2020 brings with it the 10th year of recovery since the global financial crisis. Equity markets continue to break records, ample credit is available, yet the bullish performance appears cosmetic at times and investing in Europe in 2020 is fraught with political risks. The US deficit doubled from $385bn to $779bn last year, the UK […]
Italy
Investing in Europe in 2020 – The Year Ahead
An overview of some European key themes and political risks for 2020
Intesa Sanpaolo launches €4.9bn bid to buy Italian banking rival UBI Banca (FT)
“Intesa Sanpaolo, Italy’s biggest domestic lender, has launched a €4.86bn ($5.26bn) takeover bid for its rival UBI Banca in an audacious attempt to kick-start consolidation in Italy’s fragmented banking sector.” – by Stephen Morris, Arash Massoudi and Laurence Fletcher
Di Maio Quits as Five Star Leader in Italy, Deepening Party’s Disarray (NYT)
“He was once the fresh face of a new political force. Now, his exit could signal yet another government crisis.” – by Jason Horowitz
Italian politics: Matteo Salvini’s comeback bid (Financial Times)
“Victory in the leftwing region of Emilia-Romagna, could propel the League leader to prime minister.” – by Miles Johnson
Italian PM Giuseppe Conte resigns plunging the country into fresh political turmoil (Euronews)
“Italy’s Prime Minister Giuseppe Conte has resigned, plunging the country into fresh political turmoil.” – by Gareth Browne
Italy’s Carige faces April deadline to fill 630 mln euro capital gap (Reuters)
“Temporary administrators of Banca Carige said they had to find a buyer by April for the Italian bank, after unveiling a 630 million euro ($718 million) capital shortfall” – Valentina Za
Navigating Europe in 2019
Themes and Risks Investors in Europe to Consider in 2019
We are nearly 20 years into the new millennium and it is an unrecognizable place compared to when it started. Lehman is gone, Bear Stearns – gone, Merrill Lynch – acquired, Citigroup is a fraction of its former self. Blockbuster, Toys R Us, Woolworths are all part of the history books now. Europe, where we […]
Carige’s top investor meets ECB after blocked cash call (Business Standard)
“The top investor in Banca Carige met European Central Bank supervisors on Thursday to explain why he did not back a vital cash call at the troubled Italian lender.”
Italy backs down in its budget standoff with the E.U. (Washington Post)
“The populist Italian government’s first experiment in challenging Europe appeared to near its conclusion Tuesday with reports of the most conventional of outcomes: an agreement with Brussels bureaucrats.”
What the 2018 EBA stress tests (don’t) tell you about Italy (Bruegel)
The results of the latest European Banking Authority stress tests were eagerly awaited for their results on the four biggest Italian banks. At first sight, these banks seem well prepared to withstand an adverse macro-financial shock. But judging by the market reaction following their publication, the results have not appeased investors.