needs $4.4bn,
including half a billion
dollars for syringes,
transport and insurance
personal protective equipment (PPE).
Five months into its financial year,
ACT-A has received only 5 per cent —
$814mn — of the $16.8bn that the agen-
cies it funds urgently need. As a result,
as we enter the second year of the pan-
demic, low-income countries have
received less than 1 per cent of vac-
cines and only 0.4 per cent of the 5bn
tests administered worldwide.
crypto assets as being akin to poker
chips in a digital casino — that is, tokens
that periodically sparked wild dramas
at the betting table but did not have
much impact on the “real” world
beyond the casino walls, since they
could not be used outside unless con-
verted.
But the FSB now thinks contagion or
leakage risks are rising. One reason is
the issuance of so-called stablecoins —
crypto tokens backed by real assets,
such as dollars — has surged from $5.7bn
in late 2019 to $155.6bn in January.
Another reason is that mainstream
investors and institutions are now
incorporating crypto into wider portfo-
lio strategies. This means that any
future crash in crypto prices might
ricochet into other asset classes if
Their worries can be
summed up in four
L-words: legality, leverage,
liquidity and leakage
in scientific journal Nature into sellable
commercial products. That is where
Aria could play a role. UK Research and
Innovation, set up in 2018 to co-ordi-
nate the work of nine research councils,
mostly funds pure research. An increas-
ingly vibrant venture capital industry is
also backing promising start-ups,
investing a record $39.8bn in the UK last
year. But between the two lies the “val-
The UK’s flaw is that it is
tragically bad at turning
impressive research papers
into sellable products
ley of death” where promising innova-
tions often shrivel and die.
The government hopes that Aria will
match Arpa’s early ability to run bold,
imaginative, long-term projects, cham-
pioning breakthrough innovations. The
US agency’s unconventional approach
was once described as backing “100 gen-
iuses connected by a travel agent.” A
small, fast-moving group of project
Yet it is from these countries with the
lowest rates of immunisation and test-
ing among the immunocompromised —
Yemen (1.2 per cent fully-vaccinated),
Burundi (0.07 per cent), Tanzania (2.8
per cent), DR Congo (0.27 per cent) —
that the next unplanned for ‘surprise’, a
new mutation, is most likely to emerge.
It makes no sense to face the future
unprepared. We should not be so
relaxed as to assume the next variant
will be less lethal than the last. A failure
to vaccinate the unvaccinated and test
the untested will put all of us, including
those with boosters, at risk.
Passing the begging bowl around as if
at a charity fundraiser is no way to fund
this life-saving work now and into the
future. In the last few days, Norway and
South Africa have circulated a burden-
sharing formula under which the
United States and European countries
would each pay around 25 per cent of
the $16bn, with the rest of the G20
and the Gulf states paying most of
what’s left.
This ‘fair shares’ approach is the basis
of the ‘assessed contributions’ that
finance UN peacekeeping. The quota
investors needed to liquidate portfolios.
The two other “Ls”, leverage and
liquidity mismatches, could further
exacerbate such jolts. The latter pose a
problem because the cyber entities issu-
ing stable coins may not have enough
liquid assets to actually redeem investor
claims, the FSB notes. That creates the
risk of runs, of the sort we have often
seen in the banking world (and wit-
nessed with credit vehicles during the
2008 financial crisis).
Meanwhile, the leverage issue is pro-
voking concern because of anecdotal
evidence that debt is increasingly being
used to turbocharge crypto bets. To cite
just one example: FTX Trading, a crypto
company, recently listed bitcoin prod-
ucts on the Austrian exchange with 20
times leverage. And while the anecdotal
evidence also suggests that leverage has
recently fallen, in line with the bitcoin
price, that “L” word tends to spark a
Pavlovian reaction from regulators
today, given the role that concealed lev-
erage played in the 2008 crash.
Of course, crypto enthusiasts would
argue that worrying about crypto seems
managers will be given a free hand and a
ringfenced budget to back technological
breakthroughs that might only reach
commercial fruition in 10 to 15 years. “I
very much hope that Aria will use its
freedom to do something different. It is
an extraordinarily exciting opportu-
nity,” says Ottoline Leyser, chief execu-
tive of UKRI. “There has to be a much
more dynamic ecosystem.”
The concern is that the new agency
will be too small, too duplicative and too
secretive to make much difference. Aria
will manage just 1 per cent of Britain’s
total public research funds (forecast to
be £20bn a year by 2025), and will have
to build a new bureaucracy to run its
projects. Controversially, it will also be
exempt from the Freedom of Informa-
tion Act, raising worries over transpar-
ency and political interference. Some
scientists would prefer the government
to have spent its efforts securing access
to the EU’s €95bn Horizon research pro-
gramme instead.
However, a recent paper by Michael
Nielsen and Kanjun Qiu suggests that
Aria is in line with the latest thinking on
funding research. Progress in science
system that capitalises the IMF and
World Bank is even more appropriate
when funding the most obvious global
public good of all — the control of infec-
tious disease.
The finance ministers meeting at the
G20 should model their Covid decisions
on the burden-sharing agreement that
paid for the 1960s campaign to eradicate
smallpox. More than anyone, they
should appreciate the economic logic,
as outlined in an open letter today from
160 economists, public-health experts
and former leaders. The $16.8bn
request is a fraction — 0.3 per cent — of
what the IMF now estimates will be $5.3
trillion in Covid-induced losses to the
global economy by 2026.
By far the cheapest insurance policy
against future mutations, it is also the
most cost-effective investment these
ministers can make in 2022. What
will cost each citizen in the richer
countries just 10 cents a week is a small
price to pay to make 2022 the year
we finally bring Covid fully under
control.
The writer is a former UK prime minister
Efi Chalikopoulou
a little ironic, given all the other lever-
age issues that the FSB has sometimes
downplayed. Fair point: many main-
stream financial asset classes are rid-
dled with leverage and potential liquid-
ity mismatches, due to years of exces-
sively loose monetary policy. A crash in
Treasury prices would be more destabil-
ising than one in bitcoin.
However, whether or not you
approve of the FSB’s concerns, the key
point that investors need to understand
is this: regulatory scrutiny is rising —
fast. Indeed, the G20 is likely to
embrace the FSB’s calls for new data
reporting requirements and other
prudential controls.
And while it might take time to imple-
ment these proposed reforms (and glo-
bal implementation will inevitably be
uneven), those would-be crypto mil-
lionaires need to brace themselves for a
new world. In 2022, in other words, we
will hear a lot more about crypto tax
planning; not all “charity” is purely
charitable.
gillian.tett@ft.com
depends on a handful of outlier discov-
eries, which do not recur. And outlier
discoveries, as the name implies, often
lie at the edge of the edge, favouring
non-traditional experimentation. “If
there is an iron law of research policy it
is that plurality and diversity are really
important,” says James Wilsdon, profes-
sor of research policy at Sheffield Uni-
versity.
But, as Wilsdon adds, a contradiction
thrives at the heart of Cummings’s argu-
ment for a British Arpa. The former
adviser has been famously sceptical of
the ability of the bureaucratic “blob” to
make the right calls. Yet the hope is that
a small group of highly knowledgeable
civil servants can do exactly that at Aria.
Britain’s new research agency will
need consistency of purpose, a high tol-
erance of failure and the strength to
fend off meddling politicians. When he
takes up his job in May, Highnam will
have to combine the deftness of a White-
hall mandarin with the boldness of a VC
investor. Good luck!
The writer is founder of Sifted, an FT-
backed site for European start-ups
17
A future case for
the ‘retro’ policy
of public sector
reform
Aveek
Bhattacharya
F
or much of the 1990s and
2000s, public-service reform
was a staple of British politics.
Such reform was referred to
78 times in Labour’s 2001
manifesto, and it was once so conten-
tious with trade unions that former
prime minister Tony Blair spoke of
bearing “scars on my back”.
Then, it had a fairly clear meaning:
policies to change the incentives for
public-sector institutions such as
schools and hospitals, making them
more accountable so they could better
meet users’ needs. This could be done in
different ways — top-down “targets and
terror”, contracting out to private enti-
ties, encouraging competition for
patients or students. It was a model the
UK’s Blairites exported to governments
around the world. Yet in Britain, the
reform agenda has run out of steam.
Such measures seem to have had only a
modest impact on efficiency and qual-
ity. Public-sector productivity is hard to
measure, but official statistics suggest it
rose just 4 per cent between 1997 and
2018, and fell in areas like social care,
policing and administering benefits.
The political context changed, too.
Labour and Conservatives are both now
less enamoured of markets. For much of
the past decade, austerity shifted the
terms of the debate: politicians fought
over how much was spent on services,
not how well that money was used.
But there are glimmers of change. To
“level up” without providing extra cash,
as this month’s white paper suggested,
requires other impetus if the targets are
to be met. Significantly, Labour seems
For much of the
past decade, austerity
has shifted the terms
of the debate
to have little desire to grow the state
much further, criticising the Tories for
wasting public money. The logic of that
position should lead back to the service
reform agenda, even though much of
the party remains wary, reflecting an
ambivalence towards the Blair era.
Meanwhile, in government some of
the policies being mooted by the
Department of Health (“payment by
results”, bringing in outside managers)
are reminiscent of the 2000s. But there
is no drive from the centre for big,
controversial reforms — Boris Johnson’s
attention is distracted.
So what other options are there to
improve the productivity and effective-
ness of public spending? One possibility
is to ensure that service delivery is evi-
dence-based, readopting the mantra
“what works”. Some areas, like health-
care, are heavily shaped by national
guidelines based on thorough evidence
reviews. However, in others, such as
policing, evaluation and knowledge-
sharing is patchy. Not all regulators have
it in their remit to check the institutions
they inspect are following best practice.
A second approach is to bet big on
technology. Innovations in robotics,
artificial intelligence, nanotechnology
and communications could transform
how public services are delivered. Pro-
saic changes such as digitising medical
records could also improve efficiency.
A third way involves making public
services feel more human and individu-
alised: fostering personal interactions
with services; breaking down silos
between institutions; and trying to
empower individuals and communities,
not treating them as passive recipients.
For example, rather than pursuing
council tax debts aggressively, Gates-
head local authority offers support to
those in arrears, to address deeper
issues such as unemployment or mental
health. Executed successfully, such
approaches could identify and deal with
problems earlier and minimise waste.
All three have merit. They can be pur-
sued simultaneously, although there are
tensions between them — for example,
between individualising services and
spreading best practice. None brings
any guarantee of transformation. But
after a long period of neglect, politicians
are beginning to revisit these old ques-
tions. And the challenge itself is not
retro: new ideas and fresh energy are
needed to address stagnant productiv-
ity and reassure the public that their
money is being used well.
The writer is chief economist at the Social
Market Foundation, a think-tank
18 ★ FINANCIAL TIMES Friday 18 February 2022

StanChart: opportunity costs

Reflecting its weaker franchise, the Asia-focused bank is towards the bottom of its peer group for valuation
and returns. Its shares have had a rocky ride compared with rivals such as HSBC. But interest margins are set
to receive a lift from rising rates, a benefit that will also help competitors.

Low returns reflected in valuation An Asia-focused laggard

Twitter: @FTLex Price/book value vs returns on equity Share price (rebased, adjusted for dividends)
16 50
DBS
Lloyds 40
ANZ 30
Apple/Tim Cook: worthwhile debate. Linking
remuneration to employee salaries,
14
20 Goldman Sachs:
DBS HSBC
pay up trailing performance or future
12
10 more spin from the boss
achievements are imperfect solutions. 0
Some companies struggle to justify But Cook has demonstrated his worth. -10 As the Wall Street trading bonanza
Standard Chartered

skyrocketing pay for chief executives.
Apple is not one of them. Those who
believe pay should be linked to
performance will struggle to argue
against Apple’s reward scheme.
Advisory group Institutional
Shareholder Services is wrong to
suggest that investors vote against Tim
Cook’s $98.7mn package. ISS claims the
perks Cook receives exceed
comparable groups. But Apple, a $2.8tn
business with 1.8bn devices in active
use, has no direct competitors. It is
difficult to create a sensible benchmark
against smaller companies.
The package is not a record in tech.
Alphabet’s Sundar Pichai received
$277mn in stock awards in 2019. Elon
Musk’s moonshot 2018 package, linked
to a series of milestones, means he
could earn over $55bn. The difference
is that Cook’s pay does not all rely on
future performance.
He has presided over a
transformation few thought possible.
Since he took over from co-founder
Steve Jobs in August 2011, annual sales
have tripled. Enterprise value has
grown from less than $300bn to
$2.7tn. It is true that no product issued
in the Cook era compares to the success
of the iPhone. But he has overseen two
fast-growing businesses in wearables
and services. Apple has maintained its
reputation for quality, allowing it to
raise prices for high-end versions of
existing products, lifting margins.
Apple’s high-minded claim that
business should be a force for good and
Cook’s own vocal support for social
justice jar with a CEO pay ratio of 1,447
times the average employee’s salary.
But he has steered the company to a
record market valuation and stable
balance sheet. Under his leadership, it
has navigated a difficult political path
with some success.
Although App Store fees draw
regulatory fire, its focus on privacy
chimes with the priorities of
lawmakers. Despite geopolitical
tensions, its products remain popular
in China too. Overall, Apple sales rose
33 per cent in the 2021 fiscal year to
$366bn. China was responsible for
nearly a fifth of the total, up from
about a tenth in 2011.
How to benchmark CEO pay is a
This fight is not worth having.
Legal services: Russian
rows, English laws
Natalia Potanina’s $41.5mn divorce
settlement, awarded by Russia’s courts,
did “not even begin to meet [her]
reasonable needs”. Having acquired a
UK investor visa and some English
property, she turned to London courts
to secure a bigger share of assets from
ex-spouse Vladimir Potanin. Reputed
to have a $30bn fortune, he owns a
controlling stake in Norilsk Nickel, one
of the world’s top producers.
London lawyers do a roaring trade
representing clients from Russia and
Ukraine. A big slice of that would be in
jeopardy if Russia invades its smaller
neighbour and tough sanctions are
imposed. Law is just one part of a high-
end service industry for wealthy people
from ex-Soviet nations that is now the
subject of rueful discussion in the UK.
In the 12 months to last March,
Russians were the third-biggest group
of litigants in London’s commercial
courts based on almost 300 judgments
logged by PR consultancy Portland
Communications. Ukraine was fourth,
up from 11th the previous year. Taken
together, Russia and former Soviet
states Kazakhstan and Ukraine
leapfrogged the US to the number two
slot, with 80 litigants.
This highlights a vulnerability as
Whitehall — galvanised by Russia’s
moves on Ukraine — beefs up sanctions
against Russian individuals and
businesses. Oligarchs’ fondness for
London extends to capital raising,
trading, buying homes and dealmaking
— all of which require legal services.
Russian and Ukrainian tycoons value
the UK’s relatively fair, uncorrupt and
predictable legal system because their
own courts are none of those things.
It is also relatively easy to enforce
rulings in a place where so many
litigants have assets.
That advantage would swiftly
unravel if sanctions trigger a
withdrawal of capital. Imposing
sanctions would jeopardise a rich and
growing seam of UK legal business. But
ROE (%)
10
8
NatWest
HSBC
6 1.0
Standard Chartered
4 0.4
0.6 0.8 1.0
P/BV (times)
FT graphic Sources: Bloomberg, FT research
Cost-cutting has its limits. Standard
Chartered has driven a turnround in
recent years through aggressive
control of spending. The Asia-focused
lender’s earnings yesterday showed
that chief executive Bill Winters now
needs a new plan.
Adjusted pre-tax profits rose 55 per
cent to $3.9bn last year but remained
below forecasts. Part of the earnings
increase was due to a lower base in
2020, when impairments reached
$2.3bn. They fell to $263mn last year.
StanChart’s UK-listed shares rose
1.7 per cent yesterday amid plans for
a $750mn share buyback. Investors
doubt Winters’ ability to deliver a
return on tangible equity of 10 per
cent by 2024, and to expand in
China. Winters deserves credit for
lawyers could hardly complain, given
the military adventurism the penalties
would be a response to.
M&A/monetary policy:
quantitative pleasing
Investment bankers may owe the Fed
even greater gratitude for their
vacation houses than previously
thought. For years, bond purchases, or
quantitative easing, by the Federal
Reserve pushed down interest rates.
That nudged investors into all sorts of
risk assets in order to find yield.
A study from the Federal Reserve
Bank of New York quantifies one
unintended consequence — the
issuance of trillions of dollars of bonds
OCBC Hang Seng Bank Feb
Hoping for a rates uptick
Westpac
Standard Chartered’s net interest margin
1.2 1.4 1.6 1.8
2020
Source: Standard Chartered
rebuilding Stanchart’s capital position.
Assets under management in the
wealth management unit have reached
a record. Returns on tangible equity
have risen 300 basis points to 6 per
cent, though that is still pretty low.
The strategy now relies too heavily
on savings. Things have changed in the
seven years since Winters started the
drive. Hiring in Asia, where the bank
earns most of its revenue, has become
increasingly difficult.
StanChart raised its staff bonus pool
by 38 per cent last year. But there is a
war for talent in the region as banks
scramble for wealth management
market share, especially in mainland
China. Global and regional peers, flush
with excess capital, have raised salaries
by about twice the rate of StanChart.
by US companies with triple B ratings.
Buyers of investment-grade debt
seeking yield — often insurance groups
needing to meet policy payments —
piled into lower-rated investment
grade debt. As a result, triple B
companies saw lower borrowing costs
than higher-rated companies.
The trillions they were able to raise
at alluringly low rates were often
ploughed into M&A. The acquirers
included AT&T and Kraft Heinz .
These dealmaking sprees turned out
to be disastrous for those companies as
well as their shareholders.
Researchers at the New York Fed
refer to the triple B dynamic as a
“subsidy” or an “exorbitant privilege”
delivered in the form of abnormally
lower debt service costs. No other class
of credit-rated companies were so
-20
2021 2022
Source: S&P Capital IQ
1.4
1.2
0.8
0.6
0.2
0 wide-ranging presentation, he set a
2021
Expenses rose 5 per cent last year,
suggesting that the bank’s cost-down
policies are weakening. Its most
important region, Hong Kong,
remains at risk amid strict
coronavirus restrictions, just months
after it started recovering from a
historic recession.
Shares have risen more than a fifth
in the past six months, reflecting
hopes of rate increases in the coming
year. They still trade at half book
value, a steep discount to rival HSBC.
This has similar regional exposure
but its shares trade at book.
Winters is right that growth will
return as interest rates rise. That
holds true for Asian lenders with
stronger franchises. Investors should
prefer these stocks.
favoured. It was worth $300bn in total
between 2009 and 2019.
M&A investor presentations often
include a bullet point on how — despite
leverage taken on to fund a deal — the
acquirer will quickly generate cost
savings to pay off debt. The Fed
researchers found that confidence was
often misplaced. Triple B acquirers
regularly paid so much for targets that
their credit metrics fell into “junk”
territory. But rating agencies remained
lenient and resisted downgrades.
The Fed did not promote loose
money over the 2010s specifically to
boost blockbuster and ultimately ill-
fated M&As. The takeaway from this
study is that quantitative easing has
been a decidedly blunt instrument —
for which many dealmakers must
however be grateful.
fades, so does shareholders’ love of
Goldman Sachs. Since the start of the
year, shares in the US investment bank
have fallen 11 per cent, even though the
KBW Bank index has gained 3 per cent.
Worse, the valuation gap with rival
Morgan Stanley, which had narrowed
last year, has opened up again.
David Solomon, CEO, had his chance
to woo back investors yesterday. In a
three-year return-on-tangible equity
goal of 15-17 per cent, up from a
previous target of at least 14 per cent.
But rather than reassure, the target,
well below the 24.3 per cent delivered
in 2021, just confirms any fears that
last year’s exceptional conditions will
not repeat soon.
Compare the new Goldman objective
with that of Morgan Stanley, promising
a ROTE of at least 20 per cent, or even
with JPMorgan’s 17 per cent goal. Those
differences justify Goldman’s lower
earnings and book multiples.
Financials’ investors prize recurring
revenues. This is why Morgan Stanley,
with its robust wealth management
and investment management
businesses, trades at 1.9 times price to
book ratio. Goldman’s more volatile
trading and investment banking units
made up more than two-thirds of its
revenue last year. Its rating is just 1.2
times book and nine times forward
earnings, also well below its rival.
Buying European asset manager NN
Investment Partners and buy-now-pay-
later fintech GreenSky last year
underscores Solomon’s efforts to build
more sustainable revenue flows. More
key, Goldman vows to lift revenues at
its Marcus consumer unit from $1.5bn
in 2021 to more than $4bn by 2024. In
asset and wealth management, it
expects fees of more than $10bn in
2024. These are ambitious goals.
Combined, they would account for
28 per cent of Goldman’s 2024 revenue.
But these are competitive sectors.
Expect more spending to expand
these units, at the expense of buybacks.
Investor scepticism is well deserved.
Lex on the web
For notes on today’s stories
go to www.ft.com/lex

CROSSWORD
No 17,022 Set by REDSHANK
        ACROSS
1 Fourth fashionista recruits a medic (8)
 5 Author, American, is sick about
wasting time (6)
  10 Londoner’s posh feature raised in
query? (7)
11 Leo strays into ugly wild wood at
Christmas (4,3)
  12 Store’s ready, according to reports (5)
13 Where ocean silt spreads? (9)
14 Sublime climb around noon in river
(12)
  18 Possibly a handy dose of religion?
(5,7)
  21 Spring treat for one hosting Daisy, say
(6,3)
 23 Boss’s first to eliminate racket (5)
24 Like some bands to be adaptable (7)
  25 Son, originally arrested in nick, leaves
to eat (7)
   26 One shining at Sandhurst to step back
(6)
27 Old ME resident’s like current one (8)
DOWN
  1 Put out gutted First Lady with
companion (6)
2 Witty remark, one for each copper (6)
3 Underdone heart damaged element
  (4,5)
4 One CNN crew’s fee ruined media
event (4,10)
6 Having no offspring, settled in
Dalmatian port (5)
7 Digger defends hostile tile supplier (8)
JOTTER PAD 8 Portrait given absurd title here and
there (8)
9 Female examiners upset some good
environment students (14)
15 Useless type, tiny one foolishly
hoarding books (9)
16 A different detective quits, heading
Solution 17,021 towards centre (8)
17 Deter daughter with kids accepting
% 8 < ( 5 6 5 ( 0 2 5 6 ( promotion (8)
( 2 $ ( , ( 7 )
/ $ 5 . , 1 * 6 8 / 3 + 8 5
19 African capital’s top man expelling
) . 1 , + $ ( , new boxer (6)
$ 6 6 $ < 6 & $ 5 3 ( 5 ( ' 20 A bloke brought in swan for another
6 + 7 3 6 *
7 : , 7 & + ( 5 & , 5 & / ( bird (6)
5 + 5 ) 1 2 22 Run as well as auxiliary spear-carrier
& 5 (
,
' , 7
$ 7
% ( 5 * $ 0 2 7
1 3 :
(5)
3 $ 5 ( 1 7 , 1 * % , / * (
+ ( * 5 6 / , (
( 1 & 2 0 , $ + $ , 5 & 8 7
5 $ $ ' 8 1 , (
3 5 , 0 ( 0 , 1 , 6 7 ( 5