UBS, Legg Mason, Lazard, BNP & AMG

UBS posted a $14 billion write-down that will result in a $12.5 billion fourth-quarter loss.
JAN 30, 2008
By  Bloomberg
A mix of positive and negative earnings news for advisory firms and banks was led by UBS AG, which posted a $14 billion write-down that will result in a $12.5 billion fourth-quarter loss. UBS officials attributed its fourth-quarter results to weak trading revenues in fixed income, currencies and commodities. The Zurch-Switzerland-based bank said it expects a net loss to shareholders of $4.4 billion for the full year of 2007. UBS officials said they will provide further details on its financial performance on Feb. 14 when it publishes its final 2007 report. Legg Mason posted third-quarter results showing a 5% increase of $1.19 billion compared with $1.13 billion for the year-ago period. Net income fell 11% at the Baltimore-based money manager to $154.6 million, or $1.07 per diluted share, from $174.6 million, or $1.21 per diluted share in 2006's third quarter. BNP Paribas’ operating income dropped 30% with $2.2 billion reported in the fourth quarter compared to $3.1 billion in the year-ago period. Revenue dropped 2% to $10.2 billion in the fourth quarter. Gross operating income fell 7% from the fourth quarter of 2006 to $3.2 billion. The Paris-based bank said revenue grew 7% for 2007 as a whole. Affiliated Managers Group Inc. reported a cash net income increase of 19% to $81.8 million for the fourth quarter compared to $68.6 million a year ago. Net income was up 24% to $60.9 million compared to the fourth quarter in 2006. Lazard Ltd. said its fourth-quarter net income rose a record 43% at $122.6 million, or $1.04 per diluted share, compared with $85.8 million, or $0.78 per diluted share in the year-ago period helped by increased revenues from its deal advisory business. Operating revenue at the Hamilton, Bermuda-based firm rose 26% to a quarterly record of $617.6 million compared with $491.5 million for the 2006 fourth quarter.

Latest News

IRA rollovers from DC plans to hit $1.15T by 2030, LIMRA says
IRA rollovers from DC plans to hit $1.15T by 2030, LIMRA says

Research highlights the dominant role of workplace retirement plans and breaks down the major factors dictating workers' IRA rollover decisions.

GReminders unveils autonomous AI assistant for financial advisors
GReminders unveils autonomous AI assistant for financial advisors

The wealth tech firm is rolling out its "Do Anything" assistant as leaders and strategists tout the next evolution of artificial intelligence.

Court strikes down SEC CAT funding plan, puts broker-dealer costs under fire
Court strikes down SEC CAT funding plan, puts broker-dealer costs under fire

Appeals court overturns SEC’s CAT funding plan, broker-dealers face new uncertainty.

FINRA fines second broker-dealer over misleading communication with clients about crypto
FINRA fines second broker-dealer over misleading communication with clients about crypto

TradeStation Securities' communications violated industry rules, including falling short on describing the risks involved in investing in volatile crypto assets.

Advisor moves: Osaic welcomes Valic veteran in Arizona, Janney hails $3.3B recruiting haul
Advisor moves: Osaic welcomes Valic veteran in Arizona, Janney hails $3.3B recruiting haul

Meanwhile, a father-son pair of advisors and ex-marines from ex-Edward Jones gives Kingsview its newest location in Arkansas.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.