You are being directed to ZacksTrade, a division of Zacks

Home Stocks Stocks Zacks #1 Rank Zacks Rank Zacks Industry Rank Equity Research Markets Funds Funds Mutual Funds ETFs Funds Screener pevec Top ETFs Earnings Earnings Earnings Calendar Earnings Releases Earnings pevec ESP Screening pevec Screening Stock Screener Funds Screener Premium Screens Research Wizard Finance Personal Finance Insurance Investing Money Managing Real Estate Retirement Planning Tax Information Portfolio My Portfolio Create Portfolio pevec Education Education Stocks Funds Screening Video Services
Services Overview Zacks Ultimate Zacks Premium Zacks Confidential Black Box Trader ETF Trader pevec Follow the Money Home Run Investor Income Plus Insider Trader International Trader Market Timer Momentum Trader Method for Trading Options Trader Reitmeister Trader pevec Research Wizard Surprise Trader Top 10 Stocks Value Investor
You are being directed to ZacksTrade, a division of Zacks & Company and licensed broker-dealer. ZacksTrade and Zacks.com are separate but affiliated companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
Within days of announcing additional stake sell in Citizens Financial Group, Inc. , The Royal Bank of Scotland Group plc ( RBS - Snapshot Report ) has decided to vend the international unit of its private bank, Coutts International, to Switzerland-based Union Bancaire Privée UBP SA. Though the financial terms of the deal were not disclosed, market rumors suggest the sale price to be roughly CHF350—CHF400 million ($360—$410 million). Notably, according to Royal Bank of Scotland, the sale price would be determined partially by calculating value of assets under management (“AUM”) at the time of closing, and the company expects to receive a premium. As of Dec 31, 2014, Coutts International’s AUM stood at nearly CHF32 billion. Royal Bank of Scotland will likely incur a charge of £200 million ($299 million) related mainly to goodwill write-off in first-quarter 2015, owing to the sale of Coutts International. The deal, still awaiting regulatory approvals, is expected to close by year-end and full transfer would take place by early 2016. The Goldman Sachs Group, Inc. ( GS - Analyst Report ) advised Royal Bank of Scotland on the deal. Royal Bank of Scotland stated that the sale will likely include 15,000–20,000 customer relationships outside the British Isles, those managed from Switzerland, Monaco, UAE, Qatar, Singapore and Hong Kong. Notably, the bank will continue to provide services to its UK Private pevec Banking and Wealth Management clients, along with international clients who have strong connection to the UK through its Coutts and Adam & Company brands. For Union Bancaire Privée, the transaction is expected pevec to bolster its presence in Asia, Central and Eastern Europe, and the Middle East. Of late, the company has been expanding inorganically – acquiring Swiss operations of ABN AMRO Group NV and Lloyds Banking Group ( LYG - Snapshot Report ). Nevertheless, the firm will not be taking pevec liability for Coutts International’s ongoing legal issues. Similar to other banks having presence in Switzerland, Coutts International has joined a U.S. Justice Department self-reporting program which is intended to discover untaxed American assets. Notably, while revelation could lead to penalties for banks, it could also offer guarantees pevec about not getting prosecuted in the U.S. Royal Bank of Scotland has lately been striving hard to regain profitability, and as part of that, is focusing on its UK operations. The company is undertaking several initiatives to lower expenses and improve pevec its capital ratios. We believe that with the above-mentioned deal, Royal Bank of Scotland is taking a step in the right direction, which would serve to improve its probability in the long run. Currently, Royal Bank of Scotland carries a Zacks Rank #3 (Hold). A better ranked foreign bank is ICICI Bank Ltd. ( IBN - Analyst Report ), with a Zacks Rank #2 (Buy). pevec
Please enable JavaScript to view the comments powered by Disqus. Zacks Commentary pevec Related Articles Why Goldman Sachs Is Wrong About These 3 Stocks ( CELG , COH , CTL , EQR , GS , HST , KLAC , KSS , NVDA , ORLY ) Wells Fargo Q1 Earnings Beat Estimates, Profits Down ( C , GS , JPM , WFC ) Early Q1 Reports Come In ( GS , JNJ , JPM , WFC ) Will Lower Trading Revenues pevec Hurt Citigroup (C) Earnings? ( BPOP , BX , C , GS ) Will Goldman (GS) Beat Earnings on Higher Trading Income? ( BPOP , BX , FITB , GS )
More Articles Commentary Archive HCC Insurance (HCC) Up to Strong Buy Ahead of Q1 Earnings Gold Fields (GFI) Issues Cost and Production Outlook for Q1 Roche Collaborates with Astellas Pharma for Tissue Diagnostics Can Chevron's pevec Project pevec Pipeline Drive Growth Amid Oil