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$2.8 Billion Third-Quarter Loss for Citigroup

The nation’s second-largest bank by assets, Citigroup announced its 2008 third-quarter net loss of nearly $3 billion. The New York-based bank continues to struggle from exposure to derivatives and bad bets on mortgage-related securities. It is Citigroup’s fourth consecutive quarterly loss. The banking giant’s latest earnings results pale in comparison to its financial standing for […]

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Citi Hedge Fund Woes

After a run of previous failures, the Citibank is now closing its $400 million Tribeca Convertible LP arbitrage fund. It is the final chapter in Citigroup’s plan to shut down its Tribeca Global Investments hedge fund. Investor redemptions are thought to be the reason behind the fund closing. According to an Aug. 4, 2008 article […]

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FINRA to Launch Pilot Program to Evaluate All-Public Arbitration Panels

The Financial Industry Regulatory Authority (FINRA) will launch a two-year pilot program later this fall that will allow some investors making arbitration claims to choose a panel made up of three public arbitrators instead of two public arbitrators and one non-public arbitrator, as is currently the norm. Six firms – Merrill Lynch, Citigroup Global Markets, […]

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Evergreen CEO to Retire Amid Mutual Fund Closure

Evergreen Investments, the mutual-fund operation, will soon get new leadership. The money-management unit of banking giant Wachovia Corp. told employees on Tuesday that Chief Executive Dennis Ferro, 63 years old, will retire at the end of this year, five years after assuming the top job. He will be succeeded by Peter Cieszko, 48, currently head […]

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Toxic CDOs Reincarnated as Re-Remics

They’re baaaaack. Those toxic and worthless colllateralized debt obligations (CDOs) that helped drive banks $400 billion into the red are finding new buyers under a different name: Re-Remics. Due to the global credit crunch, CDOs sales fell from $227 billion in 2007 to $1 billion this year so Goldman Sachs, J.P. Morgan and at least […]

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