THURSDAY 19 NOVEMBER 2020 WORLD BUSINESS NEWSPAPER EUROPE
No green light Edge of an abyss Measure for measure Central bankers cannot lead the The conflicts pushing Ethiopia to Europe inches towards an industrial climate fight — JENS WEIDMANN, PAGE 17 the brink of civil war — BIG READ, PAGE 15 strategy — INSIDE BUSINESS, PAGE 6
Berlin divide Briefing Far-right taps i Arrival to list in US via deal with Spac Arrival, the Hyundai-backed UK electric bus and van maker will list in the US via a reverse takeover into virus rage with Nasdaq-listed CIIG, a “blank cheque” special purpose acquisition company.— PAGE 6; LEX, PAGE 18 Police use water cannon to stop anti- lockdown protesters in Berlin yester- i Norwegian files for bankruptcy cover day. The demonstrators, who refused to Norwegian Air Shuttle is to file for protection from wear masks or maintain social distanc- creditors, becoming the aviation sector’s largest ing, banged pots and shouted “Peace! casualty of the pandemic. It said it would use the Freedom! No dictatorship!” in opposi- revamp to cut its NKr48bn ($5.3bn) debt.— PAGE 7 tion to plans for a law placing Covid restrictions on a firmer legal footing. i Minister quits over mink-cull scandal The march featured a mix of mystics, Mogens Jensen, Denmark’s anti-vaxxers and libertarians, although agriculture minister has quit, concern is mounting that the anti- becoming the first government lockdown movement has been infil- figure to fall over an illegal trated by the far-right. Alternative for order to kill the country’s entire Germany, the populist rightwing party, 17m mink population.— PAGE 2 interrupted proceedings in parliament yesterday to stage its protest at the new i Pfizer vaccine better than first reported law by draping copies of the German Pfizer and BioNTech are to submit their Covid-19 constitution in black ribbons. vaccine for US and EU emergency approval “within Report page 2 days”, after new data showed that it was even more Christian Mang/Reuters effective than initially reported.— PAGE 6 i Bitcoin soars to near-record highs After a run that has seen it jump more than 50 per cent in 30 days, Bitcoin has surged to within striking distance of the record high it set three years ago, but Rising tide of global debt drives some analysts warned of a correction.— PAGE 9 i Egypt arrests human rights director Security forces have arrested an executive at Egypt’s most respected human rights organisation in a sharp escalation of the government’s crackdown on civil fears of emerging markets crisis society movements.— PAGE 4 i US in U-turn on former Mexican official An ex-Mexican defence minister who was being held 3 Borrowing to exceed $277tn 3 Zambia latest to default 3 G20 tries to unlock IMF funds in New York for trial will return to his home country after a judge granted US prosecutors’ request to drop Jonathan Wheatley — London product by the end of 2020, surging But analysts said more action was Some $7tn of debt will have to be drug trafficking and laundering charges.— PAGE 3 from 320 per cent at the end of 2019. needed to fend off the risk of a fiscal cri- repaid by borrowers in emerging mar- Global debt rose at an unprecedented Debt burdens are especially onerous sis in a number of developing countries. kets before the end of next year, accord- pace in the first nine months of the year in emerging markets, having risen Luis Oganes, head of emerging mar- ing to IIF estimates, of which about 15 as governments and companies 26 percentage points so far this year to ket research at JPMorgan, said develop- per cent is in US dollars, exposing debt- Datawatch embarked on a “debt tsunami” in the approach 250 per cent of GDP, the IIF ing economies ran the risk of rising ors to the risk of currency fluctuations. face of the coronavirus crisis, according said. The share of EM governments’ rev- inflation if they sought to monetise debt The impact of Emre Tiftik, IIF director of sustaina- Track record In the two weeks to research. enues spent on repayments has also by buying their own bonds, as some had Covid-19 will bility research, said debt levels had risen Cumulative UK government spending to October 9, The unprecedented pace of debt accu- risen sharply this year, IIF data show. done this year, or of deflation if they leave nations much faster than anticipated at the start on Covid- response contracts ( bn) UK government mulation will leave the global economy This week Zambia became the sixth allowed debts to rise too far. hard-pressed to of the crisis. From 2016 to the end of 8 spending on its struggling to reduce borrowing without developing nation to default or restruc- “High debt levels will lead to zombie cut debt without September, global debt rose by $52tn; PPE test and trace 6 system in “significant adverse implications for ture debts in 2020. More defaults loom banks and zombie companies that con- ‘significant that compares with an increase of $6tn NHS Test & Trace response to economic activity”, the Institute of Int- as the cost of the pandemic mounts. strain growth,” he said. adverse between 2012 and 2016. The pace of Hospitals/ 4 medicines Covid-19 surged ernational Finance warned yesterday. The G20 group of the world’s largest Since the start of the pandemic cen- implications growth in global GDP changed little over by almost £2bn, The total level of global indebtedness economies has launched an initiative tral banks have cut interest rates and for economic that period until the onset of the pan- 2 bringing the has increased by $15tn this year and is that has so far allowed 46 of the world’s pumped stimulus into the world econ- activity’, says demic triggered a historic recession. Other 0 overall outlay on on track to exceed $277tn in 2020, said poorest countries to delay about $5bn in omy, which has helped to lower borrow- the IIF study The change in debt suggests “a signifi- Jan 2020 May Jul Sep Nov a highly criticised the IIF, which represents financial insti- debt repayments due this year. They are ing costs worldwide. Despite that, col- cant reduction in the GDP-generating Contracts should be publicised within 30 days monitoring tool tutions. It expects total debt to reach also edging towards unlocking addi- lapsing tax revenues have made emerg- capacity of debt”, Mr Tiftik said. of award Source: Tussell to £6.1bn. 365 per cent of global gross domestic tional IMF funds for poorer nations. ing market debts harder to service. G20 nears relief funds accord page 4 Dimon blames ‘childish’ Congress for deadlock on Covid stimulus package
Robert Armstrong — New York $2tn package of measures to prop up the need to get through this next phase.” economy. But they did not reach a deal. Yesterday’s political intervention was Jamie Dimon, chief executive of Speaking of the impasse on Capitol not Mr Dimon’s first in recent days. Last JPMorgan Chase, has criticised the US Hill, Mr Dimon said: “I would have week he strongly suggested that Donald Congress for failing to pass further fis- walked into that last negotiation [and] if Trump had lost the presidential election cal stimulus, saying its inability to cut a I had to give it all up on either side, it to Joe Biden and that he should concede, Trump in race against time deal reflects “childish behaviour by our would have been great for the country. saying: “We must respect the results of to disrupt election results politicians”. They should have focused on what was the US presidential election and, as we Analysis i PAGE 4; Notebook i PAGE 16 “We’ve got to focus on the job at hand,” great for the country.” have with every election, honour the Mr Dimon said at a conference yester- The Wall Street veteran’s plea for gov- decision of the voters.” day. “We need some fiscal stimulus, just ernment aid echoed similar calls by He offered conditional praise for Mr Austria €3.90 Malta €3.70 to bring us through” the Covid-19 crisis. other business leaders. Doug McMillon, Trump’s policies, however, when it Bahrain Din1.8 Morocco Dh45 Belgium €3.90 Netherlands €3.90 “Is it $2.2tn, $1.5tn? You’ve got to be chief executive of Walmart, said on came to China. “I wouldn’t have done Bulgaria Lev7.50 Norway NKr40 kidding me. Just split the baby and Monday that worsening Covid-19 infec- the tariffs, but I do think President Croatia Kn29 Oman OR1.60 Cyprus €3.70 Pakistan Rupee350 move on,” Mr Dimon said, arguing that tion rates required a political response. Trump got [the Chinese] to the table.” Czech Rep Kc105 Poland Zl 20 Denmark DKr38 Portugal €3.70 Congress was failing the US people, who “The increasing cases will put more Asked whether he would consider Egypt E£45 Qatar QR15 feel “deep, deep, deep frustration”. pressure on small businesses that have taking the job of Treasury secretary in a Finland €4.70 Romania Ron17 France €3.90 Russia €5.00 In the run-up to the US presidential been heavily impacted by the pan- Biden administration — a possibility Germany €3.90 Serbia NewD420 Gibraltar £2.90 Slovak Rep €3.70 election, Nancy Pelosi, the Democratic demic,” Mr McMillon said. “It will be that has been the subject of speculation Greece €3.70 Slovenia €3.70 Speaker of the House of Representa- imperative that elected officials in — Mr Dimon demurred. “I love what I do Hungary Ft1200 Spain €3.70 India Rup220 Sweden SKr39 tives, and Steven Mnuchin, the Treas- Washington work together to deliver and I’ve never coveted the job,” he said. Italy €3.70 Switzerland SFr6.20 Latvia €6.99 Tunisia Din7.50 ury secretary, had been negotiating a the help so many small businesses Letters page 16 Lithuania €4.30 Turkey TL19 Luxembourg €3.90 UAE Dh20.00 North Macedonia Den220 Subscribe In print and online World Markets STOCK MARKETS CURRENCIES INTEREST RATES www.ft.com/subscribetoday email: [email protected] Nov 18 prev %chg Nov 18 prev Nov 18 prev price yield chg Tel: +44 20 7775 6000 S&P 500 3616.15 3609.53 0.18 $ per € 1.188 1.188 £ per $ 0.752 0.754 US Gov 10 yr 106.13 0.87 0.00 Fax: +44 20 7873 3428 Nasdaq Composite 11919.29 11899.34 0.17 $ per £ 1.330 1.326 € per £ 1.120 1.117 UK Gov 10 yr 0.34 0.01 Dow Jones Ind 29864.30 29783.35 0.27 £ per € 0.893 0.896 ¥ per € 123.119 123.761 Ger Gov 10 yr -0.55 0.01 © THE FINANCIAL TIMES LTD 2020 FTSEurofirst 300 1507.91 1501.74 0.41 ¥ per $ 103.670 104.215 £ index 78.343 78.022 Jpn Gov 10 yr 100.97 0.02 0.00 No: 40,561 ★ Euro Stoxx 50 3482.48 3468.48 0.40 ¥ per £ 137.912 138.180 SFr per £ 1.210 1.207 US Gov 30 yr 114.94 1.61 -0.01 FTSE 100 6385.24 6365.33 0.31 SFr per € 1.080 1.081 Ger Gov 2 yr 105.69 -0.73 0.00 Printed in London, Liverpool, Glasgow, Dublin, FTSE All-Share 3607.61 3591.59 0.45 € per $ 0.842 0.842 Frankfurt, Milan, Madrid, New York, Chicago, San CAC 40 5511.45 5483.00 0.52 Francisco, Tokyo, Hong Kong, Singapore, Seoul, Dubai Xetra Dax 13201.89 13133.47 0.52 COMMODITIES price prev chg Nikkei 25728.14 26014.62 -1.10 Fed Funds Eff 0.09 0.09 0.00 Hang Seng 26544.29 26415.09 0.49 Nov 18 prev %chg US 3m Bills 0.09 0.09 0.00 MSCI World $ 2558.43 2561.50 -0.12 Oil WTI $ 42.27 41.65 1.49 Euro Libor 3m -0.55 -0.54 -0.01 MSCI EM $ 1201.43 1203.04 -0.13 Oil Brent $ 44.63 43.75 2.01 UK 3m 0.05 0.05 0.00 MSCI ACWI $ 612.86 613.61 -0.12 Gold $ 1889.05 1885.60 0.18 Prices are latest for edition Data provided by Morningstar
NOVEMBER 19 2020 Section:FrontBack Time: 18/11/2020 - 19:06 User: nick.miller Page Name: 1FRONT USA, Part,Page,Edition: EUR, 1, 1 2 ★ FINANCIAL TIMES Thursday 19 November 2020
INTERNATIONAL
Germany Scandinavia Danish mink Water cannon end Berlin lockdown protest scandal claims Nearly 200 arrested in Demonstrators whistled, banged pots imposed by government decrees, which tion!” Another placard said: “Better to and violations of social-distancing rules. first scalp as and pans and waved rainbow banners, were in some instances vulnerable to die standing than to live on our knees.” Concerns have been growing that the demonstration against and chanted “Peace! Freedom! No dicta- legal challenge because they were never The rightwing populist party, Alter- anti-lockdown movement has been new coronavirus law torship!” and “We are the People!” As in enshrined in law. Under the previous native for Germany, has compared the infiltrated by the far-right, a develop- agriculture previous protests, the march was a mix version of the infection law, the authori- law to Adolf Hitler’s Enabling Act, the ment highlighted in August when hun- of anti-vaxxers, Trump supporters, ties could adopt “necessary protective 1933 law that allowed the Nazis to dreds of extremists waving nationalist Guy Chazan — berlin minister quits mystics and libertarians united only by impose their dictatorship on Germany. flags broke through police cordons to German police used water cannon to their fierce opposition to the coronavi- ‘Better to die standing Carsten Schneider, the Social Democrat storm the German parliament. disperse thousands of anti-lockdown rus shutdown. whip, said that by making the compari- This time, protesters were barred Richard Milne protesters who had gathered in central Their anger was directed at a reform than to live on our knees’ son, the AfD was “not only discrediting from approaching the Reichstag and Nordic and Baltic Correspondent Berlin yesterday to vent their fury of Germany’s “law on the protection and ‘Stop the putsch’ our democracy but also disparaging it”. gathered instead close to the nearby Denmark’s agriculture minister has against a new coronavirus law they say from infection”, which seeks to put lock- AfD MPs interrupted the Bundestag Brandenburg Gate and on the Marschall resigned, becoming the first in the gov- violates their civil rights. downs on a more secure legal footing. It Two placards at the protest session by displaying posters showing Bridge that spans the river Spree, over- ernment to fall in a growing scandal Police stopped the protest after sets out in detail which protective meas- the constitution decorated with funer- looking the Bundestag. over an illegal order to kill all mink in marchers failed to observe social-dis- ures the government can impose during measures”, but these were not spelt out. ary black ribbons. A heavy police barrier prevented the Scandinavian country. tancing rules or wear masks, although a a pandemic, including banning sports Yesterday, 415 MPs voted in support of Yesterday’s protest was the latest in a them reaching parliament and the Ber- large number refused to leave. Nearly events and religious services, closing the reform of the law, with 236 against. series of noisy demonstrations across lin headquarters of ARD and ZDF, the Mogens Jensen apologised again to mink 200 people were arrested after police restaurants, prohibiting the sale of alco- Protesters claim the law infringes Germany against the government’s German public broadcasters, which farmers yesterday for the centre-left were pelted with bottles, stones and fire- hol and obliging people to wear masks. their civil rights. One held a sign saying: coronavirus policies. Many of the have long been accused by coronavirus government not having the legal basis to crackers. Nine officers were injured. Until now, such measures have been “Stop the putsch against our constitu- protests have been marred by violence deniers of spreading lies. kill up to 17m mink when it gave the order two weeks ago in a national televised press conference led by Mette Frederiksen, prime minister. The Social Democrat minority gov- Nagorno-Karabakh. Ceasefire ernment this week belatedly secured parliamentary backing for the order from other leftwing parties. But opposi- tion centre-right parties are gunning for Russia faces peacekeeping challenge in Caucasus Ms Frederiksen in what is the biggest scandal for her government. Her handling of the first wave of Cov- id-19 drew plaudits as Denmark shut its Playing an unfamiliar role borders earlier than almost any other is likely to strain Moscow’s European country, but the mink affair is costing her public support. position as regional hegemon After Mr Jensen’s resignation, Jakob Ellemann-Jensen, leader of the main opposition Liberal party, said: “I want Henry Foy — Warsaw the prime minister to do the same. Russian soldiers are no strangers to “I want the prime minister to patrolling the front lines of frozen con- acknowledge that when she makes a flicts in the country’s neighbourhood. mistake it is her responsibility, instead But the almost 2,000 troops deployed to of kicking down and sacrificing the agri- the disputed Caucasus territory of culture minister.” Nagorno-Karabakh this month find Pressure mounted on Ms Frederiksen themselves thrust into an unaccus- and her government after a series of tomed role: that of unbiased peace- reports into the scandal were unveiled keepers. yesterday, in which it transpired that six Unlike Russia’s military presence in ministers — including the finance, for- eastern Ukraine, the Georgian territo- eign, justice and health ministers — ries of South Ossetia and Abkhazia, and were told by health officials in October Moldova’s breakaway region of there was a lack of legal basis to kill all Transnistria, the troops will not be mink. Opposition politicians called for defending land held by pro-Moscow an independent inquiry into the scan- separatists. dal, but the centre-left parties appear to Instead, as part of a ceasefire deal bro- be backing Ms Frederiksen for now. kered by Moscow to end a six-week long The opposition and some media have war between Azerbaijan and Armenia, accused Ms Frederiksen of trying to use the soldiers must police a bitterly Mr Jensen as a scapegoat when it was she divided three-decades-old battlefield, who appeared on TV two weeks ago and enforcing vast Azerbaijani gains while said: “It is necessary to kill all mink.” protecting a besieged and battered “We are in a democratic scandal we Armenian enclave. haven’t seen in recent times, and still it “Any peacekeeping mission deployed High alert: fighting. But the shift from mediating huge item on the bilateral agenda with the 1,000-year-old Dadivank monas- seems that leftwing support parties of to what just recently was a war zone is a peacekeeper around the diplomatic negotiating table both Armenia and Azerbaijan. Renew- ‘The truce tery located in the region. Russian presi- the government are more interested in fraught with risks . . . peacekeepers at a checkpoint to manning observation points on the ing or not renewing the mandate for it to is hanging dent Vladimir Putin used a call with his protecting friends and power than the have to be as diplomatic as militarily in Stepanakert, front line will probably strain Moscow’s continue will become a source of bar- Azerbaijani counterpart, Ilham Aliyev, rule of law and democracy,” daily news- capable,” said Maxim Suchkov, senior Nagorno- role as regional hegemon as it seeks to gaining and leverage affecting much on a few on Saturday to call for “ensuring the paper Berlingske wrote this week. fellow at the Moscow State Institute of Karabakh balance the interests of both former wider issues,” said Laurence Broers, threads, preservation and normal operation of Denmark is the world’s largest pro- International Relations. Alexander Nemenov/AFP/ Soviet states. Caucasus programme director at Con- those holy places” after the handover. ducer of mink, selling most of the fur to “Russia’s larger role in the conflict Getty “Russian peacekeeping will now be a ciliation Resources, a peace-building which are But Russia’s defence ministry said two China and Russia, but the new law pro- means greater responsibility. The truce organisation. virtually days later that it had deployed troops to posal this week will ban farming of the is hanging on a few threads, which are “Managing that influence in ways the important Christian site “at the creatures until 2022. virtually all designed by Moscow.” Areas that will return to that avoid looking like a former all designed request of local [Armenian] residents”, The cull descended into farce last Azerbaijani control by Dec Mountainous Nagorno-Karabakh lies under the truce deal imperial power will be challenging, by Moscow’ and was considering a way to allow visits week as the government was forced to within Azerbaijan but is populated by km however.” to the monastery, despite the plan for it concede it was legal to kill only infected ethnic Armenians, who took control of AZERBAIJAN Russia’s ministry of defence said on to be handed over to Azerbaijan. mink and those within 8km of infected it and large areas of surrounding terri- NAGORNO- Monday that troops, backed by 90 Russia must also contend with the ris- animals. Some mink farmers stopped tory in a war in the early 1990s that armoured personnel carriers and hun- ing influence of Turkey, whose encour- their cull while Danish TV showed sev- KARABAKH Russian killed about 20,000 people. ARMENIA peacekeepers dreds of other vehicles, had fully agement of Baku and support on the eral in tears as thousands of mink were Lacklustre diplomatic efforts Yerevan and will be deployed deployed along the front line and set up battlefield was critical in its military gassed and taken away in lorries to be sporadic violent clashes marked the along the current seven observation posts along the so- success, and made it a key player in a buried in mass graves. next two and a half decades before Stepanakert front lines called Lachin corridor, a mountain pass region that Moscow considers its back- Ms Frederiksen justified the cull two Russian peacekeepers Shusha Azerbaijan, backed by Turkey and will patrol and keep that connects Nagorno-Karabakh to yard. weeks ago by saying a dangerous muta- boasting cutting-edge weapons, vowed open ‘Lachin pass’ Armenia and remains open under the Azerbaijan has repeatedly called for tion of Covid-19 had been found among to recapture the territory in late Sep- critical supply road Fuzuli terms of the ceasefire. Turkish soldiers to also act as peace- some humans. But scientists have since tember, making huge territorial from Armenia to In an early sign of the challenges of keepers, but the Kremlin says there is questioned how dangerous that muta- advances before the Moscow-brokered Nagorno-Karabakh implementing the deal, a Sunday dead- no role for them under the terms of the tion was while Danish health officials truce on November 10. Azerbaijan keeps line for control of the Kalbajar region to ceasefire. have said it has probably died out. IRAN AZER. the areas it has Russia has a mutual defence pact with captured in the be passed from Armenia to Azerbaijan “Real security comes from political Trust in the government’s Covid-19 Armenia but sought to maintain its As of Nov war, plus Shusha was delayed by 10 days amid a civilian change, not peacekeepers,” said Mr Bro- strategy has dropped 20 points, accord- close ties with both countries during the Sources: Azerbaijan Ministry of Defence; FT research exodus and questions over the fate of ers. “That’s some way off.” ing to an Aarhus University study.
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F WORLD BUSINESS NEWSPAPER ha e s a ds e ub ic o re a d Global insight rowing to an accord on the budget with ing biodiversity, added at MEPs’ behest. Last year’s MEP intake is making its
Trump vs the Valley A Five Star plan? Dear Don... Tech tita s eedto i i ise ta y s o u istsaretryi to oo ay s irststabatthebrea u the European Parliament last week. Despite some warnings against presence felt in all these dimensions. o itica ris T TT the oor etter T S S
Lloyd’s of BrusselsInsurance market K . ;Channel Islands £3.80; Republic of Ireland €3.80 SATURDAY1APRIL / SUNDAY 2 APRIL 2017 HMRC warns to tap new talent pool with EU base Briefing MEPs have reason to crow. “Who “greenwashing”, Green party MEPs The question remains whether it will i US bargain-hunters fuel Europe M&A Martin Europe has become the big target for cross-border dealmakiTHEng, as US companies rid e aENTrump-fuelled D HOW DRIVERLESS equity market rally to hunt for bargains across the customs risks Atlantic.— PAGE 15; CHINA CURBS HIT DEALS, PAGE 17 TECHNOLOGY IS i Report outlines longer NHS waiting times A reporOFt on how the healt h servicTe canHEsurvive CHANGING AN more austerity has said patients will wait longer for would have thought the European Par- have for the first time decided to sup- also prevail on the rule of law mecha- being swamped non-urgent operations and for A&E treatment while AMERICAN WAY OF LIFE some surgicaROADl procedures will be scrapped.— PAGE 4 Censors and sensitivity i Emerging nations in record debt sales Warning: this article may be FT WEEKEND MAGAZINE Developing countries have sold record levels of upsetting — LIFE & ARTS 017 by Brexit surge government debt in the first quarter of this year, Sandbu taking ad vantage of a surge in optimism toward emerging markets as trade booms.— PAGE 15 liament could achieve such a result?” port the budget. The new targets and a nism — where “the parliament fought 3 ConfidenceinITplans‘has collapsed’ i London tower plans break records 4 2 FEBRUARY A survey has revealed that a Art of persuasion Mystery deepens 3 Fivefold riseindeclarations expected record 455 tall buildings are How To Spend It planCned or unrderediconstruction t Suisse over disputed painting of Jane Austen AMES IT T T adjust its negotiation position with the in London. Work began on EU,aWhitehall official said. “If running almost one toweraweek A computer system acquired to collect our own customs system is proving during 2016.— PAGE 4 duties and clear imports into the UK much harder than we anticipated, that may not be able to handle the huge ought to have an impact on how we i Tilenlerson faiguls to ease Tulfrkeyed tensions in said Valérie Hayer, MEP and budget commitment to revise how they are cal- and did well to fight”, in Ms Hayer’s surgeinworkloadexpectedonceBritain pressforcertainoptionsinBrussels.” The US secretary of state has failed to reconcile leaves the EU, customs authorities have In a letter to Andrew Tyrie, chairman tensions after talks in Ankara with President Recep admittedtoMPs. of the Commons treasury select com- Tayyip Erdogan on issues including Syria and the Chic new lodgings HM Revenue&Customs told a parlia- mittee, HMRC said the timetable for extradition of cleric Fethullah Gulen.— PAGE 9 mentary inquiry that the new system delivering CDS was “challenging but fresh tax probe needed urgent action to be ready by achievable”. But, it added, CDS was “a i Toshiba investors doubt revival plan in Scotland March 2019, when Brexit is due to be complexprogramme”thatneededtobe In a stormy three-hour meeting, investors accused MAGAZINE completed, and the chair of the probe linked to dozens of other computer sys- managers oaving an entrenched secrecy culture said confidence it would be operational tems to work properly. In November, and3cast doubt on a revival plan after Westinghouse negotiator for the liberal Renew Europe culated, said Philippe Lamberts, a words — or whether the whole package UK, France and Netherlands swoop intime“hascollapsed”. HMRC assigned a “green traffic light” to filed for Chapter 11 bankruptcy protection.— PAGE 16 Setting upadigital customs system CDS, indicating it would be deliveredon 3 BlowforbidtocleanupSwissimage has been at the heart of Whitehall’s time. But last month, it wrote to the i HSBC woos transgender customers Brexit planning because of the fivefold committee saying the programme had TheRAba nk ha ATsKIN unvS —ZUeiledaRICHrange of gender-neutritalfollowed “a strategy offull client tax increase in declarations expected at been relegated to “amber/red,” which titles Nsuc ANh as R “MxINS”,in N a—BRUSSdditionEL toS Mr, Mrs, Missco ormpliance” but was still trying to BritishportswhentheUKleavestheEU. means there are “major risks or issues Ms, in a move to embrace diversity and cater togathethe rinformationabouttheprobes. About 53 per cent of British imports apparentinanumbero£eyareas”. neeCdsre ofditrt aSuissnsgenedehasr custobeenmertargets.— PAGEed 20 by HM Revenue&Customs said it had come from the EU, and do not require HMRC said last night: “[CDS] is on sweeping tax investigations in the UK, launched a criminal investigation into checks because they arrive through the track to be delivered by January 2019, France and the Netherlands, setting suspected tax evasion and money laun- group. The extra spending extracted Green MEP, give parliamentarians “real will be sent back to the drawing board. single market and customs union. But and it will be able to support frictionless Dabacktawa Switzerlandtch ’s attempts to clean up dering by “a global financial institution TheresaMayannouncedinJanuarythat international trade once the UK leaves itsimageasataxhaven. and certain ofits employees”. The UK Brexit would include departure from the EU . . . Internal ratings are designed The Swiss bank said yesterday it was tax authority added: “The international both trading blocs. HMRC handles 60m to make sure that each project gets the T rrorco-o tt c sperating inwit st rnh authoriti Europ es afteRecenr itts attacrkseac —h of this investigation sends a clear The lure of the exotic declarationsayearbut,onceoutsidethe focus and resource it requires for suc- officesinLondon,ParisandAmsterdnotablyam theme 2011ssage that there is no hiding place for customs union, the number is expected cessfuldelivery.” i h i htedwere conta attac cted by thers local officialmassacs28821,re bythoseseekingtoevadetax.” Coslada, Madrid. LegalRobin Lane Fox on Depositthe flair Number FINANCIAL toTIMEShit300m. HMRC’s letters to the select commit- “concerningclienttaxmatters”. Anders BreivikD inutch prosecutors, who initiated the of foreign flora — HOUSE & HOME The revelations about the system, tee, which will be published today, pro- AFP Dutch authorities said their counterNorway,- theaction, said they seized jewellery,paint- russe s attacks in Paris called Customs Declaration Service, are vide no explanation for the rating Lloyd’s of London chose Brus- insurers to follow. Most of the EU, with Dublin and Luxem- parts in Germany were also involved, ings and gold ingots as part of their very seven years the process from member states for the new budget leverage” over future spending. Unlike the budget, the rule of law pro- while Australia’s revenue departmenand Nicet , andprobe;the while French officials said their likely to throw a sharper spotlight on change, but some MPs believe it was sels over “five or six” other business written in Brussels bourgthoughttobemorelikely or ay Brussels suicide whether Whitehall can implement a caused by Mrs May’s unexpected deci- cities in its decision to set up an will be reinsured back to the homes for the industry. But saiditwasinve arisstigatingaSw iceissbank. investigation had revealed “several The inquiries threaten to underminbombieng(Depositos—thoushave and” bank accounts opened in Legal) M-32596-1995; host of regulatory regimes—in areas siontoleavetheEUcustomsunion. EU base to help deal with the syndicates at its City of London Mr Nelson said the city won on bucked the trend Bracken House, 1 Friday Street, London EC4M 9BT. efforts by the country’s banking sector Switzerland and not declared to French ranging from customs and immigration Tim t b r t R p i a e expected loss of passporting headquarters,picturedabove. its transport links, talent pool of generally low to agriculture and fisheries — by the Sc m to import E s a e rightsafterBrexit. The Belgian capital had not and “extremely good regula- tooverhaulbusinessmodelsandenfatsualitirees fromtaxauthorities. customers meet international tax The Swiss attorney-general’s office timeBritainleavestheEU. E itori omm nt Not boo a e John Nelson, chairman of the been seen as the first choice for toryreputation”. Sources a e s Terroris a d sur e cy e tre terror incidents in requirements following a US-led clamp- said it was “astonished at the way this ProblemswithCDSandotherprojects i ip St p ns ris i s a e centuries-old insurance mar- London’s specialist insurance a e western Europe down on evaders, which resulted in operation has been organised with the essentialtoBrexitcouldforceLondonto Mor n options a e ket, said he expected other groups after the UK leaves the Insur rs s t to o o a e Publishing Director, Roula Khalaf; billionsofdollarsinfines. deliberate exclusion of Switzerland”. It to pass the EU’s multiyear amounts to less than 1 per cent of the New, too, is the budget package’s com- vision requires only a qualified majority The probes risk sparking an interna- demandedawritten explanation from tional dispute after the Swiss attorney- Dutchauthorities. general’s office expressed “astonish- In 2014, Credit Suisse pleaded guilty ment” that it had been left out of the in the US to an “extensive and wide- City watchdog sendsaclear message as actions co-ordinated by Eurojust, thePublishingranging conspiracy” to help clients Company, The EscapeTHEFinancial theRISE taper OF trap ECO-GLAM Times Limited, Subscriptions & Customer service EU’sjudicialliaisonbody. evadetax.Itagreedtofinesof$2.6bn. CreditSuisse,whosesharesfell1.2per AdditionalreportingbyLauraNoonanin How high earners can evade banker loses job over WhatsApp boast cent yesterday, identified itself as the Dublin, Caroline Binham and Vanessa subject ofinvestigations in the Nether- Houlder in London, and Michael Stothard a pension headache — FT MONEY budget comes down to the total, but “we have won €16bn [while] mitment to new revenues going directly of countries and will pass unless there is lands,FranceandtheUK.Thebanksaid inParis Austen’s descendants insist the Rice portrait depicts her as a girl — see magazine Bridgeman Art Library
A RA N NAN registered office as above. Local Representative office; Berrysafterdiscussionswithregulators. media at work, but banks are unable to Subscription offers: www.ft.com/subscription ENNIFERT M S N Christopher Niehaus,aformer Jeffer- ban people from installing apps on their A boastful WhatsApp message has cost ies banker, passed confidential client privatephones. a London investment banker his job information to a “personal acquaint- Andrew Bodnar,abarrister at Matrix and a £37,000 fine in the first case of ance and a friend” using WhatsApp, Chambers,saidthecaseset“aprecedent Brussels takes tough stance on Brexit S ut o nris sbor r regulators cracking down on commu- accordingtotheFCA.Theregulatorsaid in that it shows the FCA sees these mes- C/ Infanta Maria Teresa390_Cover_PRESS.indd 4, 1 bajo 2, 28016, Madrid. ISSN19/01/2017 13:57 Contact: +44 207 775 6000, [email protected] over Facebook’s popular Mr Niehaus had turned over his device saging apps as the same as everything bi o s o r t top wire. This time the stakes are in 2013 we won zero, and in 2006 we to the EU. National leaders committed an attempt to reopen the legislation. chatapp. tohisemployervoluntarily. else”. with Spain handed veto over Gibraltar o ressio a e ub ica s see i to The FCA said Mr Niehaus had shared Information shared by Mr Niehaus a erta S o er e t shutdo a ter The fine by the Financial Conduct confidentialinformationonthemessag- included the identity and details of a ri ha e resisted o a d Tru s Authority highlights the increasing ing system “on a number of occasions” client and information aboutarival of A E ARKER —BRUSSELS ambitioustradeandairlineaccessdeals. mise. If Britain wants to prolong its atte t to tac u ds to ay or a a problem new media pose for companies lastyearto“impress”people. Jefferies. In one instance the banker 1135-8262. E R E ARKER —LONDON Gibraltar yesterday hit back at the status within the single market after Manage your personal account:o the S e ico border o to that neemma.ft.comd to monitor and archive their Several banks have banned the use of boasted how he might be able to pay off STEFAN A ST — BERLIN clause, saying the territory had “shame- Brexit, the guidelines state it would sto a s e di a s They ear staff’scommunication. new media from work-issued devices, hismortgageifadealwassuccessful. TheEUyesterdaytookatoughopening fully been singled out for unfavourable require “existing regulatory, budgetary, that his a ed b i crease i Several large investment banks have but the situation has become trickier as Mr Niehaus was suspended from Jef- stance in Brexit negotiations, rejecting treatmentbythecouncilatthebehestof supervisory and enforcement instru- de e ce a d border s e di cou d banned employees from sending client banks move towards a “bring your own feries and resigned before the comple- Britain’s plea for early trade talks and Spain”. Madrid defended the draft mentsandstructurestoapply”. greater than usual: the won only €4bn in fresh money,” she in July to finding these to pay for the new Any “move to dilute” the provision by i in ris to pi orcea edera shutdo or the irst information over messaging services device” policy. Goldman Sachs has tionofadisciplinaryprocess. UAE:explicitly giving Spain a veto ovMasarer any clause,pointingoutthatitonlyr Printingeflected Mr Tusk wants talks on future trad e & Publishing, P.O. Box 485100, Advertising ti e si ce as e ocrats re use including WhatsApp, which uses an clamped down on its staff’s phone bills Jefferies declined to comment while pr ssur on c r s r ic s arrangementsthatapplytoGibraltar. “thetraditionalSpanishposition”. to begin only once “sufficient progress” to acce t the ro osa s encryption system that cannot be as iPhone-loving staff spurn their work- Facebook did not respond to a request Senior EU diplomats noted that has been made on Britain’s exit bill and S bu t A n accessed without permission from the issuedBlackBerrys. forcomment. About 2.3m people will benefit from European Council president Donald Mr Tusk’s text left room for negotiators citizen rights, which Whitehall officials Trump tt c o r t bi i PAGE 8 user. Deutsche Bank last year banned Bankers at two institutions said staff AdditionalreportingbyChloeCornish today’s increase in the national living Tusk’s first draft of the guidelines, to work with in coming months. Prime believe means simultaneous talks are WhatsApp from work-issued Black- are typically trained in how to use new omb r a e wage to £7.50 per hour. But the rise which are an important milestone on minister Theresa May’s allies insisted possibleifcertainconditionsaremet. will pile pressure on English councils, Dubai.the road to Brexit, sought to damp Brit- Editorthat the EU negotiating stance was inBoris Johns Chief:on, the foreign secretary, Roula Khalaf. Tel: +44 20 7873 4000 [email protected], which will have to pay care workers a ain’s expectations by setting out a largely“constructive”,withonesayingit reassured European colleagues at a lot more. Some 43 per cent of care “phased approach” to the divorce proc- was “within the parameters of what we Nato summit in Brussels that Mrs May budget includes the recovery fund, said. More important is substance. One common debt. The final accord with governments “will be opposed by the Subscrib In print n on in or M r ts sta —amounting to 341,000 people ess that prioritises progress on with- were expecting, perhaps more on the had not intended to “threaten” the EU aged 25 and over — earn less than the drawalterms. upside”. when she linked security co-operation t co subscribe o ST K MARKETS RREN IES INTEREST RATES new living wage and the increase is The decision to add the clause giving BritishofficialsadmittedthattheEU’s afterBrexitwithatradedeal. Te expected to cost councils’ care services Spain the right to veto any EU-UK trade insistence on a continuing role for the R ports n sis page 3 Mar 30 prev %chg Mar 30 prev Mar 30 prev price yield chg France: Publishing Director, Jonathan Slade, 46 Rue La [email protected] £360m in the coming financial year. deals covering Gibraltar could make the European Court of Justice in any transi- on t n o Tim r or For t t st n s o to S&P 500 2365.93 2361.13 0.20 $ per € 1.074 1.075 € per $ 0.932 0.930 US Gov 10 yr 98.87 2.38 0.00 E An sis i PAGE 4 300-year territorial dispute between tiondealcouldbeproblematic. M n in t N s i is page 11 . t.com Nasdaq Composite 5902.74 5897.55 0.09 $ per £ 1.249 1.241 £ per $ 0.801 0.806 UK Gov 10 yr 100.46 1.21 -0.03 Madrid and London an obstacle to Brussels sees little room for compro- nr M nc page 12 Dow Jones Ind 20703.38 20659.32 0.21 £ per € 0.859 0.866 € per £ 1.164 1.155 Ger Gov 10 yr 98.68 0.39 -0.01 © THE FINANCIAL TIMES LTD 2017 FTSEuro rst 300 1500.72 1493.75 0.47 ¥ per $ 111.295 111.035 ¥ per € 119.476 119.363 Jpn Gov 10 yr 100.45 0.06 0.00 No: 39,435 ★ Euro Stoxx 50 3481.67 3475.27 0.18 ¥ per £ 139.035 137.822 £ index 76.705 76.951 US Gov 30 yr 100.14 2.99 0.01 Boetie, 75008 Paris, Tel. +33 (0)1 5376 8256; Fax: +33 (01) which at €750bn almost doubles Brus- European Commission insider points parliament “converted a political com- European Parliament which, impor- Letters to the editor ri ted i o do i er oo as o ub i FTSE 100 7369.52 7373.72 -0.06 € index 89.046 89.372 $ index 104.636 103.930 Ger Gov 2 yr 102.58 -0.75 0.00 Subscrib In print n on in or M r ts Fra urt russe s i a adrid e or FTSE All-Share 4011.01 4011.80 -0.02 SFr per € 1.069 1.072 SFr per £ 1.244 1.238 price prev chg hica o Sa Fra cisco ashi to r a do MM ITIES www.ft.com/subscribenow CAC 40 5089.64 5069.04 0.41 Fed Funds E 0.66 0.66 0.00 ST K MARKETS RREN IES INTEREST RATES To yo o o Si a ore Seou ubai Xetra Dax 12256.43 12203.00 0.44 Mar 30 prev %chg US 3m Bills 0.78 0.78 0.00 Tel: 0800 298 4708 Mar 31 prev %chg Mar 31 prev Mar 31 prev price yield chg Nikkei 19063.22 19217.48 -0.80 Oil WTI $ 50.22 49.51 1.43 Euro Libor 3m -0.36 -0.36 0.00 For t t st n s o to S&P 500 2367.10 2368.06 -0.04 $ per € 1.070 1.074 € per $ 0.935 0.932 US Gov 10 yr 98.63 2.41 -0.01 Hang Seng 24301.09 24392.05 -0.37 Oil Brent $ 52.98 52.54 0.84 UK 3m 0.34 0.34 0.00 5376 8253; Commission Paritaire N° 0919 C 85347; ISSN Nasdaq Composite 5918.69 5914.34 0.07 $ per £ 1.251 1.249 £ per $ 0.800 0.801 UK Gov 10 yr 100.35 1.22 0.02 [email protected] FTSE All World $ 297.99 297.73 0.09 Gold $ 1248.80 1251.10 -0.18 Prices are latest for edition Data provided by Morningstar . t.com Dow Jones Ind 20689.64 20728.49 -0.19 £ per € 0.855 0.859 € per £ 1.169 1.164 Ger Gov 10 yr 99.27 0.33 -0.01 © THE FINANCIAL TIMES LTD 2017 FTSEuro rst 300 1503.03 1500.72 0.15 ¥ per $ 111.430 111.295 ¥ per € 119.180 119.476 Jpn Gov 10 yr 100.36 0.07 0.00 No: 39,436 ★ sels’ financial firepower, and behind the out that MEPs managed some “rectifica- mitment into a legal commitment”, said tantly, still needs to provide its final Euro Stoxx 50 3495.59 3481.58 0.40 ¥ per £ 139.338 139.035 £ index 77.226 76.705 US Gov 30 yr 99.27 3.04 0.01 Printed in London, Liverpool, Glasgow, Dublin, FTSE 100 7322.92 7369.52 -0.63 € index 88.767 89.046 $ index 104.536 104.636 Ger Gov 2 yr 102.57 -0.75 0.00 Frankfurt, Brussels, Milan, Madrid, New York, 1148-2753.FTSE All-Share 3990.00 4011.01 -0.52 SFr per € 1.071 1.069 SFr per £ 1.252 1.244 price prev chg Executive appointments Chicago, San Francisco, Washington DC, Orlando, CAC 40 5122.51 5089.64 0.65 MM ITIES Fed Funds E 0.66 0.66 0.00 Tokyo, Hong Kong, Singapore, Seoul,Dubai Xetra Dax 12312.87 12256.43 0.46 Mar 31 prev %chg US 3m Bills 0.78 0.78 0.00 Nikkei 18909.26 19063.22 -0.81 Oil WTI $ 50.46 50.35 0.22 Euro Libor 3m -0.36 -0.36 0.00 Hang Seng 24111.59 24301.09 -0.78 Oil Brent $ 53.35 53.13 0.41 UK 3m 0.34 0.34 0.00 Tel: +44 20 7873 4909 Turkey:FTSE All World $ 297.38 298.11 -0.24 Gold $ Dunya1244.85 1248.80 -0.32 Prices are latestSuper for edition Data provided by Morningstar Veb Ofset A.S. 100. Yil Mahallesi hold-up is two states’ objection to an tion” of cuts to pan-European spending Ms Hayer. While national parliaments approval on the overall EU budget”, said www.exec-appointments.com 34204, Bagcilar- Istanbul, Tel. +90 212 440 24 24. Sweden: Responsible Publisher - Christer Norlander unprecedented rule of law mechanism. made by leaders in July. The funding for have a say, there is now a legally binding Mujtaba Rahman, managing director of Published by: The Financial Times Limited, At a meeting of ambassadors on Mon- EU-level health programmes was tri- timetable for when the commission Eurasia Group, in a research note. In the Bracken House, 1 Friday Street, London EC4M 9BT. © Copyright The Financial Times 2020. Tel: +44 20 7873 3000; Fax: +44 20 7407 5700. 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Responsible for advertising content, Jon Slade. self-regulation regime under the FT Editorial Code of of the rule of law threatens the integrity money goes. For the first time, the total and Poland may be too late to get their Italy: Monza Stampa S.r.l., Via Michelangelo Buonarroti, Practice: www.ft.com/editorialcode ‘We have won €16bn 153, Monza, 20900, Milan. Tel. +39 039 28288201 of EU spending. Brussels power brokers sums allocated to agriculture or “cohe- way. Still, while all sides decide whether Owner, The Financial Times Limited; Rappresentante e Reprints are available of any FT article with your are now scrambling for a way forward. sion” subsidies to poorer regions do not [while] in 2013 we won to call the others’ bluff they cast “a cloud Direttore Responsabile in Italia: I.M.D.Srl-Marco Provasi - company logo or contact details inserted if required Via G. Puecher, 2 20037 Paderno Dugnano (MI), Italy. (minimum order 100 copies). This sentiment of crisis should not exceed spending on everything else. “No of uncertainty over the bloc’s economic Milano n. 296 del 08/05/08 - Poste Italiane SpA-Sped. in One-off copyright licences for reproduction of FT articles obscure progress the EU has made this [budget] has ever been so green,” said zero, and in 2006 we won recovery”, said Mr Rahman. Abb.Post.DL. 353/2003 (conv. L. 27/02/2004-n.46) art. 1 are also available. .comma 1, DCB Milano. For both services phone +44 20 7873 4816, or email year, from an agreement among Ms Hayer, pointing to the 30 per cent only €4bn in fresh money’ Spain: Bermont Impresion, Avenida de Alemania 12, CTC, [email protected] national leaders in July on a pandemic target for climate-friendly spending and [email protected]
NOVEMBER 19 2020 Section:World Time: 18/11/2020 - 18:11 User: john.conlon Page Name: WORLD1 USA, Part,Page,Edition: EUR, 2, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 3
INTERNATIONAL
Cienfuegos arrest Venezuelan oil US drops drug charges for risks being left top Mexican
Jude Webber and Kadhim Shubber in ground amid A former Mexican defence minister will return to his home country after a judge yesterday granted US prosecu- tors’ request to drop drug trafficking energy refocus and money laundering charges against him, citing “sensitive and important foreign policy considerations”. The U-turn by US authorities came a lit- Maduro and Guaidó want to tap reserves but tle more than a month after Salvador Cienfuegos, a retired four-star general, climate fears are upending global markets was arrested at Los Angeles airport and transferred to New York for trial. Michael Stott agree on is that the road to recovery lies He was charged with conspiracy to Latin America editor in huge investment to revive the indus- manufacture, import and distribute Once a wealthy oil exporter, Venezuela’s try. The “Plan País” blueprint drawn up narcotics into the US, as well as money hopes of reviving its shattered economy by Mr Guaidó’s team is unequivocal: oil laundering. US authorities alleged are pinned on huge investment in and gas are the nation’s fundamental thousands of intercepted BlackBerry extracting one of the world’s most car- resources to begin its reconstruction. communications pointed to the former bon-heavy blends of crude. Elías Matta, president of the energy minister’s complicity with the little- But concerns about climate change commission of the Guaidó-dominated known H2 drug cartel. are upending energy markets world- Venezuelan National Assembly, said During a court hearing, Seth DuCha- wide, and some experts believe much of that to rebuild the once widely admired rme, acting US attorney in Brooklyn, the country’s most valuable asset will PDVSA “will take eight to 10 years and Motionless: country is physically in the hands of they are increasingly factoring in the acknowledged the decision to drop the remain stranded in the ground. cost $180bn to $200bn to produce 2m an oil pump of armed thugs of every colour and nation- carbon intensity of investments into ‘Oil will not case had been made at the highest level “Oil will not save us this time around,” barrels per day more”. state-owned ality. You need a tremendous amount of future decision-making. Venezuela’s oil save us of the US justice department: William said Pedro Burelli, a former board Mr Matta told the Financial Times he company PDVSA security assistance even for the first is likely to be less attractive in such sce- Barr, the attorney-general appointed by member of state-owned oil company was working on a new hydrocarbons law stands still in phase of a humanitarian operation.” narios, though it may still have some off- this time Donald Trump. Judge Carol Bagley PDVSA who now runs a consultancy in to reopen the sector to private invest- Cabimas, north Not everyone is so negative. One US shore gas potential. around. Amon granted the request, saying: the US. “We have to reinvent ourselves ment and claimed there was “a high Venezuela. oil industry executive said Venezuela Andrew Grant, who leads energy “Although these are very serious as a country and as an economy.” level of interest” from foreign oil com- Crude output is was “still very feasible” as a destination research at Carbon Tracker, a climate We have to charges against a very significant figure, Under President Nicolás Maduro’s panies in taking part. at a tenth of for investment if the government were change think-tank, said its modelling reinvent and the old adage ‘a bird in the hand’ revolutionary socialist government, But he was speaking from Miami. Like the level in the to change. “It’s a five-hour flight from showed Venezuela would only find it comes to mind, I have no reason to Venezuela has suffered one of the many Guaidó backers, he has been early 2000s Houston,” he said. “Venezuelan crude economic to extract 2.5bn barrels from ourselves as doubt the sincerity of the government’s world’s worst peacetime economic col- forced abroad by the government. The Rodrigo Abd/AP remains very competitive.” its vast oil reserves, or about five years’ a country decision.” lapses. Gross domestic product has opposition faces almost certain defeat in With every year that passes, investor production at a rate of 1.5m bpd. “If you Mr Barr and his Mexican counter- plunged more than three-quarters over elections next month for a new National pressure on oil companies to become have the slightest concern about the and as an part, Alejandro Gertz Manero, said on the past five years, according to IMF fig- Assembly under rules so skewed carbon-neutral increases and Vene- future of oil demand, you wouldn’t economy’ Tuesday the US justice department had ures. About 5m refugees have fled the towards the government that the US has zuela’s chances of reviving its once- touch [Venezuela] with a barge pole.” decided to seek dismissal of charges “so destitute country. already called the ballot a “fraud”. mighty oil industry diminish. Its abun- Some insist Venezuela’s oil has not yet that he may be investigated and, if Chronic mismanagement of the Even if Mr Maduro and his inner cir- dant Orinoco Belt crude, while rela- lost its allure. Ricardo Hausmann, a appropriate, charged” in Mexico. national oil industry and draconian US cle could be induced to depart, much of tively cheap to extract, is among the former Venezuelan planning minister in In a statement on Tuesday, they said sanctions on exports have slashed Vene- the country’s oil wealth may end up world’s most carbon-intensive. the 1990s, said: “There are fairly few the move was being made “in recogni- zuela’s crude production to 359,000 bar- worthless because of the dramatic shifts “More companies are turning away places in the world where there are tion of the strong law enforcement part- rels per day in the third quarter of this in the global energy industry. from the dirty barrels and Venezuelan proven reserves with zero geological nership” between the countries and “in year, just over a tenth of the level “Plan País says ‘Let’s go back to the oil crude is among the dirtiest,” said Valérie risk and fairly low costs of production.” the interests of demonstrating our achieved in the early 2000s. era again’. It’s the wrong premise. We are Marcel, an energy expert at Chatham But he conceded oil “will never be as united front against all forms of crimi- But Venezuela has the world’s biggest now at the end of the oil era,” Mr Burelli House, London. “There are still some important a driver of the economy again nality”. Despite allegations of corrup- proven oil reserves, according to Opec said in a talk to the British-Venezuelan players out there that might invest but as it was”, and urged Venezuela to think tion under the 2012-18 government of data. One of the very few things Mr Society, pointing out Venezuela’s oil they are becoming fewer and fewer.” about expanding agriculture, tourism then-president Enrique Peña Nieto, in Maduro and the country’s US- and EU- infrastructure has been in effect BP and Shell declined to com- and other industries to compensate. which Gen Cienfuegos served, his arrest backed opposition leader, Juan Guaidó, destroyed and PDVSA is in ruins. “The ment. However, oil executives have said Additional reporting by Anjli Raval incensed the Mexican armed forces.
NOVEMBER 19 2020 Section:World Time: 18/11/2020 - 18:58 User: keith.allen Page Name: WORLD2 USA, Part,Page,Edition: EUR, 3, 1 4 ★ † FINANCIAL TIMES Thursday 19 November 2020
INTERNATIONAL
Special drawing rights Middle East Egypt arrests G20 nears accord over IMF relief funds rights director Saudi finance minister group of nations and the IMF could recession have hit low-income countries and others, and we will find ways, hope- freeze bilateral government loan repay- in ‘chilling’ agree on an allocation of the fund’s spe- struggling with high debts and plum- fully soon, to resolve that issue, because ments for 73 eligible low-income coun- hopeful of consensus to cial drawing rights, or SDRs, “soon”. meting revenues. that would help a lot of people.” tries this year. aid low-income countries SDRs are an international reserve IMF managing director Kristalina He added that “definitely we need it “The last thing we want is to say ‘OK, escalation asset allocated to IMF members in pro- Georgieva has been an advocate of the for certain countries and I’m quite opti- everybody is off the hook’, they will go portion to their share of the global econ- move, as have China and other coun- mistic that we will find a way to do it and have even a possibly worse situa- Andrew England of crackdown Middle East editor omy; they can be used to provide cash tries, but they have faced opposition very soon . . . particularly to countries tion,” Mr Jadaan said. “This is why we injections to countries with diminishing from the US. In April, US Treasury sec- in need”. are attaching it [the debt relief] with The world’s richest countries are edging foreign exchange reserves. retary Steven Mnuchin sought to justify No amounts had been discussed, he very clear technical support, [an] IMF Andrew England towards a consensus on unlocking addi- During the 2008 financial crisis, the this resistance by saying that “almost 70 said, but if the initiative was to help programme, to ensure they are helped Middle East editor tional IMF funds for poorer nations IMF issued $270bn in SDRs in a bid to per cent of an allocation would be pro- “countries that really need it, not coun- and guided throughout the process.” Egyptian security forces have arrested whose economies have been battered by help boost countries’ financial resil- vided to G20 countries”. tries that have significant reserves, then Governments seeking relief under the a senior executive at one of the coun- the coronavirus crisis, according to a ience. The G20 is not expected to announce I think we will reach an agreement”. initiative will be expected to negotiate try’s most respected human rights leading G20 official. The question of whether it should a breakthrough on SDRs at its summit While world powers were unable to similar terms with private sector lend- organisation in a sharp escalation of Mohammed al-Jadaan, the finance make a similar move in response to the this weekend. But Mr Jadaan told the agree on SDRs, the G20’s main means of ers, which some countries have been the government’s crackdown on civil minister of Saudi Arabia, which holds economic consequences of the pan- FT: “With SDRs I’m a supporter, but we helping low-income economies deal reluctant to do because of concerns they society movements. the G20 presidency this year, told the demic has been a hotly debated topic as need consensus and that consensus is with the pandemic has been debt relief. will be shut out of capital markets and Financial Times he was “optimistic” the the coronavirus outbreak and global being built. I’ve been talking to the IMF In April, wealthier nations offered to risk rating downgrades. Karim Ennarah, the director of criminal justice at the Egyptian Initiative for Per- sonal Rights (EIPR), was detained yes- terday while on holiday on Egypt’s Red Sea coast and taken to an “undisclosed Transition of power. Legal action location”, his organisation said. His arrest came three days after an administrative manager at EIPR, Mohamed Basheer, was arrested. Trump sees last chance to disrupt handover Amnesty International described the arrests as a “chilling escalation” of the government’s crackdown, saying it dealt “a heavy blow against the legitimate US president hopes that work of human rights defenders”. Egypt, which was the first Arab nation frustrating state certification Timeline to sign a peace agreement with Israel, process will derail Biden has for decades been an important US partner in the Middle East. The govern- ment’s dire human rights record will be Kadhim Shubber — Washington Milestones on the an early test of president-elect Joe As Donald Trump continues to dispute road to inauguration Biden’s stated commitment to “defend his election loss, the outgoing US presi- the right of activists, political dissidents, dent is approaching a series of deadlines and journalists around the world”. that will further cement Joe Biden’s Human rights groups said the arrests victory. Nov 20 Vote certification deadline in appeared to be connected to a meeting US states are certifying their results Georgia EIPR held with western diplomats to over the next few weeks in a staggered Nov 23 Deadline for counties to submit discuss human rights issues. process ahead of December 14, the date vote totals in Pennsylvania Since President Abdel Fattah al-Sisi on which the Electoral College formally Start of 20-day window for Michigan seized power in a popularly backed 2013 meets to confirm the next president. panel to complete certification coup that ousted Mohamed Morsi, the The lengthy timeline provides space Nov 30 Vote certification deadline in democratically elected Muslim Brother- for Mr Trump to cast further doubt on Arizona hood leader, his regime has sought to the clear verdict of the American people Dec 1 Vote certification deadline in crush all forms of dissent. and to block the transition process to Mr Nevada and Wisconsin Tens of thousands of Brotherhood Biden’s administration, even if he has Dec 8 ‘Safe harbour’ date, promising members and supporters have been little hope of overturning the result. states their electoral votes will be detained, but the regime has also “As a technical matter, it’s inconse- counted if finalised by this deadline arrested scores of secular activists, aca- quential if the president fusses about Dec 14 Electors meet separately in demics, bloggers, journalists and busi- the outcome of the election because it is each state to cast votes in the nessmen. They are often charged with not a fully decided process until all of Electoral College crimes related to terrorism, denied these steps have taken place,” said Rus- Jan 6 Congress counts Electoral access to lawyers and face trials in mili- sell Riley, co-chair of the Miller Center’s College votes in session presided tary courts. presidential oral history programme. over by Mike Pence, the incumbent EIPR said that after Mr Basheer was “The broader picture is it is a violation vice-president arrested he was questioned about the of all of the expectations of the office Jan 20 Presidential inauguration group’s work and the November 3 meet- and a violation of the standards of fair ing between the organisation and “a play that make democracy possible,” he Joe Biden, then 23 to complete the certification with at As each state gives its results the impri- Those realities are a big reason why number of ambassadors and diplomats, added. vice-president, least three votes. matur of certification, the reality of Mr ‘It is a Mr Trump’s legal actions are widely where the discussion revolved around Though voting ended on November 3, presides over Typically, Michigan’s presidential Trump’s defeat will become yet more violation considered to have little hope of success. enhancing human rights in Egypt and US states each have their own processes the counting of results are certified on the first day of stark. “The campaign’s lawsuits so far don’t globally”. for ensuring a reliable count, typically electoral votes the window without complications, but The steady sequence of certifications of the advance arguments to alter enough State prosecutors accused Mr Basheer involving multiple checks, laws particu- from the 2016 Democrats are preparing to force the will make it harder for the Trump standards votes in enough states to change the out- of joining a terrorist organisation, lar to each state and varying deadlines. national poll board’s hand if the Republican mem- administration to continue to resist the of fair play come in the Electoral College,” said a spreading false information that In Georgia, the certification deadline Mark Wilson/Getty bers block or delay the process. beginning of Mr Biden’s transition, par- Republican elections lawyer. “undermines state security”, funding is November 20. After completing an In a portent of that possibility, the ticularly once states that give the presi- that make “It’s just not a close election,” added terrorism and broadcasting “false initial tally, the state has embarked on a board of canvassers in Wayne County, dent-elect a majority in the Electoral Ian Bassin, a former Obama White news”, EIPR said. hand recount of every presidential vote which includes the city of Detroit, dead- College have finalised their results. Fed- democracy House lawyer and founder of Protect It was not immediately clear what Mr as part of an audit. locked on certifying the results on Tues- eral law requires the release of transi- possible’ Democracy, a non-partisan group. Ennarah was accused of. Pennsylvania, where Mr Trump has day afternoon following a 2-2 split tion funds when the result of the elec- The next steps after certification are a Mr Sisi, credited by supporters for sta- mounted most of his lawsuits, has a between Democrats and Republicans, tion is “apparent”. pair of deadlines in December. Congress bilising the country and reviving the November 23 deadline for counties to who made allegations of irregularities. Mr Trump is focusing on states where has set December 8 as a “safe harbour” moribund economy, has enjoyed good submit their final vote totals. The The Republicans subsequently the outcomes were close. In Wisconsin, date that promises states their Electoral relations with western powers. US presi- Trump campaign is seeking a court reversed course late on Tuesday, allow- which Mr Biden won by over 20,000 College votes will be counted if finalised dent Donald Trump described him as order to prevent the state from certify- ing the board unanimously to certify the votes, the Trump campaign yesterday by this deadline. his “favourite dictator”. ing its results. results on the condition that the Michi- requested a partial recount, fronting up Six days later, electors meet sepa- Human rights groups have accused In states including Georgia, the results gan secretary of state conduct an audit $3m in advance to cover the estimated rately in each state to cast votes in the Mr Trump of turning a blind eye to are certified by the elected secretary of of precincts with out-of-balance tallies. costs. In Georgia, where Mr Biden’s mar- Electoral College. The electors will be abuses in the Middle East and embold- state, but the process is more idiosyn- “The courts have been clear that the gin stands at 14,000, the president is either Democratic or Republican ening its autocrats to pursue ruthless cratic elsewhere, offering Mr Trump [Michigan board’s] duty is ministerial,” considering seeking a full recount. depending on who won the particular crackdowns. Rights groups have urged opportunities to throw a spanner in the meaning that it does not have discre- But recounts tend not to change the state, and they generally vote in line Mr Biden to take a stronger line. gears. tion, said Mark Brewer, a Democratic vote totals by very much. In any case, with the state’s popular vote. Hussein Baoumi, Egypt researcher at In Michigan, the results are certified election lawyer in Michigan with the Mr Biden has a wide projected margin of From there, the last stops are January Amnesty, said the arrests of the two by a four-person board that has two firm Goodman Acker. 306 votes to 232 in the Electoral College, 6, when Congress counts the Electoral EIPR staff members were a “test” for Mr Democrats and two Republicans, raising The final certification deadlines meaning that even extraordinary College votes at a session presided over Biden, as well as the governments of the the prospect of a deadlock. The board among the main battleground states is events overturning his win in one state by Mike Pence, US vice-president, and diplomats who attended the meeting has a 20-day window from November December 1 for Nevada and Wisconsin. would not undo his overall victory. the inauguration on January 20. with the organisation.
‘Safe harbour’ Bangkok China recovery prompts surge of foreign investment Thousands of Thai activists
Thomas Hale — Hong Kong consumption and gradually liberalise acquisitions between Hong Kong and Asset Management this year entered protest after dozens injured foreign involvement in its industries, China were excluded, activity had into a $600m joint venture with Chinese Ivanhoé Cambridge, a group that even after it has cracked down on some increased by the most in sectors such as logistics firm New Ease, investing in invests in international property on of its biggest conglomerates and the out- real estate, information and communi- assets on behalf of North American, John Reed — Bangkok Erawan Emergency Medical Centre. behalf of Quebec’s state pension sys- ward capital flows they fuelled over the cations technology, ecommerce and European, Middle Eastern and Asian Protesters had tried to breach concrete tem, had already put $2bn into China’s At least 10,000 Thai democracy activ- past decade. consumer industries. Such sectors often investors. barricades erected by police outside the logistics sector in the past few years. In ists surrounded a police headquarters Official data show that FDI into China rely on the Chinese market as an end in “When you look at the urbanisation, country’s parliament, where MPs were June, as coronavirus was raging around building in Bangkok yesterday rose in October for the seventh straight the explosion of the Chinese middle discussing reforms to Thailand’s mili- the world, it added another $400m. evening, splattering it with paint dur- month, jumping 18 per cent year on year class, the consumption spending that tary-drafted constitution. ing one of the largest gatherings seen in “We’ve certainly been trying to increase to Rmb81.9bn ($11.8bn). has evolved in China — foreign investors A new charter is one of three core China’s economy is the kingdom’s wave of unrest. our exposure to logistics in China as Last month, Zong Changqing, an offi- expected to grow have consistently tried to find a way to demands being pushed by protesters, quickly and as responsibly as we can,” cial at China’s commerce ministry, said 2 per cent this invest in that mega theme,” said Mr Protesters carried inflatable rubber along with the resignation of Prime Min- said George Agethen at the Canadian investors saw the country as a “safe har- year, compared Agethen. ducks — a new visual emblem of the ister Prayuth Chan-ocha and limits on with declines company. He points to a “difficult envi- bour”. elsewhere Despite higher inbound appetite, youth demonstrations that surfaced King Maha Vajiralongkorn’s powers. ronment” in which to make an invest- Rising FDI echoes a wider rush of China’s outbound investment remains over the past two days — to the site and Police on Tuesday used tear gas and ment decision. funding into China’s financial markets sluggish, according to Natixis. The used squirt guns and bottles to coat the cannon loaded with chemical-laced “The interest to invest in China and on the back of its recovery, which has itself, tying into the country’s next five- country’s overseas FDI had boomed in Royal Thai Police building in the central water to prevent protesters from enter- China logistics is . . . everywhere,” he helped push the renminbi to its highest year plan to focus the economy on 2015 to 2017 on the back of high levels of Ratchaprasong district with paint. ing the complex, but some broke added. “There’s not a single investor I level in years. The economy is expected domestic production that seeks to serve activity from conglomerates such as The size and ferocity of the protest through the barriers. “Yellow shirt” roy- know who doesn’t think it’s a good idea.” to grow 2 per cent this year, compared its own consumers. HNA and Anbang, but subsequently attested to the continuing strength of a alists threw rocks and other projectiles Foreign direct investment (FDI) into with declines elsewhere. Higher foreign investor interest fol- dropped. nearly five-month-old movement that at the demonstrators. As the violence China plummeted at the start of the year “What it’s showing is China is an lows an investment chill between China In 2019, China’s outbound FDI was in recent days some Thais had specu- escalated, some MPs fled parliament. when coronavirus emerged within its attractive investment location in the and the US. Despite geopolitical ten- $77bn, less than half the level in 2017, lated was running out of steam. The clashes were the worst since the borders. But its rapid recovery from the same way it’s attractive for portfolio sions this year, the pandemic is now according to data from Jean-Marc F It came a day after chaotic scenes out- protests began in July. Panumas “James” pandemic, as well as the chaos the virus flows,” said Alicia García-Herrero, chief helping to accelerate longstanding Blanchard, founding executive director side parliament, where protesters call- Singprom, a leader of the Free Youth has wrought elsewhere, is now encour- economist for Asia Pacific at Natixis, a investment trends in the country. at the Wong MNC Center, a think-tank ing for constitutional reform clashed group, said three protesters were shot aging a flood of money into the country. bank. “Overall its relative growth is bet- Like ecommerce, the logistics sector in California. with police and royalist vigilantes. and two suffered broken legs. That shift could support China’s ter and its return is higher.” taps into rising urbanisation and con- Additional reporting by Xinning Liu in Fifty-five people were taken to hospi- Police denied using live ammunition longer-term plans to expand domestic Natixis said that if mergers and sumer demand in China. JPMorgan Beijing tal on Tuesday, according to Bangkok’s or rubber bullets.
NOVEMBER 19 2020 Section:World Time: 18/11/2020 - 18:35 User: john.conlon Page Name: WORLD3 USA, Part,Page,Edition: USA, 4, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 5
NOVEMBER 19 2020 Section:Ad Page Time: 18/11/2020 - 11:22 User: william.baxter Page Name: AD BLOOMBERG, Part,Page,Edition: ASI, 5, 1 6 ★ FINANCIAL TIMES Thursday 19 November 2020
William Cohan ‘Cov-lite’ lenders are facing the inevitable unintended consequences of foolish risk-taking y MARKETS INSIGHT
Cleared for take-off Boeing 737 Max wins US Pfizer vaccine UK electric approval to fly again after ‘gruelling’ review trial results are even better vehicle maker than expected
Hannah Kuchler — New York Joe Miller — Frankfurt set for Nasdaq Donato Paolo Mancini — London Pfizer and BioNTech said they would submit their Covid-19 vaccine for US and EU emergency approval “within listing via Spac days”, after new data showed it was even more effective than initially reported.
The jab was found to have an efficacy 3 Arrival agrees merger with CIIG rate of 95 per cent, the companies said, matching results released this week by 3 Deal gives company $5bn valuation vaccine rival Moderna. Both shots are likely to be approved before the end of Peter Campbell — London approach to the production of electric the year, boosting hopes that the world vehicles made the company the clear will be able to turn a corner in the battle Arrival, the UK electric bus and van winner in our search for a partner,” said against coronavirus. maker backed by Hyundai, will list in Mr Cuneo. “The study results mark an important the US through a reverse takeover, valu- Mr Rugoobur said Mr Cuneo would step in this historic eight-month journey ing the company at $5.4bn. help the company to develop its brand to bring forward a vaccine capable of The group said yesterday it will merge as it aims to expand across the world. helping to end this devastating pan- with Nasdaq-listed CIIG Merger Corp, a Despite its order book, the business is demic,” said Albert Bourla, Pfizer chief special purpose acquisition company, or not due to begin production of its first executive, adding that the companies Spac, a blank-cheque company that bus until the final quarter of 2021, with were sharing the data with regulators enables businesses to list without the its electric van coming in 2022. around the world. usual scrutiny of a traditional initial It also has plans to co-develop electric In global phase 3 trials involving more public offering. vehicles with Hyundai and Kia. than 43,000 people, 170 were observed The company is the latest to enter the Arrival will raise $660m in proceeds to have contracted coronavirus, out of electric van market, pitting it against through the listing, allowing it to which 162 had been given a placebo, the Ford, which this month unveiled its increase factory openings in the US and companies said. Just eight of those who electric Transit van, and start-ups such Europe once its production has started. had received two shots of the BioNTech- as Rivian, which is making battery- CIIG has raised $400m from investors Pfizer vaccine developed the disease powered delivery vans for Amazon. including Fidelity Management & and only one became seriously ill, while Research Company, Wellington Man- nine of the placebo group developed agement, BNP Paribas Asset Manage- The FAA is requiring Boeing to change its flight control software after crashes killed 346 people — Elaine Thompson/AP severe Covid-19. The business is not due ment Energy Transition Fund, and In the Moderna vaccine trial, which to begin production of funds and accounts managed by Black- released its first set of results on Mon- Rock. UPS and BlackRock are already Claire Bushey — Chicago parked at Washington state airfields. rather followed a methodical and day showing an efficacy rate of 94.5 per its first bus until the investors in the company. The FAA is requiring that Boeing deliberate safety process . . . I can tell cent, no participant who received the The US Federal Aviation Administra- “We will raise enough capital here to change flight control software, known you now that I am 100 per cent com- vaccine developed severe Covid-19. final quarter of 2021 tion issued an order yesterday to see us through to being cash flow posi- as the Manoeuvring Characteristics fortable with my family flying on [the Eleven participants in its placebo group allow Boeing’s 737 Max to return to Arrival’s valuation is a steep rise since tive by 2023,” said Mr Rugoobur. Augmentation System, or MCAS, aircraft].” developed severe symptoms. the skies, clearing the way for other January, when a €100m investment by The company plans to open a network which was a critical factor in the two But families of the victims killed in Crucially, the BioNTech-Pfizer shot regulators to follow and airlines to South Korean groups Hyundai and Kia of small factories, allowing it to build fatal crashes which happened within the crashes in 2018 and 2019 say avia- was almost as effective in people over restore the plane to their schedules. valued the company at €3bn. plants faster and more cheaply than tra- five months of each other. The soft- tion regulators have done too little to 65, who are more vulnerable to disease. The business, which will produce fully ditional sites that turn out hundreds of The move by US regulators, which ware will be unable to activate repeat- assure the plane’s safety and urged It performed similarly well across racial electric buses and vans from a series of thousands of vehicles a year. had been expected, marks the begin- edly and can only do so with input potential passengers to steer clear. A and ethnic groups and the trial identi- “microfactories”, has $1.2bn in a firm “If you look at the microfactory con- ning of the end of the worst crisis in from two sensors, instead of just one. lawsuit against Boeing pursued by fied no serious safety concerns. order from UPS as well as several other cept, upfront it requires significantly Boeing’s century-long history. Two The agency is also requiring changes many of the families from the second The trial has also now met the US late-stage discussions with potential less capital, but if we were taking a tradi- 737 Max crashes killed 346 people, to the plane’s wiring. crash is ongoing. Food and Drug Administration’s customers, president Avinash Rugoo- tional carmaker approach we would and after destroyed billions in market The FAA is requiring that pilots “The flying public should avoid the requirement for monitoring side effects, bur told the Financial Times. “The tim- need billions,” he said. value for the group, led to the depar- train to fly the Max in simulators, Max when flying in the future,” said having studied the reaction of partici- ing is right, the technology is mature, we It already has two sites planned, in ture of chief Dennis Muilenburg and something Boeing avoided before the Michael Stumo, whose 24-year-old pants for an average of two months after have had prototypes on the road for two South Carolina and in Bicester, Oxford- tarnished the reputation of one of the crashes. It reversed its position in Jan- daughter Samya was killed last year the second jab. Based on analysis of a years, and we understand the challenges shire, and expects to open three or four most renowned US manufacturers. uary. The US regulator also plans to when Ethiopian Airlines flight 302 randomised group of 8,000 partici- that are ahead of us,” he said. a year once production starts. Former Still, the aerospace company can no inspect the jets for foreign objects crashed just after take-off. pants, the most common significant side As part of the merger, CIIG chief exec- General Motors strategy director Mike longer hope to rake in cash from such as rags or tools after some were David Calhoun, Boeing’s chief, said effect was fatigue, affecting 3.8 per cent. utive Peter Cuneo, who revitalised Ableson, who joined Arrival this year, speedy deliveries to eager customers. found among grounded planes. in a memo to employees: “We will Ugur Sahin, chief executive and co- brands including Black & Decker and will move to oversee all global produc- The Covid-19 pandemic has devas- “The path that led us to this point honour [the victims] by holding close founder of BioNTech, said the vaccine Marvel, will join Arrival’s board as its tion. The merger is expected to com- tated the airline industry and damped was long and gruelling,” said Steve the hard lessons learned from this showed how the technology used to non-executive chairman. plete in the first quarter of 2021. demand for jets, slowing sales of Boe- Dickson, FAA administrator. “We chapter in our history to ensure acci- build it — messenger ribonucleic acid — “Arrival’s bold, game-changing Lex page 18 ing’s massed inventory of 450 planes were never driven by a timeline but dents like these never happen again”. could create an entire “new drug class”.
Legal Notices Brussels’ industrial strategy needs a coherent vision to succeed
powerhouses, who rightly fear that the companies participating in the alliance. inside business next update will do no more than the But a closer look shows that creating previous six to reverse the trend. There scale at the pan-European level remains europe is a real risk that the confluence of revo- challenging. According to two leading lutionary shifts in technology, the pres- alliance members, member states still sures of climate change and the devasta- favour their own domestic companies Peggy tion unleashed by the coronavirus pan- when it comes to allocating funding, demic on the global economy will accel- even if they are not as well placed to Hollinger erate the decline in competitiveness. exploit the technology. Falling behind is not an option for a Second, Europe’s need to be consen- sector that accounts for more than sual can often get in the way of ambi- 20 per cent of the EU’s gross domestic tious policies. Policymakers in the US ow many EU officials does product, 80 per cent of its exports, and and China will not be concerned about it take to draw up a game- employs 35m people. So how should whether such interventions are deemed changing industrial strat- Europe approach its latest efforts at too protectionist. egy for Europe? None, if designing a road map for industrial The good news is that there is a strong past performance is any transformation? desire to be ambitious at all levels, Hguide. In the past 15 years, Brussels has A good place to start would be to hold thanks to the imperatives imposed by tried six times to set out a plan for politicians — both at EU level and in the technology and the environment. The improving the competitiveness of Euro- member states — accountable for the green deal and the so-called “Next Gen- Businesses pean industry, most recently in March. success or failure of the next strategy. eration EU” €750bn recovery plan are Eight months and a global pandemic That could be done landmark programmes to “repair and For Sale later it is already time to revamp that by benchmarking Responsibility is too prepare” for the necessary transition. plan, according to the president of the Europe against its Thierry Breton, European commis- European Commission, Ursula von der global rivals. fragmented and strategies sioner for internal market, has brought Leyen. Commission officials have begun The ERT last have suffered for lack of a both energy and business experience to updating the March strategy to put week published a the task. But even he has to defer to European industry at the forefront of set of 28 “key per- champion to orchestrate other directorates on the most impor- climate change and digitalisation, and formance indica- across directorates tant challenges facing Europe’s industry are hoping to publish the new version in tors” looking at — such as digitalisation and the high the second quarter of next year. everything from productivity growth to costs of energy transition. Tempting as it is to argue that the pre- high technology exports. But bench- Responsibility remains too frag- vious industrial policies have been a marking Europe against the competi- mented and successive strategies have waste of time, it would be unfair. The tion is not enough. The industrial strat- suffered for lack of a single champion problem is that Europe has been losing egy unveiled in March was admirable in who can orchestrate across directorates. competitiveness despite all efforts. its diagnosis of the challenges facing In the end no industrial strategy can According to the European Round industry. However, the commission’s deliver what Europe needs without hon- Table for Industry, which brings powers to control how member states est implementation by member states. together the heads of the bloc’s biggest implement such a strategy is limited. But setting a coherent vision and Business for Sale, Business Opportunities, industrial companies, European indus- Take the European battery alliance measuring progress so everyone is held Business Services, try’s global market share has fallen from launched in 2017 aimed at giving the accountable would be a start. That is Business Wanted, Franchises close to 25 per cent in 2005 to 15.5 per bloc sovereign capability in the rapidly how successful businesses implement Runs Daily ...... cent in 2018, below the EU’s global eco- developing market for electric cars. change. If Europe can do the same, per- Classified Business Advertising nomic weight of 18.7 per cent. Forecasts Commissioners have boasted that Euro- haps this industrial strategy will survive UK: +44 20 7873 4000 | Email: are for this to fall further in the next dec- pean investment in batteries hit €60bn longer than the last. [email protected] ade, the ERT says. last year, thanks to incentives that allow This is worrying the bloc’s industrial member states to allocate funds to [email protected]
NOVEMBER 19 2020 Section:Companies Time: 18/11/2020 - 18:55 User: jon.wright Page Name: COMP&MKTS1, Part,Page,Edition: USA, 6, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 7
COMPANIES & MARKETS
Airlines Industrials Tesla supplier Norwegian seeks bankruptcy protection Panasonic Carrier aims to reorganise ganisation to cut its NKr48bn ($5.3bn) Ministers said they did not think it Norwegian was likely to file for bank- Mr Schram said: “Our intent is clear. plans to target debt pile, offload aircraft, and raise capi- was a “sound use” of taxpayers’ money ruptcy in Ireland or the US, has said that We will emerge from this process as a under Irish law with view tal in a process expected to take up to to prop up an airline that entered the it could split into a profitable short-haul more financially secure and competitive to cutting $5.3bn debt pile five months. crisis as one of the most vulnerable car- European operation and a lossmaking airline, with a new financial structure, a Europe with “Seeking protection to reorganise riers due to a debt-fuelled expansion long-haul business. right-sized fleet and improved customer under Irish law is a decision that we into long-haul flights. Norwegian said it would try to con- offering.” Richard Milne — Oslo Norway plant have taken to secure the future of Nor- Founded in 1992 by former fighter tinue operating as normal with its cur- Norwegian converted NKr18bn Norwegian Air Shuttle is to file for pro- wegian for the benefit of our employees, pilot Bjorn Kjos, Norwegian turned rent route network, which is severely ($2bn) from debt to equity under an tection from creditors under the Irish customers and investors,” said Jacob into a rival of Ryanair and easyJet in limited by Covid-19 to a few domestic earlier government-backed rescue plan, Kana Inagaki — Tokyo equivalent of Chapter 11, becoming the Schram, chief executive. “Our aim is to the past two decades as it expanded flights in Norway. but still had NKr48bn of debt at the end Richard Milne — Oslo industry’s largest pandemic casualty. find solutions with our stakeholders from its Nordic base into low-cost The airline said it believed that it had of September. Panasonic is making a significant push The carrier said yesterday that two of that will allow us to emerge as a finan- travel in Europe and then flights to the enough cash to get through examiner- Arctic Aviation Assets, a Norwegian into Europe with plans to set up its first its subsidiaries would file for examiner- cially stronger and secure airline.” US and Asia. ship, which grants companies 100 days subsidiary based in Dublin, handles air- battery factory in Norway, as the Japa- ship in Ireland, a reorganisation process The airline’s fate was sealed last week Lars-Daniel Westby, an analyst at of protection from creditors to put craft financing and ownership for the nese group tries to leverage its success akin to Chapter 11 in the US. when Norway’s government refused to SpareBank 1 Markets in Norway, who together a rescue plan, subject to High airline, making Ireland an obvious loca- supplying Tesla in the US to win more The airline said it would use the reor- give it a second bailout this year. last week told the Financial Times that Court approval. tion for its reorganisation. business from European carmakers. The group intends to team up with Nor- wegian oil and gas major Equinor and Insurance Retail & consumer aluminium company Norsk Hydro for a feasibility study on expanding its bat- tery business in Europe to be completed Generali within six months. Despite running the world’s largest battery factory with Tesla in Nevada, aims for top Panasonic has only a small presence in Europe, where a number of companies tier of asset including Swedish upstart Northvolt and Tesla itself are building plants. Demand for batteries is set to increase management rapidly as electric car sales take off, with their share of the European market forecast to climb to 15 per cent next Silvia Sciorilli Borrelli — MILAN year, according to policy group Trans- port & Environment. Philippe Donnet, chief executive of “Europe is quite a premature market. Italy’s Generali, plans to accelerate the It is still growing and there’s a lot to hap- growth of the company’s asset manage- pen. It could be colossal,” Allan Swan, ment operations, a business that deliv- head of Panasonic’s US battery manu- ered 33 per cent year-on-year earnings facturing unit, told the Financial Times. growth and boosted the company’s European carmakers are likely to lead performance during the pandemic. the switch to electric vehicles by aiming The country’s largest insurer decided to to be the most “progressive” in the boost its asset management arm two industry, he added. years ago through what it calls a “multi- The size of any factory in Norway platform” boutique that operates in a would depend on the outcome of the range of specialist markets, including ethical and alternative investments. It now aims to position itself among ‘Europe is quite a the top five participants in the space. premature market. It While many other insurers across Europe are outsourcing assets to inde- is still growing and it pendent managers as they struggle to be could be colossal’ competitive, Mr Donnet said an effec- tive combination of the insurance and study, Mr Swan added, but it could be asset management propositions would “in the ballpark” of the Nevada gigafac- drive Generali’s growth. tory, which is about to be upgraded to 38 Despite a 40 per cent slump in the gigawatt hours a year. group’s net profit in the first nine The Swedish factory owned by North- months of the year, last week the com- volt, which is backed by Volkswagen, pany reported a better than expected Two-thirds of sector operating profit is set to vanish this year, with variation between those cutting costs fast and those failing to do so — Stephane Mahe/Reuters BMW, Ikea and Goldman Sachs, is due to operating profit, beating consensus have at least 34GWh of capacity by 2024 forecasts by 13 per cent. Generali also and could be upgraded to 40GWh. Peter said it would resume paying out divi- Carlsson, Northvolt’s chief executive, dends once the regulator allowed it. told the FT last year that Europe was Mr Donnet said the indirect impact of Luxury sales on course to shrink 22% this year expected to have about 600GWh of Covid-19 had been negative but the capacity by 2030. direct one “quite low” and the company Panasonic has previously supplied was navigating the pandemic effectively Leila Abboud — Paris mid-2022 and 2023 depending on wider The pandemic has favoured leaders Chinese consumers, who will account batteries to European carmakers such by leveraging its well-diversified portfo- macroeconomic factors.” LVMH, Kering and Richemont, which for almost half of spending on luxury as Volkswagen and Peugeot, but not the The virus crisis has hit demand for lux- lio. He said the strategy adopted well After several months of lockdowns bring many brands under one group goods by 2025, up from a third in 2019, cylindrical lithium-ion type it makes for ury goods severely and exposed the before the pandemic to cope with low forced store closures in the spring, a and had already heavily invested in according to Bain-Altagamma. Tesla. sector’s reliance on Chinese tourists, interest rates was now paying off and surge of infections in the US and Europe online selling and marketing. Smaller In anticipation of this, brands are Its expansion into Europe, where the forcing high-end brands from Dior to the company was on track to deliver its has prompted further restrictions on brands such as Salvatore Ferragamo rushing to open more stores in China group generates about $7bn in revenue, Prada to find new ways of wooing cus- three-year plan of 6-8 per cent earnings retail in countries such as France, the and Tod’s that had less digital savvy and and expand their online offering on also comes as Tesla has recently tomers and accelerating a shift to growth by 2021. UK and Austria. relied more on physical retail outlets platforms such as Alibaba’s T-Mall Lux- announced plans to build its own bat- ecommerce. Mr Donnet did not rule out potential That has cast a shadow over the have suffered. ury Pavilion. tery cells, making it more critical for acquisitions in asset management, Sales were set to contract 22 per cent Christmas shopping season, which A recovery is expected to be led by They are increasingly ramping up Panasonic to expand its client base. while he denied plans to sell the control- this year to reach €217bn globally, rep- will have an outsized impact on luxury their presence in the domestic Chinese Mr Swan said the Norway plant could ling stake in Banca Generali to resenting a return to 2014 levels, and companies since the fourth quarter Sector will take up to market to cater to consumers who are be “of interest” to Tesla as well, given Mediobanca. “We are a very happy they would take up to three years to typically generates about a third of unable to visit flagship stores on Park carmakers are under pressure to pursue shareholder of Banca Generali [and] recover, according to a study by consul- annual sales. three years to recover Avenue in New York or the Champs- partnerships to secure future supply. there is no transaction on the table with tancy Bain and Altagamma, the Italian Bain said it was hard to project the Global sales ( bn) Élysées in Paris. Norway presents several advantages anybody, including Mediobanca.” luxury association. impact; it forecast a 5 per cent drop year Forecast A deal between Alibaba and Riche- as the country produces nearly all its Mr Donnet also said Generali was Claudia D’Arpizio, a partner at Bain, on year in the fourth quarter as the best- mont to invest $1.1bn in fashion plat- electricity from renewable hydroelec- open to strengthening its “strategic estimated that two-thirds of the sector’s case scenario, or a 20 per cent decline as form Farfetch to expand in ecommerce tric power, while its market for electric partnership” with Cattolica Assicurazi- operating profit “will disappear in the worst. in China shows how the pandemic is vehicles is the most developed in the oni, a troubled Italian insurer part- 2020”, with variation between compa- The curbs have prompted some accelerating the shift of the industry’s world. In September, almost two-thirds owned by Berkshire Hathaway in which nies which cut costs quickly and those brands to be more creative in how they centre of gravity to Asia and making dig- of new car sales were for fully electric it bought a 24 per cent stake in June. which did not. target consumers. Louis Vuitton in ital selling much more important. vehicles, while just one in 10 cars were Meanwhile he believes it would be dif- She said: “It is clear that this year will France allows buyers to make an “Chinese consumption has been roar- petrol-only and the rest hybrids. ficult for the company to expand in be the biggest drop ever for the industry, appointment with a sales clerk to pur- ing across channels, categories and price Arvid Moss, head of energy and cor- places such as China, where the insur- and some trends such as online com- chase over the phone or via video chat, points, driven largely by young people porate development at Norsk Hydro, ance market is dominated by domestic merce and reducing the reliance on then offers free delivery and returns. in Gen Z,” said Ms D’Arpizio. “They will said the companies would study the players. “We want to strengthen our tourists are fast-forwarding versus what The industry’s focus on the most relia- drive the recovery next year mostly in “whole supply chain” including the pos- leadership position in Europe rather would have happened without the cri- ble, big-spending customers is becom- China but also abroad if the vaccines sibility to source raw materials such as than going everywhere,” he said. sis.A full recovery will happen between ing more pronounced in the downturn. Source: Bain & Co help open up travel.” cobalt and lithium from Europe.
Media Banks Pearson’s new chief sets out consumer mission Investors tap convicted trader in banks fight
Alex Barker designed for internal [use], to have a “We are not trying to be the Netflix of Jane Croft to price-fixing charges with unnamed of the claimants’ retention of Mr dedicated business unit that is only learning, we are going to be the Pearson conspirators. Katz after an application was made Pearson’s new chief executive is A former BNP Paribas trader who solely focused on the direct consumer of learning,” he said. “I’m not going to Lawyers for 14 banks involved in the to London’s High Court for perm- revamping the world’s biggest educa- pleaded guilty to rigging foreign market on a global scale.” comment on whether it is one big offer,” lawsuits have filed court documents ission to show him confidential bank tion group to give it a consumer focus, exchange benchmarks has been hired Pearson has tried to supplement its he added when asked if he was planning asking a US judge to make a court order documents. drawing lessons from his old employer as a $400-an-hour consultant by inves- legacy textbook business with a digital a “Pearson Plus”-style platform. “This is preventing Mr Katz, who may also be Boris Bronfentrinker, partner at Disney’s shift to a more direct relation- tors suing banks including Barclays offering since John Fallon, Mr Bird’s not necessarily just one killer applica- called by either side as a factual witness Quinn Emanuel, a law firm that is ship with customers. and UBS for alleged forex manipula- predecessor, took over in 2013, aiming tion, per se. And it is also going to in a trial, from seeing confidential infor- acting for Allianz said: “We can confirm tion. In his first big decision since taking over to become the “Netflix of education” address a broader learning spectrum mation in the lawsuit. that the UK claimants have made an last month, Andy Bird is creating a and develop a single digital platform. than just higher education.” Allianz, Pimco and several other inves- They claimed his involvement ran the application to add Jason Katz to the con- “direct to consumer” division to acceler- But its digital products grew modestly Mr Bird plans to reveal more in tors have brought a multimillion- risk of “interfering with the recollection fidentiality ring in the circumstances ate the group’s digital transition and and failed to compensate for the col- March, which could include more serv- pound lawsuit against eight banks of a key fact witness”. where the banks have objected to his expand the range of learning products lapse in university textbook sales, ices to train and develop skills for including Barclays, Citigroup and HSBC The filing also claims that Mr Katz’s inclusion. sold directly to individuals as well as via which struggled with US enrolment employees and jobseekers. in London’s High Court. proposed pay “is excessive by any rea- “They are trying to preclude him from institutions. declines and a second-hand textbooks One big decision he faces is the future They have also brought a parallel law- sonable measure” given that the former accessing documents which are neces- For what he described as a “new era”, market. Pearson has issued seven profit of Pearson’s print business, which pro- suit against global banks, including trader is “currently unemployed” and sary for him to assist the claimants in he has hired Lynne Frank, a former warnings in as many years. duces textbooks that are offered for Bank of America, in the Southern Dis- “cannot credibly claim that his services pursuing their claims against the Warner Bros Pictures executive, to run Mr Bird, who was chairman of Walt rental at a tenth of the price on the sec- trict of New York. are worth $400 per hour to anybody banks.” the direct to consumer unit alongside Disney International until 2018 and ondary market, undermining demand According to court documents filed other than the plaintiffs”. Barclays declined to comment. Ishantha Lokuge, a tech specialist who joined Pearson last month after a share- for Pearson’s digital services. The group with the Southern District of New York Mr Katz told his sentencing hearing in Investigations by US, UK and Swiss joined Pearson from Shutterfly last year. holder revolt over his pay, sees the pan- expects to sell 2m print textbooks this court, the investors bringing the lawsuit 2017 that he was a “full-time stay-at- regulators into alleged forex manipula- “This is what I believe: if you know if demic transforming the use of online year, down from 7m three years ago. are set to hire Jason Katz. home dad” who had “spent the last few tion have led to a dozen banks paying you’re going to focus on an area, then learning in higher education. At Warner Bros, Ms Frank was Mr Katz is the former Barclays years learning about growing and build- almost $12bn in fines around the world put focus and resources behind it,” Mr But he tempered expectations for a responsible for international marketing and BNP Paribas currency trader ing a real estate business”. and to several traders facing criminal Bird said. “This is a statement, as much Silicon Valley-style metamorphosis. and operations. who in 2017 pleaded guilty in the US The banks say that they first learnt charges in the US.
NOVEMBER 19 2020 Section:Companies Time: 18/11/2020 - 18:51 User: cathy.pryor Page Name: CONEWS1, Part,Page,Edition: EUR, 7, 1 8 ★ FINANCIAL TIMES Thursday 19 November 2020
COMPANIES & MARKETS Power behind PNC eyes further acquisitions Demchak expects consolidation trend in US sector to continue and the Pittsburgh bank will not hesitate to take part
Robert Armstrong — New York people screamed at us, ‘Nobody ever does a bank deal for revenue opportuni- When Bill Demchak, chief executive ties!’ And we said, ‘No, no, no, this is a of PNC Financial, sold his bank’s revenue play.’ And we grew substan- position in asset manager BlackRock tially over the past eight years. That’s in May for $17bn, it looked like a defen- exactly what we’re going to do with sive move. BBVA.” The Covid crisis was at a boil, and The deal gives PNC a much stronger cashing in the long-held, non-control- presence in Texas and other markets ling stake would leave PNC with a bullet- in the US south, and a presence in proof balance sheet, whatever hap- California. But Wall Street has so far pened to the economy. been lukewarm on the transaction, Mr Mr Demchak did not see it that way. Demchak’s first big merger since He said at the time that he could not becoming chief executive in 2013. stress enough “the importance of Mr Siefers said the economic impact being able to play offense into [this] of the virus being milder than feared environment”. The vital thing was back in May worked against PNC, which to “stay focused on growing”, crisis or may have been hoping to buy something no crisis. at an even deeper discount. The comment sums up the approach Some investors, he said, were con- taken by Pittsburgh-based PNC ever cerned that “PNC sold out of a high- since Mr Demchak, now 58, joined the growth, high-multiple asset [in Black- bank in 2002 as chief financial officer. Rock] to double down on a low-growth, Leading PNC is in some ways low-multiple asset”. a second career for Mr Demchak. He Mr Siefers liked the deal, though. made his reputation as head of struc- “It gets BBVA into a really nice mar- tured finance at JPMorgan, where he kets, and I suspect that BBVA has been helped develop the credit default swap underinvested,” suggesting strong market — which contributed to the growth potential. financial crisis — and earned the nick- Now that PNC is set to become the name the “prince of darkness” from largest of the regional banks by asset some peers. Today he is one of the pre-eminent bank executives in the US, feted enough The lender is set to be to be on the shortlist to run Wells Fargo the largest of the regionals when it was searching for a new boss last year. by asset value, edging out In the 18 years since he joined, PNC US Bancorp and Truist has grown its assets at a muscular 12 per cent a year. And that is before factoring in the announcement this week that it PNC Financial value, edging out rivals US Bancorp and would use the proceeds of the Black- Truist, the question becomes, what is Total assets ( bn) Price performance (rebased) Rock sale to buy the US operations of After BBVA deal next? How to move still closer to nation- Spanish bank BBVA for $11.6bn, adding PNC Financial al-bank status? another $104bn in assets to the current KBW Bank index Asked if PNC would continue to look $460bn. for acquisitions in the future, Mr Dem- The deal will make PNC the biggest of National City acquisition chak gave a one-word answer: “Yes.” the US regional banks, smaller only than He said he expected the consolidation the four national diversified banks trend in US banking to continue, and he (JPMorgan Chase, Bank of America and planned to participate. In the meantime, he said PNC could ‘People didn’t realise and did compete with the four mega- banks. He cited treasury and cash man- that we were actually in agement services for corporate clients. the process of massively While Citigroup was dominant in this * market with multinationals, he said investing in the future’ PNC won with domestic clients and Sources: S&P Capital IQ; FT estimates; Refinitiv * Projected figure includes BBVA assets would build, over the next few years, the ability to serve its clients internation- Citigroup, as well as Wells) and the two shouldn’t have been in, businesses that forcing it to sidestep trends in US bank- expenses?’ So it’s really hard to invest.” In the 18 years ally. He said the bank was in the process largest investment banks (Goldman had high credit losses and legal risk, and ing in the early years of the century and But with the savings from the merger, since Bill of acquiring deposit licences “across Sachs and Morgan Stanley). so we got it really cheap.” putting it in a position to swoop on costs came down and investment went Demchak, left, Europe and Asia”. But PNC clearly aspires to be more (PNC received help closing the deal National City when others could not. up at the same time. joined, PNC has Mr Demchak’s earlier life in struc- than a regional bank, however large. from the US Treasury, which injected “They were shrinking when every “People didn’t realise that we were grown its assets tured credit might seem a sharp con- Asked how the bank has managed to $7.7bn through the purchase of pre- other bank was investing in the hottest actually in the process of massively at 12% a year trast to running a retail bank and com- grow steadily through two turbulent ferred stock and warrants, which PNC real estate market in history,” according investing in the future.” Gabriela Bhaskar/Bloomberg mercial lender known for the simplicity decades, Mr Demchak pointed to an redeemed in 2010.) to the analyst. “They were so much bet- PNC ran a different playbook with its of its business model and the conserva- earlier deal: PNC’s purchase of National Scott Siefers, bank analyst at Piper ter positioned than anyone else [when next deal, in 2011, when it purchased tism on credit. But he saw similarities. City Bank. PNC paid $5.6bn in stock for Sandler, put the origins of PNC’s growth the property crash caused the crisis]. the Royal Bank of Canada’s US retail “When we built the derivative busi- the Cleveland bank in October 2008, at spurt earlier, amid the fallout from a They were a safe harbour in a storm.” operations for $3.5bn. Rather than nesses years ago, that was blocking and the height of the financial crisis. scandal at the bank. PNC illicitly moved Combining the expense bases of PNC another Midwestern franchise, the RBC tackling, building infrastructure, The deal made PNC one of the biggest millions in bad loans off its balance and National City created scope for bil- deal brought operations in the faster- designing instant settlement and Midwest banks, but according to Mr sheet and into special-purpose enti- lions of dollars in cost cuts, Mr Demchak growing south-east of the US. Rather accounting,” he said. “The two sides Demchak, National City was a ties in 2001, transgressions for said, the proceeds of which could be than a restructuring opportunity, RBC aren’t really so different — what I did mess. which it ultimately settled with reg- invested in technology and expansion. was a solid operation that lacked scale. back in the day and what I do here. You “It was a massive balance sheet ulators. “Banks get hammered day in and day In both respects it foreshadowed this figure out what your advantages are and restructuring,” he said. “They As a result of the scandal, “PNC out by analysts [asking,] ‘What is your week’s BBVA deal. you figure out what you need to do to were in businesses that they de-risked a lot”, Mr Siefers said, efficiency ratio? Can you save more Mr Demchak said: “When we did it, maintain them.”
Food & beverage Insurance Travel & leisure Unilever aims to sell €1bn RSA agrees £7.2bn sale to Crown’s Sydney casino launch of plant-based fare a year Canadian and Danish peers forced to await licence review
Judith Evans and Emiko Terazono stitutes, of their market growth. They Oliver Ralph — London Capital, Europe’s biggest activist invest- Jamie Smyth — Sydney on opening Crown Sydney’s non-gaming London are still tiny compared to the overall ment firm and RSA’s largest shareholder operations, which include a luxury UK-based insurer RSA has accepted a Australian authorities have barred meat and dairy markets. In the most with a 15 per cent stake. Its managing hotel and residential apartments, in Unilever plans to increase its annual £7.2bn bid from two overseas rivals Crown Resorts from opening its flag- developed countries, it’s 5 per cent of partner Chris Gardell said the bid was consultation with the ILGA. sales of plant-based meat and dairy that will break up a group whose ori- ship A$2.2bn ($1.6bn) casino resort in meat or dairy. Some predictions say it “good news for all RSA stakeholders”. Maadhavi Barber, an analyst at alternatives to €1bn in five to seven gins go back more than 300 years. Sydney until a full review of its gam- could go to 50 per cent. It’s a very, very He added: “The transaction follows a Moody’s Investors Service, said the years, intensifying the battle for the bling licence is completed by February crowded market, but we’re up for it.” A consortium of Canadian insurance strategic and operational transforma- delay was credit-negative for Crown, as plates of climate-conscious consumers. next year. Multinationals pushing into this area group Intact and Denmark’s Tryg has tion of RSA under the leadership of CEO it “highlights the potential severity of The target far exceeds the €200m of — with their production and distribu- offered 685p per share for the company, Stephen Hester. Since Cevian’s initial The decision by the Independent Liquor findings by the inquiry, and the risk of sales the consumer goods group expects tion capacity — would probably result in in line with the level suggested when its investment, RSA has become more and Gaming Authority of New South meaningful sanctions and/or limita- from plant-based substitutes this year. cheaper plant-based products and even- interest became public this month. focused and profitable while its risk Wales followed an admission by the tions on Crown’s ownership and opera- Unilever said its Vegetarian Butcher tual consolidation, said industry The offer is a 53 per cent premium to level and volatility have been reduced.” gaming group that criminals may have tions”. brand acquired two years ago was grow- experts. RSA’s average share price over the three After joining the company Mr Hester, laundered money through bank The Bergin inquiry is investigating ing “explosively”. “The big boys are entering the stage, months to the start of November. the former boss of RBS and British Land, accounts it set up to facilitate high roller whether Crown engaged in money laun- Hanneke Faber, president of Uni- and there will be large movements in Intact is paying £3bn and will take set about fixing the balance sheet with a gamblers. dering, breached gambling laws or part- lever’s food division, which generated the industry,” said Frank Mitloehner, RSA’s UK and Canadian operations, The delay to the planned December nered with junket operators with links sales of €19.3bn in 2019, said: “It’s the professor of animal science at the Uni- while Tryg is paying £4.2bn and will launch of the casino resort — housed in to drug traffickers, money launderers, right thing for the world to figure out versity of California, Davis. keep the Swedish and Norwegian busi- ‘[We were able to] say we’re the tallest residential building in Sydney human traffickers and organised crime how we can eat more plant-based, ver- Plant-based foodmakers have con- nesses. not going to give up our — marks the latest setback for Crown, groups. It was set up last year following sus eating as much animal protein as we tested the market share in supermar- RSA chief executive Stephen Hester, which counts billionaire James Packer media reports that organised crime do today. That way we may not lose the kets and through tie-ups with restau- who joined six years ago after the com- independence except if it’s and US private equity group Blackstone gangs laundered money at the com- planet.” rant and fast-food chains. pany had discovered problems in its for a truly premium value among its largest shareholders. pany’s Melbourne casino. Unilever will focus on products Burger King has a US partnership Irish business, is set to leave after the Philip Crawford, chair of the ILGA, In testimony made public yesterday, such as milk-free ice cream, mayon- with Impossible Foods, while Beyond deal is completed. He could be in line for rights issue and a series of disposals, told reporters yesterday that the regula- Crown’s legal team for the first time naise and soyabean and algae-based Meat is developing products with up to £15m from the transaction if all of then focused on improving the perform- tor was “not comfortable” with Crown admitted to the inquiry that two bank meat substitutes. McDonald’s in the US for its his share bonus schemes are awarded. ance at the remaining businesses. opening its Sydney gaming operations accounts set up to facilitate gambling by The group was a relative latecomer to McPlant platform. Nestlé supplies “I’ve worked for RSA for seven years Intact and Tryg are expecting to gen- until an inquiry headed by Patricia Ber- VIP players were probably used for technologies, pioneered by “food-tech” McDonald’s German outlets with plant- and have never sold a share,” he said. erate synergies of about £250m from gin, a former judge, concludes in Febru- money laundering. entrants, that use plant proteins to rep- based burgers. He added that he looked on the offer the deal. ary. The group had steadfastly denied licate the taste and texture of meat with Unilever was open to acquisitions but with “a mixture of sadness and pride”, Like other insurers, RSA has been hit He said it was disappointing that media allegations that it had facilitated lower greenhouse gas emissions. was mainly focused on organic growth, and stressed that RSA had not gone by a variety of coronavirus-related Crown had not made the decision itself money laundering, hitting out with a Unilever scored a coup a year ago Ms Faber said, with a focus on meat sub- looking for a bid. “When offerors first claims and its share price had fallen to delay the opening, noting manage- full-page advert accusing Nine Enter- when it was chosen over Nestlé and spe- stitutes and milk-free ice-cream and came calling in mid-August . . . we did from 566p at the start of the year to ment was clearly “not picking up the tainment’s 60 Minutes and Fairfax of cialist Beyond Meat to team up with mayonnaise, rather than milk substi- feel we were in a very strong position to 460p just before the bid interest was vibe”. leading a “deceitful campaign against Burger King in Europe on a plant-based tutes such as those produced by rival say that we’re not going to give up our announced. Its lawyers are at the UK Shares in the company were placed in Crown”. burger. Danone. independence except if it’s for a truly Supreme Court to argue over the extent a trading halt on the ASX shortly before Crown is facing other probes by Aus- Ms Faber said: “I think we are at the Unilever said it would halve food premium value.” of its liability for Covid-related business the ILGA announced its decision. tralian regulators including Austrac, the very beginning, for meat and dairy sub- waste in its direct operations by 2025. The offer was supported by Cevian interruption claims. Crown said it would continue to focus country’s financial crimes agency.
NOVEMBER 19 2020 Section:Companies Time: 18/11/2020 - 17:35 User: cathy.pryor Page Name: CONEWS2, Part,Page,Edition: EUR, 8, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 9
COMPANIES & MARKETS
Currencies. Pandemic Equities Setback for Covid jab forecast to Beijing as market cap of trigger dollar plunge China vaccine makers drops
Hudson Lockett — Hong Kong Christian Shepherd — Beijing Successful trials of western pharmaceu- tical groups’ virus vaccines have sliced more than $13bn off the market capital- isation of Chinese rivals, hitting Beijing’s ambitions to lead the fight against the pandemic. An index tracking shares of 14 vaccine producers listed in Shanghai and Shen- zhen has dropped 11 per cent since Pfizer announced its positive phase- three results this month, and is down about a third from its peak in August. But analysts said support from Beijing and confidence that Chinese producers would be the first to tap demand in developing markets have helped stabi- lise the share prices. Their total market value was up almost 125 per cent this year at more than Rmb1tn ($159.7bn), according to data provider Wind. Chinese developers’ rapid progress in the early days of the pandemic has been complicated by the success of the coun- try’s virus containment, as near-zero local cases forced them to perform final- stage clinical trials in other countries. Sensitivities in reaching pricing and distribution deals with host countries have led to delays in phase three trials,
Analysts see drop of up to 20% Dollar has fallen sharply this year The dollar is throughout the Covid period,” he added. typically in Andrew Sheets, a cross-asset strategist ‘Reduced support is likely US Dollar index if a widely available vaccine demand in times at Morgan Stanley, has pencilled in a 4 to be correlated to positive per cent drop in the dollar index and he of stress, triggers hunt for riskier bets reflecting its expects the Norwegian, Swedish, New announcements from traditional role Zealand and Australian currencies to foreign vaccine producers’ Eva Szalay — London as a haven for outperform once the vaccine is widely Colby Smith — New York investors and available. The euro and emerging mar- which test the effectiveness in the gen- savers — Mohammed kets peers such as the Brazilian real, the eral population and are necessary for Wall Street analysts expect the arrival of Salem/Reuters South African rand and the Russian rou- regulators to approve commercial sales. a vaccine against coronavirus to send ble also have room to appreciate against But Chinese officials have held to the dollar sinking next year as confi- the buck, he said. Mr Sheets sees the ambitious timelines for manufacturing dence returns to the global economy. euro trading at $1.25 by the end of next and distribution to secure a role for their Big banks with already negative views year. vaccine developers as global suppliers on the dollar for 2021 cut their forecasts “We are in the perfect environ- and to bolster diplomatic ties. further this month after clinical trials Source: Refinitiv ment for a rally in risky assets, a weaker A day after the Pfizer announcement, bolstered hopes that vaccines could dollar and stronger growth-sensitive officials in Beijing said China had “pro- become widely available next year, trade-weighted basis, would be the big- more than 4 cent higher. But this year’s currencies through the end of the year,” vided a great number of anti-epidemic sparking an economic rebound that gest since the slide that started in 2001. drop in the dollar index is minor com- said George Saravelos, global head of resources to countries the world over encourages a hunt for riskier bets. But that 33 per cent drop took several pared with its gains in previous years: it currency research at Deutsche Bank. through commercial channels”. The dollar is typically in demand in years, when other currencies pushed rose almost 13 per cent in 2014, and 9 But some strategists are more cau- Brock Silvers, chief investment officer times of stress, reflecting its traditional higher as investors sought out countries per cent in 2015. Buying into US mar- tious, in light of the surge in coronavirus at Kaiyuan Capital, said state support role as a haven for investors and savers, with higher interest rates and rapid kets has been “almost unavoidable” cases and the economic damage of for pharma and biotech listings had as seen in a startling rally at the height of growth. It lasted until the 2008 crisis. over the past decade, according to ana- renewed lockdown measures. helped drive a number of IPOs in China the coronavirus in March. Now some Citi expects the US Federal Reserve to lysts at Goldman Sachs, as corporate “We are just very bullish on the dollar that “mostly did well”. currency watchers believe a vaccine continue providing stimulus and to “err profits boomed and the Fed raised rates as we go into year-end,” said Mark But while the sell-off of vaccine pro- changes everything. on the side of caution” before consider- while other central banks stayed closer McCormick of TD Securities. “Every ducer shares had slowed, Mr Silvers said “Vaccine distribution we believe will ing interest rate increases even as the to zero. This has made the currency single piece of good news has been the market remained unsettled. check off all of our bear market sign- global economic recovery speeds up. expensive, setting set it up for large falls emphasised, and every single bad real- “Reduced support is likely to be posts, allowing the dollar to follow a That could encourage investors to find a ahead, said Zach Pandl, co-head of the ity has been shoved aside.” highly correlated to continued positive similar path to that it experienced from home for their money elsewhere, as ris- bank’s global foreign exchange Analysts at Barclays have also flagged announcements from foreign vaccine the early to mid-2000s,” Citi analyst ing inflation expectations in the US research. Goldman Sachs expects the concerns that too small or too delayed a developers,” he said. Calvin Tse said in a research note. “Can reduce the dollar’s relative attractive- dollar to slide 6 per cent on a trade- fiscal package from US policymakers Bruce Pang, head of macro and strat- the dollar decline 20 per cent next year ness and investors target in faster-grow- weighted basis over the next 12 months. could take the shine off of risky assets egy research at China Renaissance, said alone? We think yes,” the bank added. ing countries that may tighten mone- Mr Pandl said the currency should ‘Vaccine and shore up demand for havens. Beijing’s support had helped bolster That would be a big move in currency tary policy sooner. weaken even if the US economy gathers distribution “Markets at some point have to confidence in domestic producers. terms. According to consensus forecasts The dollar index — a measure of the pace, because of its role as a “barome- respect the present tense rather than He said vaccines from Pfizer and compiled by Bloomberg, investors currency against six peers — has already ter” of the health of the global economy, will check just look ahead,” added Mr McCormick. Moderna required refrigeration, which anticipate the dollar index will slip declined this year, falling more than 4 falling when growth is buoyant and ris- off all of Goldman’s Mr Pandl argues, however, Our global could leave them at a disadvantage roughly 3 per cent from its current level per cent since the start of 2020, after the ing at times of slowdowns. our bear that the positive vaccine trials signifi- team gives you in developing markets. “Those limita- by the end of next year. The median Fed wiped out some of the yield advan- “Even if the US economy performs cantly reduce investors’ hunger for market-moving tions are bad for use in developing forecast is for the euro to reach $1.21 tage US assets had enjoyed over their quite well, we think the dollar can market safety. “The vaccine developments are news and views, countries, but that’s not the case with over that time period, from about $1.18 peers. The euro has gained nearly 6 per weaken as investors look for higher signposts’ sufficiently positive that most investors 24 hours a day Chinese vaccines.” now. cent against the buck since January, returns outside of the US and exit the should be positioning for dollar weak- ft.com/markets Additional reporting by Wang Xueqiao in A fall of 20 per cent for the dollar, on a while the Australian dollar has marched safe havens that they have been in Calvin Tse, Citi ness today,” he said. Shanghai
Crypto assets Currencies Caution urged as bitcoin rallies above Regulators push to accelerate switch $18,000 to trade near all-time highs away from greenback Libor benchmark
Eva Szalay and Laurence Fletcher through financial markets. But the kets, achieving almost 89 per cent Philip Stafford and potentially turbulent period in little regulates the rate in all currencies, said London exchange rate has been on a tear ever returns since the start of the year, Matthew Vincent — London more than 12 months’ time. it would use new powers after January to Bitcoin has surged to within striking since, gaining 380 per cent since this according to data provider Eureka- UK regulators are locked in discussions Dollar Libor has been slower to move ensure an orderly wind-down of the distance of the record high it set three year’s low. hedge. The main hedge fund index with banks over how to shift $200tn of to an overnight rate than other curren- benchmark, including imposing a years ago, but some analysts cautioned Traders said the recent rally had been returned just over 3 per cent. contracts linked to US dollar Libor by cies, in part because its replacement is change in how it is calculated. that further gains would leave the price supported by a growing number of pro- PayPal’s decision to embrace crypto- the end of next year, in a sign of concern an entirely new rate. Market partici- It said it would consult market partici- “screaming” for a big correction. fessional investors, such as hedge funds, currencies has also bolstered the mar- over the slow shift away from the lend- pants are also concerned that the new pants and other global regulators and becoming active in trading the crypto- ket’s credibility, according to George ing rate hit by a rigging scandal more US rate, the Secured Overnight Financ- did not confirm whether the Libor Yesterday, bitcoin traded as high as currency, lured by the potentially high McDonaugh, co-founder and managing than a decade ago. ing Rate, known as Sofr, is not sensitive benchmark would cease or continue $18,492 after an explosive run in which returns. director at blockchain investment com- to the risk in bank credit, losing a key indefinitely. it has jumped more than 50 per cent in Specialist hedge funds focusing on bit- pany KR1, while large, well-known IBA, a division of US trading and data Phil Lloyd, head of market structure 30 days, Refinitiv data show. Bitcoin coin trading have significantly outper- investors have also piled in recently. powerhouse Intercontinental Exchange and regulatory customer engagement at peaked in December 2017 at $19,458, formed their peers in traditional mar- Jan Stromme, managing partner at and which compiles and oversees Libor, ‘The statements are about NatWest Markets, said the two state- before suffering a spectacular crash that crypto specialist trading company Alp- said yesterday it would consult the mar- managing an orderly ments created some confusion. “It left the market dormant for years. haplate, said interest from mainstream ket about ending the publication of all shows the dollar market is probably fur- This time, bitcoin could touch new investors was at its “very highest and Libor rates in sterling, Swiss franc, the wind-down of Libor and ther behind,” he said. records, according to Joel Kruger, a cur- shows no signs of abating”. euro and yen at the end of next year. minimising disruption’ But advisers to companies using the rency analyst at LMAX Exchange, who “Traditional investors are increas- After that, estimates by traders could be benchmark rates said the aim had been said that if that happened, prices could ingly thinking that crypto is a maturing removed from the methodology, and component of the incumbent measure. to reassure. “The statements are all be on course for a sharp fall. Traders market and see it as an opportunity to rates would be based on transactions in Even without that complication, the about managing an orderly wind-down said volatility remained high. diversify and trade it in addition to tra- short-term lending markets. task of dumping Libor is tricky, leaving of Libor and minimising market disrup- “We would caution against buying at ditional assets,” Mr Stromme said. However, IBA did not include Libor the status of more than $300tn of deriv- tion,” said Catherine Wade, capital mar- current levels, with the market having Elie Le Rest, a partner at Paris-based for US dollars in its plans. It said discus- atives, loans and bonds contracts uncer- kets counsel at law firm Linklaters. run so far and fast,” Mr Kruger said. specialist asset manager ExoAlpha, said sions were continuing with authorities tain unless their terms are changed. The FCA wants most of the market to “The market might want to poke above the rally this time appeared to be more and banks that supplied data for the Banks and other industry bodies have move away from the rate by the end of the record high but if that happens, it sustainable than the run in 2017, when rate, but added there was no guarantee been racing to switch to overnight lend- 2021 in part because many banks have will leave the price . . . screaming out retail investors were the majority par- it would be able to publish any US dollar ing rates, set new common standards also stopped supplying their assess- for a major correction.” ticipants in the market. Libor settings after December next year and apply legal patches. ments for the rate. The watchdog has Prices collapsed in March when the Hedge funds focusing on bitcoin “Institutional investors are now posi- — a sign of the huge scale of the task fac- IBA’s comments came as the UK’s said it may deem it unrepresentative if coronavirus-induced sell-off ripped trading have outperformed peers tioning in bitcoin,” Mr Le Rest said. ing the financial industry in avoiding a Financial Conduct Authority, which enough banks were to pull out.
NOVEMBER 19 2020 Section:Markets Time: 18/11/2020 - 17:56 User: jeremy.wright Page Name: MARKETS1, Part,Page,Edition: EUR, 9, 1 10 ★ FINANCIAL TIMES Thursday 19 November 2020
COMPANIES & MARKETS
Lenders pay The day in the markets painful price for ‘cov-lite’ greed What you need to know 3 European stocks close in on strongest European stocks heading for best month on record monthly performance Stoxx Europe index ( change for the month) 3 Economically sensitive sectors edge Wall Street higher William Cohan 3 Scarred oil market bounces back European shares pushed higher yesterday, building on a record-breaking Markets Insight rally this month spurred by optimism that Covid-19 vaccines could help get the global economy back on its feet. nce upon a time it would The private equity firm Centerbridge ticipants have a healthy fear of loss.” The Stoxx Europe 600 index has raced have been unthinkable — if Partners bought TriMark in 2017 for But rather than try to fight the Fed, it 14 per cent higher in November, putting it not career suicide — for about $1.2bn. It loaded the company up is clear in the TriMark case at least, that on course for its strongest month in data - lenders to make risky with $795m of bank debt that was then Marks decided to teach “cov-lite” lend- going back to the late 1980s. loans without what are sold by the banks that underwrote it to ers a lesson. As news of the new $120m Positive news on a potential Covid-19 Ocalled “covenants”. These are contrac- investors. When TriMark ran into TriMark loan hit the market, the value vaccine helped to lift bourses on the - tual protections that, among other financial trouble this year because of the of TriMark’s existing debt plummeted; continent, with the Stoxx 600 up 0.4 per things, served as an early warning of a Covid-19 pandemic, it obtained a new one of the existing loans was reportedly cent, Frankfurt’s Xetra Dax climbing 0.5 company’s increasing financial distress $120m loan from a group of hedge funds trading at about 20 cents on the dollar, a per cent and London’s FTSE 100 0.3 per or that prevented it from borrowing led by Howard Marks, the savvy loss of 80 per cent in a matter of days. cent higher. - additional money without an existing founder of Oaktree Capital, and by Ares TriMark is not the only example Pfizer and German partner BioNTech lender’s approval. Management, another clever Los Ange- where the value of “cov-lite” loans has yesterday upped the efficacy rate of their But today, so-called “cov-lite” lever- les-based hedge fund. been decimated as a result of getting Covid-19 drug to 95 per cent, on a par Source: Refinitiv aged loans are all the rage among bor- In making the new loan to TriMark, primed by new lenders. A similar with the rival candidate from Moderna, rowers and lenders alike and comprise, Oaktree and Ares were able to “prime” dynamic occurred with a recent $200m and said they would submit their drug to by some accounts, nearly 90 per cent of the existing lenders, placing the new loan for mattress maker Serta Simmons, US and European regulators within days. tech winners from the Covid-19 crisis, vaccine breakthroughs, with those on the all the riskiest loans issued in the US in owned by Advent, another buyout firm. Hetal Mehta, senior European rose 0.4 per cent. S&P 500 rising about 13 per cent this 2019. The mutual funds Eaton Vance and economist at Legal and General Oil climbed on the latest vaccine news, month, compared with an almost 9 per In our steadfastly low-interest rate What is happening is a Invesco provided the new financing and Investment Management, said investors with Brent crude up 2.1 per cent at $44.67 cent rise for growth stocks. environment, driven in large part by correction in the loan agreed to restructure their existing debt had been too cautious about prospects a barrel. The energy sector has been one But this shift has happened in fits and central banks the world over, lenders to Serta Simmons, in effect priming oth- for a vaccine. of the hardest hit by the pandemic as starts, which analysts attributed to the have traded fewer contractual protec- market after years of ers of the holders of the same “cov-lite” “Our base case . . . has been that travel has been curtailed, cutting global nature of the strategy. tions and more risk for more reward in perverting the rules loans. The hedge funds sued to stop the vaccines would be widely available by the oil demand almost 10 per cent on “If you are investing for growth, you the form of higher interest rates. Now priming but lost in court, since Serta second half of next year,” she said. average. buy and hold,” said Robert Buckland, the price is being paid for such reckless- Simmons “cov-lite” terms permitted On Wall Street, the blue-chip S&P 500 November has experienced a rotation global equity strategist at Citi. “With ness. Lenders are facing the inevitable loan more senior to them in the capital such a possibility. — which has risen 10 per cent this month from growth stocks, such as tech value, if your strategy is to buy stocks unintended consequences of their fool- structure and giving the new loan pro- The same thing happened with — was up 0.1 per cent at lunchtime in companies, to “value” sectors of the that have a dividend yield of above 4 per ish risk-taking and greedy behaviour. tections the old lenders had previously Boardriders, a surf clothing company New York, led by economically sensitive market — unloved groups typically found cent, and it goes below that, you adjust. Some of their loans are rapidly losing bargained away. owned in part by Oaktree. Boardriders sectors such as financials. in economically sensitive industries. Value investing has to be more dynamic.” value because companies that issued It was a brilliant tactical move by Mr recently negotiated a new $135m financ- The Nasdaq Composite, stacked with Value stocks had rallied since the Naomi Rovnick “cov-lite” loans are struggling finan- Marks, who has long been critical of the ing, a piece of which had priority over cially in the face of pandemic-related US Federal Reserve’s willingness to other of the company’s lenders which economic stress. A further sign of how drive down short- and long-term inter- did not participate in the new loan. Markets update exposed some lenders are more broadly est rates through its quantitative easing Some have described these battles as to a general loosening of credit disci- programme. Mr Marks was also scepti- a “civil war” between lenders. But what pline are several fierce recent battles cal of the Fed’s vast interventions in is happening is a correction in the loan over fundraisings. March and April to provide much- market after years of perverting the US Eurozone Japan UK China Brazil As companies look for additional needed liquidity as pandemic concerns rules of credit analysis. It’s an overdue Stocks S&P 500 Eurofirst 300 Nikkei 225 FTSE100 Shanghai Comp Bovespa sources of capital, some are finding that hit markets. Mr Marks wanted busi- puncturing of yet another credit-related Level 3616.15 1507.91 25728.14 6385.24 3347.30 106833.22 new investors are willing to lend them nesses to meet the denouement that the euphoria. What is unfathomable is why % change on day 0.18 0.41 -1.10 0.31 0.22 -0.39 money by exploiting the weakness in markets had in store for them, not to be the lessons are not learned until too late. Currency $ index (DXY) $ per € Yen per $ $ per £ Rmb per $ Real per $ the covenants of the old lenders. bailed out by the Fed. Level 92.400 1.188 103.670 1.330 6.543 5.293 Take, for instance, what happened in “Capitalism without bankruptcy is The writer is a former investment banker % change on day -0.017 0.000 -0.523 0.302 -0.229 -1.236 October at TriMark USA, a distributor like Catholicism without hell,” he wrote and author currently working on a book Govt. bonds 10-year Treasury 10-year Bund 10-year JGB 10-year Gilt 10-year bond 10-year bond of restaurant equipment and supplies. in April. “Markets work best when par- about the rise and fall of General Electric Yield 0.869 -0.554 0.016 0.336 3.310 7.339 Basis point change on day 0.330 0.900 -0.200 1.300 3.600 15.700 World index, Commods FTSE All-World Oil - Brent Oil - WTI Gold Silver Metals (LMEX) Level 404.92 44.63 42.27 1889.05 24.63 3212.00 % change on day 0.27 1.92 1.90 0.18 1.50 0.14 Yesterday's close apart from: Currencies = 16:00 GMT; S&P, Bovespa, All World, Oil = 17:00 GMT; Gold, Silver = London pm fix. Bond data supplied by Tullett Prebon. Main equity markets
S&P 500 index Eurofirst 300 index FTSE 100 index 3680 1520 6720 6400 3520 1440 6080
3360 1360 5760
| | | | | | | | | | | | | | | | | | | | 3200 | | | | | | | | | | | | | | | | | | | | 1280 | | | | | | | | | | | | | | | | | | | | 5440 Sep 2020 Nov Sep 2020 Nov Sep 2020 Nov Biggest movers % US Eurozone UK Technipfmc 7.93 Alstom 4.85 Rsa Insurance 4.61 Coty 7.34 Renault 4.71 Taylor Wimpey 4.40 Diamondback Energy 6.30 Amadeus It 4.09 Sse 4.38 Ups Mgm Resorts Int 5.55 Seadrill 3.66 Aveva 3.50 Occidental Petroleum 5.27 Cnh Industrial 3.48 Int Consolidated Airlines S.a. 3.49 % Lowe's Companies -6.46 Klepierre -6.68 Hargreaves Lansdown -5.54 Thermo Fisher Scientific -3.74 Yara Int -3.94 Dcc -5.04 L Brands -3.62 Thyssenkrupp -3.45 Homeserve -4.97
Downs Norwegian Cruise Line Holdings Ltd -3.40 Beiersdorf -2.36 Spirax-sarco Eng -3.78 Davita -2.90 Merck -1.95 Compass -3.20 Prices taken at 17:00 GMT Based on the constituents of the FTSE Eurofirst 300 Eurozone All data provided by Morningstar unless otherwise noted.
Wall Street Eurozone London
Boeing climbed in morning trade after US Ubisoft climbed on the back of record- Micro Focus soared after the software regulators issued an order to allow the breaking sales of its latest game. group’s adjusted margins came in at the 737 Max plane to return to the skies, Assassin’s Creed Valhalla was the biggest upper end of expectations and a three- paving the way for other watchdogs to do launch in the series’ history, said the year plan to turn round its business the same. Shares in the aircraft group are French video game group. showed “solid progress”. down a third this year after two 737 Max “We have robust content plans for Full-year revenue was approximately crashes killed 346 people. Assassin’s Creed Valhalla that will keep $3bn (£2.26bn), which was in line with “We don’t see the ungrounding being a players immersed in their epic Viking forecasts from management. demand-spurring event,” said analysts at saga for a long time to come,” said Julien A bullish tone struck in SSE’s half-year UBS. “The backlog on the Max has been Laferrière, the game’s producer. results and reports of its intention to sell most negatively affected by the drop in Eurazeo rose after announcing it had a stake in the Dogger Bank Wind Farm demand as customers could cancel struck a deal to sell its stake in Spain’s helped the Scottish energy group climb. delinquent deliveries without penalty and Iberchem — its fragrances and flavours SSE aimed to “treble its renewable that could continue.” portfolio company — to Croda, a UK output by 2030, with a clear aspiration to A jump in sales helped Target rally. The speciality chemicals group. Eurazeo and reach a run rate of at least 1GW of new retailer’s total comparable sales increased its partners would receive €565m from assets a year during the second half of 20.7 per cent in the third quarter, while the deal, which valued Iberchem at this decade”, the group announced. total revenue leapt 21 per cent year on €820m, representing 20.5 times its 2020 John Musk, an analyst at RBC Capital year in the third quarter to $22.6bn. earnings before interest, taxes, Markets, put SSE at a “sector perform” Lowe’s sank after the home depreciation and amortisation. rating and a price target of 1400p, noting improvement chain cautioned that profit Tryg slid after the announcement that “there are some positives [for the group] margins were expected to be “essentially the Danish insurance group and Canada’s in the energy transition and renewables flat” in the fourth quarter, “given ongoing Intact were buying UK-based RSA growth opportunity in the UK”. Covid-related operating expenses”, a Insurance for £7.2bn. Tryg would acquire British Land, one of the UK’s largest $150m cost linked to the resetting of RSA’s Swedish and Norwegian businesses commercial landlords, dipped after store layouts, and investments in its while Intact and Tryg would co-own RSA’s reporting the value of its portfolio had supply chain. Danish business on a 50/50 basis. fallen from £11.2bn on March 31 to £10.3bn Pfizer climbed after the vaccine it was Progress on a treatment for immune on September 30. The half-year results developing with BioNTech was more thrombocytopenia, a blood disorder, reflected “challenging times”, said Aaron effective than previously reported. The helped lift Sanofi. The US Food and Drug Guy, an analyst at Citi. He is cautious on candidate would be submitted for US and Administration granted the French British Land until he can identify the EU emergency approval “within days” pharma group a fast-track designation for bottom of the retail and office sector and and its trial data would be shared “with its rilzabrutinib drug following positive gauge “longer-term behavioural changes” other regulatory agencies”. Ray Douglas phase 1/2 study results. Ray Douglas caused by the pandemic. Ray Douglas
NOVEMBER 19 2020 Section:Markets Time: 18/11/2020 - 18:50 User: jeremy.wright Page Name: MARKETS2, Part,Page,Edition: EUR, 10, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 11
MARKET DATA
WORLD MARKETS AT A GLANCE FT.COM/MARKETSDATA
Change during previous day’s trading (%) S&P 500 Nasdaq Composite Dow Jones Ind FTSE 100 FTSE Eurofirst 300 Nikkei Hang Seng FTSE All World $ $ per € $ per £ ¥ per $ £ per € Oil Brent $ Sep Gold $ -1.10% -0.523% -0.335% No change 0.18% 0.17% 0.27% 0.31% 0.41% 0.49% 0.27% 0.302% 1.90% 0.18% Stock Market movements over last 30 days, with the FTSE All-World in the same currency as a comparison AMERICAS EUROPE ASIA Oct 19 - - Index All World Oct 19 - Nov 18 Index All World Oct 19 - Nov 18 Index All World Oct 19 - Nov 18 Index All World Oct 19 - Nov 18 Index All World Oct 19 - Nov 18 Index All World S&P 500 New York S&P/TSX COMP Toronto FTSE 100 London Xetra Dax Frankfurt Nikkei 225 Tokyo Kospi Seoul 3,616.15 16,962.26 2,545.64 6,385.24 13,201.89 25,728.14 3,443.12 2,358.41 16,273.26 5,889.22 12,736.95 23,671.13
Day 0.18% Month 3.79% Year 15.82% Day 0.08% Month 3.19% Year -0.36% Day 0.31% Month 7.93% Year -12.57% Day 0.52% Month -0.11% Year NaN% Day -1.10% Month 9.90% Year 10.41% Day 0.26% Month 8.72% Year 17.73%
Nasdaq Composite New York IPC Mexico City FTSE Eurofirst 300 Europe Ibex 35 Madrid Hang Seng Hong Kong FTSE Straits Times Singapore 42,605.35 1,507.91 7,981.50 26,544.29 2,788.59 11,919.29 1,414.58 11,516.49 37,876.49 6,927.30 24,569.54 2,528.64
Day 0.17% Month 2.09% Year 39.36% Day 1.57% Month 12.47% Year -1.83% Day 0.41% Month 6.02% Year -5.15% Day 0.59% Month 16.52% Year -13.79% Day 0.49% Month 8.71% Year 0.70% Day 0.36% Month 9.94% Year -14.02%
Dow Jones Industrial New York Bovespa São Paulo CAC 40 Paris FTSE MIB Milan Shanghai Composite Shanghai BSE Sensex Mumbai 106,833.22 21,622.66 29,864.30 5,511.45 44,180.05 28,308.79 19,482.13 3,347.30 98,657.65 4,929.28 3,328.10 40,544.37
Day 0.27% Month 4.40% Year 6.52% Day -0.39% Month 8.69% Year 0.55% Day 0.52% Month 11.66% Year -7.05% Day 0.87% Month 11.50% Year -7.86% Day 0.22% Month 0.33% Year 15.77% Day 0.52% Month 10.50% Year 9.47%
Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Country Index Latest Previous Argentina Merval 51961.41 51911.53 Cyprus CSE M&P Gen 68.46 68.68 Italy FTSE Italia All-Share 23495.79 23294.73 Philippines Manila Comp 7051.78 6959.14 Taiwan Weighted Pr 13773.29 13593.01 Cross-Border DJ Global Titans ($) 415.62 415.02 Australia All Ordinaries 6726.50 6697.80 Czech Republic PX 945.27 934.75 FTSE Italia Mid Cap 36385.76 36050.76 Poland Wig 52232.17 51781.80 Thailand Bangkok SET 1364.59 1349.81 Euro Stoxx 50 (Eur) 3482.17 3468.48 S&P/ASX 200 6531.10 6498.20 Denmark OMXC Copenahgen 20 1383.41 1383.21 FTSE MIB 21622.66 21435.11 Portugal PSI 20 4417.72 4365.66 Turkey BIST 100 1294.72 1259.72 Euronext 100 ID 1085.12 1080.98 S&P/ASX 200 Res 4623.80 4646.20 Egypt EGX 30 10989.72 11063.98 Japan 2nd Section 6367.45 6361.68 PSI General 3325.84 3309.35 UAE Abu Dhabi General Index 4952.36 4960.13 FTSE 4Good Global ($) 8874.00 8870.22 Austria ATX 2511.29 2498.30 Estonia OMX Tallinn 1206.64 1206.95 Nikkei 225 25728.14 26014.62 Romania BET Index 8936.25 8854.20 UK FT 30 2461.30 2476.00 FTSE All World ($) 404.92 403.84 Belgium BEL 20 3614.96 3592.50 Finland OMX Helsinki General 10562.15 10486.09 S&P Topix 150 1447.47 1460.58 Russia Micex Index 3080.68 3052.22 FTSE 100 6385.24 6365.33 FTSE E300 1507.91 1501.74 BEL Mid 8010.94 7947.52 France CAC 40 5511.45 5483.00 Topix 1720.65 1734.66 RTX 1276.75 1258.46 FTSE 4Good UK 5997.62 5976.44 FTSE Eurotop 100 2842.20 2830.95 Brazil IBovespa 106833.22 107248.63 SBF 120 4360.35 4339.34 Jordan Amman SE 1558.25 1560.72 Saudi-Arabia TADAWUL All Share Index 8621.19 8572.73 FTSE All Share 3607.61 3591.59 FTSE Global 100 ($) 2343.25 2341.46 Canada S&P/TSX 60 1013.02 1012.28 Germany M-DAX 28799.05 28650.69 Kenya NSE 20 1787.45 1783.18 Singapore FTSE Straits Times 2788.59 2778.55 FTSE techMARK 100 5988.65 5883.50 FTSE Gold Min ($) 2467.81 2523.11 S&P/TSX Comp 16962.26 16948.06 TecDAX 3016.94 3000.14 Kuwait KSX Market Index 6633.44 6603.51 Slovakia SAX 354.11 343.47 USA DJ Composite 10035.97 9989.40 FTSE Latibex Top (Eur) 4440.00 4432.20 S&P/TSX Div Met & Min 573.43 590.57 XETRA Dax 13201.89 13133.47 Latvia OMX Riga 1110.06 1123.34 Slovenia SBI TOP 873.85 - DJ Industrial 29864.30 29783.35 FTSE Multinationals ($) 2548.12 2551.41 Chile S&P/CLX IGPA Gen 20377.93 20233.88 Greece Athens Gen 708.16 690.99 Lithuania OMX Vilnius 775.50 768.07 South Africa FTSE/JSE All Share 57323.67 57053.01 DJ Transport 12602.29 12434.97 FTSE World ($) 718.60 716.72 China FTSE A200 12946.07 12924.39 FTSE/ASE 20 1678.89 1639.87 Luxembourg LuxX 1244.07 1237.50 FTSE/JSE Res 20 51858.33 51667.73 DJ Utilities 896.12 899.01 FTSEurofirst 100 (Eur) 3859.44 3840.89 FTSE B35 9000.71 8988.96 Hong Kong Hang Seng 26544.29 26415.09 Malaysia FTSE Bursa KLCI 1604.75 1610.15 FTSE/JSE Top 40 52518.35 52288.79 Nasdaq 100 11997.44 11977.49 FTSEurofirst 80 (Eur) 4761.83 4740.48 Shanghai A 3508.24 3500.46 HS China Enterprise 10640.05 10550.20 Mexico IPC 42605.35 41948.79 South Korea Kospi 2545.64 2539.15 Nasdaq Cmp 11919.29 11899.34 MSCI ACWI Fr ($) 612.86 613.61 Shanghai B 251.30 251.13 HSCC Red Chip 3897.22 3871.00 Morocco MASI 10722.04 10708.54 Kospi 200 339.96 339.85 NYSE Comp 13999.20 13949.10 MSCI All World ($) 2558.43 2561.50 Shanghai Comp 3347.30 3339.90 Hungary Bux 38361.82 37470.50 Netherlands AEX 600.88 600.94 Spain IBEX 35 7981.50 7934.30 S&P 500 3616.15 3609.53 MSCI Europe (Eur) 1577.43 1581.12 Shenzhen A 2366.91 2375.06 India BSE Sensex 44180.05 43952.71 AEX All Share 869.23 868.87 Sri Lanka CSE All Share 6108.22 6108.93 Wilshire 5000 37485.22 37372.38 MSCI Pacific ($) 2938.48 2920.08 Shenzhen B 982.01 970.41 Nifty 500 10588.35 10524.00 New Zealand NZX 50 12605.96 12765.03 Sweden OMX Stockholm 30 1922.53 1922.20 Venezuela IBC 622095.06 622016.00 S&P Euro (Eur) 1609.10 1601.76 Colombia COLCAP 1230.73 1209.87 Indonesia Jakarta Comp 5557.52 5529.94 Nigeria SE All Share 34242.83 34774.08 OMX Stockholm AS 756.47 755.15 Vietnam VNI 973.53 968.90 S&P Europe 350 (Eur) 1554.94 1548.42 Croatia CROBEX 2013.05 2011.29 Ireland ISEQ Overall 7187.51 7105.78 Norway Oslo All Share 983.54 978.38 Switzerland SMI Index 10563.89 10565.12 S&P Global 1200 ($) 2842.72 2835.92 Israel Tel Aviv 125 1473.15 1478.46 Pakistan KSE 100 40514.67 40652.67 Stoxx 50 (Eur) 3079.53 3071.29 (c) Closed. (u) Unavaliable. † Correction. ♥ Subject to official recalculation. For more index coverage please see www.ft.com/worldindices. A fuller version of this table is available on the ft.com research data archive. STOCK MARKET: BIGGEST MOVERS UK MARKET WINNERS AND LOSERS AMERICA LONDON EURO MARKETS TOKYO Nov 18 %Chg %Chg Nov 18 %Chg %Chg Nov 18 %Chg %Chg Nov 18 %Chg %Chg ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's ACTIVE STOCKS stock close Day's FTSE 100 price(p) week ytd FTSE 250 price(p) week ytd FTSE SmallCap price(p) week ytd Industry Sectors price(p) week ytd traded m's price change traded m's price change traded m's price change traded m's price change Winners Winners Winners Winners Boeing 80.0 212.77 2.72 Rsa Insurance 290.6 676.80 29.80 Total 324.5 34.77 0.14 Softbank . 756.9 6639.00 -61.00 Whitbread 3120.00 16.3 -25.8 Micro Focus Int 356.40 46.7 -67.9 Saga 288.00 48.2 -60.9 Automobiles & Parts 3791.15 13.9 -30.7 Amazon.com 41.1 3121.58 -14.08 Glaxosmithkline 177.5 1374.80 -28.00 Sap Se O.n. 320.1 100.00 1.47 Fast Retailing Co., 641.0 85200.00 -2240.00 Imperial Brands 1547.00 15.2 -17.5 Aston Martin Lagonda Global Holdings 79.50 26.0 -54.8 Galliford Try Holdings 112.00 37.7 -87.4 Fixed Line Telecommunication 1588.01 6.5 - Apple 39.0 119.52 0.13 Astrazeneca 160.4 8180.00 -111.00 Intesa Sanpaolo 315.7 1.87 0.02 Sony 464.4 9237.00 -171.00 Taylor Wimpey 166.00 11.7 -15.7 Puretech Health 296.50 24.8 -6.5 Hostelworld 81.40 29.2 -35.9 Aerospace & Defense 3583.12 5.6 - Microsoft 24.1 213.06 -1.40 Bp 125.8 251.95 0.25 Asml Holding 293.4 357.65 -1.40 Mitsubishi Ufj Fin,. 425.2 468.20 -11.20 Melrose Industries 165.90 11.6 -31.5 Just 56.15 20.3 -32.3 Puretech Health 296.50 24.8 -6.5 Tobacco 30260.85 5.5 - Nvidia 23.9 538.86 1.97 Unilever 110.4 4522.00 -43.00 Lvmh 261.8 486.15 11.15 Toyota Motor 333.3 7319.00 -120.00 Intermediate Capital 1729.00 11.5 5.4 Babcock Int 317.50 17.2 -49.7 Premier Oil 20.96 24.6 -79.0 Oil & Gas Producers 4390.00 5.1 -45.5 Lowe's Companies 14.5 149.54 -10.32 Rio Tinto 105.1 4797.50 50.50 Daimler Ag Na O.n. 258.4 55.70 1.16 Tokyo Electron 278.4 32370.00 -630.00 Legal & General 258.70 9.6 -16.8 Network Int Holdings 272.60 15.6 -57.1 Ted Baker 132.90 24.4 -62.3 Mobile Telecommunications 2821.10 4.7 - Pfizer 13.8 36.62 0.58 Hsbc Holdings 95.6 384.80 8.20 Airbus 237.8 90.00 -0.09 Sumitomo Mitsui Fin,. 267.0 3159.00 -67.00 M&g 193.55 8.1 -20.6 Aggreko 592.00 15.4 -30.3 Mitie 41.40 22.5 -44.6 Software & Computer Services 1951.69 4.2 - Facebook 13.7 275.12 0.12 Tesco 92.2 233.20 4.60 Royal Dutch Shella 236.9 14.26 0.13 Nippon Telegraph And Telephone 232.0 2457.50 -10.50 Natwest 157.80 8.1 -35.4 Rank 151.40 14.9 -45.9 Rps 69.50 21.9 -60.1 Life Insurance 7016.53 3.8 - Target 13.1 170.05 7.01 Lloyds Banking 85.9 35.67 0.07 Unilever 223.4 50.32 -0.32 Kddi 223.4 3080.00 -57.00 Bt 130.30 7.5 -33.5 Capita 40.70 14.4 -75.8 Int Personal Finance 90.30 21.7 -44.1 Nonlife Insurance 3304.28 3.3 1.9 Advanced Micro Devices 12.0 83.48 0.12 Experian 79.3 2912.00 19.00 Allianz Se Na O.n. 210.0 198.80 0.74 Ntt Docomo,. 207.2 3892.00 -15.00 Barratt Developments 666.20 7.2 -11.4 Cmc Markets 395.00 14.2 167.6 Anglo-eastern Plantations 614.00 20.4 4.2 Food & Drug Retailers 4315.25 3.1 2.8 British Land 498.60 7.1 -20.6 Vistry 851.00 12.0 -36.0 Just 56.15 20.3 -32.3 Industrial Transportation 2259.21 2.9 -7.9 BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's BIGGEST MOVERS Close Day's Day's Lloyds Banking 35.67 6.8 -44.0 Trainline 455.80 11.9 -9.6 Arrow Global 178.60 18.9 -32.9 Oil Equipment & Services 5188.73 2.8 - price change chng% price change chng% price change chng% price change chng% Ups Ups Ups Ups Losers Losers Losers Losers Technipfmc 8.71 0.64 7.93 Micro Focus Int 356.40 84.70 31.17 Alstom 43.26 2.00 4.85 Inpex 581.00 11.00 1.93 Croda Int 6030.00 -6.9 18.2 Spirent Communications 257.50 -9.3 4.3 4imprint 2465.00 -9.2 -27.9 Index - Technology Hardware & Equipment 2030.95 -8.5 3.4 Coty 5.49 0.38 7.34 Rank 151.40 11.40 8.14 Renault 31.37 1.41 4.71 Unitika 382.00 7.00 1.87 Astrazeneca 8180.00 -6.9 6.8 4imprint 2465.00 -9.2 -27.9 Xaar 146.50 -6.7 179.6 Pharmaceuticals & Biotech. 16907.11 -6.2 -5.2 Diamondback Energy 39.66 2.35 6.30 Virgin Money Uk 152.70 11.00 7.76 Amadeus It 60.64 2.38 4.09 Yaskawa Electric 4765.00 75.00 1.60 Halma 2350.00 -6.4 9.2 Polypipe 497.00 -8.8 -8.9 Oxford Instruments 1942.00 -6.6 25.6 Personal Goods 37954.15 -4.7 -0.4 Mgm Resorts Int 27.89 1.47 5.55 Cmc Markets 395.00 26.50 7.19 Seadrill 0.23 0.01 3.66 Minebea Co., 2061.00 31.00 1.53 Experian 2912.00 -6.3 14.2 Mediclinic Int 308.80 -7.8 -24.8 Sig 31.00 -6.2 -74.3 Electronic & Electrical Equip. 9559.17 -3.8 10.6 Occidental Petroleum 13.68 0.69 5.27 Cairn Energy 161.20 10.40 6.90 Cnh Industrial 9.04 0.30 3.48 M3,. 7963.00 110.00 1.40 Compass 1346.00 -6.1 -29.3 Hochschild Mining 223.40 -6.7 26.6 Baillie Gifford Shin Nippon 252.00 -6.1 38.6 Health Care Equip.& Services 6449.72 -3.7 - Glaxosmithkline 1374.80 -6.1 -22.6 Oxford Instruments 1942.00 -6.6 25.6 Premier Foods 88.50 -5.5 132.6 Chemicals 13033.49 -2.6 -2.7 Downs Downs Downs Downs Gvc Holdings 960.40 -5.8 4.5 Baillie Gifford Shin Nippon 252.00 -6.1 38.6 Tt Electronics 212.00 -5.4 -12.0 Gas Water & Multiutilities 5121.73 -2.1 -5.3 Lowe's Companies 149.54 -10.32 -6.46 Hargreaves Lansdown 1526.00 -89.50 -5.54 Klepierre 18.66 -1.34 -6.68 Sumitomo Electric Industries, 1256.50 -87.50 -6.51 Unilever 4522.00 -5.5 4.0 Premier Foods 88.50 -5.5 132.6 Luceco 243.00 -4.7 85.5 Support Services 9709.24 -1.3 2.7 Thermo Fisher Scientific 461.07 -17.93 -3.74 Ssp 327.40 -18.40 -5.32 Yara Int 34.40 -1.41 -3.94 Mitsubishi Motors 195.00 -10.00 -4.88 Smith & Nephew 1473.00 -5.0 -19.6 St.modwen Properties 385.00 -4.8 -23.3 Manchester & London Investment Trust 630.00 -4.5 13.3 Media 7716.95 -1.0 - L Brands 34.17 -1.29 -3.62 Dcc 5582.00 -296.00 -5.04 Thyssenkrupp Ag O.n. 4.90 -0.18 -3.45 Marui Co., 2031.00 -97.00 -4.56 Pennon 1029.00 -4.7 0.2 Genus 4230.00 -4.6 31.2 Riverstone Energy 260.00 -4.4 -39.7 Food Producers 6690.45 -0.8 - Norwegian Cruise Line Holdings Ltd 21.31 -0.75 -3.40 Homeserve 1204.00 -63.00 -4.97 Beiersdorf Ag O.n. 97.64 -2.36 -2.36 Nippon Light Metal Holdings , 1752.00 -71.00 -3.89 Rentokil Initial 517.00 -4.7 13.5 Dixons Carphone 114.20 -4.4 -19.7 Devro 162.20 -4.0 -6.7 Equity Investment Instruments 11934.99 -0.6 8.9 Davita 110.11 -3.29 -2.90 Wood (john) 275.20 -14.30 -4.94 Assa Abloy Ab Ser. B 21.48 -0.49 -2.23 Alps Alpine Co., 1415.00 -57.00 -3.87 Just Eat Takeaway.com N.v. 8030.00 -4.6 - Ferrexpo 196.40 -4.3 22.1 Fidelity Japan Trust 211.50 -3.9 19.2 Forestry & Paper 19278.47 -0.5 -3.2 Based on the constituents of the S&P500 Based on the constituents of the FTSE 350 index Based on the constituents of the FTSEurofirst 300 Eurozone index Based on the constituents of the Nikkei 225 index Based on last week's performance. †Price at suspension. CURRENCIES DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND DOLLAR EURO POUND Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Closing Day's Nov 18 Currency Mid Change Mid Change Mid Change Nov 18 Currency Mid Change Mid Change Mid Change Nov 18 Currency Mid Change Mid Change Mid Change Nov 18 Currency Mid Change Mid Change Mid Change Argentina Argentine Peso 80.1607 0.1363 95.1993 0.1664 106.6378 0.5328 Indonesia Indonesian Rupiah 14070.0000 15.0000 16709.6383 18.6027 18717.3382 81.6912 Poland Polish Zloty 3.7603 -0.0213 4.4657 -0.0251 5.0023 -0.0117 ..Three Month 0.7518 -0.0025 0.8926 -0.0029 - - Australia Australian Dollar 1.3651 -0.0047 1.6212 -0.0055 1.8160 -0.0002 Israel Israeli Shekel 3.3484 -0.0058 3.9766 -0.0066 4.4544 0.0071 Romania Romanian Leu 4.1039 0.0010 4.8738 0.0014 5.4594 0.0193 ..One Year 0.7520 -0.0025 0.8922 -0.0029 - - Bahrain Bahrainin Dinar 0.3771 0.0001 0.4478 0.0001 0.5017 0.0017 Japan Japanese Yen 103.6700 -0.5450 123.1191 -0.6414 137.9122 -0.2673 Russia Russian Ruble 75.9250 -0.3938 90.1690 -0.4633 101.0030 -0.1886 United States United States Dollar - - 1.1876 0.0001 1.3303 0.0044 Bolivia Bolivian Boliviano 6.9100 - 8.2064 0.0004 9.1924 0.0303 ..One Month 103.6700 -0.5451 123.1192 -0.6413 137.9122 -0.2673 Saudi Arabia Saudi Riyal 3.7504 -0.0001 4.4540 0.0001 4.9892 0.0163 ..One Month - - 1.1875 -0.1383 1.3303 0.0044 Brazil Brazilian Real 5.2930 -0.0662 6.2859 -0.0784 7.0412 -0.0646 ..Three Month 103.6699 -0.5453 123.1192 -0.6412 137.9121 -0.2675 Singapore Singapore Dollar 1.3405 -0.0022 1.5920 -0.0026 1.7833 0.0029 ..Three Month - - 1.1873 -0.1383 1.3304 0.0044 Canada Canadian Dollar 1.3066 -0.0030 1.5517 -0.0034 1.7382 0.0018 ..One Year 103.6695 -0.5461 123.1195 -0.6406 137.9122 -0.2678 South Africa South African Rand 15.4201 0.0038 18.3129 0.0054 20.5133 0.0728 ..One Year - - 1.1866 -0.1383 1.3306 0.0044 Chile Chilean Peso 757.4750 -8.4750 899.5820 -10.0218 1007.6693 -7.9102 Kenya Kenyan Shilling 109.4000 0.1500 129.9241 0.1843 145.5348 0.6794 South Korea South Korean Won 1103.9500 -2.7000 1311.0579 -3.1441 1468.5851 1.2686 Venezuela Venezuelan Bolivar Fuerte ------China Chinese Yuan 6.5430 -0.0150 7.7705 -0.0174 8.7042 0.0088 Kuwait Kuwaiti Dinar 0.3058 - 0.3632 0.0000 0.4068 0.0013 Sweden Swedish Krona 8.5835 -0.0446 10.1938 -0.0524 11.4186 -0.0214 Vietnam Vietnamese Dong 23170.5000 6.5000 27517.4323 9.0078 30823.7651 110.3855 Colombia Colombian Peso 3648.9500 17.0000 4333.5161 20.3937 4854.1993 38.5658 Malaysia Malaysian Ringgit 4.0870 -0.0175 4.8537 -0.0206 5.4369 -0.0053 Switzerland Swiss Franc 0.9094 -0.0012 1.0800 -0.0014 1.2098 0.0024 European Union Euro 0.8420 0.0000 - - 1.1202 0.0036 Costa Rica Costa Rican Colon 607.3650 -1.2500 721.3105 -1.4501 807.9778 1.0102 Mexico Mexican Peso 20.2135 -0.1150 24.0057 -0.1354 26.8900 -0.0637 Taiwan New Taiwan Dollar 28.5005 - 33.8474 0.0016 37.9142 0.1252 ..One Month 0.8420 0.0000 - - 1.1201 0.0036 Czech Republic Czech Koruna 22.1935 -0.1386 26.3571 -0.1634 29.5240 -0.0864 New Zealand New Zealand Dollar 1.4426 -0.0090 1.7132 -0.0106 1.9191 -0.0056 Thailand Thai Baht 30.3100 0.1500 35.9963 0.1798 40.3214 0.3320 ..Three Month 0.8418 0.0000 - - 1.1200 0.0036 Denmark Danish Krone 6.2740 0.0031 7.4511 0.0040 8.3464 0.0317 Nigeria Nigerian Naira 385.5000 - 457.8222 0.0217 512.8308 1.6931 Tunisia Tunisian Dinar 2.7401 -0.0041 3.2541 -0.0048 3.6451 0.0065 ..One Year 0.8410 -0.0001 - - 1.1196 0.0036 Egypt Egyptian Pound 15.6214 0.0228 18.5521 0.0280 20.7812 0.0988 Norway Norwegian Krone 9.0030 -0.0635 10.6920 -0.0750 11.9767 -0.0447 Turkey Turkish Lira 7.6850 -0.0033 9.1268 -0.0034 10.2234 0.0294 Hong Kong Hong Kong Dollar 7.7525 0.0004 9.2070 0.0009 10.3132 0.0346 Pakistan Pakistani Rupee 159.6500 1.3450 189.6013 1.6063 212.3824 2.4845 United Arab Emirates UAE Dirham 3.6732 - 4.3623 0.0002 4.8864 0.0161 Hungary Hungarian Forint 303.7218 -0.7833 360.7019 -0.9131 404.0412 0.2954 Peru Peruvian Nuevo Sol 3.5765 -0.0460 4.2475 -0.0544 4.7578 -0.0453 United Kingdom Pound Sterling 0.7517 -0.0025 0.8927 -0.0029 - - India Indian Rupee 74.1850 -0.2725 88.1026 -0.3194 98.6883 -0.0355 Philippines Philippine Peso 48.2350 -0.0100 57.2842 -0.0092 64.1670 0.1986 ..One Month 0.7517 -0.0025 0.8927 -0.0029 - - Rates are derived from WM Reuters Spot Rates and MorningStar (latest rates at time of production). Some values are rounded. Currency redenominated by 1000. The exchange rates printed in this table are also available at www.FT.com/marketsdata UK SERIES FTSE ACTUARIES SHARE INDICES www.ft.com/equities FT 30 INDEX FTSE SECTORS: LEADERS & LAGGARDS FTSE 100 SUMMARY Produced in conjunction with the Institute and Faculty of Actuaries Nov 17 Nov 16 Nov 13 Nov 12 Nov 11 Yr Ago High Low Year to date percentage changes Closing Day's Closing Day's £ Strlg Day's Euro £ Strlg £ Strlg Year Div P/E X/D Total FT 30 2461.30 2476.00 2407.50 2401.90 2413.70 0.00 3314.70 1337.80 Leisure Goods 49.93 FTSE SmallCap Index -4.15 Real Est Invest & Se -15.61 FTSE 100 Price Change FTSE 100 Price Change Nov 18 chge% Index Nov 17 Nov 16 ago yield% Cover ratio adj Return FT 30 Div Yield - - - - - 0.00 3.93 2.74 Tech Hardware & Eq 16.58 Forestry & Paper -4.17 FTSE 100 Index -16.26 3I Group PLC 1104.5 7.00 Kingfisher PLC 299.30 10.00 FTSE 100 (100) 6385.24 0.31 5574.45 6365.33 6421.29 7323.80 3.86 1.56 16.66 190.91 6086.28 P/E Ratio net - - - - - 0.00 19.44 14.26 Electronic & Elec Eq 11.91 Industrials -4.34 Tobacco -16.34 Admiral Group PLC 2893 -4.00 Land Securities Group PLC 705.90 -11.30 FTSE 250 (250) 19699.87 0.94 17198.43 19516.17 19608.05 20528.48 2.81 1.15 30.93 299.99 15600.10 FT 30 since compilation: 4198.4 high: 19/07/1999; low49.4 18/02/1900Base Date: 1/7/35 Equity Invest Instr 6.83 Gas Water & Multi -4.53 Life Insurance -16.71 Anglo American PLC 2171.5 31.00 Legal & General Group PLC 258.70 8.10 FTSE 250 ex Inv Co (181) 20239.64 0.92 17669.66 20055.99 20069.01 21742.59 2.95 1.34 25.32 265.19 16349.41 FT 30 hourly changes Industrial Eng 3.25 Utilities -4.58 Food Producers -16.97 Antofagasta PLC 1120.5 14.00 Lloyds Banking Group PLC 35.67 0.07 FTSE 350 (350) 3636.91 0.43 3175.10 3621.46 3650.63 4101.75 3.67 1.50 18.18 99.04 6909.00 8 9 10 11 12 13 14 15 16 High Low Personal Goods 3.20 Electricity -4.73 Mobile Telecomms -17.80 Ashtead Group PLC 3134 -33.00 London Stock Exchange Group PLC 8094 158.00 FTSE 350 ex Investment Trusts (280) 3548.95 0.40 3098.31 3534.85 3561.62 4051.70 3.75 1.43 18.58 98.25 3479.15 2476 2457.6 2466.7 2164.9 2399.1 2395.8 2394.3 2414 2426.7 2439.2 2366.1 Support Services 2.50 Construct & Material -5.32 Financials -18.08 Associated British Foods PLC 2033 -3.00 M&G PLC 193.55 0.40 FTSE 350 Higher Yield (145) 2820.32 0.89 2462.20 2795.35 2807.34 3549.66 5.41 1.37 13.46 108.83 5880.59 FT30 constituents and recent additions/deletions can be found at www.ft.com/ft30 Chemicals 1.22 Consumer Goods -7.33 Real Est Invest & Tr -19.26 Astrazeneca PLC 8180 -111.00 Melrose Industries PLC 165.90 1.85 FTSE 350 Lower Yield (205) 4260.37 -0.04 3719.39 4261.98 4312.26 4326.09 1.91 1.86 28.08 72.16 5037.76 Pharmace & Biotech -0.10 Beverages -10.07 Health Care Eq & Srv -21.64 Auto Trader Group PLC 556.20 -1.40 Mondi PLC 1712.5 1.50 FTSE SmallCap (258) 5836.72 1.01 5095.58 5778.50 5776.29 5560.30 3.60 -1.27 -21.88 117.43 9256.67 Food & Drug Retailer -0.29 Financial Services -11.65 Telecommunications -22.91 Avast PLC 457.20 13.60 Morrison (Wm) Supermarkets PLC 180.95 1.85 FTSE SmallCap ex Inv Co (142) 4615.06 0.57 4029.05 4588.71 4508.33 4490.22 3.91 -0.82 -31.19 64.59 7651.97 FX: EFFECTIVE INDICES Nonlife Insurance -0.67 FTSE 250 Index -11.94 Travel & Leisure -26.56 Aveva Group PLC 4254 144.00 National Grid PLC 942.00 5.80 FTSE All-Share (608) 3607.61 0.45 3149.53 3591.59 3619.49 4045.94 3.66 1.41 19.39 97.30 6923.15 Industrial Metals & -0.95 Technology -12.04 Aerospace & Defense -32.23 Aviva PLC 319.30 2.50 Natwest Group PLC 157.80 2.45 FTSE All-Share ex Inv Co (422) 3486.26 0.40 3043.58 3472.30 3496.95 3968.46 3.76 1.39 19.16 95.56 3471.17 Nov 17 Nov 16 Mnth Ago Nov 18 Nov 17 Mnth Ago Household Goods & Ho -1.02 NON FINANCIALS Index -14.08 Fixed Line Telecomms -34.03 B&M European Value Retail S.A. 508.80 11.40 Next PLC 6720 -60.00 FTSE All-Share ex Multinationals (539) 1155.06 1.07 835.77 1142.82 1146.82 1209.10 3.10 1.18 27.35 20.74 2305.69 Australia --- Sweden --- Basic Materials -1.58 Software & Comp Serv -14.11 Banks -36.99 Bae Systems PLC 499.10 3.90 Ocado Group PLC 2292 56.00 FTSE Fledgling (91) 9507.03 0.54 8299.84 9456.38 9423.73 9502.52 2.91 0.02 2111.64 193.52 19515.54 Canada --- Switzerland --- Mining -1.79 Consumer Services -14.87 Automobiles & Parts -37.89 Barclays PLC 141.60 3.20 Pearson PLC 624.00 3.20 FTSE Fledgling ex Inv Co (43) 11234.71 0.74 9808.15 11152.48 11051.41 11158.23 3.32 4.07 7.41 162.99 22544.47 Denmark --- UK 78.34 78.02 77.31 General Retailers -2.24 FTSE All{HY-}Share Index -15.16 Oil Equipment & Serv -42.03 Barratt Developments PLC 666.20 11.80 Pennon Group PLC 1029 -6.00 FTSE All-Small (349) 4040.58 0.98 3527.51 4001.26 3999.08 3859.48 3.56 -1.22 -23.10 81.40 8221.15 Japan --- USA --- Health Care -2.54 Industrial Transport -15.21 Oil & Gas -49.16 Berkeley Group Holdings (The) PLC 4858 77.00 Persimmon PLC 2913 94.00 FTSE All-Small ex Inv Co (185) 3443.20 0.58 3005.99 3423.33 3364.44 3350.66 3.88 -0.67 -38.65 48.22 7231.79 New Zealand --- Euro --- Media -15.52 Oil & Gas Producers -49.27 Bhp Group PLC 1653.4 11.60 Phoenix Group Holdings PLC 770.00 4.40 FTSE AIM All-Share (714) 1018.21 0.59 888.92 1012.28 1007.11 896.79 1.00 0.54 185.28 6.28 1167.91 Norway --- BP PLC 251.95 0.25 Polymetal International PLC 1688 6.50 FTSE Sector Indices Source: Bank of England. New Sterling ERI base Jan 2005 = 100. Other indices base average 1990 = 100. British American Tobacco PLC 2875 25.00 Prudential PLC 1299.5 -1.50 Oil & Gas (12) 4556.00 0.32 3977.49 4541.60 4508.77 8640.91 6.79 1.19 12.34 308.29 5124.75 Index rebased 1/2/95. for further information about ERIs see www.bankofengland.co.uk British Land Company PLC 498.60 -12.40 Reckitt Benckiser Group PLC 6706 18.00 Oil & Gas Producers (9) 4409.70 0.38 3849.77 4393.04 4358.65 8386.88 6.90 1.19 12.23 303.26 5143.33 Bt Group PLC 130.30 3.65 Relx PLC 1733 21.00
Oil Equipment Services & Distribution (3) 5126.40 -3.28 4475.46 5300.04 5444.09 8098.88 0.22 17.16 26.51 11.22 4419.27 FTSE GLOBAL EQUITY INDEX SERIES Bunzl PLC 2364 -18.00 Rentokil Initial PLC 517.00 -3.80 Basic Materials (22) 6339.21 0.75 5534.27 6291.98 6350.28 6092.39 3.97 2.76 9.13 249.65 7613.54 Burberry Group PLC 1633.5 10.50 Rightmove PLC 638.20 9.60 Chemicals (7) 14332.70 -0.56 12512.77 14413.07 14542.70 13906.24 1.68 3.40 17.48 190.80 13747.37 Nov 18 No of US $ Day Mth YTD Total YTD Gr Div Nov 18 No of US $ Day Mth YTD Total YTD Gr Div Coca-Cola Hbc AG 2275 - Rio Tinto PLC 4797.5 50.50 Forestry & Paper (1) 21036.35 0.09 18365.20 21017.92 21140.76 20514.28 2.57 3.27 11.93 540.55 25626.18 Regions & countries stocks indices % % % retn % Yield Sectors stocks indices % % % retn % Yield Compass Group PLC 1346 -44.50 Rolls-Royce Holdings PLC 102.60 -0.10 Industrial Metals & Mining (2) 4130.30 0.79 3605.85 4098.06 4101.20 3633.80 10.85 1.60 5.76 453.68 5556.53 FTSE Global All Cap 9024 687.53 -0.1 5.4 8.0 1057.78 10.1 2.0 Oil Equipment & Services 24 182.36 1.5 1.5 -31.9 307.50 -28.3 6.0 Crh PLC 3030 5.00 Royal Dutch Shell PLC 1204 5.20 Mining (12) 18152.03 0.93 15847.13 17983.98 18157.43 17446.19 4.17 2.77 8.66 759.08 11514.31 FTSE Global All Cap 9024 687.53 -0.1 5.4 8.0 1057.78 10.1 2.0 Basic Materials 356 553.04 0.0 0.0 7.6 937.45 10.7 2.8 Croda International PLC 6030 -54.00 Royal Dutch Shell PLC 1258 5.60 FTSE Global Large Cap 1744 618.24 -0.1 4.8 9.0 979.71 11.2 2.0 Chemicals 163 810.45 0.2 0.2 8.0 1360.00 10.8 2.5 Industrials (101) 5786.68 -0.17 5051.90 5796.62 5807.02 5774.84 2.00 0.71 70.48 75.37 6429.79 Dcc PLC 5582 -296.00 Rsa Insurance Group PLC 676.80 29.80 Construction & Materials (14) 7054.61 0.17 6158.83 7042.61 7102.55 6871.92 2.19 0.11 416.05 129.98 8148.02 FTSE Global Mid Cap 2235 865.43 0.0 6.7 4.4 1252.30 6.1 2.0 Forestry & Paper 21 286.44 0.3 0.3 3.0 544.22 6.2 2.6 Diageo PLC 2977 -18.50 Sage Group PLC 681.20 6.60 Aerospace & Defense (9) 3776.88 0.62 3297.30 3753.55 3707.76 5256.94 3.16 -1.87 -16.96 99.51 4407.44 FTSE Global Small Cap 5045 921.15 0.2 7.4 6.5 1281.91 8.1 1.7 Industrial Metals & Mining 93 388.84 0.8 0.8 2.8 665.24 6.1 3.5 Evraz PLC 382.60 2.70 Sainsbury (J) PLC 218.50 5.60 General Industrials (8) 5109.98 -0.44 4461.12 5132.65 5133.59 4936.96 2.56 0.64 61.15 62.99 6380.84 FTSE All-World 3979 403.84 -0.1 5.1 8.2 657.54 10.3 2.0 Mining 79 798.93 -0.8 -0.8 9.6 1384.72 13.3 3.2 Experian PLC 2912 19.00 Schroders PLC 3018 -15.00 Electronic & Electrical Equipment (10)11293.95 -0.68 9859.87 11371.55 11486.28 9827.77 1.18 1.99 42.72 75.90 10827.39 FTSE World 2569 716.72 -0.1 5.2 7.9 1566.24 10.0 2.0 Industrials 746 500.49 0.2 0.2 11.5 770.06 13.4 1.6 Ferguson PLC 8008 -2.00 Scottish Mortgage Investment Trust PLC 1010 3.00 Industrial Engineering (12) 15385.96 -1.22 13432.29 15575.97 15580.40 14138.08 2.07 1.60 30.24 162.54 20095.90 FTSE Global All Cap ex UNITED KINGDOM In 8734 726.91 -0.1 5.2 9.3 1098.27 11.3 1.9 Construction & Materials 147 607.45 0.3 0.3 9.6 981.49 11.7 1.8 Flutter Entertainment PLC 12870 120.00 Segro PLC 904.60 7.40 Industrial Transportation (6) 3464.94 0.36 3024.97 3452.47 3355.36 3805.68 4.17 0.84 28.39 9.26 3516.21 FTSE Global All Cap ex USA 7275 529.42 0.2 7.3 2.1 889.00 4.5 2.5 Aerospace & Defense 36 723.04 1.0 1.0 -19.2 1095.43 -18.1 2.0 Fresnillo PLC 1118 6.50 Severn Trent PLC 2490 - Support Services (42) 9254.83 -0.15 8079.67 9268.54 9315.25 8756.51 1.46 2.15 31.94 91.84 10274.38 FTSE Global All Cap ex JAPAN 7627 709.32 -0.1 5.1 8.2 1101.47 10.3 1.9 General Industrials 70 240.27 0.2 0.2 5.4 405.14 7.9 2.4 Glaxosmithkline PLC 1374.8 -28.00 Smith & Nephew PLC 1473 -8.50 FTSE Global All Cap ex Eurozone 8383 724.25 -0.1 5.2 8.8 1091.27 10.9 1.9 Electronic & Electrical Equipment 140 612.10 0.0 0.0 20.2 854.91 22.1 1.4 Consumer Goods (42) 18909.62 0.38 16508.52 18837.35 18887.09 19137.23 4.32 1.59 14.50 583.39 15973.82 Glencore PLC 193.86 1.16 Smith (Ds) PLC 331.40 -1.40 FTSE Developed 2140 656.86 -0.1 5.0 8.5 1018.89 10.5 1.9 Industrial Engineering 148 980.03 0.0 0.0 18.2 1499.99 20.4 1.5 Automobiles & Parts (2) 3810.57 2.21 3326.72 3728.30 3528.33 4508.90 0.58 1.78 96.08 0.00 3899.04 Gvc Holdings PLC 960.40 -12.80 Smiths Group PLC 1531 -13.00 FTSE Developed All Cap 5628 686.34 -0.1 5.3 8.3 1049.63 10.3 1.9 Industrial Transportation 122 905.67 0.3 0.3 19.6 1401.76 21.6 1.7 Beverages (6) 23425.99 -0.57 20451.41 23561.41 23848.38 24777.60 2.43 1.63 25.20 528.83 17986.14 Halma PLC 2350 -39.00 Smurfit Kappa Group PLC 3282 -50.00 FTSE Developed Large Cap 836 615.71 -0.1 4.6 9.2 972.02 11.4 1.9 Support Services 83 603.13 0.1 0.1 19.5 875.63 21.0 1.1 Food Producers (10) 6787.57 -0.28 5925.70 6806.96 6862.58 7531.69 2.58 1.87 20.77 75.68 6288.92 Hargreaves Lansdown PLC 1526 -89.50 Spirax-Sarco Engineering PLC 11465 -450.00 FTSE Developed Europe Large Cap 226 372.87 0.1 7.1 -2.9 696.16 -0.3 2.7 Consumer Goods 532 569.58 0.5 0.5 11.6 917.66 14.0 2.2 Household Goods & Home Construction (14)14998.17 1.38 13093.74 14793.44 14826.24 13938.25 3.62 1.55 17.84 272.34 12042.56 Hikma Pharmaceuticals PLC 2546 -1.00 Sse PLC 1407 59.00 FTSE Developed Europe Mid Cap 344 650.94 0.4 8.4 2.9 1063.09 4.9 2.3 Automobiles & Parts 128 513.15 2.2 2.2 34.7 806.32 37.3 1.7 Leisure Goods (2) 24722.89 0.28 21583.63 24652.91 24490.93 15585.56 2.20 0.99 45.89 303.75 25839.80 Homeserve PLC 1204 -63.00 St. James's Place PLC 1100.5 15.50 FTSE Dev Europe Small Cap 693 878.01 0.1 8.6 -2.2 1381.06 -0.5 2.1 Beverages 67 713.74 -0.1 -0.1 0.8 1158.29 2.7 2.3 Personal Goods (6) 32855.22 -0.73 28683.34 33095.95 33568.79 34063.77 3.18 2.85 11.05 917.13 24609.80 HSBC Holdings PLC 384.80 8.20 Standard Chartered PLC 444.10 7.20 FTSE North America Large Cap 225 792.74 -0.3 2.8 13.7 1155.17 15.7 1.6 Food Producers 132 702.13 -0.2 -0.2 3.0 1154.71 5.3 2.4 Tobacco (2) 30260.91 1.21 26418.45 29898.06 29463.00 31208.06 8.12 1.25 9.89 1765.51 24326.08 Imperial Brands PLC 1547 41.50 Standard Life Aberdeen PLC 273.20 3.70 FTSE North America Mid Cap 412 1006.74 -0.3 6.1 6.4 1352.40 8.0 1.8 Household Goods & Home Construction 62 575.86 -0.2 -0.2 13.7 923.08 16.2 2.2 Health Care (15) 11995.77 -1.40 10472.58 12165.96 12500.12 12375.93 3.51 1.12 25.42 418.56 10439.93 Informa PLC 585.00 4.40 Taylor Wimpey PLC 166.00 7.00 FTSE North America Small Cap 1293 1045.05 0.4 8.1 9.5 1355.05 10.9 1.5 Leisure Goods 43 291.32 -0.2 -0.2 20.3 401.65 21.7 1.2 Health Care Equipment & Services (6) 6546.90 -0.68 5715.59 6591.71 6687.52 8091.48 2.06 0.96 50.61 120.44 6032.62 Intercontinental Hotels Group PLC 4613 -17.00 Tesco PLC 233.20 4.60 FTSE North America 637 516.20 -0.3 3.4 12.5 768.56 14.4 1.6 Personal Goods 87 1005.99 0.3 0.3 11.6 1498.02 13.2 1.4 Pharmaceuticals & Biotechnology (9) 16847.28 -1.47 14708.05 17099.19 17591.73 17022.70 3.66 1.13 24.16 616.76 13173.93 Intermediate Capital Group PLC 1729 40.00 Unilever PLC 4522 -43.00 FTSE Developed ex North America 1503 275.59 0.3 8.3 1.3 498.48 3.8 2.5 Tobacco 13 891.63 0.4 0.4 -10.5 2225.76 -5.6 7.0 International Consolidated Airlines Group S.A. 158.80 5.35 United Utilities Group PLC 926.20 10.80 Consumer Services (82) 4892.79 0.52 4271.52 4867.60 4898.24 5401.98 2.50 1.32 30.23 68.17 5004.76 FTSE Japan Large Cap 180 428.63 0.7 9.8 8.1 601.31 10.6 2.2 Health Care 307 664.32 -0.7 -0.7 8.7 1022.13 10.7 1.7 Food & Drug Retailers (5) 4482.70 2.04 3913.49 4392.89 4337.19 4044.10 2.94 1.33 25.52 133.29 5705.35 Intertek Group PLC 5992 -130.00 Vodafone Group PLC 123.00 0.46 FTSE Japan Mid Cap 335 626.38 0.4 6.8 -0.3 832.79 1.7 2.1 Health Care Equipment & Services 111 1354.52 -0.9 -0.9 15.5 1630.34 16.3 0.7 General Retailers (27) 2361.39 0.38 2061.55 2352.54 2354.31 2173.11 2.29 1.15 37.85 8.19 2950.53 Jd Sports Fashion PLC 807.40 20.40 Whitbread PLC 3120 23.00 FTSE Global wi JAPAN Small Cap 882 683.57 -0.3 4.1 -1.8 941.45 0.3 2.1 Pharmaceuticals & Biotechnology 196 428.96 -0.5 -0.5 4.5 701.55 7.0 2.4 Media (15) 7879.43 0.84 6878.92 7813.83 7895.15 8869.13 2.10 2.36 20.11 125.77 5310.51 Johnson Matthey PLC 2550 -23.00 Wpp PLC 748.60 -2.00 FTSE Japan 515 177.78 0.6 9.2 6.4 279.15 8.8 2.2 Consumer Services 440 662.28 -0.4 -0.4 18.7 927.07 19.9 1.0 Travel & Leisure (35) 7530.57 -0.34 6574.36 7556.45 7667.61 9866.52 2.74 0.76 48.10 82.90 7728.61 Just Eat Takeaway.Com N.V. 8030 -122.00 FTSE Asia Pacific Large Cap ex Japan 937 818.67 -0.1 7.0 12.6 1415.09 15.2 2.2 Food & Drug Retailers 68 290.49 -2.4 -2.4 -1.5 440.16 1.0 2.5 Telecommunications (6) 1814.05 0.97 1583.70 1796.58 1851.12 2319.67 7.43 0.58 23.05 43.94 2453.74 FTSE Asia Pacific Mid Cap ex Japan 900 941.56 0.3 7.2 8.7 1561.01 11.1 2.8 General Retailers 145 1240.88 -0.6 -0.6 37.1 1669.59 37.9 0.6 Fixed Line Telecommunications (3) 1646.27 2.68 1437.23 1603.28 1608.87 2315.70 10.80 1.04 8.88 3.51 1803.96 FTSE Asia Pacific Small Cap ex Japan 1885 595.63 0.0 4.5 9.7 965.76 12.1 2.5 Media 87 421.44 0.4 0.4 9.7 593.91 10.7 1.1 UK STOCK MARKET TRADING DATA Mobile Telecommunications (3) 2816.83 0.35 2459.15 2806.98 2919.60 3461.69 6.17 0.29 56.75 91.62 3435.63 FTSE Asia Pacific Ex Japan 1837 638.20 0.0 7.0 12.3 1171.80 14.9 2.3 Travel & Leisure 140 476.48 0.2 0.2 -8.0 681.80 -6.9 1.7 Utilities (8) 7388.87 1.36 6450.65 7289.39 7338.50 7162.88 5.71 1.01 17.35 275.61 10203.87 FTSE Emerging All Cap 3396 835.55 0.0 6.0 5.7 1372.97 8.3 2.4 Telecommunication 98 151.35 0.0 0.0 -5.7 328.86 -1.7 4.6 Nov 18 Nov 17 Nov 16 Nov 13 Nov 12 Yr Ago Electricity (3) 8248.35 3.86 7201.00 7941.48 7984.01 7685.07 5.63 1.04 17.08 462.14 15125.63 FTSE Emerging Large Cap 908 811.09 -0.2 6.0 7.0 1341.30 9.6 2.2 Fixed Line Telecommuniations 43 117.10 0.1 0.1 -13.5 285.84 -9.3 5.7 ------Gas Water & Multiutilities (5) 6768.89 0.61 5909.39 6727.87 6776.00 6641.14 5.73 1.00 17.43 212.92 9214.68 FTSE Emerging Mid Cap 931 952.56 0.6 7.2 -2.1 1564.25 0.5 3.1 Mobile Telecommunications 55 176.03 -0.2 -0.2 5.5 334.35 8.9 3.3 Order Book Turnover (m) 75.75 107.82 148.01 148.01 148.01 35.12 Financials (306) 4308.07 1.17 3761.04 4258.21 4295.11 4876.55 3.23 1.50 20.67 79.49 4486.69 FTSE Emerging Small Cap 1557 778.63 0.4 4.0 3.0 1227.16 5.6 2.7 Utilities 191 319.72 -1.0 -1.0 0.6 699.50 3.7 3.3 Order Book Bargains 1140422.00 1381763.00 952448.00 952448.00 952448.00 1167208.00 Banks (11) 2453.06 1.85 2141.58 2408.45 2447.19 3605.52 3.86 2.22 11.65 0.99 2021.42 FTSE Emerging Europe 76 327.31 -0.9 13.6 -25.6 618.42 -21.8 5.9 Electricity 131 359.50 -1.1 -1.1 1.0 775.50 4.2 3.3 Order Book Shares Traded (m) 1906.00 2394.00 1714.00 1714.00 1714.00 1903.00 Nonlife Insurance (7) 3782.40 2.10 3302.12 3704.43 3671.21 3416.41 2.91 1.86 18.45 107.44 7501.80 FTSE Latin America All Cap 240 730.00 2.0 14.5 -25.9 1245.83 -24.2 2.7 Gas Water & Multiutilities 60 320.42 -1.0 -1.0 -0.2 723.38 2.8 3.2 Total Equity Turnover (£m) 4540.05 6388.74 4761.57 4761.57 4761.57 5273.71 Life Insurance/Assurance (7) 7138.61 0.91 6232.17 7074.01 7029.14 7654.24 3.36 2.15 13.85 230.43 8084.66 FTSE Middle East and Africa All Cap 321 622.16 -0.3 5.1 -9.8 1074.13 -7.2 3.3 Financials 868 240.38 0.4 0.4 -9.1 435.65 -6.6 2.9 Total Mkt Bargains 1379907.00 1683466.00 1156065.00 1156065.00 1156065.00 1402988.00 Real Estate Investment & Services (17) 2530.14 0.60 2208.87 2514.99 2512.34 2653.49 1.77 2.28 24.83 25.63 7252.72 FTSE Global wi UNITED KINGDOM All Cap In 290 302.11 -0.1 11.0 -15.5 575.73 -13.1 3.8 Banks 272 171.92 0.7 0.7 -19.5 342.13 -16.9 3.8 Total Shares Traded (m) 9255.00 11338.00 12027.00 12027.00 12027.00 8819.00 Real Estate Investment Trusts (39) 2469.63 -0.08 2156.05 2471.54 2470.45 2858.06 3.63 -1.70 -16.15 55.36 3500.41 FTSE Global wi USA All Cap 1749 891.46 -0.3 3.9 12.9 1253.76 14.7 1.6 Nonlife Insurance 74 294.23 0.4 0.4 -4.7 461.59 -2.5 2.1 † Excluding intra-market and overseas turnover. *UK only total at 6pm. ‡ UK plus intra-market turnover. (u) Unavaliable. General Financial (39) 9725.50 0.95 8490.58 9634.21 9696.95 10098.95 3.36 1.12 26.56 292.69 12555.11 FTSE Europe All Cap 1414 443.33 0.1 7.6 -2.5 795.74 -0.1 2.7 Life Insurance 54 221.81 1.2 1.2 -8.1 396.96 -4.8 3.3 (c) Market closed. Equity Investment Instruments (186) 12012.89 1.05 10487.52 11887.98 12090.02 10697.49 2.38 1.82 23.15 251.28 7174.42 FTSE Eurozone All Cap 641 434.83 0.3 7.9 0.0 777.76 2.2 2.3 Financial Services 209 392.48 -0.1 -0.1 6.0 576.71 7.9 1.8 Non Financials (302) 4325.11 0.19 3775.92 4316.89 4349.06 4833.97 3.82 1.38 18.97 129.78 7295.32 FTSE EDHEC-Risk Efficient All-World 3979 447.74 -0.1 6.0 3.5 673.21 5.5 2.2 Technology 313 484.85 -0.6 -0.6 34.8 621.30 36.1 0.9 Technology (14) 2050.18 2.63 1789.85 1997.56 2010.95 2161.82 2.00 0.12 399.63 33.01 2860.56 FTSE EDHEC-Risk Efficient Developed Europe 570 348.46 0.1 7.0 3.1 580.49 5.1 2.3 Software & Computer Services 165 805.44 -0.6 -0.6 32.5 963.55 33.1 0.5 All data provided by Morningstar unless otherwise noted. All elements listed are indicative and believed Software & Computer Services (12) 2205.71 2.99 1925.63 2141.72 2156.36 2379.80 2.06 -0.08 -580.68 35.78 3256.08 Oil & Gas 128 241.55 0.8 15.5 -33.6 450.84 -30.3 5.4 Technology Hardware & Equipment 148 384.13 -0.6 -0.6 38.1 525.21 40.3 1.4 accurate at the time of publication. No offer is made by Morningstar or the FT. The FT does not warrant nor Technology Hardware & Equipment (2) 4893.11 -1.04 4271.79 4944.55 4970.80 3812.13 1.42 3.38 20.75 69.78 6074.00 Oil & Gas Producers 93 227.20 0.7 17.4 -35.7 433.57 -32.4 5.5 Alternative Energy 11 210.08 0.6 0.6 66.0 298.58 68.4 0.8 guarantee that the information is reliable or complete. The FT does not accept responsibility and will not be Real Estate Investment & Services 161 352.15 0.8 0.8 -4.6 648.64 -1.6 2.7 liable for any loss arising from the reliance on or use of the listed information. Hourly movements 8.00 9.00 10.00 11.00 12.00 13.00 14.00 15.00 16.00 High/day Low/day Real Estate Investment Trusts 98 458.53 0.1 0.1 -7.5 1004.15 -4.8 3.7 For all queries e-mail [email protected] FTSE 100 6336.29 6343.51 6345.58 6355.83 6374.63 6392.43 6392.20 6392.48 6379.45 6395.86 6327.15 FTSE Global Large Cap 1744 618.24 -0.1 -0.1 9.0 979.71 11.2 2.0 FTSE 250 19475.68 19546.73 19554.85 19573.43 19603.64 19627.23 19647.37 19694.28 19692.50 19709.88 19462.56 The FTSE Global Equity Series, launched in 2003, contains the FTSE Global Small Cap Indices and broader FTSE Global All Cap Indices (large/mid/small cap) as well as the enhanced FTSE All-World index Series (large/ Data provided by Morningstar | www.morningstar.co.uk FTSE SmallCap 5775.23 5807.36 5810.80 5814.15 5826.19 5836.82 5844.97 5851.63 5854.81 5857.70 5775.23 mid cap) - please see www.ftse.com/geis. The trade names Fundamental Index® and RAFI® are registered trademarks and the patented and patent-pending proprietary intellectual property of Research Affiliates, LLC FTSE All-Share 3577.25 3583.44 3584.69 3589.94 3599.56 3608.49 3609.21 3610.98 3605.17 3612.74 3573.73 (US Patent Nos. 7,620,577; 7,747,502; 7,778,905; 7,792,719; Patent Pending Publ. Nos. US-2006-0149645-A1, US-2007-0055598-A1, US-2008-0288416-A1, US-2010- 0063942-A1, WO 2005/076812, WO 2007/078399 A2, Time of FTSE 100 Day's high:12:43:00 Day's Low08:12:45 FTSE 100 2010/11 High: 7674.56(17/01/2020) Low: 4993.89(23/03/2020) WO 2008/118372, EPN 1733352, and HK1099110). ”EDHEC™” is a trade mark of EDHEC Business School As of January 2nd 2006, FTSE is basing its sector indices on the Industrial Classification Benchmark - please see Time of FTSE All-Share Day's high:15:36:00 Day's Low08:13:00 FTSE 100 2010/11 High: 4257.93(17/01/2020) Low: 2727.86(23/03/2020) www.ftse.com/icb. For constituent changes and other information about FTSE, please see www.ftse.com. © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the London Stock Exchange Group companies and is used by FTSE International Limited under licence. Further information is available on http://www.ftse.com © FTSE International Limited. 2013. All Rights reserved. ”FTSE®” is a trade mark of the London Stock Exchange Group companies and is used by FTSE International Limited under licence. † Sector P/E ratios greater than 80 are not shown. For changes to FTSE Fledgling Index constituents please refer to www.ftse.com/indexchanges. ‡ Values are negative. UK RIGHTS OFFERS UK COMPANY RESULTS UK RECENT EQUITY ISSUES Amount Latest Company Turnover Pre-tax EPS(p) Div(p) Pay day Total Issue Issue Stock Close Mkt Issue paid renun. closing AEW UK REIT Int 5.724 4.159 3.610 2.740 2.00000 2.00000 Nov 30 3.989 4.000 date price(p) Sector code Stock price(p) +/- High Low Cap (£m) price up date High Low Stock Price p +or- British Land Co Int 255.000 328.000 757.000L 440.000L 78.700L 42.900L 0.00000 7.98250 - 0.000 15.733 11/03 20.00 AIM VRCI Verici Dx PLC 41.00 0.57 56.00 29.97 5811.7 There are currently no rights offers by any companies listed on the LSE. FinnCap Group Int 20.492 14.182 3.626 1.363 1.850 0.680 0.50000 0.42000 Dec 18 0.500 0.848 10/29 162.00 AIM SBI SourceBio International PLC 174.00 3.00 188.50 160.00 12907.8 Halfords Group Int 638.900 582.700 55.400 27.500 22.800 11.100 0.00000 6.18000 - 0.000 18.570 10/26 0.04 AMOI Anemoi International Ltd 2.25 0.00 4.80 1.06 67.5 Speedy Hire Int 163.800 205.700 1.400 16.400 0.150 2.580 0.00000 0.70000 - 0.000 2.100 SSE Int 2816.400 3052.200 829.500 128.900 67.300 27.700L 24.40000 24.00000 Mar 11 80.094 92.200 Tatton Asset Management Int 10.956 9.729 3.074 3.610 4.770 5.260 3.50000 3.20000 Dec 18 9.865 8.800 TBC Bank Group 3rd 846.237 833.315 209.411 408.188 4.010 6.920 0.00000 0.00000 - 0.000 191.700
Figures in £m. Earnings shown basic. Figures in light text are for corresponding period year earlier. §Placing price. *Intoduction. ‡When issued. Annual report/prospectus available at www.ft.com/ir For more information on dividend payments visit www.ft.com/marketsdata For a full explanation of all the other symbols please refer to London Share Service notes.
NOVEMBER 19 2020 Section:Stats Time: 18/11/2020 - 18:26 User: keith.allen Page Name: MARKET DATA 1, Part,Page,Edition: EUR, 11, 1 12 ★ FINANCIAL TIMES Thursday 19 November 2020
MARKET DATA
FT500: THE WORLD'S LARGEST COMPANIES
:HHN :HHN :HHN :HHN :HHN :HHN 6WRFN 3ULFH 'D\&KJ +LJK /RZ FT 500: TOP 20 FT 500: BOTTOM 20 BONDS: HIGH YIELD & EMERGING MARKET BONDS: GLOBAL INVESTMENT GRADE &ORVH 3UHY 'D\ :HHN 0RQWK &ORVH 3UHY 'D\ :HHN 0RQWK 'D\ V 0WK V 6SUHDG 'D\ V 0WK V 6SUHDG SULFH SULFH FKDQJH FKDQJH FKDQJH FKDQJH FKDQJH SULFH SULFH FKDQJH FKDQJH FKDQJH FKDQJH FKDQJH 5HG 5DWLQJV %LG %LG FKJH FKJH YV 5HG 5DWLQJV %LG %LG FKJH FKJH YV 1LVVDQ0W &KLQD0RE 1RY GDWH &RXSRQ 6 0 ) SULFH \LHOG \LHOG \LHOG 86 1RY GDWH &RXSRQ 6 0 ) SULFH \LHOG \LHOG \LHOG 86 %RHLQJ &K8QF+. +LJK MANAGED FUNDS SERVICE Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Fund Bid Offer D+/- Yield Platinum Global Growth UCITS Fund $ 12.90 - 0.01 0.00 Data Provided by Platinum Essential Resources UCITS Fund SICAV USD Class E $ 7.25 - 0.12 0.00 Platinum Global Dividend UCITS Fund $ 55.69 - 0.50 0.00 Aberdeen Standard Capital (JER) GAM Milltrust International Managed Investments SPC Rubrics Global UCITS Funds Plc (IRL) PO Box 189, St Helier, Jersey, JE4 9RU 01534 709130 [email protected], www.funds.gam.com [email protected], +44(0)20 8123 8316, www.milltrust.com www.rubricsam.com FCA Recognised Regulated Regulated Regulated www.morningstar.co.uk Aberdeen Standard Capital Offshore Strategy Fund Limited LAPIS GBL TOP 50 DIV.YLD-Na-D £ 98.83 - -2.46 5.00 Milltrust Alaska Brazil SP A $ 71.39 - 1.46 - Rubrics Emerging Markets Fixed Income UCITS Fund $ 139.88 - 0.09 0.00 Data as shown is for information purposes only. No Bridge Fund £ 2.1805 - -0.0058 1.73 LAPIS GBL F OWD 50 DIV.YLD-Na-D £ 100.04 - -1.16 0.22 Milltrust Laurium Africa SP A $ 90.16 - -1.24 - Rubrics Global Credit UCITS Fund $ 17.60 - 0.02 0.00 offer is made by Morningstar or this publication. Global Equity Fund £ 3.0840 - -0.0189 1.06 Milltrust Singular ASEAN SP Founders $ 140.60 - 0.50 - Rubrics Global Fixed Income UCITS Fund $ 181.70 - 0.08 0.00 Global Fixed Interest Fund £ 0.9775 - 0.0005 4.18 Milltrust SPARX Korea Equity SP A $ 146.20 - 0.07 - Income Fund £ 0.6308 - -0.0004 2.66 Milltrust Xingtai China SP A $ 136.06 - -1.21 - Sterling Fixed Interest Fund £ 0.9073 - 0.0016 2.93 Guide to Data UK Equity Fund £ 1.9243 - 0.0046 2.84 Ashmore Investment Management Limited (LUX) Dragon Capital Group 2 rue Albert Borschette L-1246 Luxembourg 1501 Me Linh Point, 2 Ngo Duc Ke, District 1, Ho Chi Minh City, Vietnam The fund prices quoted on these pages are supplied by the operator of the relevant fund. Details of funds FCA Recognised Fund information, dealing and administration: [email protected] Genesis Investment Management LLP Slater published on these pages, including prices, are for the Other International Funds Ashmore SICAV Emerging Market Debt Fund $ 90.91 - -0.29 5.27 Other International Funds Polar Capital Funds Plc (IRL) purpose of information only and should only be used Ashmore SICAV Emerging Market Frontier Equity Fund $ 156.41 - 1.07 1.61 Vietnam Equity (UCITS) Fund A USD $ 23.02 - 0.17 0.00 Emerging Mkts NAV £ 7.21 - -0.16 0.00 Regulated as a guide. The Financial Times Limited makes no Investments representation as to their accuracy or completeness Ashmore SICAV Emerging Market Total Return Fund $ 79.89 - -0.09 4.49 Automation & Artificial Intelligence CL I USD Acc $ 16.49 16.49 -0.05 0.00 and they should not be relied upon when making an Ashmore SICAV Global Small Cap Equity Fund $ 192.15 - -0.82 0.03 Asian Financials I USD $ 436.80 436.80 3.16 0.00 investment decision. Aegon Asset Management UK ICVC (UK) EM Active Equity Fund Acc USD $ 150.06 - 0.36 0.00 Biotechnology I USD $ 36.00 36.00 -0.20 0.00 3 Lochside Crescent, Edinburgh, EH12 9SA EM Equity Fund Acc USD $ 136.66 - -0.77 0.00 Emerging Market Stars I USD Acc $ 13.91 - -0.07 0.00 The sale of interests in the funds listed on these pages 0800 358 3009 www.aegonam.com may, in certain jurisdictions, be restricted by law and EM Mkts Corp.Debt USD F $ 88.96 - 0.11 6.17 European Ex UK Inc EUR Acc € 11.45 11.45 0.01 - Authorised Funds the funds will not necessarily be available to persons EM Mkts Loc.Ccy Bd USD F $ 77.01 - 0.23 4.94 Financial Opps I USD $ 12.84 - 0.06 2.42 in all jurisdictions in which the publication circulates. Global Equity GBP B Acc £ 3.00 - -0.01 0.00 EM Short Duration Fund Acc USD $ 115.68 - -0.19 0.00 GEM Income I USD $ 12.31 - 0.05 0.00 Persons in any doubt should take appropriate professional advice. Data collated by Morningstar. For Ennismore Smaller Cos Plc (IRL) HPB Assurance Ltd Global Convertible I USD $ 16.11 16.11 0.08 0.00 other queries contact [email protected] +44 5 Kensington Church St, London W8 4LD 020 7368 4220 Anglo Intl House, Bank Hill, Douglas, Isle of Man, IM1 4LN 01638 563490 Slater Investments Ltd (UK) Global Insurance I GBP £ 7.28 - -0.04 0.00 (0)207 873 4211. FCA Recognised International Insurances www.slaterinvestments.com; Tel: 0207 220 9460 Global Technology I USD $ 81.11 - -0.08 0.00 Ennismore European Smlr Cos NAV £ 126.30 - -0.45 0.00 Holiday Property Bond Ser 1 £ 0.49 - 0.00 0.00 FCA Recognised New Capital UCITS Fund PLC (IRL) Healthcare Blue Chip Fund I USD Acc $ 15.70 15.70 -0.11 0.00 The fund prices published in this edition along with Ennismore European Smlr Cos NAV € 141.02 - -0.09 0.00 Holiday Property Bond Ser 2 £ 0.62 - 0.00 0.00 Leconfield House, Curzon Street, London, W1J 5JB Slater Growth 630.45 630.45 2.88 0.00 additional information are also available on the Healthcare Opps I USD $ 61.99 - -0.43 0.00 www.newcapitalfunds.com Slater Income A Inc 123.47 123.47 1.57 5.22 Financial Times website, www.ft.com/funds. The Income Opportunities B2 I GBP Acc £ 2.25 2.25 0.00 - funds published on these pages are grouped together FCA Recognised Slater Recovery 295.06 295.06 3.09 0.00 Japan Value I JPY ¥ 107.43 107.43 -0.71 0.00 by fund management company. New Capital UCITS Funds Slater Artorius 261.88 261.88 7.06 0.42 Atlantas Sicav (LUX) North American I USD $ 29.43 29.43 -0.13 0.00 Regulated New Capital China Equity Fund $ 263.19 - -3.77 0.00 Prices are in pence unless otherwise indicated. The UK Val Opp I GBP Acc £ 11.53 11.53 0.15 0.00 change, if shown, is the change on the previously New Capital Dynamic European Equity Fund € 130.09 - -0.83 0.00 American Dynamic $ 6299.98 6299.98 204.92 0.00 quoted figure (not all funds update prices daily). Those American One $ 6233.23 6233.23 97.03 0.00 New Capital Dynamic UK Equity Fund £ 114.09 - -1.13 0.00 designated $ with no prefix refer to US dollars. Yield Bond Global € 1514.26 1514.26 -0.55 0.00 New Capital Global Alpha Fund £ 116.03 - -0.32 0.00 percentage figures (in Tuesday to Saturday papers) allow for buying expenses. Prices of certain older Eurocroissance € 1224.60 1224.60 13.73 0.00 Ennismore European Smlr Cos Hedge Fd Intrinsic Value Investors (IVI) LLP (IRL) New Capital Global Equity Conviction Fund $ 195.11 - -1.68 - insurance linked plans might be subject to capital 1 Hat & Mitre Court, 88 St John Street, London EC1M 4EL +44 (0)20 7566 1210 Far East $ 1186.82 - 17.23 - Other International Funds New Capital Global Value Credit Fund $ 159.41 - 0.18 - gains tax on sales. NAV € 499.66 - 19.18 0.00 FCA Recognised New Capital Japan Equity Fund ¥ 1553.34 - -8.85 0.00 IVI European Fund EUR € 23.57 - -0.03 0.00 New Capital US Growth Fund $ 416.53 - -0.66 0.00 Guide to pricing of Authorised Investment Funds: (compiled with the assistance of the IMA. The IVI European Fund GBP £ 28.12 - -0.10 0.37 New Capital US Small Cap Growth Fund $ 200.71 - 0.70 0.00 Polar Capital LLP (CYM) Investment Management Association, 65 Kingsway, Aegon Asset Management Investment Company (Ireland) (IRL) New Capital Wealthy Nations Bond Fund $ 154.85 - 0.09 0.00 Regulated London WC2B 6TD. 1 North Wall Quay Dublin 1, Ireland +35 3162 24493 Tel: +44 (0)20 7831 0898.) European Forager A EUR € 168.11 - -3.75 0.00 FCA Recognised Absolute Return Bond B GBP Acc 1150.34 - 0.25 1.61 OEIC: Open-Ended Investment Company. Similar to a unit trust but using a company rather than a trust High Yield Global Bond A GBP Inc 499.99 - 0.72 4.49 Barclays Investment Funds (CI) Ltd (JER) structure. High Yield Global Bond B GBP Inc 1069.82 - 1.56 5.23 39/41 Broad Street, St Helier, Jersey, JE2 3RR Channel Islands 01534 812800 Equinox Fund Mgmt (Guernsey) Limited (GSY) Global Equity Income B GBP Acc 2031.29 - -8.74 0.00 FCA Recognised Regulated Different share classes are issued to reflect a different currency, charging structure or type of holder. Global Equity Income B GBP Inc 1455.44 - -8.32 3.19 Janus Henderson Investors (UK) Bond Funds Equinox Russian Opportunities Fund Limited $ 172.98 - -6.80 0.00 PO Box 9023, Chelmsford, CM99 2WB Enquiries: 0800 832 832 lobal Equity Market Neutral Fund - B Acc GBP £ 12.17 - -0.01 0.00 Sterling Bond F £ 0.50 - 0.01 2.20 Stonehage Fleming Investment Management Ltd (IRL) Selling price: Also called bid price. The price at which www.janushenderson.com Global Sustainable Equity B Acc GBP £ 26.14 - 0.01 0.00 www.stonehagefleming.com/gbi units in a unit trust are sold by investors. Authorised Inv Funds Private Fund Mgrs (Guernsey) Ltd (GSY) Global Sustainable Equity C Acc GBP £ 26.50 - 0.01 0.00 [email protected] Janus Henderson Instl UK Idx Opps A Acc £ 0.92 - 0.00 - Regulated Buying price: Also called offer price. The price at Inv Grd Gbl Bond A Inc GBH 625.13 - 1.52 1.81 Regulated Monument Growth 17/11/2020 £ 505.65 510.54 11.69 - which units in a unit trust are bought by investors. Short Dated High Yld Bd B Acc GBP £ 10.91 - 0.01 0.00 SF Global Best Ideas Eq B USD ACC $ 235.27 - -0.26 - Includes manager’s initial charge. Short Dated High Yld Bd C Acc GBP (Hdg) £ 11.01 - 0.01 0.00 SF Global Best Ideas Eq D GBP INC £ 269.21 - -1.97 - Single price: Based on a mid-market valuation of the Strategic Global Bond A GBP Inc 1296.43 - 3.38 2.70 underlying investments. The buying and selling price Strategic Global Bond B GBP Inc 735.46 - 1.94 3.45 Euronova Asset Management UK LLP (CYM) for shares of an OEIC and units of a single priced unit CCLA Investment Management Ltd (UK) Regulated trust are the same. Senator House 85 Queen Victoria Street London EC4V 4ET Smaller Cos Cls One Shares € 51.02 - 0.90 0.00 Treatment of manager’s periodic capital charge: Authorised Inv Funds Smaller Cos Cls Two Shares € 33.59 - 0.56 0.00 Lloyds Investment Fund Managers Limited (1000)F (JER) Oasis Crescent Management Company Ltd The letter C denotes that the trust deducts all or part Diversified Income 1 Units GBP Inc £ 1.55 1.55 0.01 0.04 Smaller Cos Cls Three Shares € 16.92 - 0.26 0.00 of the manager’s/operator’s periodic charge from PO Box 311, 11-12 Esplanade, St Helier, Jersey, JE4 8ZU 01534 845555 Other International Funds Prusik Investment Management LLP (IRL) Diversified Income 2 Units GBP Inc £ 1.49 1.49 0.00 0.04 Smaller Cos Cls Four Shares € 21.74 - 0.33 0.00 Enquiries - 0207 493 1331 capital, contact the manager/operator for full details Other International Funds Oasis Crescent Equity Fund R 10.88 - 0.02 0.22 of the effect of this course of action. Diversified Income 3 Units GBP Inc £ 1.50 1.50 0.00 0.03 Regulated Lloyds Investment Funds Limited Prusik Asian Equity Income B Dist $ 176.38 - -0.02 4.98 Euro High Income € 1.5580xd - 0.0010 2.26 Exit Charges: The letter E denotes that an exit charge Prusik Asia Emerging Opportunities Fund A Acc $ 173.45 - -0.03 0.00 may be made when you sell units, contact the High Income £ 0.8746xd - 0.0015 3.80 Prusik Asia Fund U Dist. £ 224.59 - 0.15 0.00 manager/operator for full details. Sterling Bond £ 1.6110xd - 0.0040 2.14 Lloyds Multi Strategy Fund Limited Time: Some funds give information about the timing of price quotes. The time shown alongside the fund Conservative Strategy £ 1.3280 - -0.0020 0.00 manager’s/operator’s name is the valuation point for FIL Investment Services (UK) Limited (1200)F (UK) Growth Strategy £ 1.9090 - -0.0070 0.00 their unit trusts/OEICs, unless another time is Oasis Global Mgmt Co (Ireland) Ltd (IRL) indicated by the symbol alongside the individual unit (IRL) 130, Tonbridge Rd, Tonbridge TN11 9DZ Aggressive Strategy £ 2.6090 - -0.0130 0.00 CG Asset Management Limited Regulated trust/OEIC name. 25 Moorgate, London, EC2R 6AY Callfree: Private Clients 0800 414161 Global USD Growth Strategy $ 1.8390 - 0.0010 0.00 Oasis Crescent Global Investment Fund (Ireland) plc Broker Dealings: 0800 414 181 Dealing Daily Dealing: Tel. +353 1434 5098 Fax. +353 1542 2859 (UK) The symbols are as follows: ✠ 0001 to 1100 hours; ♦ Oasis Crescent Global Short Term Income Fund I - Class A Dist $ 0.99 - 0.00 2.05 Toscafund Asset Management LLP FCA Recognised OEIC Funds 1101 to 1400 hours; ▲1401 to 1700 hours; # 1701 to Purisima Investment Fds (CI) Ltd (JER) www.toscafund.com CG Portfolio Fund Plc Oasis Crescent Global Equity Fund $ 33.78 - -0.31 0.27 midnight. Daily dealing prices are set on the basis of Fidelity American Fund W-ACC-GBP £ 53.09 - 0.01 0.34 Regulated Authorised Funds Algebris Investments (IRL) Oasis Crescent Variable Balanced Fund £ 9.37 - -0.07 0.00 the valuation point, a short period of time may elapse Absolute Return Cls M Inc £ 130.10 130.10 -0.50 1.46 Fidelity Cash Fund Y-ACC-GBP £ 1.02 - 0.00 0.66 Regulated PCG B 281.99 - 1.44 0.00 Aptus Global Financials B Acc £ 3.62 - 0.01 - before prices become available. Historic pricing: The OasisCresGl Income Class A $ 11.07 - 0.01 2.66 Algebris Financial Credit I EUR € 184.05 - -0.31 0.00 Capital Gearing Portfolio GBP P £ 35363.10 35363.10 -132.05 0.52 FID Emerg Europe, Middle East and Africa Fund W-ACC-GBP £ 2.23 - 0.02 - PCG C 275.55 - 1.41 0.00 Aptus Global Financials B Inc £ 2.52 - 0.00 6.76 letter H denotes that the managers/operators will OasisCresGl LowBal D ($) Dist $ 12.45 - -0.06 0.85 normally deal on the price set at the most recent Algebris Financial Credit R EUR € 160.24 - -0.26 0.00 Capital Gearing Portfolio GBP V £ 171.98 171.98 -0.64 0.21 Fidelity Global Enhanced Income Fund W-ACC-GBP £ 2.03 - 0.01 4.01 OasisCresGl Med Eq Bal A ($) Dist $ 13.49 - -0.09 0.34 valuation. The prices shown are the latest available Algebris Financial Credit Rd EUR € 107.86 - -0.17 5.01 Dollar Fund Cls D Inc £ 169.49 169.49 -0.72 1.80 Fidelity Global Focus Fund W-ACC-GBP £ 31.83 - 0.16 0.22 Oasis Crescent Gbl Property Eqty $ 8.01 - 0.02 1.25 before publication and may not be the current dealing Algebris Financial Income I EUR € 147.65 - 1.42 0.00 Dollar Hedged GBP Inc £ 105.24 105.24 0.19 1.79 Fidelity Global High Yield Fund Y-ACC-GBP £ 15.20 - 0.02 - levels because of an intervening portfolio revaluation M & G Securities (1200)F (UK) or a switch to a forward pricing basis. The Algebris Financial Income R EUR € 136.85 - 1.31 0.00 Real Return Cls A Inc £ 206.60 206.60 -0.91 2.06 Fidelity Japan Fund W-ACC-GBP £ 4.87 - -0.01 - PO Box 9038, Chelmsford, CM99 2XF Fidelity Japan Smaller Companies Fund W-ACC-GBP £ 4.15 - 0.00 - managers/operators must deal at a forward price on Algebris Financial Income Rd EUR € 90.41 - 0.86 4.27 www.mandg.co.uk/charities Enq./Dealing: 0800 917 4472 request, and may move to forward pricing at any time. Fidelity Select 50 Balanced Fund PI-ACC-GBP £ 1.13 - 0.00 - Algebris Financial Equity B EUR € 104.83 - 0.98 0.00 Authorised Inv Funds Forward pricing: The letter F denotes that that Fidelity Special Situations Fund W-ACC-GBP £ 32.67 - 0.43 4.08 managers/operators deal at the price to be set at the Algebris IG Financial Credit B EUR € 109.10 - 0.28 - M&G Charibond Charities Fixed Interest Fund (Charibond) Inc £ 1.25 - 0.00 - Short Dated Corporate Bond Fund Y ACC GBP £ 11.01 - 0.00 - Toscafund Asset Management LLP next valuation. Algebris IG Financial Credit R EUR € 108.35 - 0.27 - M&G Charibond Charities Fixed Interest Fund (Charibond) Acc £ 42.74 - 0.01 - Fidelity Sustainable Water & Waste W Acc £ 1.10 - -0.01 - www.toscafund.com Algebris Global Credit Opportunities I EUR € 126.96 - 0.12 0.00 M&G Charity Multi Asset Fund Inc £ 0.81 - 0.00 - Investors can be given no definite price in advance of Fidelity Sustainable Water & Waste W Inc £ 1.10 - -0.01 - Tosca A USD $ 306.77 - -23.55 - Algebris Global Credit Opportunities R EUR € 124.84 - 0.14 0.00 M&G Charity Multi Asset Fund Acc £ 90.05 - 0.47 - the purchase or sale being carried out. The prices Omnia Fund Ltd Tosca Mid Cap GBP £ 153.39 - 15.22 - appearing in the newspaper are the most recent Algebris Global Credit Opportunities Rd EUR € 124.84 - 0.14 0.00 Fidelity UK Growth Fund W-ACC-GBP £ 3.34 - -0.05 1.14 Other International Funds provided by the managers/operators. Scheme Chartered Asset Management Pte Ltd Fidelity UK Select Fund W-ACC-GBP £ 3.08 - 0.00 2.60 Tosca Opportunity B USD $ 233.01 - 23.03 - Algebris Core Italy I EUR € 111.41 - 0.70 0.00 particulars, prospectus, key features and reports: The Other International Funds Estimated NAV $ 561.34 - -23.75 0.00 Pegasus Fund Ltd A-1 GBP £ 36.61 - 3.62 0.00 Algebris Core Italy R EUR € 104.26 - 0.65 0.00 Institutional OEIC Funds most recent particulars and documents may be CAM-GTF Limited $ 302014.16 302014.16 -973.04 0.00 Algebris Allocation I EUR € 100.51 - 0.78 0.00 Europe (ex-UK) Fund ACC-GBP £ 6.84 - 0.02 - obtained free of charge from fund CAM GTi Limited $ 846.51 - -8.59 0.00 managers/operators. * Indicates funds which do not price on Fridays. Raffles-Asia Investment Company $ 1.45 1.45 0.00 2.06 Charges for this advertising service are based on the number of lines published and the classification of the (GSY) Ram Active Investments SA MMIP Investment Management Limited fund. Please contact [email protected] or www.ram-ai.com Regulated call +44 (0)20 7873 3132 for further information. Multi-Manager Investment Programmes PCC Limited Other International Funds Oryx International Growth Fund Ltd RAM Systematic Emerg Markets Eq $ 199.34 199.34 0.11 - Troy Asset Mgt (1200) (UK) UK Equity Fd Cl A Series 01 £ 2121.55 2155.20 31.89 0.00 Other International Funds 65 Gresham Street, London, EC2V 7NQ Findlay Park Funds Plc (IRL) RAM Systematic European Eq € 453.12 453.12 -1.18 - The Antares European Fund Limited Diversified Absolute Rtn Fd USD Cl AF2 $ 1560.95 - -30.80 0.00 NAV (Fully Diluted) £ 9.10 - -0.52 0.00 Order Desk and Enquiries: 0345 608 0950 30 Herbert Street, Dublin 2, Ireland Tel: 020 7968 4900 RAM Systematic Funds Global Sustainable Income Eq $ 126.66 126.66 -0.02 0.00 Other International Diversified Absolute Return Stlg Cell AF2 £ 1471.35 - -29.07 0.00 Authorised Inv Funds Dodge & Cox Worldwide Funds (IRL) FCA Recognised RAM Systematic Long/Short Emerg Markets Eq $ 104.32 104.32 -0.12 - AEF Ltd Usd $ 546.11 - -13.15 0.00 Global Equity Fund A Lead Series £ 1484.91 1489.79 -23.47 0.00 Authorised Corporate Director - Link Fund Solutions 6 Duke Street,St.James,London SW1Y 6BN American EUR Unhedged Class € 129.42 - -0.69 - RAM Systematic Long/Short European Eq € 128.73 128.73 -0.09 - AEF Ltd Eur € 511.22 - -12.15 0.00 www.dodgeandcox.worldwide.com 020 3713 7664 American Fund USD Class $ 153.68 - -0.31 - RAM Systematic North American Eq $ 344.26 344.26 -0.64 - Trojan Investment Funds FCA Recognised American Fund GBP Hedged £ 77.47 - -0.16 0.00 RAM Tactical Global Bond Total Return € 155.51 155.51 0.12 - Trojan Ethical O Acc 119.04 - -0.53 0.10 Dodge & Cox Worldwide Funds plc - Global Bond Fund American Fund GBP Unhedged £ 115.89 - -0.96 0.00 RAM Tactical II Asia Bond Total Return $ 155.27 155.27 0.07 - Trojan Ethical O Inc 118.81 - -0.52 0.09 EUR Accumulating Class € 15.05 - 0.01 0.00 EUR Accumulating Class (H) € 11.47 - 0.02 0.00 EUR Distributing Class € 11.82 - 0.01 3.78 EUR Distributing Class (H) € 8.97 - 0.02 3.91 Marwyn Asset Management Limited (CYM) GBP Distributing Class £ 12.91 - -0.04 3.87 Arisaig Partners Regulated GBP Distributing Class (H) £ 9.44 - 0.01 4.23 Other International Funds Marwyn Value Investors £ 340.40 - -14.66 0.00 USD Accumulating Class $ 12.88 - 0.02 0.00 Arisaig Asia Consumer Fund Class A (Ex-Alcohol) shares $ 121.39 - -1.52 0.00 Dodge & Cox Worldwide Funds plc-Global Stock Fund Foord Asset Management (UK) WA Fixed Income Fund Plc (IRL) Arisaig Asia Consumer Fund Limited $ 120.50 - -1.64 0.00 Ruffer LLP (1000)F USD Accumulating Share Class $ 23.39 - 0.04 0.00 Website: www.foord.com - Email: [email protected] 65 Gresham Street, London, EC2V 7NQ Regulated Arisaig Global Emerging Markets Consumer Fund $ 15.63 - -0.09 0.00 GBP Accumulating Share Class £ 29.04 - -0.07 0.00 FCA Recognised - Luxembourg UCITS Order Desk and Enquiries: 0345 601 9610 European Multi-Sector € 125.72 - 0.32 3.23 Arisaig Global Emerging Markets Consumer UCITS € 12.85 - -0.01 - GBP Distributing Share class £ 20.04 - -0.05 1.44 Foord International Fund | R $ 44.82 - -0.06 - Authorised Inv Funds Arisaig Global Emerging Markets Consumer UCITS STG £ 14.50 - -0.10 - EUR Accumulating Share Class € 29.61 - 0.03 0.00 Foord Global Equity Fund (Lux) | R $ 16.48 - -0.05 - Authorised Corporate Director - Link Fund Solutions Arisaig Latin America Consumer Fund $ 24.89 - 0.32 0.00 GBP Distributing Class (H) £ 11.39 - 0.02 1.18 Regulated Orbis Investments (U.K.) Limited (GBR) LF Ruffer European C Acc 750.56 - 28.11 0.06 28 Dorset Square, London, NW1 6QG Dodge & Cox Worldwide Funds plc-U.S. Stock Fund Foord Global Equity Fund (Sing) | B $ 20.17 - -0.06 0.00 LF Ruffer European C Inc 136.97 - 5.13 0.11 www.orbis.com 0800 358 2030 USD Accumulating Share Class $ 29.33 - -0.01 0.00 Foord International Trust (Gsy) $ 44.60 - -0.06 0.00 LF Ruffer European O Acc 732.12 - 27.38 0.00 Regulated GBP Accumulating Share Class £ 34.43 - -0.16 0.00 LF Ruffer Equity & General C Acc 474.39 - 11.72 0.19 Orbis OEIC Global Cautious Standard £ 10.24 - -0.01 0.03 GBP Distributing Share Class £ 21.02 - -0.10 1.09 LF Ruffer Equity & General C Inc 433.85 - 10.72 0.19 Orbis OEIC Global Balanced Standard £ 15.03 - -0.02 0.00 Zadig Gestion (Memnon Fund) (LUX) EUR Accumulating Share Class € 32.06 - -0.05 0.00 LF Ruffer Equity & General O Acc 462.77 - 11.41 0.00 Orbis OEIC Global Equity Standard £ 19.05 - -0.10 0.00 FCA Recognised GBP Distributing Class (H) £ 12.16 - 0.00 1.15 LF Ruffer Equity & General O Inc 428.45 - 10.57 0.00 Orbis OEIC UK Equity Standard £ 7.65 - 0.11 0.00 Memnon European Fund - Class U2 GBP £ 193.71 - -0.84 0.00 LF Ruffer Gold C Acc 288.36 - -8.73 0.00 Artemis Fund Managers Ltd (1200)F (UK) LF Ruffer Gold C Inc 174.52 - -5.29 0.00 57 St. James's Street, London SW1A 1LD 0800 092 2051 LF Ruffer Gold O Acc 281.19 - -8.53 0.00 Authorised Inv Funds Artemis Corporate Bond I Acc £ 1.11 - 0.00 1.72 Franklin Templeton International Services Sarl (IRL) LF Ruffer Japanese C Inc 159.66 - -0.61 0.09 JPMorgan House - International Financial Services Centre,Dublin 1, Ireland LF Ruffer Japanese C Acc 343.09 - -1.32 0.09 Artemis Target Return Bond I Acc £ 1.05 - 0.00 - Milltrust International Managed Investments ICAV (IRL) Other International Funds [email protected], +44(0)20 8123 8316 www.milltrust.com LF Ruffer Pacific & Emerging Markets C Acc 380.98 - 5.16 0.82 Franklin Emerging Market Debt Opportunities Fund Plc Regulated LF Ruffer Pacific & Emerging Markets C Inc 103.83 - 1.41 - Franklin Emg Mkts Debt Opp CHFSFr 13.85 - 0.02 9.80 British Innovation Fund £ 123.94 - 23.92 0.00 LF Ruffer Pacific & Emerging Markets O Acc 371.29 - 5.01 0.52 Franklin Emg Mkts Debt Opp GBP £ 9.05 - 0.01 6.46 MAI - Buy & Lease (Australia) A$ 123.94 - 21.42 0.00 LF Ruffer Total Return C Acc 492.81 - 4.87 0.85 Franklin Emg Mkts Debt Opp SGD S$ 19.80 - 0.02 4.70 MAI - Buy & Lease (New Zealand)NZ$ 97.28 - -1.00 0.00 LF Ruffer Total Return C Inc 318.91 - 3.14 0.86 Franklin Emg Mkts Debt Opp USD $ 15.73 - 0.03 6.75 Milltrust Global Emerging Markets Fund - Class A $ 107.91 - 0.76 0.00 LF Ruffer Total Return O Acc 480.69 - 4.72 0.85 The Climate Impact Asia Fund (Class A) $ 107.42 - 5.61 - LF Ruffer Total Return O Inc 310.90 - 3.05 0.86 Platinum Capital Management Ltd Other International Funds Platinum All Star Fund - A $ 133.77 --- Global Appointments NOVEMBER 19 2020 Section:Stats Time: 18/11/2020 - 18:50 User: keith.allen Page Name: MANAGED FUNDS 4, Part,Page,Edition: EUR, 13, 1 14 ★ FINANCIAL TIMES Thursday 19 November 2020 arts Steely memoir reduced to tin-eared soap Main: from left, Haley Bennett, film Glenn Close and Owen Asztalos in ‘Hillbilly Elegy’. Below: Micheal Danny Ward, centre, and Amarah-Jae Leigh St Aubyn in ‘Lovers Rock’ Rock is on a different level, each slice of Augustus Pablo or Junior English both ou may have heard the old self-contained pleasure and segue, part joke about the tourist lost on of a grander design. Narratives inter- a rural back road. At last, weave too. they find a friendly local. As with any party, everyone is there The grateful tourist asks for for a reason, dramatic motive alive in Ydirections. “Well,” the villager replies: “I each dancer — escape, frustration, wouldn’t start from here.” Bells will ring desire. Yeah, a lot of desire. Between the watching Hillbilly Elegy, a botched weed and the sensual grind of hands and adaptation of the bestselling memoir by bodies, the ghosts of BBC Sunday nights J.D. Vance. The goal, you presume, was past may feel somewhat flustered. From to capture the bruised soul of Appala- the throng, the story picks out the self- chian America, as Vance was credited possessed Martha (Amarah-Jae St with doing on publication in 2016. To Aubyn), a young woman in a silver dress that end, the director is the chipper Ron — then Franklyn (Micheal Ward), a Howard, a Hollywood fixture since his dapper charmer with a winning line in days as a child star and a film-maker patois chat-up. He asks her to dance. If who would find the bright side of a you want, she says, unable to keep the deceased family pet. His glittering, red grin off her face. (St Aubyn, remarkably, carpet-ready cast includes Glenn Close is in her first acting role.) and Amy Adams. The team descend For Martha and Franklyn, everything from LA with a zeal that is part showbiz that is not each other shortly falls away. troupers, part anthropological survey. I But the party keeps the quotidian at bay wouldn’t start from here either. for all. McQueen shows us just enough of But taking this journey at all in 2020 the outside world to remind us what is feels odd. Go back four years and every being banished — the dead-end jobs, possible cultural-political star had family strife, the particular pressures of aligned for Vance. With his youth black British life in 1980s London. divided between rustbelt Ohio and Inside, none of it matters. Or rather, hardscrabble Kentucky, Vance’s book inside is where it can be transcended. was pored over by conservatives and The other thing the film conjures into liberals alike, each convinced it Hillbilly Elegy (Adams) slipping into addiction. Across being — to an order I can’t easily find explained the Trump ascendancy. Ron Howard state lines is rustic Kentucky, the family peers for — is what that transcendence Unfortunately, chasing the zeitgeist cuts AAEEE seat — and the folksy, foul-mouthed feels like. Through your laptop or flat- both ways. Now, the movie feels like a wisdom of his grandmother Mamaw screen, you may feel yourself pulled into breathless child arriving with their Collective (Close), instructing all in sight to perch the electric melée of bodies spellbound pocket money at the exact moment the Alexander Nanau and swivel. A summons back south for by the dubplate anthem “Kunta Kinte”, ice cream van drives off. AAAAA the older Vance lets Howard join the the synth line wailing from the sound Hollywood slow motion is one prob- dots, explaining how Mamaw saved the system, sweat running down the wallpa- lem. Another is its endless tendency to Lovers Rock day, setting her grandson on the path to per. At the end of Janet Kay’s sugarsweet cheese. Cue Ron Howard. Our tale Steve McQueen a deal with HarperCollins. “Silly Games”, the crowd simply refuses unfolds in two timelines. In 2011, we AAAAA But while Vance was hailed in 2016 as to let go. Instead, they continue the tune meet Vance (Gabriel Basso) at Yale Law a steely defender of the American work- themselves a cappella. The scene is note School, gifted but poor. Fourteen years Billie ing class, his thesis close-up was that its perfect. So too the movie. Sing along. earlier, his teenage self (Owen Asztalos) James Erskine hardships mostly stemmed from indi- On BBC1 in the UK on November 22 and on is more troubled still in Middletown, AAAAE vidual failings and “learned helpless- Amazon Prime in the US from November 27 Ohio, his unstable single mother Bev ness”. (There was much tutting about Billie Holiday held the camera’s gaze as well as any movie star. (Far better than welfare recipients having mobile Ceausescu. A country is not saved most.) The proof existed as early as phones.) Howard squashes that angle just because one tyrant dies, Collective Symphony in Black, the 1935 rhapsody of whole, fearful perhaps of comparisons says — any more than the sick recover in black American life in which she sang to The Simpsons’ Mr Burns. So why adapt its hospitals. the broken-hearted “Saddest Tale”. A the thing at all? The plan can’t have been On digital platforms from November 20 snippet plays in the new documentary to make this lachrymose, low-stakes, Billie, a biography of uncommon depth. tin-eared parp of a soap opera. On the You hear Steve McQueen’s Lovers Rock But the heart of the film is audio, in the page, Vance’s Mamaw at least had com- before you see it. A second before the form of more than 100 unheard inter- plexity, a bad parent herself born of oth- screen floods with life, the speakers fill view tapes with expert witnesses — fam- ers. Howard smooths and syrups until with the clatter of a London Tube train ily members, band members, peers she is no more than a Pez dispenser of — the music of the city introducing a from 1930s Harlem, piano players, psy- chain-smoking tough love. gorgeous, indelible film about music and chiatrists and a grisly pimp — assembled Some tepid reviews of the film have the city. The movie is the second in through the 1970s by late journalist exempted the actors from blame, which McQueen’s Small Axe series of films for Linda Lipnack Kuehl. is one way of looking at it. While BBC television, mapping the experience We hear from Kuehl too, hooked at Adams is badly miscast, Close delivers a of the Windrush diaspora in Britain. 14 on that moonlight voice, compelled dressing-up box caricature, the thought The first, Mangrove, dealt with the 1971 to chase the source and write about bubble above her permed hairpiece all Old Bailey trial of a group of activists, an the woman who when she was that age too visible: Oscar! Give it to the wig. obvious landmark. This time the story is was already a third of the way through On Netflix from November 24 purposely smaller, or at least meant to her hard, fractured life — “Strange look that way. Occasionally, life just Fruit” and the gnawing of the FBI ahead, To read the news and then watch the being lived is the most radical act of all. at once of her time and a signpost to astonishing documentary Collective is Events take place over a single fictional the future. to invite an awful, inside-out déjà vu. night, dusk till dawn in a terraced house Director James Erskine only stumbles Even by the standards of 2020, a cruel in Ladbroke Grove, west London, scene overreaching for parallels between Hol- story indeed emerged last weekend with of a reggae-soaked blues dance. The iday and Kuehl (the latter’s own early the hospital fire in the Romanian city of period is the early 1980s, beautifully death in 1978 still unresolved). But the Piatra Neamt that killed 10 patients evoked but left non-specific. That much portrait of Holiday is rich and nuanced. being treated for Covid. In director is shrewd. The year a party takes place is Faithful as well to Kuehl’s wish that Alexander Nanau’s unshakeable film, surely less important than the fact that destructive choices be put in the context we are taken back to October 2015 and a it is happening tonight. of limitless mid-20th-century American still more hideous blaze. The site this McQueen makes a consummate DJ. racism — and the voice that stops the time was Bucharest nightclub Colectiv. The needle drop — the use of song on world however many times you hear it. Twenty-seven people died at the scene. screen — is a well-worn art, but Lovers On streaming platforms now That the club was operating without fire escapes is not even the scandal dealt Left: Billie with. That happens in the months to Holiday is the come, as 38 more burns victims died. subject of a new What killed them were their hospitals, documentary, sanctuaries of human life. Pain and out- ‘Billie’. Below: rage howl through the film. At times it Journalists feels unwatchable. Mirela Neag and It is also impossible not to watch. Catalin Tolontan Nanau has made a compulsive detective play a major role story, thick with moral gravity. There in the story of are no accidents here, just corruption, ‘Collective’ greed and indifference streaked through the state. In part, the film is a hymn to investigative reporting. The irony does not go unremarked that the job of confronting authority falls to a sports paper, Gazeta Sporturilor. Old- school journalistic process triumphs: trawling paperwork, hitting phones. The oldest journalistic question too. Why are these people lying to me, as the PG version would have it. The story keeps widening, like an endless ink blot. Mere incompetence starts to feel quaint. The Third Man’s Harry Lime haunts revelations of endemic bribery, dirty scalpels in oper- ating theatres. For all the horror, Nanau is an exhilarating film-maker, trusting us to keep pace without talking heads. He gives us startling access to a second bloodhound too: Vlad Voiculescu, min- ister of health in a new technocratic gov- ernment, an apparent patsy who may surprise you. This is not Hollywood. Despair still has the upper hand. But to know the truth has power at least, in a Roma- nia three decades on from Nicolae NOVEMBER 19 2020 Section:Features Time: 18/11/2020 - 17:51 User: david.cheal Page Name: ARTS LON, Part,Page,Edition: EUR, 14, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 15 FT BIG READ. ETHIOPIA The conflict in the northern region of Tigray is the biggest test of Abiy Ahmed’s premiership and threatens to spill over into neighbouring countries, with thousands of refugees already fleeing the fighting. By David Pilling and Andres Schipani ashaw Koye, a 42-year-old farmer from Amhara dressed in crisp new battle fatigues, met his wife from the neighbouring region of GTigray more than two decades ago. Now, as part of an army mustered by Abiy ‘A political mess that Ahmed, Ethiopia’s prime minister, he is preparing to fight Tigray’s regional government. It is bad enough that Mr Gashaw may have to battle people from his former makes fathers fight sons’ wife’s homeland. Worse, among the sol- diers fighting for the Tigray People’s Lib- eration Front, or TPLF, is the couple’s 21- year-old son, Amanuel. There is little love lost between the regions of Amhara and Tigray, which have long-running land disputes along their shared border. That animosity is now part of a broader national conflict in Ethiopia, a country of 110m people in the Horn of Africa. “I am going to have to fight the terror- ists of the TPLF for the good of Ethio- pia,” says Mr Gashaw, referring to the regional party that ran the country for almost three decades but is now consid- ered by some to be a rogue force. “This means I may have to fight my own son.” He is speaking as dozens of militia- men like him, most brandishing AK-47 rifles, clamber aboard buses and trucks in the city of Gondar, to be transported across the border to Tigray. “This is what Ethiopia has become,” says Mr Gashaw, stroking his own well- worn rifle. “A big political mess that makes fathers fight sons.” Crisis and conflict The political crisis that has set Ethiopian against Ethiopian began in the early hours of November 4 when Mr Abiy launched what he called “a law enforcement” operation — replete with Pro-Abiy militiamen in training air strikes and ground troop operations near Bahir Dar, regional capital of — against the TPLF. Amhara, last week. Below: The prime minister, an army intelli- Ethiopian forces near the border gence officer when the TPLF was run- between Tigray and Amhara on ning the country, said he was left with no Monday choice after the northern command of — Eduardo Soteras/AFP/Getty Images the federal defence forces based in the Tigrayan capital of Mekelle were by the TPLF which, since losing power attack on bus passengers in Benis- Politically, however, the experiment Belete Molla, chairman of the attacked “when they were at their most three years ago, has, they say, been hangul-Gumuz, one of the country’s 10 was unsustainable. Domination of the National Movement of Amhara, also vulnerable, in their pyjamas”. spoiling for a fight. Mr Abiy accused the regions, had left 34 people dead. Human federal government by Tigrayans bred regards the TPLF as the villain of the With the eyes of the world focused on TPLF of defying central authority by Rights Watch warned that rhetoric resentment. The government operated piece. He blames Mr Abiy not for waging the US election, Ethiopian forces holding regional elections in September against the TPLF was taking on a poten- a police state in which neighbours spied war on Tigray, but for failing to do so bombed arms depots and other targets after a national poll was postponed until tially dangerous anti-Tigrayan tinge. on neighbours, both to further the gov- sooner. “This is what he should have in Tigray. The army, together with mili- next year because of the coronavirus The federal parliament has ratcheted ernment’s development goals — such as done two years back. The TPLF has tias and regional special forces, began a pandemic. up pressure on Tigray’s government by participation in vaccination campaigns always been a mafia group,” says Mr ground attack that Mr Abiy says has The final straw, said Mr Abiy, was issuing arrest warrants against dozens — as well as to report unauthorised Belete, accusing it of “orchestrating already “liberated” large parts of Tigray reached at 10pm on November 3 when of members of the TPLF leadership “for political activity. massacres across Ethiopia”. from the TPLF. the TPLF attacked the northern com- endangering the country’s existence”. After Meles’s death the system began Debretsion Gebremichael, chairman The conflict has quickly spread. On mand stationed in Mekelle. The govern- To his critics, blame for the violence to crumble. Protests erupted in Oromia, of the TPLF, denies any such activity, Saturday, the TPLF slammed rockets ment reported deaths on both sides. now convulsing the country lies with Mr which has long felt marginalised from laying the blame for the crisis on Mr into Asmara, capital of Eritrea, a neigh- ‘[Those seeking unrest] “Such a treasonous act left us no Abiy. The crisis, they say, has been fed power even though its people make up Abiy. “He is a dictator, a complete dicta- bouring country, after accusing the option but to mobilise our law enforce- by his attempt to amass too much power more than one-third of Ethiopia’s popu- tor,” he said on a telephone call from secretive state, which broke away from want to keep dividing ment and defence machinery in an at the centre in defiance of a federalist lation. Unusually, Oromo protesters Tigray last week after federal forces Ethiopia in the early 1990s, of siding operation intended to end the prevail- constitution that devolves authority to joined forces with those from Amhara, attacked. “Abiy pretended to be a with Mr Abiy. The TPLF has also fired this country. Ethnicity is ing lawlessness in the region,” Mr Abiy ethnically constituted regions. the country’s traditional seat of power, reformer and a democrat, but deep missiles at the airport in Amhara’s capi- being used . . . as a said. “Abiy wants to unify Ethiopia under which also felt bitter about TPLF rule. In inside he was planning to be a king.” tal, Bahir Dar, and at Gondar. Mr Abiy has since blamed the TPLF his medemer philosophy,” says Prof the ensuing years, security forces shot If the fighting continues, Mr Debret- This is the gravest crisis of Mr Abiy’s political weapon’ for the killing of hundreds of civilians in Gebissa, referring to the prime minis- thousands of protesters and imprisoned sion says, he does not see how Ethiopia tumultuous two-and-a-half-year pre- a gruesome attack, reported by ter’s use of an Amharic word signifying and exiled many more. can remain intact. “If these people don’t miership — one that has already Amnesty International last week, in strength through diversity to define his The government’s solution to the cri- come to their senses, break-up will be a included the award of a Nobel Peace which mainly non-Tigrayans were pan-Ethiopian vision. “But medemer sis was to appoint a new prime minister. natural consequence of this kind of Prize for concluding a peace deal with stabbed and hacked to death in the simply means assimilation and the flat- In April 2018, over TPLF objections, it fighting,” he added. Eritrea, an assassination attempt and an Tigrayan town of Mai Kadra. tening of identity into one. Anyone who selected Mr Abiy, an Oromo son of a attempted coup. It threatens to scupper The TPLF and its supporters dismiss stands in Abiy’s way is his enemy.” Muslim father and a Christian mother The search for a national identity any chance of credible democratic elec- such accounts as propaganda intended Mr Abiy has defended action in Tigray tions next year, which had already been to demonise the party and justify war. Political cost of growth as a restoration of law and order and made harder by the arrest of senior Ezekiel Gebissa, an ethnic Oromo who Ethiopia has been drifting towards con- rejects the description of the conflict as opposition figures. advocates strong regional rights and is flict for months, if not years. At the heart a civil war. More broadly, say support- The fear is that war in Tigray could assistant professor of history at Ketter- of this crisis, one of several regional ers, he is trying to create a national iden- trigger a humanitarian crisis and wide- ing University in Michigan, says Mr disputes in the country, is the position of tity, in which ethnicity recedes in spread ethnic and political violence in a Abiy had been moving army divisions the TPLF in national politics. Last year, importance and a new sense of citizenry country that, although deeply divided, towards Tigray for weeks in preparation it refused to join Mr Abiy’s Prosperity takes hold. “National unity is a priority, had been regarded by many as a model of an attack. party, a new non-ethnic organisation nation building is a priority,” says Bil- of economic progress in Africa. The fear is that ethnic violence, based on his medemer doctrine. lene Seyoum, Mr Abiy’s spokeswoman. Some even fear that it could precipi- regardless of who is responsible, could Loss of power has come as a shock to “Ethnic entrepreneurs [those seeking tate a Yugoslavia-style break-up of Ethi- provoke tit-for-tat killings around the the TPLF, which ran the country for 27 to manufacture unrest] want to keep opia along ethnic lines. The country, country. On Sunday, the Ethiopian years following its lead role in the over- dividing this country forever,” says with a history of independent states Human Rights Commission said an throw of the hated Marxist Derg regime another close aide of the prime minister. stretching back three millennia, is in 1991. Although Tigray’s 5m people “Ethnicity is being used by these people divided into 10 ethnically defined Crisis in Ethiopia make up only 6 per cent of Ethiopia’s ‘Abiy Ahmed [above] as a political weapon.” regions, each with their own distinct population, the TPLF became the domi- Elsewhere in Ethiopia, Mr Abiy faces Nov 3-4 The Tigray People’s Liberation language, culture and history. ERITREA nant force in a national four-party coali- pretended to be a calls for separation among ethnic Front attacked the northern command “There are eerie similarities with Asmara tion known as the Ethiopian People’s groups in the south as well as violence in Yugoslavia, except Yugoslavia of the Ethiopian National Defense Revolutionary Democratic Front. reformer and a democrat, parts of Oromia. Senior Oromo opposi- imploded,” says Payton Knopf, senior Force in Mekelle. Clashes between Under Meles Zenawi, a brilliant strat- tion leaders, including Jawar Moham- the TPLF and ENDF in Dansha Mai Kadra but deep inside he was adviser to the Africa programme at the egist and prime minister from 1995 until med, have been arrested. United States Institute of Peace. “If you Nov 9 TPLF accused of TIGRAY his sudden death in 2012, the EPRDF planning to be a king’ For the moment, Mr Abiy is concen- do see fragmentation in Ethiopia . . . it massacre in Mai Kadra Dansha Mekelle embarked on an Asian-style develop- trating on Tigray where, he says, the won’t just collapse in on itself, it will Gondar ment drive modelled loosely on South and a fluent speaker of Amharic, Oromo operation can be wrapped up quickly. draw in all of its neighbours.” ERITREA Alamata Korea. Once a byword for famine, the and Tigrinya, the languages of Ethio- But most experts fear conflict will drag As well as the bombing of Eritrea, ETHIOPIA country began to make palpable pia’s three largest ethnic groups. (There on as well-armed TPLF fighters dig in. there are already signs that the conflict progress, both in terms of economic are 80 in all.) “It is not clear that Abiy’s forces have a TIGRAY Bahir Dar is having a regional impact. More than growth as well as in health, education The hope was that Mr Abiy’s appoint- military advantage going into this war. YEMEN AMHARA 30,000 refugees have fled into Sudan, a SUDAN and infrastructure. ment could ease tensions, particularly The TPLF is not a rag-tag band of guer- fragile state ill-equipped to cope with a Though the TPLF was deeply authori- in Oromia. At first it appeared to work. rillas,” says Mr Knopf. “Even if some- sudden influx of people. If the conflict DJIBOUTI tarian, it won many plaudits. Dani Brandishing a liberal-sounding agenda, how they are able to hunt down the AMHARA persists, the UN warns that tens of thou- Nov 13 Rockets fired by Rodrik, professor of economics at he released political prisoners, invited whole Tigrayan leadership, how are you sands more could follow. TPLF to Bahir Dar Harvard University, says Meles’ effort to back exiles and concluded peace with going to subjugate the Tigrayan popula- Leaders of the African Union and Somaliland and Gondar transform Ethiopia from a poverty- Eritrea. The countries had fought a bit- tion?” he asks. “I don’t see where this is other international organisations have Addis Ababa stricken peasant economy into a middle- ter war between 1998 and 2000. supposed to end.” called for an immediate ceasefire and Nov 14 TPLF claims it income country scored real successes. But Mr Abiy also purged Tigrayans Back in Gondar, Aba Gebremichael, dialogue. That doesn’t look likely for ETHIOPIA fired rockets into the “Back then, if you were to tell the IMF from government and the security serv- an Orthodox Christian monk, is praying outskirts of Asmara, the now as different sides in the conflict dig OROMIA and World Bank that your growth model ice and led a crackdown on corruption for peace. As militias, special forces and capital of Eritrea into entrenched and seemingly irrecon- was going to be ramping up public that members of the TPLF old guard Ethiopian army troops pack the streets SOUTH cilable positions. As in most wars, truth Nov 15 Clashes in investment from low single-digits to 20 saw as targeted against them. outside his 17th-century stone church, SUDAN — or at least verifiable truth — has been Alamata between ENDF per cent of gross domestic product and Worku Adamu, a senior member of he points at a fresco of the devil on the the first casualty, especially on social and TPLF to get [annual] 10 per cent growth, Mr Abiy’s Prosperity party, says the church’s magnificently painted interior. media, where misinformation and hate SOMALIA they’d have said you were totally crazy,” TPLF is mourning its loss of power: “For “War is an evil thing. It makes brothers speech was already rife. Nov 17 ENDF air strikes says Prof Rodrik of the country’s state- 27 years, the TPLF controlled the whole fight brothers and fathers fight sons,” UGANDA KENYA km To Mr Abiy’s supporters, the federal outside Mekelle led model. “Yet they did just that for two system and the new government says Father Aba. “And we have seen too government has been pushed to its limit Source: FT research FT graphic: Liz Faunce decades.” captured this power.” much of that in Ethiopia already.” NOVEMBER 19 2020 Section:Features Time: 18/11/2020 - 18:03 User: alistair.hayes Page Name: BIGPAGE, Part,Page,Edition: USA, 15, 1 16 ★ FINANCIAL TIMES Thursday 19 November 2020 Email: [email protected] Include daytime telephone number and full address Corrections: [email protected] Letters If you are not satisfied with the FT’s response to your complaint, you can appeal to the FT Editorial Complaints Commissioner: [email protected] Asia-Pacific pact is a triumph for the region’s ‘quiet diplomacy’ I much enjoyed reading the article by economy in the world. Its importance, sensitive issues are conducted in have suffered due to longstanding Robin Harding and John Reed “Future however, goes beyond its economic confidence with no leaks or historical animosities, the signing of of trade in Asia starts to take shape” success. grandstanding. Disputes are resolved in the RCEP opens the door for a positive (Report, November 16). The Regional While the recently signed RCEP is an a peaceful manner and public discord outcome for a free trade agreement Comprehensive Economic Partnership indication of the shift in economic is avoided. Asean nations put a among them. has been a project led by the gravity from the west to the east, it is premium on face-to-face negotiations To sum up, the trade pact shows that 10-member Association of Southeast also a triumph of the Asean way of that include attendance of top leaders. nations at different stages of THURSDAY 19 NOVEMBER 2020 Asian Nations. For many decades, the “quiet diplomacy”. Such diplomacy is One advantage of Asean is that it is development and with dissimilar world had not taken Asean seriously. based on a process of interactions that trusted by both the US and China. values and divergent political systems Major powers dealt bilaterally with its has developed over many decades. Its Thus, RCEP could act as a bridge can reach economic consensus that members. flexible diplomatic approach is based between the existing superpower and would push them forward on the road It is rather recently that the situation on listening, consulting and being open its challenger. Furthermore, three of to peace. The hope is that the message has changed. This is due to its fast to compromise. the RCEP’s members — Japan, South would not fall on deaf ears. economic growth. With a combined Effective dialogue takes place in Korea and China — are the most Khairy Tourk EU must resist blackmail gross domestic product of $3tn in 2018, closed-door sessions away from the advanced technological countries in Professor of Economics, Illinois Institute of over recovery fund Asean represents the fifth-largest glare of the media. Discussions of Asia. Even though their relationships Technology, Chicago, IL, US China’s role as the ‘world’s Urban transport requires a Pandemic reframes art of Rule of law plans cannot be rolled back to placate Hungary and Poland factory’ cannot be diluted mix of mobility options the possible for banks The EU reacted with commendable Party grouping, with Germany’s In the wake of the outbreak of The pandemic is indeed exposing Jerry del Missier’s argument that cost- speed and determination to the havoc Angela Merkel at the forefront, has coronavirus, there was a global global mass transport systems to huge cutting is key to fixing the sector’s the coronavirus pandemic was wreak- meanwhile given Hungary’s prime consensus that moving manufacturing structural and fiscal challenges (“New problems (“European banks need cost- ing to its economy earlier this year. In a minister Viktor Orban cover under the capacities and operations out of China York and the mass transit crisis”, the cutting not cross-border M&A”, few short months, it agreed to create illusory argument that his excesses can was the preferred strategy. Big Read, November 17). As transport Opinion, November 16), is well made. a €750bn recovery fund financed by better be tamed by keeping his Fidesz Japan, Australia, New Zealand, South operators attempt to prepare We estimate that European banks commonly-issued debt to help the party inside the family than by booting Korea and the 10 Association of themselves for potentially lasting will need to reduce their cost bases by worst affected countries. This hard- it out. Southeast Asian Nations seem to have changes in commuting habits, it’s 25 to 50 per cent simply to maintain fought compromise was a big step for- It now falls to Ms Merkel, with Ger- undermined this, as the Regional important we consider all mobility their 2019 cost-to-income ratios. ward for the union and an expression of many holding the EU’s rotating pres- Comprehensive Economic Partnership options as part of the urban transport Yet there is a ray of hope for those solidarity among its 27 member states idency, to solve a problem she has signed at the weekend will help China mix. who want to see a competitive and at a time of deep crisis. But the plan, helped to create. The worst response become dominant in its already strong For example, when lockdown healthy European banking sector. together with a new seven-year €1.1tn would be to try to roll back the new rule areas of supply (Report, November 16). regulations first hit in early 2020, The pandemic has reframed the art budget, was derailed this week by of law safeguards. That would only The RCEP shows China can’t be global cities saw a sharp spike in the of the possible for banks. Hungary and Poland. The two central encourage hostage-taking behaviour isolated and its status as the “world’s number of cyclists taking to the streets. It would previously have been European nations object to new safe- by Budapest and Warsaw while under- factory” cannot be diluted. From New York to London (where the inconceivable to enable the entire guards on the rule of law that could mining faith in the EU’s values else- Japan and Australia’s signing of RCEP government reported a 200 per cent workforce to work from home, to lead to the EU withholding funds to where in the bloc. Most member states also has implications regarding Indo- increase in cycling) more people launch new stimulus-related products governments found in breach. and the European Parliament would Pacific trade relations and the Quad, or turned to “active transport” in order to within days, or to onshore previously The impasse could ultimately force not countenance it in any case. quadrilateral, group, which includes get around. Governments are offshored operations overnight. EU capitals to delay or scale back pub- Brussels may hope to persuade Hun- the trade spokesmen of the US, Japan, increasingly trying to lock in the The key to future strategic cost lic investment plans intended to create gary and Poland to back down by offer- Canada and the EU. Polisario Front’s view of benefits of more people using such transformation will be for banks to jobs and boost growth for the next ing written assurances that rule of law It is ironic that when countries feel means of transport, aiming to have the same dynamism when looking three years. Never before have the procedures will not target certain threatened and try to counter Beijing’s how 30-year truce ended incentivise cycling in the long term. at their strategic, structural and nationalist governments in Hungary states and will involve a rigorous legal expansionism through maritime I am writing in reply to your article But if levels of cycling are to increase operational footprint. and Poland blocked a European initia- process, akin to antitrust actions. Ms security pacts, they end up establishing “Western Sahara rebel group attacks post Covid-19, investment will be As institutions face into a cost tive of such importance. But never Merkel should couple this with an une- or strengthening economic ties with Moroccan forces” (Report, November needed to provide the infrastructure transformation, we may see more before have they faced a real threat of quivocal statement that there can be no China. 16), in order to call your attention to necessary to reassure cyclists that domestic consolidation. Ultimately, EU sanctions for their authoritarian further backsliding on democratic Shubham Singh the fact it was Morocco that first broke roads are safe enough for them in post- cost-cutting and mergers and actions. standards or judicial independence — New Delhi, India the ceasefire agreement. pandemic cities. We will also need to acquisitions will be key drivers of This crisis is the culmination of a dec- and that German businesses should You may check the official see greater progress in enabling change. ade during which systematic efforts to think twice about investing if there is. Biden could reach across statements issued by the Moroccan commuters to easily book and pay for Tom Groom unpick democratic checks and bal- The EU should also draw up contin- foreign affairs ministry, Moroccan the transport they use for their entire EY Head of Financial Services Strategic ances and entrench power — more gency plans to set up a recovery fund the aisle with a carbon law royal army and the Moroccan prime journey, including easy options to hire Cost Transformation for EMEIA, and UK advanced in Hungary than in Poland — outside the EU institutions to circum- Reading your discussion with John minister, Saadeddine Othmani, bikes, to increase urban mobility. Head of Financial Services Strategy and have been pursued largely with impu- vent a Hungarian or Polish veto. Such a Podesta (Energy Source, FT.com, announcing the act of a military To make these changes requires truly Transactions, London SE1, UK nity. All the time, the EU has poured in path would have many downsides, but November 17) I was surprised he didn’t operation. holistic thinking about the way we vast funds — amounting to 5 per cent a credible alternative is necessary to mention one of the most powerful It should be recalled that Sahrawi travel, but the good news is this is Questioning Republicans’ and 3.4 per of GDP respectively in 2018. call their bluff. things president-elect Joe Biden could civilians are perfectly entitled to already happening. Right now, mass The EU has lacked effective legal Ultimately, the EU must stand firm. do to stimulate innovation in clean peacefully demonstrate in the buffer transport systems are successfully ‘hawkish’ spending record tools. Its so-called Article 7 disciplinary The recovery fund was not due to begin energy: support a price on carbon. strip and the buffer zone set up by the tailoring their operations to the needs In a recent article on the prospects of procedure against an errant state can disbursements until later next year, so Pricing carbon would create incentives UN as restricted areas for military of their users and, as long as they do so, further US stimulus, James Politi be blocked by any other, meaning War- a delay of a few months would not be a for consumers and businesses to presence. their relevance and longevity will be describes Republicans as “hawkish on saw and Budapest can protect each disaster. Without a deal, the EU’s old choose low-carbon alternatives, which This is according to the military assured. spending” (“Tests lie on route to other. Even judgments issued by the budget will apply from January but the would in turn encourage automakers agreement signed by both sides under David Powell achieving further stimulus”, Report, European Court of Justice are now new rule of law safeguards will kick in and others to invest more in low- the UN’s auspices. Cubic Transportation Systems November 11). being flouted in Poland’s drive to cow regardless. Hungary and Poland have a carbon technology and products. Hundreds of peaceful Redhill, Surrey, UK I think the record of the last few the judiciary. lot to lose. It is time to spell out the cost Assuming Republican control of the demonstrations were held in these decades makes plain that they are not. The centre-right European People’s of their blackmail. Senate, carbon legislation would need areas during the 29 years of ceasefire Here’s an alternative way Dan Worthen to win a few key Republican votes. with the presence of the UN Mission New York, NY, US One proposal in Congress this for the Referendum in Western to meet the net zero target session, the Energy Innovation and Sahara. I wonder if Rishi Sunak, the UK All the newsprint that’s Carbon Dividend Act, offers In this regard, instead of the chancellor, or his advisers had conservatives plenty to like, including terminology “rebel group” mentioned considered taxing out the CO2 fit to line the hen house exemptions for agriculture and the in your article, I would like to remind embedded in all the goods and services I am a violinist, hence do not read your military, incentives for building carbon you that the Frente Popular para la we consume as an alternative to his newspaper. My husband, however, is a With green plan, Britain capture infrastructure, and revenue- Liberación de Saguia Hamra and Rio de plan to make green gilts and the chief executive and reads the Financial neutral accounting: all the funds Oro is recognised by the UN as a financial services sector a critical part Times religiously. generated go back to American liberation movement that legitimately of the UK’s efforts to hit a net zero I have been meaning to write to you plants a political flag households as a monthly dividend. represents the people of Western carbon target by 2050 (FT View, for an awfully long time, to inform you Given Mr Biden’s long career in the Sahara. November 11)? that your paper fits exactly into the A detailed road map is needed to mobilise private capital Senate, it’s possible we could see UN General Assembly Resolutions The former seems to be a certain way drawers of our chicken coop, hence something we haven’t seen in a long 34/37 and 35/19, among other of eliminating CO2, the latter smacks of making marvellous lining paper! Britain was the birthplace of the first leadership ahead of its role as host of time: a president who can deliver endorsements, confirm the above. lobbying and future opportunities for I do hope others will use this top tip for industrial revolution. Boris Johnson is next year’s COP26 climate change sum- bipartisan legislation. Sidi Breika rent and regulatory capture. recycling your good paper. now promising another industrial rev- mit. Medium-term targets will also David Sims Representative of the Polisario Front to Alistair Mackie Lisa Rollin olution, this one “green”. It will, accord- help to provide much needed certainty Long Beach, CA, US the UK, London, UK Ely, Cambridgeshire, UK London TW17, UK ing to Mr Johnson, spur investment to the private sector, which will have to into everything from offshore wind and fund the bulk of the investment hydrogen to new nuclear power and required; the £12bn government fund- electric cars, while delivering jobs and ing headlined yesterday includes just Having survived an assassination parliamentary bill proposed as part of groups in elections in Myanmar. And enabling the UK to meet its pledge to £3bn of new money. The commitment Trump’s attempt in which he was shot 16 times its departure from the EU. In Europe, this week Washington was full of bring its greenhouse gas emissions to is substantially less than the €40bn in 2017, Tanzania’s opposition leader leaders in Hungary and Poland have congratulation for Maia Sandu, the net zero by 2050. It is a commendable Germany earmarked for climate-re- Tundu Lissu wasted no time in fleeing grown more authoritarian even as the new president-elect of Moldova. Yet vision, but a tall order for any govern- lated spending in its stimulus package. attack on US the country last week after receiving a EU claims that “universal, indivisible Mr Trump continues to withhold ment, let alone one already trying to The government’s immediate priori- death threat. The warning arrived and interdependent” human rights acknowledgment of Joe Biden’s win nurse its economy through a global ties should be threefold: attracting democracy shortly after Mr Lissu was officially are “at the heart” of its relations with in his country. “For decades, pro- pandemic and deliver a managed break investment to update the existing elec- declared the loser of the presidential other nations. democracy activists around the world with its closest trading partner in the tricity network, improving the charg- election to incumbent John Magufuli, “How can any country be credible have relied on US statements to set a next six weeks. ing infrastructure for electric vehicles hurts everyone who received 84 per cent of the vote. promoting democracy and the rule of reliable standard about whether an There are many gaps in Mr Johnson’s and considering more detailed support Mr Magufuli’s implausible victory law when it abuses it at home?” says election is free and fair,” says Heather 10-point green plan, but he has planted to enable a greater uptake of hydrogen. was greeted with scepticism Rosa Balfour, director of the Carnegie Grabbe, director of the Open Society a political flag at a critical moment. It is The plan to bring forward the phasing worldwide. The US state department Europe think-tank. “These precedents European Policy Institute think-tank. the first substantial intervention in out of petrol and diesel cars will place raised alarm over “significant and create templates for other autocrats or Republican support of Mr Trump’s industrial policy by a British prime large strains on Britain’s transmission widespread voting irregularities” that would-be autocrats to do the same, claims of fraud undermine the US’s minister since the Conservative-Lib- lines and require investment in the dis- “call into question Tanzania’s further undermining global stability high standards of electoral conduct, eral Democrat coalition ended in 2015. tribution grid. Equally, if the govern- commitment to democratic values”. and institutions.” she adds. “The US will lose its power The pandemic has underlined the ment wants to drive the take-up of The twist is that, back in Allegations of western hypocrisy as a standard-setter of fair elections, urgency of the climate crisis and the hydrogen in the economy it will have to Washington, President Donald Trump about democracy are longstanding. damaging democracy globally.” need for governments to “build back consider more targeted support, possi- and some other high-profile What is more novel is when western With autocracy on the rise better”. The window for attaining net bly in the form of contracts for differ- Republicans have alleged, without governments denounce the worldwide, basic messages about zero emissions by 2050 and holding ence — a green subsidy mechanism — evidence, fraud in the US’s own fundamental credibility of their own respecting the popular will arguably temperature increases to safe levels is that were successfully used to kickstart presidential election. domestic processes, or are open in matter more than ever. As the US’s closing rapidly. the offshore wind industry. A final deci- From his vantage point, in a country their admission about trying to break next president, Mr Biden has quickly The decision to end the sale of new sion on how to finance the building of where people risk liberty and even life international or domestic law. pledged to restore his country’s petrol and diesel cars and vans by 2030 new large nuclear power plants also to fight for basic democratic rights, Mr For the US, it has already created “moral leadership” and the “power of is an important step that not only puts looms large. Notebook Lissu finds the situation troubling. several foreign policy contradictions our example”. the UK at the forefront of the electric Britain will need to do all of these “What happens in the US abroad. Hours after Mr Trump For Mr Lissu, there is still a long way vehicle revolution but also has the things, and more. The IMF recently by Michael Peel reverberates, rightly or wrongly, branded the US election as a “major to go. “We are fighting for the ability potential to change consumer behav- identified three pillars required for the around the world,” he says. “So for a fraud on our nation”, Washington’s to vote and be voted for, the right to iour. Also welcome is funding for world to plot a sustainable path to sitting president who has apparently embassy in Ivory Coast called for that have one’s vote count and be counted, greater energy efficiency for homes recovery: carbon pricing and green lost a genuine election to make the country’s leaders to “show and for the right to have the correct and public buildings, as well as a new investment, coupled with compensa- kind of claims Mr Trump has made is commitment to the democratic winner declared accordingly,” he says. target of 5GW of low-carbon hydrogen tion for lower-income households or very, very disturbing.” process” following the October 31 He plans to return to Tanzania to production capacity by 2030. those hit disproportionately by the When countries that are supposedly presidential poll. renew his political struggle there once But a more detailed plan will be transition to make it just. Ensuring an committed to democracy act On November 9 — as debates raged he feels safe to do so. Meanwhile, his required if the UK is to have any chance equitable transition to a green econ- domestically in ways that suggest in the US about the alleged plea to the people of the west and of meeting its target of reaching net omy will be critical. For now, Mr John- otherwise, it damages their credibility. suppression of black voters — their governments is to “live up to zero emissions by 2050. Indeed, as the son’s green plan is a credible signal of In September, the UK government secretary of state Mike Pompeo their ideals”. EU has shown, setting more immediate intent. For it to have any hope of suc- declared it would knowingly break flagged concerns about the goals for 2030 will be critical, espe- cess he will need to focus his efforts on international law through a disenfranchisement of minority [email protected] cially if Britain wants to show global the present, not just the future. NOVEMBER 19 2020 Section:Features Time: 18/11/2020 - 19:02 User: alistair.hayes Page Name: LEADER USA, Part,Page,Edition: USA, 16, 1 Thursday 19 November 2020 ★ FINANCIAL TIMES 17 Opinion There is a way to keep America globally engaged Central banks cannot solve agreement, harder still to make it “bind- of US society and its diversity. If prop- Such a coalition would have to make security alliance that draws on multiple politics ing” under international law and often erly integrated with government initia- specific, easily measurable commit- resources and thus benefits from, but climate change almost impossible to then enshrine tives to tackle global problems, these ments regarding emissions reductions does not depend on, US government. Anne-Marie it domestically. (The US requires two- networks will be relatively impervious and agree to monitoring. Members Such efforts will have to go far beyond thirds of the Senate or a majority of to the efforts of any future president to would also be encouraged to expand the announcements and convenings. Mak- on their own Slaughter both houses of Congress to do so.) More- withdraw from the world. coalition by reaching out to others in ing global networks work requires a over, it is easy to exit such agreements. President-elect Biden has already their global networks. funded secretariat that manages the col- President Donald Trump withdrew the committed to rejoin the Paris agree- Mr Biden could undertake the same laboration of so many actors. Their US from over a dozen of them, ranging ment on his first day in office. But kind of diplomacy in global health. The commitments have to be clear and mon- Jens nne Hidalgo, mayor of from high-profile accords like the Paris suppose he accompanied that with the Gates Foundation has already pioneered itored, and their impacts measured and Paris, greeted Joe Biden’s agreement on climate change and the this approach with its creation of the reported — ideally with enough preci- Weidmann victory in the US presiden- nuclear deal between Iran and global Global Alliance for Vaccines and Immu- sion to attract impact capital. A Biden tial election with the tweet: powers, to treaties and conventions A Biden administration nisation, which brings together govern- White House would also have to create “Welcome back America!” governing nuclear weapons, diplomatic ments, international organisations, an office and charge it to engage with all AMr Biden has reciprocated in the same relations, open skies, refugees and would do better to redefine pharmaceutical companies and civic members of the coalition in the same magine you had magical powers that language, telling European leaders who humanitarian assistance. involvement and extend organisations. Google “Covax” and you way diplomats engage other states. could make the global climate crisis called to congratulate him, “America is Warm speeches, foreign summits and will discover that it is one of three pillars Expanding US engagement so that it disappear. Wouldn’t you use them? back. We’re going to be back in the rejoining the World Health Organiza- it far beyond government of something called the Access to Cov- draws on the full resources of US society I certainly would. Without a doubt, game. It’s not America alone.” tion and a few other international com- id-19 Tools Accelerator, launched by and the opportunities created by this tackling this crisis is one of the great- Yet the world can be excused for won- pacts won’t be enough to change the simultaneous announcement of, say, a France, the WHO and the EU. participatory approach to problem- Iest and most pressing challenges of our dering how long this internationalist tide. A Biden administration would do Biden-Bloomberg Climate Coalition. Covax itself is focused on equitable solving would go some way towards time. Every one of us should be doing America will remain on the world stage. better to redefine “engagement” — This would bring together the US gov- access to vaccines when they are devel- anchoring US internationalism. It more to curb global warming. After two close elections that have left Barack Obama’s foreign policy watch- ernment; the more than 7,000 members oped. It is a partnership between the would also make a real difference in This goes for central banks, too. It an electorate deeply split between word — and extend it far beyond govern- of the Global Covenant of Mayors for WHO, Gavi and the Coalition for Epi- focusing global talent on issues that includes shrinking their carbon foot- nationalists and internationalists, who ment. The US has a wide array of philan- Climate and Energy, an alliance helped demic Preparedness Innovations, touch people’s lives far more than great prints as institutions but our response can be sure how much any agreement thropies, businesses, civic organisa- by Bloomberg Philanthropies; as many another Gates initiative. The Trump power competition. cannot stop there. In particular, it is with the US is now worth? tions, universities and faith groups that of the companies in the US Business administration refused to join Covax; essential for us to learn more about This problem is all the greater because are deeply embedded in global net- Roundtable as possible; and civic groups Mr Biden could reverse that and work to The writer is CEO of the New America the implications for monetary policy of it is hard to negotiate an international works; this is a hallmark of the openness working on climate change. create a genuine public-private health think-tank and an FT contributing editor climate change and efforts to address it. Climate-related financial risks are another factor that central banks need to consider. In our role as prudential supervisors and guardians of financial stability, we have to ensure that banks adequately incorporate these risks into their risk management. Central banks must also practise what Johnson must they preach. We owe it to our taxpayers to keep the financial risks that arise from our monetary policy operations in check. That’s why central banks should make sure that climate-related financial reset the party risks are given due consideration in their own risk management. To this end, it is legitimate to expect securities issuers and rating agencies to provide better information. The Eurosystem — the European Central — and himself Bank and the national central banks — should consider only purchasing securi- ties or accepting them as collateral for monetary policy purposes if their issu- faultlines under this government and ers meet certain climate-related report- britain the change can address only one. The ing obligations. We could also examine first is that, even allowing for the pan- whether we should use only those credit Robert demic, its practical politics have been Shrimsley abysmal, characterised by policy lurches and needless making of ene- Every one of us mies. A reset may go some way towards resolving this. But the greater chal- should be lenges are existential and here a reset doing more to t is not unusual for a man in his towards competence is merely a precon- fifties to get a new look: a trendy dition for success. curb warming haircut, a modern wardrobe, even a The most pressing repair job will be to new partner. Very few truly become rebuild Mr Johnson’s relations with his focus is needed. One senior Tory economic fallout from the pandemic aides) assembled could keep them in ratings from rating agencies that appro- a new man. All of which brings us to own MPs. There is a limit to what can be suggests something akin to the former will be a defining feature of this admin- power for a decade. But, against a more priately include climate-related finan- IBoris Johnson’s “reset”. achieved with a socially distanced chat Japanese premier Shinzo Abe’s “three istration. Next week’s spending review electable opposition, only if promises cial risks. With such measures, the With the dismissal of two of his closest and a glass of warm white wine. Tory arrows”, a set of definable and measur- will show that once the levelling-up are turned into visible improvements. Eurosystem would help foster market and most abrasive advisers — notably MPs have got used to asserting them- able prongs, such as infrastructure agenda and the plans for a “green indus- This points to the last issue with the transparency and standards at rating his chief aide Dominic Cummings — the selves on policy, and attacks on advisers improvements, visible physical regen- trial revolution” are factored in, there is reset. The key figure in this government agencies and banks. We would act as a UK prime minister’s supporters are are normally code for attacks on the eration, tax incentives to bring jobs. little space for extra initiatives. Even the has not changed. Mr Johnson may be catalyst for “greening” the financial sys- looking forward to a different Downing leader. But Mr Cummings’s dismissive Grafting green plans on to the level- long-promised shake-up of social care under new management but he sets the tem and support climate policies. Street. A more collaborative style and a style increased the friendly fire. ling-up agenda is not enough, though remains mired in a continued debate tone of his administration. Economists widely agree that raising change of tone which also plays to Mr But a softer tone should not be mis- they can and should run in tandem. over funding. If his government has been divisive the market price of carbon is key to Johnson’s more inclusive instincts is taken for major policy shifts. As one But delivery of the strategy is where And there are other factors beyond and weak, it is because he has permitted slowing global warming. This is a matter certain. This is all to the good. cabinet member puts it: “A reset means the reset meets the greatest existential Mr Johnson’s control, some the result of it to be. Allowances can be made for the for governments and parliaments to Downing Street will acquire some you go back to the manifesto and do the challenge: the desperate state of the his policies. A Brexit trade deal now unprecedented crisis of the pandemic. address. They have the right tools at more mature and effective senior aides. things you said you were going to do.” public finances. The huge deficit run-up looks likely. But the rupture will still be But the PM is now out of alibis. There their disposal, such as taxes or “cap and He is likely to upgrade his weak neutered Tory MPs are not looking for a return by the pandemic leaves little space for painful — not least in those key northern is a place for soaring rhetoric, radical trade” schemes, and also have the dem- cabinet. The return of Sajid Javid, forced to Mr Cameron’s liberal conservatism. extra spending. Rebels and problems seats — and ministers are unsure how dreams and long-term horizons. Voters ocratic authority to use them. out as chancellor by Mr Cummings, is Few complained on Tuesday when it cannot simply be bought off. Unpalat- much disruption the final breach will respond to his good cheer. But he is too It is not the task of the Eurosystem to widely anticipated. The search for a new emerged that the Treasury was plan- able choices on spending and taxation cause. Next year may also see a new drawn to moonshots and undisciplined penalise or promote certain industries. and full-time president of next year’s ning to cut its overseas aid budget. loom before the next election. crisis in the Union, with the Scottish rhetoric over the hard grind of dogged, Our primary objective is to maintain COP26 climate change talks may prove While Mr Johnson is wise to work Even with a coronavirus vaccine, the National party able to claim a new man- incremental delivery. Tories have now price stability. To achieve this goal in an easier now. Insiders say one of the senior harder to reclaim some southern voters date for an independence referen- seen too clearly that strategy (as economic crisis like the one we face party figures — David Cameron and Wil- once the Brexit wounds are a little less dum. He needs an attractive alternative. opposed to direction) and delivery can- today, it is imperative for monetary pol- liam Hague were among those raw, his core focus on economic inequal- The most pressing repair Moving a few civil servants north and not entirely be delegated to others. icy to keep interest rates low and sup- approached — who turned down the role ities in his newly won northern seats is setting up another task force is a start This reset was overdue. But if his gov- port the whole economy. Asset purchase because they could not work with Mr tactically correct. job will be to rebuild but not a plan. ernment is to flourish, Mr Johnson must programmes are a component of our Cummings may now be more amenable. But so far “levelling up” has been little the prime minister’s Still, Tories can see a more hopeful also reset himself. expansionary monetary policy. To be For all that, there are good reasons not more than a slogan, a ribbon to help landscape in 2021. The new electoral effective, they need to be broad-based. to over-egg this reset. There are two package diverse schemes. A sharper relations with his MPs coalition Mr Johnson (and his departed [email protected] The principle of “market neutrality” aims to ensure this and prevent us from distorting market outcomes. We must check whether we have unintentionally allowed bias to creep into our securities portfolio, compared to the universe of The India my mother knew has become unrecognisable eligible bonds. But it is not up to us to correct market distortions and political actions or omissions. Elected politicians have staked out the outrage amplifies their anxiety that the dexterously balances the rights and Ayodhya, revered by many Hindus as Muslims in Assam state have been goals of the Paris agreement. It is unfor- Marina rule of law in the country is being aspirations of a hugely diverse popula- the birthplace of Lord Ram. In Decem- excluded from a citizens’ register, and in tunate that they have not yet agreed on a eroded. Questions are being asked tion. In its drafting, BR Ambedkar — ber 1992, a mob tore down a 16th-cen- effect declared “irregular foreigners”. concrete adjustment path. As a father of Wheeler about the impartiality of judgments at who was a Dalit, from the lowest caste — tury mosque on the site. But the court Petitions have been filed with the two, I regret seeing often halfhearted all levels of the system. kept the minorities and disadvantaged accepted the argument that some kind Supreme Court challenging both the cit- climate policies and a lack of credible The latest episode involved a decision very much in mind. But in Mr Modi’s of structure predated the mosque and izenship act and repression in Kashmir commitment to a clear transition. But by the Supreme Court to intervene in India, with its rightwing Hindu major- sanctioned the construction of a Hindu — but they are as yet unheard. should central banks make up for a lack hile writing a book the case of Arnab Goswami, a rightwing ity, the protections he crafted seem flim- temple there. My mother, Dip, would have viewed of political will? And how would their about my Sikh mother’s television news presenter and founder sier than ever. Fears that the judgment would be met all this with consternation. For 15 years intervention be seen? As a form of sup- displacement from of Republic TV, which is widely seen as The Goswani decision was not an by rioting were misplaced. Instead, she worked at Amnesty International’s port for policies? As an attempt to over- what became Pakistan supportive of Prime Minister Narendra there was resignation from opponents secretariat in London. Last month, the turn them? Or as a way of letting politi- after Indian independ- Modi’s Hindu nationalist government. of the decision and celebration from the human rights organisation said it had cians off the hook? Would central banks Wence in 1947, the fathers of the Indian The country’s highest court ordered Mr With today’s rightwing Hindu right. been forced to halt operations in become engulfed in politics and under- republic have been much in my mind. Goswami — arrested in a suicide case — Increasingly, it feels as though the India, blaming “an incessant witch- mine their own independence? Mostly they trained in London’s Inns be released on bail after a lower court Hindu majority, the secular foundations of the republic are hunt” by the government. Central bank independence is not an of Court so, as a barrister myself, I regu- refused his petition. protections crafted in the being dismantled and that religious A few weeks ago, I found documents excuse for inaction. It is an obligation to larly come across their likenesses. Por- On its own, this decision would not minorities, whom the constitution enabling my sister and me to apply for stay focused on our primary objective. traits of India’s first prime minister, have warranted much attention. But constitution seem flimsy declares equal before the law, are losing overseas citizenship of India. For so long It follows from the insight — and a broad Jawaharlal Nehru, and the independ- critics noted that the court found time their voice. we have wanted this — a formal link to consensus — that price stability is the ence leader Mahatma Gandhi line the to sit over a holiday recess — while many isolated case. There are other signs that In 1947, the Muslim-majority state of the country my mother had proudly best contribution monetary policy can staircase leading to Inner Temple journalists, lawyers, writers and activ- the Supreme Court is no longer univer- Jammu and Kashmir acceded to India as watched come into being. make to overall welfare. Monetary library. Sardar Vallabhbhai Patel, ists critical of the government have been sally regarded as a reliable and impar- a semi-autonomous state. The constitu- I want to be a part of this great coun- policy has often been credited with another hero of the independence strug- arrested and still languish in jail, await- tial defender of constitutional rights. In tion protected its special status until try, but as Mr Modi dubs protesters and extraordinary powers. That adulation gle, is honoured with a plaque in Middle ing their hearings. January 2018, four of the court’s judges August 2019, when Mr Modi’s govern- critics “anti-national”, I worry that the has never really rung true. When it Temple. Away from the headlines, there is a themselves raised concerns about ment revoked it and ordered a clamp- country he calls “New India” may not comes to saving the planet, central I wonder what they would make of the deeper fear that the justice system itself administrative interference in the down on the region, putting local politi- want my sort. I hope I am wrong. banks do not have a magic wand. increasing alarm I hear from my Indian is failing, under the pressure of political assignment of sensitive cases. cal leaders under house arrest and clos- lawyer friends. abuse and manipulation. Many Indians Last year, the court decided a bitter ing communications. The writer is a barrister and the author of The writer is president of the Deutsche Each week, it seems, some new revere their constitution, which dispute over a contested religious site at Meanwhile, nearly 2m mainly ‘The Lost Homestead’ Bundesbank NOVEMBER 19 2020 Section:Features Time: 18/11/2020 - 18:01 User: alistair.hayes Page Name: COMMENT USA, Part,Page,Edition: USA, 17, 1 18 ★ FINANCIAL TIMES Thursday 19 November 2020 Maersk/container shipping: cargo cult Profits at Danish shipping group Maersk are rising after a faster-than-expected jump in demand pushed up freight rates. Seaborne trade will contract this year, but by far less than expected in the spring. A fall in new ship orders has cut the surplus capacity that sparked price wars in the past. Twitter: @FTLex Seaborne container trade will shrink this year Shipping costs are rising % annual growth Shanghai Containerised Freight Index, ($ per TEU)* 20 1,800 ‘Dotcom’ bubble, Global financial 1,600 9-11, Asian slump crisis 15 1,400 decision a little harder. Yet, given that 1,200 SSE/UK renewables: it has now shed the baggage of its low- 1,000 Arrival/Spacs: margin retail power business and has Covid-19 10 800 turning green pandemic coming to America profited nicely from recent asset sales, 600 400 The UK government plans a £12bn SSE deserves a chance to make good on 5 America attracts dreamers. The latest green industrial revolution. Success its own revolutionary plans. 2011 13 14 15 16 17 18 19 20 ambitious would-be immigrant is Source: Refinitiv *Twenty-Foot Equivalent Unit will depend on quadrupling the 0 UK-based electric vehicle upstart capacity of offshore wind farms to * Orders for new container ships are down Arrival. It is set to be welcomed into 40GW by 2030. -5 % fleet capacity New York by none other than a “blank This should be good news for utility Vodafone/Vantage IPO: US-China 60 cheque” entity, as special purpose SSE, which committed to green energy ‘trade war’ acquisition companies are known. towers of strength -10 years ago. Yet investors shun its shares. Weak Europe, 40 At least five American electric or Short-term headwinds are distracting. For years, European telecoms Asian slowdown, autonomous vehicle companies have But the market should focus on SSE’s companies argued that as data demand commodity -15 20 listed their shares through recent Spac future renewable projects and start to surged, their role as gate keepers would price collapse mergers. With so much capital sloshing price them more generously. Even if lift their depressed valuations. They -20 0 around, it’s only natural that Spac 1981 85 90 95 2000 05 10 15 20* 2000 05 10 15 20 those projects take time to arrive. built mobile and broadband networks (to Nov) financiers have had to look beyond Prime minister Boris Johnson is in anticipation. Instead, markets now FT graphic Source: Clarksons Research *forecasts to mid Oct Source: Clarksons Research America’s shores. about to lose his presidential Brexit value their kit more highly than tolling Arrival’s landfall is supposed to booster Donald Trump. Recently the rights. No surprise, then, that Vodafone The storm clouds have cleared from reputation for self-harm. Over-capacity clarity on emissions-cutting targets. involve a listing on Nasdaq at a $5bn prime minister has sounded more of a plans to float infrastructure unit the shipping industry. Back in March, and price wars destroyed $100bn in Maersk insists it will prioritise enterprise value. Almost $700m in tree-hugger than a Trump buddy. The Vantage Towers, valued at €14bn. Denmark’s AP Moller-Maersk lost shareholder value in the 20 years to profits over market share. Moreover, cash from the likes of Fidelity would latest net-zero carbon plans promise a It has just lifted the lid on the 40 per cent of its market value in just 2018, McKinsey calculates. Since then, it is trying to reduce its dependence grace its balance sheet. Like American big net gain in jobs. Some 250,000, says financial performance of Vantage at a a few weeks on pandemic fears. Yet the industry has consolidated, reduced on cyclical shipping by expanding its counterparts, the group is justifying its Mr Johnson. SSE claims it has already capital markets day. Officially a the world’s largest container shipping orders of new vessels and expanded land-based logistics business as it present-day valuation with revenues created 1,000 green energy jobs since separate entity since March, the unit is line has defied the sceptics, vessel-sharing alliances, including one seeks to offer a door-to-door service. and profits that are years away. the pandemic began. Good thing too. highly profitable. Its ebitda margin of repeatedly raising profits guidance. between Maersk and competitor MSC. Unexpectedly plentiful profits give it Arrival says it will have $14bn of The UK will eventually need to replace 56 per cent is double that of the parent. Yesterday’s upgrade suggests 2020 Shipowners now have more pricing a $9bn war chest for acquisitions, revenue from selling electric buses and employment losses that come about as The lesson is clear. Telecoms airtime ebitda will be 40 per cent higher than power. Freight rates on some routes says Jefferies. It could also return up vans in 2024 — even though fossil fuel extraction industries shrink. is a commodity under constant price last year. have risen to record highs, triggering to $5bn to shareholders, including a production will not begin until late SSE’s interim results revealed that pressure. Revenues have stagnated. Container shipping is one of the complaints from Chinese authorities. $1.6bn share buyback that was also next year. Relationships with the likes underlying operating profits suffered Masts are worth more. industries weathering the pandemic The Shanghai Containerized Freight announced yesterday. Shares are up of UPS give it confidence. Arrival also this year, because of the pandemic’s Still, with 83 per cent of revenues better than pessimists expected. That Index is more than twice as high as it 125 per cent since their March low, believes it can generate healthy cash impact on power prices. But its future coming from the UK-listed parent, it is was down to China’s swift recovery, a was at this stage last year. trading on an enterprise value-to- flow quickly, in part, because of its looks bright. It has pointed to plans to early days for Vantage. Tower switch in consumer spending from Sceptics reckon China and other ebitda ratio of 5. Asset-light freight “microfactories” whose localised triple its own wind electricity output, businesses rent out space for radio services to goods and a greater exporters will keep freight rates down, forwarders are valued twice as highly. production is meant to reduce capital including onshore, to 30 terawatt hours equipment. More tenants means more reliance on shipping as cargo planes by ensuring shipyards are busy. But As Maersk cuts its reliance on the expenditure. The group is projecting annually in the next decade. Efficiency revenue. Vantage has under 1.4 were grounded. shipowners have reason to hold back commodity end of the shipping free cash flow of $1.4bn and a gross from wind generation (compared with tenancies per tower. It aims to raise The industry is also shaking off its on placing new orders until there is business, that gap should narrow. margin of 26 per cent by 2024. potential capacity) has steadily risen that above 1.5 in the medium term. It Five auto tech companies that have from a third to well over half in recent promises to pay 60 per cent of free cash gone public via Spacs now trade years. UK green-sourced electricity has flow as dividends, something European between $16 and $25, well ahead of the increasingly displaced coal-fired rivals could not manage last year. O2. CTIL has 14,300 towers. Including pay. Buying the US-based business the balance for Deutsche Börse but $10 Spac price. Arrival’s own analysis generation. Any funds raised will reduce the these would send a more positive signal should help Deutsche Börse capitalise does operate in an interesting niche. It shows its theoretical valuation is in line Even so, its share price has trailed debts of the parent. Cash proceeds will to future Vantage investors. on growing demand from investors for leads an effective global duopoly in with those other deals. Shares have a those of peers Iberdrola and Enel in depend on how much of a majority recommendations on ethical governance-related matters, far ahead habit of running up afterwards — and recent years. Partly this is because of stake Vodafone keeps. The float investment. ISS should mesh with of rival Glass Lewis. sometimes crashing, as demonstrated political hassles. Although a third of should, meanwhile, raise the stock other services sold by the German Ethical investment badly needs by electric trucks group Nikola. SSE operating profits stem from price rating of the parent by reducing Deutsche Börse/ISS: group’s Clearstream subsidiary. greater standardisation. That gives Shares in Arrival’s Spac, CIIG Merger renewables, its networks and the conglomerate discount. saints go marching in Data, analytics and research are groups such as ISS a substantial growth Corporation, jumped yesterday to transmission businesses are more than Applying the enterprise value becoming an important business for opportunity. Scarcity value is another more than $13 per share, suggesting twice as large. Investors worry that multiple of 22 times ebitda of If data is the new oil, then stock exchange operators. They yield reliable reason Deutsche Börse is paying a full Wall Street finds Arrival’s speculative next month watchdog Ofgem will cut Vodafone’s Italian partner INWIT (of exchange groups are fast becoming subscriptions revenues, in contrast to price for ISS. That equates to 23 times financial projections promising. New price controls for transmission. which Vodafone owns a third) suggests petrol stations for financial services. volatile income from listings and this year’s ebitda, a premium to an immigrants to America have not It might help if SSE had less debt. Vantage will be worth about €14bn, Deutsche Börse picked up a fresh set of securities trading. London Stock information services sector trading always been treated so well. But the Paying for its wind investments will thinks New Street Research. Vodafone’s pumps with attached convenience Exchange Group’s ambitious purchase closer to 20 times. warmth of Arrival’s welcome reflects cost £7.5bn, covered partly with asset own multiple is closer to 5 times. store this week after agreeing to buy a of analytics and data platform Refinitiv Deutsche Börse’s own shares trade at high expectations it will have to work sales of between £2bn-£3bn. The rest There is one niggling issue. Vodafone majority stake in shareholder advisory for $27bn reflected the same trend. a steep discount to those of LSE. The very hard to justify. will come from debt, raising the has a UK tower joint venture (CTIL) group Institutional Shareholder LSE, which Deutsche Börse failed to German group would need to do a lot of hackles of some credit analysts. with Telefonica’s O2. This was left out Services for €1.9bn. buy in 2017, has outpaced and bolt-on deals to energise its stock as Moreover, SSE shares trade at roughly of Vantage, perhaps due to unfinished ISS is a powerful supplier of advice outgrown its erstwhile suitor by comprehensively as the UK group’s Lex on the web the same multiple of earnings as its merger negotiations between Liberty on how shareholders should vote on acquiring data assets, notably index transformative purchase of Refinitiv For notes on today’s breaking stories go to www.ft.com/lex rivals. That makes the investor Global’s Virgin Media and Telefonica’s everything from takeovers to executive compilers. ISS is too small to redress assets has done. CROSSWORD No 16,638 Set by JULIUS ACROSS 1 Pan son’s hidden abilities (5,3) 6 Sir Peter, given drip, is full of vigour (6) 9 Copper detaining English female adult, 50, in Sicilian city (6) 10 Imagine Wenger naked, embodying very international sex appeal (8) 11 Chimney bend blocking Santa’s helper on the way back (4) 12 Air rancid horsemeat papa brought in (10) 14 Special ham/Branston sandwich filling – that sounds moreish! (8) 16 French director spurning greeting of Polynesian settlement (4) 18 It flows between the banks of a city near Jerusalem (4) 19 Lady vampire losing temper about light coming into the pit (4,4) 21 One paying to see Ms Thompson half- heartedly featuring in Nic Roeg drama? (10) 22 Genuine horror at the start when entering shock therapy (4) 24 Poor Maria Callas, forgetting the Spanish for “squid” (8) 26 Cleaners of Flanders town in bygone Times? (6) 27 Hearing only two wickets to fall, went for lunch (3,3) 28 Older (turning 25) in a fabulous place (8) DOWN 2 Turn Allen key, squeezing ring (5) 3 Spurns tea for one? (6,5) 4 Barely scrape along, without 15 by the sound of it (6,2) 5 Film the King of France visiting tragic JOTTER PAD Dane (Hamlet) (6,3,6) 6 Opulent island hotel bathroom’s the top feature (6) 7 Tube leaving Victoria empty first thing on Sunday (3) 8 Record a beat on the radio, a powerful number! (9) 13 “Let her pekoe brew, Mr Fawlty!” (11) Solution 16,637 15 It’s used to smear notorious Earl entangled with British citizen (9) &$50(1 */25 , $1$ + ( $ 2 ( / 0 17 Having been in debt Lynn enters, $/0,5$ 68535 , 6( intimidated (8) 1 % : 7 7 5 ( 5 20 Atlas absolutely flipped carrying rock &$51 , 9$/ 5,(1=, (6) ( $ * 0 $ ( & 23 Ran European packing firm (5) /,1= /$75$9 , $7$ ' ' 5 ' ( & 25 Old Bill in the van? That means trouble! 3$7+(7 , 48( $,'$ (3) $ 6 1 2 ) ' & 75$* , & 785$1'27 5 / * 6 6 & 5 $ ,2/$17+( 6$/20( 2 , ( ( ' 3 2 7$1&5(' , 1(/621