Raymond James applies for TARP funds

Nov 21, 2008 @ 3:36 pm

By Dan Jamieson

Raymond James applies for TARP funds

Dan Jamieson

Raymond James Financial Inc. of St. Petersburg, Fla., has applied to participate in Treasury’s Troubled Assets Relief Program.

If the firm is accepted and decides to participate in the program, the funds would be used “as a replacement for our previous and current unsecured credit lines and as a means of obtaining additional capital,” Thomas James, chief executive of Raymond James, said in a statement yesterday.

In an interview today, Raymond James president Chet Helck said the firm has not decided whether to participate, but wanted to meet a deadline for applying for TARP funds.

“We don't have a bad assets problem, it's just that the normal working capital lines are really squirrelly now,” he said.

Banks in general are reluctant to lend, Mr. Helck said, especially to securities firms that are subject to volatile moves in the value of their inventory.

He said that reluctance on the part of banks should dissipate once the extreme volatility in the stock and bond markets abates.

Originally set up to buy troubled assets, the TARP program is now focused on providing equity infusions into financial firms.

0
Comments

What do you think?

View comments

Recommended for you

Latest news & opinion

Advisers go on the offensive, getting clients ready for the next market correction

Some proactive planners are spelling out for clients the impact of a 10% or 20% correction.

Phyllis Borzi says opponents of DOL fiduciary rule face uphill climb to further delay or dilute it

Former assistant Labor secretary who crafted the rule says President Trump won't be able to get rid of it simply because he doesn't like it.

Shrinking talent pool puts strain on advisory firms

Attrition, cuts in training programs and new competition make it difficult to fill job openings

Trump miscues, more cash becoming available will drive summer muni bond rally

As Trump agenda derails, municipal bonds are benefitting from flight to safety as well as a mismatch between bonds maturing and new issues.

Indexed, variable annuity sales slump as DOL fiduciary rule looms

Uncertainty around the rule may be contributing to tentativeness from advisers and distributors.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print