Banks

BoE stress tests: all you need to know

The Bank of England has released the results of its latest round of its annual banking stress tests and its semi-annual financial stability report this morning. Used to measure the resilience of a bank’s balance sheet in adverse scenarios, the stress tests measured the impact of a severe slowdown in Chinese growth, a global recession […]

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Economy

Draghi: Eurozone will decline without vital productivity growth

It’s productivity, stupid. European Central Bank president Mario Draghi has become the latest major policymaker to warn of the long-term economic damage posed by chronically low productivity growth, as he urged eurozone governments to take action to lift growth and stoke innovation. Speaking in Madrid on Wednesday, Mr Draghi noted that productivity rises in the […]

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Currencies

Asia markets tentative ahead of Opec meeting

Wednesday 2.30am GMT Overview Markets across Asia were treading cautiously on Wednesday, following mild overnight gains for Wall Street, a weakening of the US dollar and as investors turned their attention to a meeting between Opec members later today. What to watch Oil prices are in focus ahead of Wednesday’s Opec meeting in Vienna. The […]

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Banks, Financial

RBS emerges as biggest failure in tough UK bank stress tests

Royal Bank of Scotland has emerged as the biggest failure in the UK’s annual stress tests, forcing the state-controlled lender to present regulators with a new plan to bolster its capital position by at least £2bn. Barclays and Standard Chartered also failed to meet some of their minimum hurdles in the toughest stress scenario ever […]

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Banks

Barclays: life in the old dog yet

Barclays, a former basket case of British banking, is beginning to look inspiringly mediocre. The bank has failed Bank of England stress tests less resoundingly than Royal Bank of Scotland. Investors believe its assets are worth only 10 per cent less than their book value, judging from the share price. Although Barclays’s legal team have […]

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Categorized | Financial

Citi boosts share buybacks by $1.75bn


Posted on November 21, 2016

Citigroup on Monday announced plans to add to its existing shares buyback programme, the latest in a series of moves by the US bank to return cash to its shareholders.

The bank said it would increase its common stock repurchase programme by up to $1.75bn. This would be in addition to the $10.4bn in dividends and buybacks announced earlier in June.

Michael Corbat, Citi’s chief executive said:

We continue to make strong progress on the factors that will allow us to deliver the returns our shareholders expect and deserve – generating consistent earnings, investing in businesses well positioned to drive growth and continuing to strengthen our capital planning process. We believe this solid foundation will enable us to deliver more of the capital we generate… back to our shareholders, while also positioning our firm for long-term success.

Share buybacks have proved an essential source of support for the S&P 500 since 2013, particularly earlier this year as investors shunned equities — more than $120bn has been drained from mutual funds and ETFs invested in US stocks for the year to end of September, according to EPFR.