Financial Times (Europe): December 22, 2022

18 Pages·2022·24.186 MB·English

by  Financial Times Ltd

INTERNATIONAL NEWSPAPER OF THE YEAR
THURSDAY 22 DECEMBER 2022 EUROPE
Lessons for pensions from the gilts crisis The unease behind Argentina’s celebrations
BIG READ, PAGE 15 LUCINDA ELLIOTT, PAGE 16
In Washington
Briefing
Zelenskyy
iMuskdefends‘cutting
travels abroad costslikecrazy’atTwitter
ElonMuskhasarguedthatthe
socialmediaplatformwouldhave
negativecashflowof$3bnayear
VolodymyrZelenskyywalksalongside wereitnotforhisactions.
—PAGE5;
RufusGifford,chiefofprotocolofthe
TESLASLIDE,PAGE6;LEX,PAGE18
US,ashearrivesinWashingtonyester-
day on his first trip outside Ukraine iPutinbolsterswarchest
sinceRussiainvadedhiscountrymore Russia’spresidenthashitbackat
than300daysago. claimstheKremlinhasleftits
The Ukraine president was set to forceswithoutkeyequipment,
meet Joe Biden, his US counterpart, sayingtheUkrainewarcouldbe
beforeaddressingajointsessionofCon- financedwithout“limits”.—PAGE2
gresslastnight.
Zelenskyy landed at a critical iTrumptaxesunveiled
momentinthefightagainstRussia’swar Asummaryofreturnshasshown
asofficialsinKyivwarnedMoscowwas DonaldTrumppaid$1.8mnin
preparingforawinteroffensive. federalincometaxbetween2015
TheUkraineleaderwroteinaTele- and2020,aswellasvigoroususe
grampost:“IaminWashingtontodayto oflossesanddeductions.—PAGE2
thanktheAmericanpeople,thepresi-
dentandtheCongressfortheirmuch- iChinesedeficithitsrecord
neededsupport.” Beijing’sbudgetshortfallhashita
Shortlybeforehisarrival,theBiden recordhighasameltdowninthe
administrationannounced$1.85bnin propertysectorandXiJinping’s
newlethalassistanceforUkraine. recentlyeasedzero-Covidpolicy
Zelenskyyboostedpage2 weighedontheeconomy.—PAGE4
Reuters
iBrusselsscandaldeepens
US tech retreat from European offices TheEUcommissionhassaidit
willaskex-memberDimitris
Avramopoulostoexplainhisrole
foracampaigngroupattheheart
ofaQatar-linkedscandal.—PAGE2
piles pressure on continent’s landlords
iFTXfoundersetforUS
SamBankman-Friedhastolda
Bahamascourthewillconsentto
USextradition,pavingtheway
forhimtofacechargesoverthe
failedcryptoexchange.—PAGE6
3 Rapid expansion halts 3 Bid to cut space in London and Dublin 3 Homeworking spurs pullback
Datawatch
Festivefretting
GEORGEHAMMONDAND rates,anincreasinglybleakeconomic saidChrisLewis,whoadvisesoffice permanently,accordingtoaperson SuchmovesmirroreffortsintheUS,
CRISTINACRIDDLE—LONDON outlookandincreasedhomeworking. occupiersatpropertycompanyDeVono familiarwiththeoperations. wherethecompanyistryingtofindten- %whosaypricerisesmake
thisChristmasmorestressful
BigTechgroupsareditchingofficesthat Meanwhile, demands from staff to Cresa.“Theamountofspacetakenwas Googleisalsoexploringsublettingor antsforitsbuildinginFremont,Califor-
Romania
arepartoftheirEuropeanheadquarters workremotelyduringthecoronavirus taken by a really ambitious view of abandoningmoreofitsexistingrented nia.Ithasalsopausedaplantoexpand Italy
asacoolingeconomybringsthesector’s pandemichaveturnedsometechcom- headcount.” officespaceacrossLondon,accordingto inAustin,Texas,andisinsteadsublet- Philippines
France
yearsofrapidexpansiontoahalt. paniesintoaccidentallandlordsthatare Googleplanstoleaveatleastoneofits people familiar with the company’s ting.Metahasalsoterminatedleaseson
Singapore
Google’sparentAlphabet,Facebook nowjostlingtosubletsurplusspaceina Londonoffices—inBelgraveHouse, plans.Googledeclinedtocomment. twoofitsthreeofficesinManhattan, UK
parent Meta and enterprise software challengedpropertymarket. Victoria—nextyear,accordingtothree Meta signed a lease on a 310,000- NewYork. Spain
Australia
giant Salesforce are among the US “Walkroundanyofthose[BigTech] peoplefamiliarwiththematter. squarefootofficeinFitzroviaincentral Salesforce, which owns workplace Germany
groupsseekingtoabandonleasedoffice officesandthereisahugeamountof BelgraveHouseisitsformerLondon Londonlastyearbutisnowtryingto messaging platform Slack, confirmed US
Chile
spaceinLondonandDublin,according spacegivenovertonon-feegenerating headquartersbutGoogle’sleaseacross sublettheblockwithouteverhaving thatitwillsubletpartofafloorinits
Brazil
topeoplefamiliarwiththeplans. functionswhichlookverygenerous,” severalfloorsonthebuildingwasdraw- moved in, according to people with towerintheCityofLondon.
0 20 40 60 80
Themovescomeasthecompanies ingtoanend,thesepeoplesaid. knowledgeofthedeal.Thecompanyis AmazonWebServicesandMicrosoft Source:Ipsos(Nov2022)
respondtothedownturnintechstocks That move is part of a broader alsolookingfornewtenantsforhun- intendedtoexpandinLondonbefore Pricerisesarecausingextrastressinthe
Alphabet,Metaand
withcostcuts,includingbyshedding shake-up,withthecompanyintending dreds of thousands of square feet in thepandemicbuthaveputtheplanson run-uptoChristmas,accordingtoapoll
jobs.Thepullbackisanewsetbackfor businesssoftwaregiant tomovemoststaffintoits£1bnofficein Dublinwhichithadintendedtooccupy. hold, according to one office leasing of12countries.Onaverage,55percent
landlordsalreadyfacingtheirbiggest King’sCross,nowunderconstruction. ChiefexecutiveMarkZuckerbergsaid agentinthecapital. saytheyaremoreanxiousaboutprices
Salesforceareseekingto
challengesincethe2008financialcrisis. The closure has been accelerated thecompany’s“realestatefootprint” Amazon and Microsoft did not thanlastyear.Romaniansarethemost
Officevaluesaretumblingonbothsides ditchleasedofficespace becauseonein10ofGooglestaffhas wouldbe“shrunk”tocutcosts,with immediately respond to requests for stressed,Braziliansaretheleastworried
oftheAtlanticbecauseofrisinginterest chosen to work from home hybridworkersaskedtosharedesks. comment.
Wood’s Ark fund sheds nearly $50bn in
assets since 2021 peak after tech sell-off
HARRIETAGNEW—LONDON whichinAprildowngradedtheETFto shapingthefuture,coveringareasrang-
“negative”. ingfromspaceexplorationandfintech,
CathieWood’sArkInvestmentMan-
Thesteepfallhighlightshowgrowth toroboticsandthegenomicrevolution.
agement has lost almost $50bn in
investors such as Wood have been TheflagshipARKK’ssharesaredown
assets from its stable of exchange
wrongfootedthisyearastheUSFederal roughly65percentthisyear,lingering
Buyoutfirmsbargeinto tradedfundssinceits2021peak,high-
Reserveandothercentralbanksglo- atafive-yearlowandunderperforming
lightingthescaleofthisyear’slossesin
theUSemergencyroom bally called time on a decade-long thetech-heavyNasdaq,whichisdown
speculativetechstocks.
periodofcheapmoneywithaseriesof 32percentinthesameperiod.
AnalysisiPAGE7 TotalassetsacrossArk’snineETFshave interestratehikestocombatinflation. “Ahugedriveroftheunderperform-
slumped to $11.4bn from a peak of Thishaspromptedasell-offintech ancehasbeenstylisticinnature...glo-
$60.3bninFebruarylastyear,according stocks,notablyfast-growingandloss- bally,growthstockshavesufferedand
Austria €4.30 Morocco Dh50 toMorningstar. makingcompanies,whichareseenas valuestockshavebeenmoreresilient,”
Bahrain Din1.8 Netherlands €4.30
Thiswasledbysteepdeclinesinits susceptibletorisesininterestratesthat saidGreengold.
Belgium €4.30 Norway NKr45
Croatia Kn32/€4.25 Oman OR1.60 flagshipArkDisruptiveInnovationETF, diminishtheirpotentialfuturereturns. ARKK’s three largest positions are
Cyprus €4.00 Pakistan Rupee350 knownbyitstickerARKK,whichhas Investorshaverotatedintovaluestocks videoplatformZoom,aCovid-19win-
CzechRep Kc120 Poland Zl24
lostabouttwo-thirdsofitsvaluethis thatlookcheapcomparedwithmetrics nerthathasgivenupitspandemic-era
Denmark DKr43 Portugal €4.00
Egypt E£80 Russia €5.00 yearandisontrackforitsworst-ever suchasbookvalueandprofits. gains; Exact Sciences, a provider of
France €4.30 Serbia NewD530 annualperformance. ARKKisthelargestofagroupofstrat- molecularcancerscreeningandprog-
Germany €4.30 Slovenia €4.00 “ArkInnovation’sresultshavebeen egiesthatcombineanETFstructure nostic testing, and electric-vehicle
Greece €4.00 Spain €4.00
Hungary Ft1350 Switzerland SFr6.50 horrendousthisyearandverydisap- with an ability to pick stocks. Wood makerTesla,whosesharesaredown
India Rup220 Tunisia Din7.50 pointing for investors,” said Robby seekstoidentifythehandfulofcompa- morethan60percentthisyear.
Italy €4.00 Turkey TL50 Greengold,astrategistatMorningstar, niesthatcanmakeexponentialgainsby Arkdeclinedtocomment.
Luxembourg €4.30 UAE Dh23
Malta €4.00
World Markets
SubscribeInprintandonline
www.ft.com/subscribetoday STOCKMARKETS CURRENCIES GOVERNMENTBONDS
email:[email protected] Dec21 Prev %chg Pair Dec21 Prev Pair Dec21 Prev Yield(%) Dec21 Prev Chg
Tel:[phone] S&P500 3876.03 3821.62 1.42 $/€ 1.061 1.064 €/$ 0.942 0.940 US2yr 4.24 4.27 -0.03
Fax:[phone] NasdaqComposite 10706.09 10547.11 1.51 $/£ 1.211 1.214 £/$ 0.826 0.824 US10yr 3.68 3.68 -0.01
DowJonesInd 33349.89 32849.74 1.52 £/€ 0.877 0.877 €/£ 1.141 1.141 US30yr 3.75 3.74 0.01
©THEFINANCIALTIMESLTD2022 FTSEurofirst300 1704.68 1677.27 1.63 ¥/$ 131.995 131.415 ¥/€ 140.106 139.820 UK2yr 3.71 3.74 -0.03
EuroStoxx50 3870.62 3802.49 1.79 ¥/£ 159.847 159.525 £index 78.485 78.813 UK10yr 3.57 3.59 -0.02
No:41,204★
FTSE100 7497.32 7370.62 1.72 SFr/€ 0.983 0.985 SFr/£ 1.122 1.124 UK30yr 3.85 3.89 -0.04
FTSEAll-Share 4095.42 4026.91 1.70 JPN2yr -0.02 0.01 -0.03
PrintedinLondon,Liverpool,Glasgow,Dublin, CRYPTO
CAC40 6580.24 6450.43 2.01 JPN10yr 0.47 0.41 0.06
Frankfurt,Milan,Madrid,NewYork,Chicago,San Dec21 Prev %chg
XetraDax 14097.82 13884.66 1.54 JPN30yr 1.54 1.57 -0.03
Francisco,Tokyo,HongKong,Singapore,Seoul, Bitcoin($) 16832.63 16903.72 -0.42
Nikkei 26387.72 26568.03 -0.68 GER2yr 2.51 2.50 0.02
Dubai Ethereum 1213.75 1216.69 -0.24
HangSeng 19160.49 19094.80 0.34 GER10yr 2.31 2.30 0.01
MSCIWorld$ 2592.86 2585.89 0.27 COMMODITIES GER30yr 2.19 2.18 0.02
MSCIEM$ 951.08 957.64 -0.68 Dec21 Prev %chg
MSCIACWI$ 602.98 602.00 0.16 OilWTI$ 78.08 75.38 3.58
FTWilshire2500 4957.04 4949.64 0.15 OilBrent$ 82.00 79.80 2.76 Pricesarelatestforedition
FTWilshire5000 38705.63 38644.54 0.16 Gold$ 1813.90 1790.80 1.29 DataprovidedbyMorningstar
2 ★ FINANCIAL TIMES Thursday22December2022
INTERNATIONAL
US trip Capitol Hill
Zelenskyy boosted by Biden missile pledge
Trump paid
$1.8mn in tax
as losses hit
WhiteHouseannounces Russianinvasion.OfficialsinKyivhave immediaterespitefromthemassRus- thebattlefield.TheUShascommitted stressthetimeisnotripeforanymoves
$1.85bnofnewweapons, warnedMoscowisgearingupforawin- sianmissileanddroneattackssmashing tensofbillionsofdollarsinmilitary,eco- inthatdirection. $53mn over
teroffensiveasUkrainefendsoffRus- Ukraine’spowerinfrastructure. nomicandhumanitarianassistanceto “Bidenisnotgoingtopressureorpush
includingPatriotsystem sianattacksontwofronts:theeastand InadditiontothePatriotsystem,the UkrainesinceRussiainvadedUkraine Zelenskyytothenegotiatingtablebut
presidency
south,wheregrindingcombatbetween USwillforthefirsttimetransferJoint inFebruary. rather,heisgoingtoworkwithCongress
themilitariesisunderway;andinthe DirectAttackMunitions,whichconvert Congressissettovotethisweekona andwithouralliestoputUkraineinthe
FELICIASCHWARTZ—WASHINGTON
skies, where Moscow has pummeled unguidedaerialmunitionsinto“smart spending bill that includes $45bn in bestpossiblepositiononthebattlefield
VolodymyrZelenskyyarrivedinWash- Ukraine’scriticalenergyinfrastructure. additional funds for Kyiv.The Biden sothatwhenthetimeisripe,theyarein
ingtonyesterdayforabrief,high-stakes TheUkraineleaderwroteinaTele- ‘IaminWashingtontoday administrationhasvowedtocontinue thebestpossiblepositionatthenegoti- JAMESPOLITI—WASHINGTON
visit,onhisfirsttripoutsideUkraine grampost:“IaminWashingtontodayto supportingUkraine,withofficialsmak- ating table,” a senior administration SUJEETINDAP—NEWYORK
tothanktheAmerican
since Russia invaded more than 300 thanktheAmericanpeople,thepresi- ingpreparationsforaconflictthatcould officialsaidbeforeZelenskyy’svisit. DonaldTrumppaid$1.8mninfederal
daysago. dentandtheCongressfortheirmuch- people,thepresidentand stretchintobeyondnextyear. TheKremlinsaidyesterdaythatitdid incometaxforthesixyearsbetween
The Ukraine president was set to neededsupport.Andalsotocontinue Congressfortheirsupport’ However,Republicanleadersinthe notexpectanypositivedevelopments 2015and2020,ashedeclared$53mnin
meet his US counterpart, Joe Biden, co-operation to bring our victory House of Representatives have inti- orchangesinKyiv’spositiononpeace netlossesovertheperiodspanninghis
beforeaddressingajointsessionofCon- closer.” matedthatpassingadditionalaidfor talksafterZelenskyy’svisittoWashing- 2016campaignfortheWhiteHouse
gresslastnight. TheWhiteHousewantsthevisitto bombs”,allowingUkrainianforcesto Kyivwillbemorechallengingnextyear ton. andthebulkofhistermaspresident.
Shortlybeforehisarrival,theBiden showcaseUSsupportforUkraineasthe morepreciselytargetRussianmilitary when they take control of the lower “TheweaponssupplytoUkrainecon-
administrationannounced$1.85bnin countryheadsintoatoughwinter. positions. chamberofCongress. tinuesandtheirrangeisexpanding.It ThedetailsofTrump’staxpayments
new lethal assistance for Ukraine, Westernweaponrywillbecriticalfor TheUSwilltrainUkrainiantroopson The US administration, Ukrainian leadstotheconflictaggravationand came in a summary of his returns
including the long-coveted advanced Ukraine. Kyiv has long sought the the Patriot system, probably in Ger- officialsandotherwesternallieshave doesnotbodeUkraineanygood,”said released by the Democratic-led US
Patriotmissiledefencesystem. Patriotsystem,whichanalystssaywill many, for weeks before it arrives in hadquietconversationsaboutwhata spokespersonDmitryPeskov. House of Representatives ways and
ZelenskyyarrivedinWashingtonata beapowerfuladditiontothecountry’s Ukraine.Itisexpectedtotakesome diplomatic solution could ultimately AdditionalreportingbyAnastasiaStognei meanscommitteethisweekafterfour
criticalmomentinthefightagainstthe airdefences,althoughitwillnotoffer timebeforethesystemisoperationalon looklike,thoughWashingtonofficials inRigaandChristopherMiller yearsoflegalwrangling.Thepanelis
expected to publish full redacted
versionsofTrump’staxreturnsinthe
comingdays.
Invasion The summary, compiled by Con-
Russia’s war chest for gress’snon-partisanjointcommitteeon
taxation (JCT), showed Trump de-
clarednotaxableincomefor2015,2016,
2017and2020,yearsinwhichheracked
Ukraine campaign
up$82mnincombinedlosses.Thetwo
years for which he reported taxable
income were 2018 and 2019, with
unlimited, says Putin adjustedgrossincomeofnearly$29mn.
Thedocumentsshowtheextentto
which Trump aggressively used tax
deductionsandreportedlossesinorder
tolowerhistaxbillattheheightofhis
politicalcareer.
ANASTASIASTOGNEI—RIGA itseconomybecause“thereisnoneed” TheJCTsaidithad“noopinion”on
POLINAIVANOVA—BERLIN for it, insisting he did not want to whethertheformerpresidentshould
VladimirPutindismissedclaimsthe “repeatthemistakesofthepast”,when havepaidmoreorlesstaxbutdidnotea
KremlinhasleftRussia’sarmedforces “wedestroyedoureconomyfordefence seriesofitemsonTrump’staxreturns.
withoutkeyequipment,sayingthewar purposes”. Amongthemwereinterestincome
inUkrainecouldbefinancedwithout Despitethewest’seffortstodeplete fromrelated-partyloansmadetosome
“limits”andorderingthemilitarytobe Putin’swarchest,Russia’sbudgetdeficit ofTrump’schildren,includingIvanka,
opentocriticismashisinvasionofthe in2022willbejust2percent,according EricandDonaldTrumpJr.TheJCTsaid
countrynearsthe10-monthmark. totheministryoffinance.Thisissome- theseraised“thequestionofwhether
thingitcancovereasilywithstatebor- theloanswerebonafidearm’slength
“Themilitaryoperationhashighlighted rowingandincreasedspendingfromits transactionsorwhetherthetransfers
issuesthatweneedtoworkonspecifi- $187bnsovereignwealthfund. weredisguisedgiftsthatcouldtrigger
cally, [including] communications Inanattempttorespondtocriticism gifttaxandadisallowanceofinterest
[and] automatisation,” the Russian ofthesupplyefforts,whichhaveseen deductionsbytherelatedborrowers”.
presidentsaidyesterday. soldiersforcedtobuytheirownbasic Like many property developers,
Speaking to the defence ministry, equipment,suchassocksandboots, Trump’sbusinessisstructuredthrough
whichhasfacedunprecedentedKrem- Putin insisted “the country provides tax-exempt “pass-through” vehicles,
lin-sanctionedcriticismforstruggling everything, everything the army whereultimatetaxispaidonhisper-
tosupplythefrontlinesandretreating needs”,including“everythingasoldier sonalreturnssubmittedtotheInternal
from the south-eastern regions of needstobemodern,comfortableand RevenueService.
reliable”.Putinurgedthedefenceminis- Thereportnotedthemajorityofthe
‘[Thenucleartriad]isthe try to “listen to the criticism and Trumpvehiclesinsomeyearsreported
respondtoit”. “either no gross income (ie only
mainguaranteeofour
While Russia in March made “dis- expenses)orgrossincomeandexpenses
sovereigntyandbalance crediting the armed forces” a crime that were entirely offset, raising the
punishablewithupto15yearsinprison, questionsofwhetherthesewerevalid
ofpowerintheworld’
theKremlinhastacitlyapprovedcriti- tradeorbusinessactivities,orwhether
cismofthemilitary.Lawmakers,state theseschedulescontainedcostsderived
UkraineannexedbyMoscow,Putinsaid televisionpunditsandprominentblog- frompersonalactivitiesorhobbies”.
Russiahad“nolimits”onfinancingthe gersembeddedonthefrontlineshave RichardNeal,Democraticchairofthe
wareffort. attackedthearmyforsupply,logistical waysandmeanscommittee,hasjusti-
Putin’scommentsarelikelytobethe andstrategicfailures. fiedhispursuitandreleaseofTrump’s
mostimportantpreparedremarksthe Whiletalkingabouttheneedtomod- taxreturnsonthegroundsthattheIRS
Russianpresidentmakesuntilthenew ernise the army, Putin said Russia failedtoperformamandatoryauditof
year. “knows everything about Nato’s theformerpresident’staxreturnswhile
The Kremlin confirmed yesterday resources and abilities and needs to hewasintheWhiteHouse.
thatthepresidentwouldnotmakehis studyitthoroughlyanduseittoincrease “Forfouryears,thecommitteehas
annual state of the union address, itsmilitarycapacity”. beenreviewinghowtheIRSenforcesthe
despitebeingrequiredbytheconstitu- He vowed to maintain the combat federaltaxlawsagainst,andensures
tiontodosowithinthecalendaryear. readiness of Russia’s nuclear triad, complianceby,apresident,”hesaid.“A
Civilianofficials,suchasViacheslav whichcanfiremissilesfromland-based presidentisnoordinarytaxpayer.They
Volodin,chairofthelowerhouseofpar- launchers, submarines and strategic holdpowerandinfluenceunlikeany
liament,aswellastheRussianOrtho- aircraft.“Thisisthemainguaranteeof otherAmerican.Andwithgreatpower
doxChurch’sPatriarchKirill,attended oursovereigntyandbalanceofpowerin comesevengreaterresponsibility.”
yesterday’sspeech—ahighlyunusual theworld,”addedPutin. Republicanshaveattackedthepubli-
stepintendedtomarkitssignificance. SpeakingafterPutin,Russiadefence cationofthetaxreturnsaspolitically
Putinplayeddownthewar’simpact minister Sergei Shoigu said Russia’s motivated.“Iamdeeplyconcernedby
onRussia’seconomy,whichissettocon- nuclear force had successfully con- recenterosionsoftaxpayerconfidenti-
tract3.5percent,afarshallowerfall ductedaspecialexerciseoncarryingout ality and the dangerous precedent
thanexpectedwhenwesternsanctions alarge-scalenuclearstrike“inresponse today’sreleasesets,”MikeCrapo,the
wereintroduced. totheuseofweaponsofmassdestruc- seniorRepublicanontheSenatefinance
HesaidRussiawouldnot“militarise” tionbytheenemy”. Chainofcommand:VladimirPutinanddefenceministerSergeiShoiguinMoscowyesterday committee,saidyesterday.
—MikhailKlimentyev/Sputnik/Kremlin/AP
Lobbying rules
Brussels to question former commissioner over Qatar scandal
MAKE A WISE
ANDYBOUNDS—BRUSSELS Mamersaidithadcarriedout“internal Themeetingswerefirstreportedby tion.“Asthecommissionconfirmed,all
INVESTMENT ELENIVARVITSIOTI—ATHENS checks”aboutthemeetings.Thenine theEUobserverwebsite.InJuly,Avram- mymeetingswerecourtesymeetings:
JOSEPHCOTTERILL—JOHANNESBURG
encounters between November 15-17 opoloulostweetedaphotoonholidayin public,registeredandweneverreferred
Subscribetodayat BrusselsistoaskaformerEuropean 2021wereforwhathetermed“short GreecewithbudgetcommissionerJoha- toFightImpunity,”hesaid.“Theyare
ft.com/subscribetoday commissionertoexplainhispaidrole courtesymeetings”.“Innoneofthese nnesHahnandinOctoberonewithVěra mygoodfriendsandcolleaguesfrom
forthecampaigngroupatthecentreof meetingsfromwhatweunderstandwas Jourová,transparencycommissioner. mytenureascommissioner.”
acorruptionscandalafteritemerged herepresentingtheNGO...norwere TheothermeetingswereinBrussels Avramopouloshasalsoshedlighton
he had held multiple meetings with anysuchissuesdiscussed.” withcommissionvice-presidentsFrans thefundingofFightImpunity.Inhislet-
FINANCIALTIMES
28821,Coslada,Madrid.LegalDepositNumber seniorservingEUofficials. Healsomettwocommissioners in Timmermans, Margrethe Vestager, terseekingpermissionhesaiditrecei-
BrackenHouse,1FridayStreet,LondonEC4M9BT. (DepositoLegal)M-32596-1995;
PublishingDirector,RoulaKhalaf; 2022in“shortprivateencounters”. MarošŠefčovič,VěraJourová,Margari- vedmoneyfromtheSekunjaloDevelop-
Subscriptions&Customerservice PublishingCompany,TheFinancialTimesLimited, Dimitris Avramopoulos left office on Evenso,“thecommissioniswriting tis Schinas and commissioners Stella mentFoundation,aSouthAfricanchar-
Subscriptionoffers:www.ft.com/subscription registeredofficeasabove.LocalRepresentativeoffice;
Contact:[phone],[email protected] C/InfantaMariaTeresa4,bajo2,28016,Madrid.ISSN November 30, 2019 and accepted a to...Avramopoulostoobtainfurther Kyriakides,MariyaGabriel,YlvaJohan- itypartoftheSekunjalogroup,which
Manageyourpersonalaccount:mma.ft.com 1135-8262. €60,000feetoworkforFightImpunity, informationintohowherespectedthe ssonandHahn. ownsmedia,fishing,investmentand
Advertising UAE:MasarPrinting&Publishing,P.O.Box485100,
Tel:[phone],[email protected] Dubai.EditorinChief:RoulaKhalaf. a non-governmental organisation, in conditionssetoutinhispostmandate Avramopoulossaidhehadwrittento otherbusinesses.Thecharityyesterday
Letterstotheeditor France:PublishingDirector,JonathanSlade,46RueLa February2021. activityandprovidefurtherinforma- Brusselsyesterdayclarifyinghisposi- saidfounderIqbalSurvéwasapproach-
[email protected] Boetie,75008Paris,Tel.[phone];Fax:+33(01)
Executiveappointments 53768253;CommissionParitaireN°0919C85347;ISSN FightImpunityfounderPierAntonio tiononhowherepresentedthisNGO.” edbyarepresentativeofFightImpunity
Tel:[phone] 1148-2753.
www.exec-appointments.com Turkey:DunyaSuperVebOfsetA.S.100.YilMahallesi Panzeriwasthismonthchargedwith Anyonebreachingthecodeofcon- attheWorldEconomicForuminDavos.
34204,Bagcilar-Istanbul,Tel.[phone]. corruptionandmoneylaunderinginan ductcouldbereprimandedand,inext- “AsumofR4.5mn[€250,000]was
Sweden:ResponsiblePublisher-ChristerNorlander
Publishedby:TheFinancialTimesLimited, investigationintoallegedinfluencebuy- remecircumstances,takentotheEuro- donatedtoFightImpunitybetweenJuly
BTeral:c+k4e4nH20ou7s8e7,313F0ri0d0a;yFSatxr:e+e4t,4L2o0nd7o4n07EC5470M09.BT. ©ReCporopdyuricgthiotnTohfetFhienaconncitaelnTtsimoefsth2i0s2n2e.wspaperinany ingbyQatar.Brusselssaidyesterdayit peanCourtofJustice,Brusselsadded. toSeptemberof2020,”thestatement
Editor:RoulaKhalaf. mannerisnotpermittedwithoutthepublisher’sprior wouldwritetotheformerhomeaffairs In September 2020, Avramopoulos added, saying it had never received
consent.‘FinancialTimes’and‘FT’areregisteredtrade
Germany:DemirörenMedia,HurriyetAS-Branch marksofTheFinancialTimesLimited. and migration commissioner about asked Brussels for permission before moneyfrom“anyQatariorganisations”.
Germany,AnderBrucke20-22,64546Morfelden- whetherheobeyedlobbyingrules. joiningtheFightImpunityboard,ashis ProsecutorsinBrusselshavecharged
Walldorf,[phone].ResponsibleEditor,Roula TheFinancialTimesanditsjournalismaresubjecttoa
Khalaf.Responsibleforadvertisingcontent,JonSlade. self-regulationregimeundertheFTEditorialCodeof Avramopouloshadatleastninemeet- coolingoffperiodhadnotexpired.Five fourpeoplewithcorruptionincluding
Italy:MonzaStampaS.r.l.,ViaMichelangeloBuonarroti, Practice:www.ft.com/editorialcode ingswithcommissionersin2021and months later Brussels approved the Greek MEP Eva Kaili and recovered
153,Monza,20900,Milan.Tel.[phone]
Owner,TheFinancialTimesLimited;Rappresentantee ReprintsareavailableofanyFTarticlewithyour two in 2022. Former staff have to move.TheboardincludedBernardCaz- €1.5mnincash,partofwhichprosecu-
DViiareGtt.oPrueeRcehsepr,o2ns2a0b0il3e7inPaItdaeliran:oI.MD.uDg.Snraln-Moa(MrcoI),PItraolvya.si- c(mominpimanuymloogrdoeorr1c0o0ntcaocptiedse)t.ailsinsertedifrequired observeatwo-year“coolingoff”period eneuve,formerpremierofFrance,for- torsbelievewerebribestolegislatorsto
Milanon.296del08/05/08-PosteItalianeSpA-Sped.in One-offcopyrightlicencesforreproductionofFTarticles duringwhichtheycannotlobbyBrus- merEUchiefdiplomatFedericaMogh- influencepolicyonQatarandMorocco.
Abb.Post.DL.353/2003(conv.L.27/02/2004-n.46)art.1 arealsoavailable.
.comma1,DCBMilano. Forbothservicesphone+442078734816,oremail selsonissuesrelatedtotheiroldrole. eriniandMEPIsabelSantos.Theyhave DimitrisAvramopoulos:haswritten Kailiwillappearincourttoday.
Spain:BermontImpresion,AvenidadeAlemania12,CTC, [email protected] Chief commission spokesman Eric lefttheboardanddenywrongdoing. toBrusselstoclarifyhisposition SheandPanzeridenythecharges.
Thursday22December2022 ★ FINANCIAL TIMES 3
INTERNATIONAL
Europe’s energy
‘Every
generation
crisis burdens hasits
obstacles.
Howwe
companies with respond
defines
whoweare’
difficult choices
Henrik
Follmann
Sustained high gas prices have become
an existential threat to key industries
VALENTINAROMEI ThegalleryproducedapieceforVera
Underpressure:
ANDPATRICIANILSSON Molnár,aHungarianartist,whichwas
glassmaker
Thepainofhighgaspriceshasbecome exhibitedattheVeniceBiennale.More
AndreaGiubelli
ubiquitousacrossEuropethisyear.But collaborationswithherareplannedfor
attheNew
forsomecompaniestheaddedcostsare showsinParisandNewYork.“Thecrisis
MuranoGallery,
morethanamanagementheadacheand hasbeenagreatlessoninthisrespect,”
Italy.Below,
acrusherofprofitmargins.Theyarean saidPerotta,withthecompanyforcedto
German
existentialthreat. rethinkitsbusinessmodel.
company
At the continent’s energy-intensive Putting more than half of New
Follmann
manufacturers, temperature control MuranoGlass’s11furnacesoutofaction
Chemie,which
involvesnotloweringtheofficethermo- hashadanimpactonitsteamofmaster
fearslosing
statbutburningnaturalgastogenerate glassmakers.Butitviewedthatasabet-
business
theheatthatisanon-negotiablepartof teralternativetoleavingitshighlyspe-
LindaScuizzato/FT;
theirproductionlines.Forthem,the cialisedworkers,whopractisecentu- DanielPilar/FT
energycrisishasmeantshutdowns,fir- ries-old techniques, without employ-
ing workers or even filing for bank- ment.“Theyarelikepianists.Ifthey
ruptcy.Buttheworstmaynotbeover. don’tplayformonths,itwilltaketime
Glassmakershavecraftedincandes- forthemtogetbacktoit.”
centvases,chandeliersandothertrin- Despiteallthecost-savingmeasures,
ketsonthetinyItalianislandofMurano, thebusinesswasonly“justsurviving”,
nexttoVenice,foreightcenturies.The saidPerotta.“Wearelivingdaybyday.
sectorisnowfacingamake-or-break Wehavenocertainty.”
moment:findingthemeanstofundthe FollmannChemie’ssprawlingplantin
soaringpriceofthegasusedtokeepthe thetownofMinden,NorthRhine-West-
furnacesburningatmorethan1,000C phalia, features reactors that churn
aroundtheclock. chemicalsintovariousproducts,stateof
Running a furnace cost €7,000 a theartpackingterminalswherework-
monthbeforeRussia’sfull-scaleinva- ersblastoutheavymetal,andonenew
sionofUkrainethisyearsparkedasurge addition—anoiltank.Thetankwas
ingasprices.Itnowcostsupto€110,000 bought to prepare for possible gas
—asituationthatis“impossibletoman- rationingthiswinter.Itwould,saidFoll-
age”,saidAndreaPerotta,co-founderof mann,“lastustwodays”.Ifthecom-
NewMuranoGallery. panyhadnogasforlonger,“thenwe
“Thisisdefinitelytheworstcrisisour havemuchbiggerproblems”.
business has faced,” said Francesco Thebusinesshasstoppedproducing
Scarpa,hisco-founder.Harkingbackto at weekends and, aside from the oil
1966,whenthepremisesofhisfather— tank,Follmannhasreplacedtwogas
alsoaglassmaker—wereflooded,send- engineswithonesthatcanrunonoil.
ing the business into bankruptcy, he Theenginescostthecompanyabout
€400,000.Staffremainonfullsalaries
‘Germanycouldhave despitethereducedworkinghours.
“Energycostsusedtobe2percentof
manageditmuchbetter
ourturnover—nowitis6percent,andI
—werisklosingbigparts havenoideawhatitwillbenextyear,”
Follmann said. Follmann Chemie,
ofourindustry’
which makes just over €260mn in
annual revenue, has spent nearly
added:“Backthenweboughtnewfur- €10mnmoreonenergythisyearcom-
nacesandwewerebackin10days.Now paredwithbeforethewarinUkraine.
thereisnoendinsight.” “Ifthepriceofgaswillreturnto12to
HenrikFollmannisthethirdgenera- 16centsperkilowatthour,itwillbe
tionofhisfamilytorunchemicalscom- toughbutwewillsurvive,”hesaid.If
panyFollmannChemie,anenterprise pricesweretogobackupto40or50
that epitomises the German Mittel- cents—astheywereearlierthisyear—
stand. These small, often family-run “thenno,wewon’tsurvive”.
businesses form the foundation of While Perotta insists New Murano
Europe’s largest economy. Follmann Galleryis“verygrateful”forgovern-
saidthebusinesssurvivedtheenergy mentsubsidies,hesaidmoreradical
crisisofthe1970s,whichwassosevere solutions were needed for long-term
thegovernmentbannedSundaydriv- survival. That included glassmakers
ing.“Everygenerationhasitsobstacles. weaningthemselvesoffgas.
Howweresponddefineswhoweare.” Referringtothetriggerbehindthe
ButheworriesaboutthefateofGer- soaringpriceofthefuel—Russianpresi-
many’schemicalindustry,whicheats dentVladimirPutin’sdecisiontoinvade
upaboutathirdofthegasconsumedby Ukraine—Perrottasaid:“Oursurvival
thecountry’smanufacturingbase. can’tbeatthemercyofoneortwopeo-
Thepandemicwashardenough,with pleintheworldwhoinonemomentcan
“tremendous” price increases in raw changeourfate.”
materials, which Follmann largely “Wewantrenewableenergy;wewant
passedontocustomers.Thequestion solarpanels;wewanttobeabletopro-
now,hesaid,washowmuchcustomers duce with much lower costs,” added
oftheGermanchemicalindustrywould Scarpa.Yetpanelsarebannedonthe
bewillingtoshoulderforhigherenergy island,underregulationaimedatpre-
costs before they started looking for servingthehistoricallandscape.“We
newsuppliersinAsiaorNorthAmerica. don’twantthismillenariantraditionto
New Murano Gallery is surviving die,”saidPerotta.
because of government help — since The crisis has left Follmann frus-
October,Italy’sbusinesseshavebeen trated:“Germanycouldhavemanaged
abletoaccesstaxcreditsforupto40per itmuchbetter—werisklosingbigparts
centoftheirenergybills.Thegalleryhas of our industry. When it’s gone, it’s
alsobeenforcedtomakedrasticdeci- gone.”Helamentsthedecisiontoaban-
sionsaboutthedesignofitsproducts. donnuclearpowerandthefailureto
“Ifweproduceacollectionwitheight buildliquidgasterminalsuntilnowwas
colours,wewillhavetohaveeightfur- “soarrogant”.Thecrisiswas,hesaid,an
naceson,”saidPerotta,aseachoven accidentwaitingtohappen.
producesonecolour.“Wedecidedto Berlin has promised to deploy a
reduce the use of the ovens, which €200bn“protectiveshield”overitsciti-
meansthatweareworkingwithoneor zensandkeyindustries,includingasub-
twocolours.” sidyofindustrialgaspricesfromearly
It also switched to higher-margin 2023.Butdetailswereonlyannounced
works. “Instead of producing 300 inmid-December.Follmannsaidithad
glasses,weproducedthreeglasssculp- takentoolongforthegovernmentto
tures,”saidScarpa. Thepriceofone providecertainty.“Customersareask-
glassstartsat€50,whileacentrepiece ing:‘Whatwillpricesbenextyear?’And
sculpturecouldbe€700to€2,000. Ican’tanswerthem.”
4 ★ FINANCIAL TIMES Thursday22December2022
INTERNATIONAL
Budget woes Pandemic
China’s fiscal deficit reaches record high
Beijing alters
definition of
virus deaths
Zero-Coviddrive,taxcuts morethandoubletheRmb3.7tnduring ofgovernmentincome,wasoneofthe thisyearafterBeijingcutVATratesand As government financial woes
andpropertymeltdown thesameperiodoflastyear. main reasons for the higher deficit. offeredrebatestorevivegrowth. deepen,authoritiesarecomingunder amid doubts
The rise in the government deficit China’s local authorities made Revenuefromtaxesoncarpurchases pressuretocutbackonexpenditure.
taketollonfinances highlightstheeconomicdamagefrom Rmb5.1bnfromsellinglandinthefirst fellbyalmostathirdduringthesame ZhongZhengsheng,chiefeconomist
over numbers
Xi’ssignatureCovid-19eliminationpol- 11monthsofthisyear,downalmosta periodasBeijingcuttaxratestoboost atPingAnSecuritiesinBeijing,said
icy—whichentailedrelentlesscontact quarterfromayearbefore. bigticketconsumeritems. China’sfiscaloutlaywouldfall12per
SUNYU—SHANGHAI
tracing,testingandlockdownstoroot Thedeclinecameasdebt-ladendevel- Thegovernment’sfiscaloutlay,mean- centinDecemberaftermanymonthsof
AbroadmeasureofChina’sbudgetdefi- outcoronavirus—aswellasacrack- opers,ledbytheprivatesector,stopped while,ledbyhealthcareandsocialwel- increases.
cit hit a record high in the first 11 downonhousingspeculation. growingtheirlandbanksafterregula- farespendingcontinuedtogrowasBei- “Since the deficit target stays WILLIAMLANGLEY—HONGKONG
monthsofthisyearasapropertymelt- Beijingabruptlyabandonedthezero- torstightenedtheiraccesstocreditand jingstruggledtocurbthepandemicand unchanged, the authorities have to
Beijinghassharplynarroweditsdefini-
downandPresidentXiJinping’szero- Covidpolicythismonthaftergrowing homesalessank. provideasafetynetforafast-growing reducespendingtooffsetthedropin
tionofaCovid-19death,astheofficial
Covid policy weighed on the world’s casenumbers,aslowingeconomyand Taxcuts,acriticalpartofBeijing’s populationofjoblessadults. revenue,”Zhongsaid.
toll from one of China’s worst out-
second-largesteconomy. mountingpopularresistance.“Thisis effortstostimulatethesluggishecon- MinistryofFinancedatashowedgov- Zhong added that public finances
breaks since the pandemic began
Totalfiscalspendingbyalllevelsof theworst[inrecentyears]forChina’s omy,havedealtafurtherblowtofiscal ernmenthealthcarespendingsurgedby might improve next year as China
divergesfromanecdotalevidence,the
government exceeded revenue by publicfinances,”saidLarryHu,aHong income.OfficialdatashowChina’svalue 15percentinthefirst11monthsofthis exitedzero-Covidandrelaxedcontrol
experienceinotherjurisdictionsand
Rmb7.8tn ($1.1tn) from January Kong-based economist at Macquarie addedtaxcollection,oneofthebiggest yearastheauthorityinvestedheavilyin overtheprivatesector,whichhasbeen
analysts’modelling.
through November, according to the Group. sourcesofbudgetaryincome,fellmore PCRtestingandcentralisedquarantine batteredbyregulatorycampaignsover
Ministry of Finance. The figure was Asharpfallinlandsales,abigsource thanaquarterinthefirst11monthsof facilitiestoeradicatethepandemic. issuessuchasdatasecurity. TheNationalHealthCommissioncon-
firmedthechangethisweekinresponse
to questions about the low official
counts compared with reports of
Medicines. Health woes
funeralhomesworkingovertime.This
week, financial news outlet Caixin
Infections growth stokes global lack of antibiotics reportedthatChinahadadjustedhowit
classifiedCoviddeaths.
WangGuiqiang,adoctorspeakingat
anNHCpressconference,saidpeople
whowereconsideredtohavediedof
otherconditionswhilepositiveforthe
viruswouldnotbecountedintheoffi-
Supplypressuresandrules
UKextendslistofmedicinesthatcannotbe
cialCoviddeathtoll.WangsaidtheNHC
makeithardforcompaniesto exportedorhoarded wouldonlycountthosewhohaddiedof
Number respiratoryfailureorpneumoniaafter
scaleupandeaseshortages testingpositiveforthevirus.
70
Chinahasembarkedonastunning
60
retreatfromitszero-Covidplaybookin
DONATOPAOLOMANCINI 50 recentweeks,liftinglockdowns,slash-
ANDHANNAHKUCHLER—LONDON
40 ing testing and quarantine require-
A surge in bacterial infections after 30 mentsandretiringcontact-tracingsys-
countriesliftedtheirpandemicrestric- temsafternearlythreeyearsofstrict
20
tionshasledtoshortagesofantibiotic protocols.
10
drugssuchaspenicillinandamoxicillin, Chongqing,amegacityofmorethan
highlightingtheprecariousstateofglo- 0 30mn residents in the south-west,
balsupplychains. 2019 21 22 thisweeksaidCovidpatientswithmild
Ofthe35countrieswhosedataarecol- ornosymptomscouldgotowork“as
Riseindrugpricessuggestsmoreshortages
lectedbytheWorldHealthOrganiza- normal”.
tion,80percenthadanacuteshortage Numberofmedicineswhoseprocurementcostshaverisen Experts have questioned China’s
of penicillin-related antibiotics, said forUKgovernment deathtollsinceitabruptlydismantled
LisaHedman,WHOgroupleadforsup- itszero-Covidcontrolsearlythismonth.
160
plyandaccesstomedicines.TheUK Ithasrisenbysevensincethen,though
140
introduced“seriousshortageprotocols” theNHCrevisedthatnumberdownby
lastweekallowingpharmaciststopre- 120 one yesterday. That compares with
scribealternativeformulationsofanti- 100 HongKong,acityofmorethan7mn,
bioticsafterariseofinfectionssuchas wherethedailydeathtollisinthedou-
80
GroupAstreptococcus. bledigits.Itreported39deathsonMon-
60
Duringthepandemic,lowerdemand dayand33onTuesday.
forantibioticsandseverestrainonsup- 40 China’schangetothedeathclassifica-
plychainsleddrugmakerstolowerpro- 20 tionfollowsamovethismonthtostop
duction.Butasmanycountriesexperi- counting asymptomatic infections,
2020 21 22
encetheirfirstwinterwithnocurbsin whichpreviouslymadeupthemajority
twoyears,healthexpertssaidsupply Sources:MedicinesandHealthcareproductsRegulatoryAgency,December20; of cases. Case numbers have since
pressuresandregulatoryrequirements UKhealthdepartmentpriceconcessionlists plungeddramatically,fromapeakof
weremakingithardforcompaniesto nearly40,000dailycaseslastmonthto
scaleupandeasetheshortages.They Shortfall:a SomeUSandEuropeanpharmacists ofawider“systemicchallenge”affect- ‘Youcan’t Asianrivalshadaccesstocheaperfuel about2,000mostdaysthisweek.
hadalsooccurredas“countriesdidn’t dearthofdrugs havealsoreportedshortagesofcom- ingthewholesupplychain.Mostofthe fortheprocess.Costshadalsosoaredfor LeoPoon,headofthedivisionofpub-
justthrowa
anticipate that respiratory infections wascommonat monpainreliefdrugsasawaveofflu, world’spharmaceuticalingredientsnow otheressentialingredientssuchassugar lichealthlaboratorysciencesattheUni-
weregoingtohitus[sohard]inthefirst Covid’speak, respiratorysyncytialvirusandCovid-19 camefromIndiaandChinaratherthan fewextra forfermentation. versityofHongKong,saidaccuratefig-
yearwithoutmasks”,Hedmansaid. highlighting cases fuels demand. Ilaria Passarani, Europe,hesaid,andtherewas little “Youcan’tjustthrowafewextracakes ureswere“essential”forChinatotailor
cakesinto
pressureon secretary-generalofthePharmaceutical transparencyonthesematerialsaspro- intotheoven,”warnedHedman.“When itsresponse,sayingthecountry’sprevi-
Wherehaveshortagesbeenfound?
supplychains. Group of the European Union, said ductionprocessesgloballywereviewed theoven. youmakeanantibioticyouhavetoshut ouslylowlevelsofinfectionleftmuchof
Shortagesofamoxicillinhavebeenrep- TheUkrainewar drugsforinfectionssuchastuberculosis asproprietaryinformationonlyvisible downandrevalidateyourequipment thepopulation“naive”tothevirus.
[Shortages]
ortedintheUSandCanadawhileinthe hasfurther andskininfectionshadalsobeenhit. toregulators.That“makesitdifficultto beforeyoumakeanother ...[short- “Ithinkweneedtohavethisnumber
EU,25outof27membershavereported disruptedthe performatrueriskassessmenttodeter- cantake ages]cantakemonthstocorrect.” totrytoreallocateourresources...to
What’scausingtheshortfall?
scarcesuppliesofsomeantibioticsto supplyof mineareasofgreatestvulnerability”. Passarani said solutions included therightregionsorrightcitiestotryto
monthsto
theEuropeanMedicinesAgency. antibiotic Shortagesofdrugs,fromcancermedi- Theantibioticsupplychaincantake forcingdrugmakersseekingEuropean minimisetheimpactofthevirus,”he
Theimpactinpoorerorsmallercoun- ingredients cinestoanaesthetics,werecommonat betweenfourandsixmonthsfrompro- correct’ authorisationtomarkettheirdrugsin said.“Likedowehaveenoughclini-
triesislesswellknown,butHedman FTmontage: thepeakofCovid-19,highlightingpres- ductiontodistribution.ButRajivShah, allmemberstates.Jasovskýsaidpooling cians,dowehaveenoughhealthcare
saidtheycouldbedisproportionately GettyImages/Dreamstime sureonsupplychains.TheUkrainewar executivedirectorofUK-basedwhole- mechanismsbetweencountries,comp- support?”
affected,especiallyiftheircurrencies hasfurtherdisruptedthesupplyofanti- salerSigmaPharmaceuticals,saidextra aniesandorganisationsshouldbeintro- Severalmodels,includingonepartly
had depreciated and they needed to bioticingredients,whilerisingenergy regulatorychecksmeantittooklonger ducedandmoredonetodiversifyman- fundedbytheChineseCenterforDis-
procuredrugsontheopenmarket. costshavereducedfactorymargins. fordrugmakerstoreopenlines. ufacturingcapacityandimprovetrans- easeControl,havepredictedthatChina
Althoughthevolumesmaybesmall AdrianvandenHoven,director-gen- parency,datasharingandforecasting. couldsufferasmanyas1mndeathsdur-
Cantheshortagesbefixed?
comparedwithuseindevelopedcoun- eralofgenericdrugmakersassociation ingitsreopeningphaseifBeijingcontin-
Isincreasedresistancearisk?
tries,theyarefarfrominconsequential. MedicinesforEurope,saidthatafter Sandoz,oneofthelargestgenericantibi- uestodismantlecurbs.
Dušan Jasovský, a pharmacist at aid lockdownsitwouldhavebeenhardfor oticsmakers,saidithadincreasedout- Doctors often prescribe “narrow-act- ThedefinitionofaCoviddeathvaries
groupMédecinsSansFrontières,said antibioticsmakerstoaccuratelypredict putofdrugsbyadouble-digitpercent- ing”antibioticstoaverttheemergence indifferentcountries.TheUKcompiles
about5.7mndiedannuallyfromalack thespikeindemandfortreatmentssuch agein2022,hiring140peoplesinceSep- ofsuperbugsthatresisttreatment.But onetallyoffatalitiesthatmentionCovid
of access to antimicrobials, which asliquidantibioticsolutionsforchil- tember.Nextyearitplanstodothe theshortageofsomeantibioticsmeans asacauseofdeathondeathcertificates
include antibiotics, antifungals and dren.“Youcanpredictahigherinfec- same,openingafactoryinAustria. prescribers are being allowed to dis- andaseparatecountofthosewhodie
antivirals.Thefearofpushingprices tiousseason,butyoucannotpredictthe ButtheNovartis-ownedcompanyis penseotherantibioticswithabroader within28daysoftestingpositive.
higher acted as a “disincentive” to veryhighrateinchildren,”hesaid. beingsqueezedbyrisingcosts,which range,usuallyreservedforinfections TheUScountsanymortalitywhere
reportshortagesandnotifytheWHO, MSF’sJasovskýsaiddepletedstocks arehardertopassoninEuropeanmar- notcuredbyfirst-lineantibiotics. coronavirusisrecordedtohavecontrib-
addedHedman. ofantibioticswere“minorsymptoms” ketsthatcapdrugsprices.Itsaidits AdditionalreportingbyJamieSmyth utedtothecauseofdeath.
Covid cases Gulf tension
WHO urges China to step up vaccinations Iran holds ‘friendly talks’ with Saudi Arabia
DONATOPAOLOMANCINI—LONDON yesterdayreiteratingacallfortheraw withothercountriesthathaveexperi- ANDREWENGLAND—LONDON “Thatattacklikelydidnotoccur thelasttalkstakingplaceinApril.
dataonthevirus’soriginstobemade encedmassivesurgesincaseloads. becauseoftheclosesecurityco-opera- Amirabdollahian wrote on social
TheWorldHealthOrganizationsaidit Iran’sforeignministersaidyesterday
available. RyansaidBeijing“lagsbehind”inits tion between Saudi Arabia and the mediathattheSaudiforeignminister
was“veryconcerned”aboutarisein hehadheldtalkswithhisSaudicoun-
Chinaisstrugglingtocopewithan vaccinationrates,especiallyforelderly UnitedStates,”BrettMcGurk,theWhite “assuredmeofhiscountry’sreadiness
severe Covid-19 cases in China as it terpartinasignthatTehranisseeking
“exitwave”ofinfectionssparkedbythe age groups, who are most at risk of House’s co-ordinator for the Middle tocontinuethedialoguewithIran”.
calledonBeijingtostepupvaccina- to ease tensions with its rival as it
liftingofrestrictions. severediseasebutwhohaveremained East,saidlastmonth. Riyadh and Tehran severed diplo-
tions,especiallyforvulnerablegroups. cracksdownonmonthsofprotestsin
“What’sbeingreportedisrelatively stubbornly out of reach of health The Iranian protests erupted after matictiesin2016afterthekingdom’s
theIslamicrepublic.
ManycitiesinChinaaregrapplingwith lownumbersofcasesinhospitalsand authorities in the past few months. Mahsa Amini, a 22 year-old woman, embassyinIranwasransackedduring
therapidspreadofcoronavirusfollow- ICUsbut,anecdotally,therearereports China’sratesofuptakeforboostershots HosseinAmir-Abdollahiansaidhehad proteststriggeredbytheexecutionofa
ingtheliftingofmostCovid-19restric- thatthoseICUsarefillingup,”saidMike arealsorelativelylow. “friendlytalks”withPrinceFaisalbin TheSaudiforeignminister seniorShiaclericinSaudiArabia.
tionsafterChinaaggressivelypursueda Ryan,headoftheWHO’semergencies However,hesaidChinahadmadesig- Farhanatthisweek’sregionalgathering Hostilitiesbetweenthetwoincreased
‘assuredmeofhiscountry’s
zero-Covidpolicyformorethantwo programme. “They’re behind the nificantprogressinbuildingupitsinoc- inJordan,inwhatisbelievedtobethe afterRiyadhsupportedformerUSpres-
years. curve,”headded,suggestingthedis- ulationprogrammedespitetheprotec- firstmeetingbetweenIranianandSaudi readinesstocontinuethe identDonaldTrump’s“maximumpres-
Speakingattheorganisation’send-of- crepancyinnumbersmightbedownto tionitaffordsbeing“notadequate”fora foreignministerssince2017. sure”campaignagainstIran.
dialoguewithIran’
yearpressconferenceyesterday,Tedros adelayinreporting,ashasbeenseen countryitssize. Theconferencewasattendedbyoffi- InSeptember2019,USandSaudioffi-
AdhanomGhebreyesus,WHOdirector- “The question remains whether or cialsfromacrosstheregionaswellas cialsblamedTehranforamissileand
general,saidtheagencywantedmore notenoughvaccinationcanbedonein FrenchpresidentEmmanuelMacron. diedunderthecustodyofIran’smoral- droneattackonthekingdom’soilinfra-
datatobemadeavailableondisease thecomingweek,twoweeks,thatwill The Saudi foreign ministry did not itypoliceinTehranafterbeingaccused structure,whichtemporarilyknocked
severity,hospitaladmissionsandoccu- actuallyblunttheimpactoftheOmi- respondtoarequestforcomment. ofnotwearingherhijabproperly. outhalfitscrudeoutput.
pancyratesatintensivecareunitsin cronwave,”headded. Tensions between the mainly Shia Theunrestsweptacrosstherepublic Movestocooltensionsbetweenthe
China. Ryan also said the WHO “would republicandtheSunnikingdomhave withcallsforregimechange.Officialfig- rivalsbeganlastyearafterIraqhosted
Criticshaveaccusedthebodyofbeing encourage” China to import foreign increasedinrecentmonthsasTehran uresputthenumberofdeaths,includ- secrettalksbetweenSaudiandIranian
toosoftonChina,suggestingBeijingdid mRNAvaccinessuchastheshotsmade hasaccusedSaudiArabiaandotherfor- ingsecuritypersonnel,atabout200. officials.Butofficialshaverepeatedly
notactfastenoughtowarnaboutcoro- byModernaandBioNTech,whichhave eignpowersofstokingtheworstout- ButhumanrightsgroupAmnestyInter- cautionedthatprogresswasslow,with
navirus,whichemergedfromthecen- beenshowninstudiestobemoreeffec- breakofunrestinIraninyears. nationalsaysmorethan300protesters SaudiArabiafrustratedthatIranwas
tralcityofWuhaninlate2019. tiveagainstCovid-19. Last month, western officials said havebeenkilled,including44children. notwillingtodomoretouseitsinflu-
TheWHOhadpreviouslychastised China has not approved them for WashingtonandRiyadhsuspectedthat Beforetheprotestserupted,Iranand enceoverHouthirebelsinYemento
Chinaforalackoftransparencyondata TedrosAdhanomGhebreyesus: domestic use, though it has allowed Iranhadbeenpreparinganimminent SaudiArabiahadheldatleastfivesetsof help end that country’s more than
relatingtotheoutbreak,withTedros wantsmoredatafromChina theiruseforforeignresidents. attackagainstSaudiArabia. talkstotrytode-escalatetensions,with seven-yearcivilwar.
Thursday22December2022 ★ FINANCIAL TIMES 5
Rate rise fears Japanese bonds sustain fresh blow in wake of central bank’s change to core tenet of monetary policy y
PAGE 8
Musk claims
EU sets tough
Just did it Nike’s improved sales forecast lifts
conditions on
sportswear peers after rush for discount stock
Twitter risked
Berlin bailout
for Uniper
negative cash
GUYCHAZAN—BERLIN
flow of $3bn TheEuropeanCommissionapproved
theGermangovernment’sbailoutof
stricken gas importer Uniper, but
imposed onerous conditions that
includeforcingittoselloneofGer-
many’smostmodernpowerplants.
UniperwillhavetodivesttheDatteln4
3 Chief defends his cost-cutting effort coal-fired power station in the Ruhr
industrialregion,whichcameonline
3 Financial snapshot of platform given onlyin2020andisconsideredoneof
themostadvancedfacilitiesofitskind.
Itwillalsohavetosellagas-firedpower
plantintheHungariancityofGönyű.
HANNAHMURPHY—LONDON Hisremarkssuggestedthecompany Thecommission’sdecisionopensthe
wasontracktomakeabout$3bnin wayfortheGermangovernmenttobuy
ElonMuskhasdefendedhisfinancial annualrevenuesnextyear.Thatwould 99percentofthecompany’sshares.
stewardshipofTwitter,arguingthatthe suggestTwitterwasoncourseforreve- Some70percentwillbeacquiredfrom
platformwouldhavefaceda“negative nuesasmuchas$2bnlowerin2023 its previous majority owner, Finnish
cashflowsituationof$3bnayear”were thanthe$5bnitachievedin2021— state-ownedenergygroupFortum,and
itnotforhiscost-cuttingefforts. whichcamemainlyfromadvertising. therestfromsmallershareholders.
The entrepreneur, who bought the Manymarketershavepulledoutofthe Fortum said yesterday it had con-
socialnetwork for$44bninOctober platformsinceMusk’stakeoverbecause cludedthesaleofitsUniperstaketothe
afterpreviouslyattemptingtopullout ofmoderationconcerns. German state. But under the deal
ofthedeal,gaveasnapshotofitsdire The picture of Twitter’s finances approvedbyBrussels,Berlinwillalso
financesduringaTwitterSpacesonline comesafterMuskfiredabouthalfofits havetoreduceitsstakeinUnipertolit-
forumyesterday. 7,500-strong workforce and stripped tlemorethan25percentby2028.
Hesaid:“Wehaveanemergencyfire employees’ benefits, prompting con- Harald Seegatz, head of Uniper’s
drillonourhands...Thiscompanyis cernsaboutwhetherthecompanyis workscouncilanddeputyboardchairof
likeyou’reinaplanethatisheaded sufficientlystaffedinareassuchascon- the supervisory board, described the
towards the ground at high speed tentmoderationandcompliance. commission’sdemandsas“hardcuts”.
with the engines on fire and the OnSunday,Musksaidinatweetthat TheproposeddivestituresofDatteln4
controlsdon’twork.That’sthereason Twitterhadbeen“inthefastlaneto andofUniper’sdistrictheatingbusiness
bankruptcysinceMay”.ButMusksaid were“particularlypainfulforthecol-
‘You’reinaplanethat yesterdaythatthechangeshehadmade leaguesaffectedinGermany,justafew
would mean the company would Nikeresultsdemonstrateresilientconsumerdemand,accordingtoanalysts daysbeforeChristmas”.
isheadedtowardsthe —JakubPorzycki/NurPhoto
“roughly”hitcashflowbreak-even. UnipersaidtheconditionsfromBrus-
groundathighspeed Hesaid:“Withthechangesweare ALISTAIRGRAYANDSARAHPROVAN inout-of-hourstradingandspurreda thecompanyhadresortedtohigher selswerepainfulbut“don’timpairthe
makinghereonmassivelyreducingthe LONDON rallyinEuropeancompetitors.Puma discountstoselloffstock.However, company’sfuture”.
withtheenginesonfire’
burnrate,andbuildingsubscriberreve- Nikehasgiventheglobalsporting andAdidasbothroseroughly6per sheaddedthatmuchoftheimprove- AsEurope’slargestbuyerofRussian
nue,InowthinkthatTwitterwill,in goodssectoramuch-neededboost cent in Frankfurt, while JD Sports mentwas“veryspecifictoNike”. gas,Uniperwasoneofthemaincorpo-
formyactionsthatmayseemsome- fact,beOKnextyear.” after consumers snapped up dis- jumped8percentinLondon. Likeothersportsretailers,Nikehas ratecasualtiesofRussia’sinvasionof
timesspurious.” Hehadspokentoadvertisers,who countedfootwear,clothesandequip- “Nike’sresultsshowthatconsumer struggledtomanagestocklevelsdur- Ukraine.Itbegantolosetensofmillions
He said the platform had been on wereurginghimtoshowhowTwitter mentaheadofChristmas,prompting demandremainsverystrongforthe ingthepandemicbecauseofsupply ofeurosadayafterGazpromdrastically
coursetospendabout$5bnin2023. couldprovideareturnontheirinvest- ittoupgradesalesforecasts. brand,whichispositiveforthewider chain disruptions and fluctuating reducedsuppliestoGermanythrough
CostsatTwitterin2021,thelastannual ment. athleisuremarketgivenitsscale,”said demand.Sharesinthecompanyhave theNordStream1pipelineinmid-June.
perioditreportedbeforebeingtaken TheTeslaandSpaceXchiefexecutive Whilepromotionstoclearinventory KateCalvert,ananalystatInvestec. droppedalmost40percentthisyear. Tofulfilitscontracts,itwasforcedto
private,were$5.6bn,duringwhichtime hasindicatedthatheplanstotransform hitmargins,investorswerereassured NorthAmericaperformedparticu- Analystsnotedthatstocklevels— buygasonthespotmarket,oftenat
itmadeanetlossof$221mn. Twitterintoan“everythingapp”. bya17percentriseinrevenuesto larlystronglyforNike.Salesoffoot- valuedat$9.3bnasoftheendofthe muchhigherprices.
Musk projected that Twitter’s net LateonTuesday,Musksaidhewould $13.3bninthethreemonthstotheend wearrose39percent,equipment26 quarter—remainedhigh,butchief Thecompanywastakenintopublic
cashoutflow,“ifyoudidn’tmakeany resignasTwitter’schiefassoonashe ofNovember. percentandclothing14percent.The executive John Donahoe said the ownershipinSeptember,conditionalon
changes”, would be about $6bn to foundsomeone“foolishenoughtotake Nikesaiditnowexpectedannual Europe,MiddleEastandAfricaregion “inventorypeakisbehindus”. approval from Brussels, and two
$6.5bnnextyear. thejob”,bowingtotheresultofapollof revenuestoincreasebya“lowteens” wasnotasstrong,althoughrevenues Nikewasalsowellplacedtocapital- monthslaterreporteda€40bnlossfor
Thiswaspartlybecausethecompany usersheheldattheweekend. percentageaftertheeffectsofcur- therestillrose11percent. iseonthepopularityofmorecasual thefirstninemonthsoftheyear.
hadbeenloadedwith$12.5bnofdebtto Healsoindicatedthathewouldcon- rencyfluctuationswerestrippedout, Thedouble-digitgrowthhelpedoff- stylesinthewakeofthepandemic BrusselsannouncedlateonTuesday
help fund his acquisition, which tinuetorunthegroup’s“softwareand an improvement from its previous set weak demand in China, where anditsbrandrecognition,whichsup- thatitwasapprovingthebailout,which
requiredabout$1.5bnayearinannual serverteams”aftersteppingdown,sug- forecast of a “low double-digit” saleshavebeenhitbyCovid-19curbs. portedonlinesales,Salteradded. includesacashinjectionof€8bnand
debt servicing payments amid rising gestinghewillremaincloselyinvolved increase,althoughitsaidthatforeign The figures suggested that cus- Dilutedearningsrose2percentto could reach up to €34.5bn in total,
interestrates,hesaid.“Notgoodsince inoperations. exchangerateswouldbeaheadwind. tomerdemandwas“holdingupbetter 85centsashare.Thatbeatanaverage underEUstateaidrules,sayingtheaid
Twitterhas$1bnincash,”hesaid.“So AdditionalreportingbyRichardWatersin Thebetterthanexpectedresults thanexpected”intheUS,saidEmily estimateof64centsinaRefinitivpoll. “doesnotexceedtheminimumneeded
that’swhyIspentthelastfiveweekscut- SanFrancisco aftertheNewYorkclosingbellon Salter,ananalystatconsultancyGlo- Netincomewasflatat$1.3bn. toensuretheviabilityofUniper”.
tingcostslikecrazy.” SeeFTViewandLex Tuesdaysentthesharesup13percent balData,eveniftheyalsoshowedthat SeeLex SeeLex
Porsche a rare success during German stock market’s decline
market long on historic corporate business models might have stymied
INSIDE BUSINESS
names,shorterondynamismandinno- thedevelopmentofmanyafreshidea.
vation.Ofthe40blue-chipcompanies TakeGermany’sautomotiveindustry,
EUROPE
listed in the country’s leading Dax whichaccountsforafifthofalltheDax’s
index,23cantracetheircorporateroots stockmarketvalue.Thesecompanies
Olaf
backtothe1800sorbefore.Onlytwo wereslowtoreacttotheshifttoelectric
Dax companies — real estate group vehicles and lobbied against tighter
Storbeck
VonoviaandonlineretailerZalando— emissionrules.VW—and,allegedly,
werefoundedthiscentury. Mercedes—evenriggedemissionsdata
While the enlargement of the Dax astheystruggledtomeetregulations.
W from30to40companiesinthewakeof AnotherproblemisGermany’stwo-
theWirecardscandalsuggestsgreater tiercorporategovernancesystem—a
henGermansportscar variety,theindexisstilldominatedbya management board that runs opera-
makerPorschelistedon fewlargeindustrialconglomeratesand tionsandasupervisoryboardthatover-
the Frankfurt Stock theirspin-offs:Siemens(fourcompa- seestheexecutives.Halfofsupervisory
Exchange in a €75bn nies), Volkswagen/Porsche (three), boardmembersunderGermanlaware
initialpublicofferingin Mercedes(two),Fresenius(two)and workers’representatives.Thiscanlead
September,DeutscheBörsechiefexecu- Bayer(two). toamoreconsensus-drivenapproachto
tiveTheoWeimerravedabouta“his- TheDax’shistoryofunderperforming decision making in areas that might
toricday”.Weimerwasright—butina global equities markets started long affect employment. In many compa-
differentsensethanhehadinmind. before the German industry lost its nies,thechairofthesupervisoryboard
Europe’s largest listing by market access to cheap alsoisaformerchiefexecutive,who
capitalisationwillgodownasararehur- Russian gas this Itisnothardtowonder might be loyal to existing corporate
rah amid the decline of the German year.Overthepast strategiesratherthannewapproaches.
whetheraninstinctive
stockmarketinrecentyears.Lessthan fiveyears,theDax And,ingeneral,CEOswhounderper-
amonthafterthePorscheIPO,largest has risen 6 per relianceondefendingold formcanresistshareholderpressureto
DaxmemberbyvalueLindeannounced cent, while the quit or change strategy. Take Bayer,
businessmodelsmight
inOctoberthatitwoulddelistfromthe MSCIWorldindex whichwasabletoembarkonitsill-fated
Frankfurtexchange.Lindewillinstead has gained 18 per havestymiedfreshideas $63bnacquisitionofMonsantoin2016
focusontheNewYorkStockExchange, centoverthesame despitefierceshareholderopposition,
arguingthatitsGermanlistinghadbeen period.IntheUS,theS&P500indexis andwithoutputtingthedealtoavoteat
adragonitsvaluation. up42percentinthattime.Anothertell- itsannualmeeting.In2019,Bayerchief
Germany’s most striking corporate ingbenchmark:at€1.6tn,thecombined WernerBaumannkepthisjobdespite55
success story, Mainz-based biotech market cap of Germany’s 40 largest per cent of the shareholders voting
groupBioNTech,didn’tevenbotherto listedcorporationsisafifthbelowthat againstratifyingtheactionsofmanage-
listinFrankfurt.Theinventorofoneof ofApple,whichisvaluedat$2.1tn. ment.Heisstillthere,despitesharesin
thetwoleadingCovidvaccineschose Therearemanyreasonsfortherela- thecompanyfalling43percentsince
Nasdaqforits2019listing.Thedecision tivedecline.Oneisashortfallofinnova- the deal was announced. The €48bn
washighlyrationalasUScompanies tion, despite Germany’s engineering marketvalueofBayerisstillfarless
tradeonhighervaluationmultiples. and manufacturing strengths. In the thanwhatwaspaidforMonsanto.
OneofGermany’sbighopesfromthe WorldIntellectualPropertyOrganiza- Alotmorethinkingneedstobedone
technologysector—Wirecard—col- tion’s 2022 ranking on innovation, torectifytheGermanmarket’sdecline
lapsedin2020inoneofEurope’sbiggest Europe’s largest economy is ranked but improving corporate governance
postwar accounting frauds, with its eighth,behindcountriessuchasSwit- andshareholderrightswouldbeagood
formerchiefexecutiveMarkusBraun zerland,Sweden,theUSandUK. placetostart.
currentlyfacingtrialinMunich. Itisnothardtowonderwhetheran
SuchblowshaveleftaGermanstock instinctive reliance on defending old [email protected]
6 ★ FINANCIAL TIMES Thursday22December2022
COMPANIES & MARKETS
Automobiles Financials
Tesla value drops back below Exxon
Key witness in
Wirecard trial
denies deleting
data before he
BigOilreturnstofavour GlobalMarketIntelligence.Tesla’smar- involvementinTwittercouldcausefur- panybymarketcapitalisation,endured strength.Theconcerndeepenedin
asMusk’sTwitterforay ketvaluewas$435bn,down8percent therdamagetoTesla’sshareprice. abrutal2020asoilpricescrashedinthe OctoberwhenitcutpricesinChina,its
onthedayandmorethan60percent Analystssaidthecontrastingshare earlymonthsofthepandemicandfossil second-biggestmarketandthesourceof talked to police
shakesEVgroupinvestors belowitslevelinlateOctober,when performances of the two companies fuelproducersfelloutoffavourwith nearlyaquarterofitsrevenue.Shorten-
chiefexecutiveElonMuskcompleted markedawiderstockmarketrotation environmental,socialandgovernance- ingwaitinglistsforitsvehiclesintheUS
his$44bntakeoverofsocialmediaplat- awayfromgrowthstockssuchasTesla focusedinvestors. haveaddedtotheworries.
DEREKBROWER—NEWYORK
formTwitter. to value-oriented companies such as Theoilsupermajorrecordeditsfirst- Musk’ssignificantsalesofTeslastock
RICHARDWATERS—SANFRANCISCO
SharesinExxonwereupafurther commodity producers, which often everannuallossandwasremovedfrom topayforhistakeoverofTwitterand OLAFSTORBECK—MUNICH
TeslahasfallenbelowExxonMobilin 1.24percentatlunchtimeinNewYork drawinvestorsduringdownturns. the Dow Jones Industrial Average. A provideextracashaftertheacquisition
ThechiefwitnessintheWirecardtrial
stockmarketvalueforthefirsttime yesterday,whileTesla’swereup0.22per “Asinvestorsshiftbacktovaluefrom year later, Exxon’s management was have also weighed on the company’s
has rejected allegations that he
since2020asinvestorsflockbacktoBig cent. growth,thefirmsthathavebeenaround defeatedinashareholderbattlewith shares.
destroyed incriminating data before
Oil and flee Elon Musk’s electric-car Musk,whorecentlylosthisposition forover100years,providingthesecu- EngineNo.1,anactivisthedgefund. A$3.6bnsalelastweek—thesecond
reportinghimselftothepolice.
maker. astheworld’srichestman,hasraised ritywe’vecometotakeforgranted,are ButrisingcrudepricesfollowingRus- inamonth—tooktheTeslachief’stotal
Exxon’s shares ended trading on theprospectofstandingdownasTwit- onceagainontopofthemarket,”said sia’sinvasionofUkrainethisyearhave sharesalestonearly$40bnsincelate OliverBellenhaus,theformerheadofa
Tuesdaywithamarketcapitalisationof terchiefexecutive,bringingsomerelief AndrewGillick,amarketstrategistat buoyedoilproducers.ExxoninOctober lastyearwhenhestartedtosellaftera Dubai-basedsubsidiaryatthecentreof
morethan$439bn,up1percentonthe toTeslainvestorsworriedthathewas energyconsultancyEnverus.“Thisisn’t announcedrecordquarterlyprofits. Twitterpollaskingwhetherheshould afraudthatcausedthecollapseofthe
dayandabout67percenthigherthanat becomingdistracted.Butanalystscon- ablip.” Worriesaboutweakeningdemandfor sellinordertopaymoretax. paymentsgroup,toldjudgesyesterday
thestartoftheyear,accordingtoS&P tinued to warn this week that his Exxon,oncetheworld’sbiggestcom- Tesla’svehicleshavealsobeengathering SeeLex thatthelawyeroftheformerWirecard
chiefexecutiveMarkusBraunwastry-
ingtounderminehimbydistortingfacts
thatweretakenoutofcontext.“There
Financials. Asset management
aredesperateattemptstocastadoubt
aboutmycredibility,”hesaid.
State Street’s ex-chief warns on consolidation AlfredDierlamm,Braun’sleadlaw-
yer, last week accused Bellenhaus of
deletingkeydataonserversbasedin
Dubai.Dierlammarguedthatthedata
would have proved the existence of
Wirecard’soutsourcedbusinessinAsia,
whichonpapergeneratedhalfofthe
Formerleadersaystryingto
paymentgroup’srevenueand€1.9bnin
cash.Healsoarguedthatthealleged
be‘allthingstoallpeople’
destructionofevidenceshowedBellen-
canleadtoalossoffocus hauswasnotatrustworthywitnessbut
waspresentinga“packoflies”.
Braun, Bellenhaus and Wirecard’s
MADISONDARBYSHIRE—NEWYORK formerheadofaccountingStephanvon
Theformerheadofthefourth-largest Erffawerechargedwithfraud,embez-
USassetmanagerhaswarnedthata zlement,andmarketandaccounting
waveofconsolidationinthesectorrisks manipulationinaMunichcourtearlier
blunting the edge firms have in an thismonth.Iffoundguilty,theyfaceup
increasinglycompetitivemarket.
Asset managers have raced to ‘WhatIdidwasshutting
broadentheirofferingsthroughmerg-
downtheserversonce
ersandacquisitionsbutanattempt“to
beallthingstoallpeople”ismisguided, theauditorsweredone
said Cyrus Taraporevala, who this
withtheirwork’
monthsteppeddownaschiefexecutive
ofStateStreetGlobalAdvisors,which
has$3.3tninassets. to15yearsinjail.Thecasetoalarge
“Wehaveneverbeenabelieverinthat extenthingesonBellenhaus’stestimony
trend,”TaraporevalatoldtheFinancial andcredibility.
Times.“You’vegottobedistinctivein Bellenhaus told the judges on
whatyou’reoffering.” Wednesdaythathedidnotdeleteany
Assetmanagementhasexperienced dataonlocalserversinDubai.
recordlevelsofdealmakinginthepast “WhatIdidwasshuttingdownthe
fewyears,withmorethan2,200trans- servers once the auditors were done
actions completed since the start of withtheirwork,”hesaid,claimingthata
2021,accordingtoRefinitiv.Theriseof referencetohisallegeddeletionoffiles,
passiveindexinghasputpressureon inareportbyWirecard’scompliance
managementfees,whiletechnologyhas team written after the business col-
acceleratedchangeinthesector. lapsed,wasbasedona“misunderstand-
Traditional asset managers have ing”ofastatementbyoneofhiscol-
racedtobuildscaleaswellasdiversify leagues.Thatperson“onlytold[Wire-
theirofferingsthroughM&A.Alterna- card’scompliance]thattheserverswere
tives providers, who help investors shutdown,”Bellenhausinsisted.
accessilliquidinvestmentssuchaspri- HehadtoldthecourtonMondaythat
vateequityorcredit,havebeenpopular he built shadow IT infrastructure in
acquisitiontargets,ashavegroupsthat Meetingthe StateStreetGlobalAdvisors,theasset down17percentsinceJanuary.State ‘Wehave marketthathasseenacorrection.“And, DubaitomakeWirecard’sauditorEY
offercustomisedinvestmentproducts. challenge:Cyrus managementgroupwithinStateStreet Street’slargestinvestmentfundtracks unfortunately,partofthephenomenon thinktheoutsourcedoperationswere
anentire
Butassetmanagersthathavestrayed Taraporevala Corp, is focused on lower-cost index the S&P 500 index with more than ofthelatebullmarketistakingrisks, real.HesaidthatheshippedoldWire-
outside their wheelhouse and added nearlydoubled products that helped the manager $375bn.AttheendofNovember,total generation sayingthingslike:‘Thistimeitisdiffer- cardserversfromMunichtoDubaifor
newcapabilitieswithout“discipline”on thesizeofState achieve massive scale. Taraporevala netassetsforthefirmweredown$30bn ent,’”Taraporevalasaid. this purpose and bought some used
ofportfolio
priceorutilitycouldstruggle.“I’mnot Street’sfunds nearlydoubledthesizeofStateStreet sincethestartoftheyear,to$1.3tn,but Partofthechallengefacingtherap- serversoneBay,buttheinfrastructure
sayingyoujusthavetofocusononeedge duringhis fundsduringhistenure,accordingto thegroupabsorbed$25bninnetinflows managers idly expanding asset management lackedtheITcertificatesnecessaryto
orthatyoucan’texpandyouredge,”said tenure.Below, Morningstardata. over the same period, according to industry,hesaid,isthatmanymoney performpayment-relatedtasks.
whohave
Taraporevala,whotookoveratState newchief Butmarketshavetakenabeatingthis Morningstardata. managers and executives have never Later,heandsomecolleaguesmanu-
StreetGlobalAdvisorsin2017.“Butbits Yie-HsinHung year, as rising inflation and interest Taraporevala,whowassucceededas never experiencedsuchchoppymarketsor allyforgeddatafrom200mncreditcard
andbobsarenotanedge.” MichaelCohen/GettyImages rates have hit growth stocks. Invest- chiefexecutivebyformerNewYorkLife suchpervasiveinflation. transactionstodeceiveKPMGduringa
Mergers in the asset management fortheNewYorkTimes; mentcompanieshavealsostruggled, chiefexecutiveYie-HsinHung,saidsen- actually “Wehaveanentiregenerationofport- forensicaudit.Bellenhaussaidthatit
VictorJ.Blue/Bloomberg
industryareknownforbeingdifficultto with State Street Corp’s share price timentinthemarkethadbeenchalleng- experienced foliomanagerswhohaveneveractually wouldhavebeenunnecessarytofabri-
execute. While some deals have had ing,oscillatingbetween“highrisk”and experiencedinflation...You’dhaveto catethatdataiftheoutsourcedbusiness
inflation’
happyendings,hesaid,“there’satleast “crisis”allyear.“It’sbeenquiteextraor- findmesomebodywhowasworkingin hadbeenreal.
aslongalistthathaven’tbeensuccess- dinary.Weonlyputsomeriskbackona the early 1970s before I could start Bellenhaus,inlinewithWirecard’s
ful”.InNovember,StateStreetcalledoff fewweeksago,”hesaid. bringing in talent who’ve lived with administratorandthepublicprosecu-
adealtoacquireBrownBrothersHar- “Inourtacticalportfolios—andtacti- inflation.” tors,arguedthattheso-calledthird-
riman’sinvestorservicesbusiness,cit- calistheoperativewordhere—wehave Somemanagerswhohavegrownup partyacquiring(TPA)businessdidnot
ingregulatoryhurdles. beenmorerisk-offandoverweightcash outsidetheUSdohavefamiliaritywith existandwasinventedtodeceiveaudi-
Thosewhowillbesuccessful“areable aswellascommodities,”Taraporevala the perils of inflation, said Tarapor- tors,investorsandcreditors.
toanswerthequestion:isitreallyadd- said. The asset manager also under- evala,whogrewupinIndia. DierlammassertedthattheTPAoper-
inganadditionaledge?”hesaid.“Just weightfixedincomeintheseshort-term “Iexperiencedinflationbytheacci- ationswererealandaccusedBellenhaus
becauseyou’veacquiredsomecapabil- portfolios. dentofwhereIwasborn...Theseare andWirecard’sfugitivesecond-in-com-
ity,unlessit’sdistinctive,it’snotlikethe Hesaidthat,dependingonaninves- realissuesmanypeoplehaven’tdealt mandJanMarsalekofhavingembez-
clientdoesn’thaveotherchoiceswhere tor’sperspective,theUSiseitheratthe with in their professional careers... zled the proceeds without Braun’s
theycangetexposuretothatassetclass endofanextraordinarybullmarketor that people will need to wrap their knowledge.
orthatstyleorthatstrategy.” severalyearsintoa“darngood”bull headsaround.” ThetrialwillrestartinJanuary.
Travel & leisure Financials
Ishbia to buy Phoenix basketball teams Bankman-Fried consents to US extradition
SARAGERMANO—NEWYORK NewsoftheSunsandMercurysale blank-chequecompanieswastakingoff. JOSHUAOLIVER—LONDON Americanhistory”bymisappropriating PersonnelfromtheFBIandUSMarshals
ORTENCAALIAJ—LONDON wasearlierreportedbyESPN. ThedealwithGoresHoldingsIVvalued JOEMILLER—NEWYORK customerassetsfromFTXtohisprivate Servicehadalsoarrivedontheisland,
JAMESFONTANELLA-KHAN—MILAN
Asaleoftheteamswouldconclude themortgagelenderat$16bnandmade SamBankman-Friedtoldacourtinthe trading firm, Alameda Research. He thenewsagencyreported.
USmortgagelendingbillionaireMat yearsoftumultunderSarver’sadminis- Ishbiaabillionaireonpaper.However, Bahamasthathewillconsenttoextra- wasarrestedlastweekintheBahamas, UnderUSlaw,Bankman-Friedmust
Ishbiahasagreedadealtoacquirethe tration.Heagreedtosellthembothin sharesinthecompanyhavedeclinedby ditiontotheUS,amovethatcould wherehelives. bebroughtbeforeamagistrateinMan-
PhoenixSunsandMercuryteamsata September soon after the NBA sus- morethanhalfsinceitmadeitspublic resultinthefounderofFTXarrivingin Bahamas magistrate Shaka Serville hattanwithintwodaysoflandingin
valuationof$4bn,inwhatwouldbea pendedhimforusingracistandbullying marketdebut. NewYorkassoonaslateyesterdayto willcontactthecountry’sministerof NewYorkforaninitialhearingatwhich
recordtransactionforaNationalBas- languageandbehaviourthroughoutthe Ishbiaisknowntobeabigbasketball facechargesoverthecollapsedcrypto- foreignaffairstosignofftheextradition, thechargesagainsthimwillbereadout.
ketballAssociationfranchise. frontoffice. fanandplayedforMichiganStateUni- currencyexchange. localTVreportedyesterday. A decision will also be made on
ThePhoenixtransactionwouldbethe versity.HehelpedtheSpartanstothe US embassy officials entered the whethertogranttheFTXfounderbail
AnagreementbetweenIshbia—with latestinastringofrecordsalesofprofes- 2000NationalCollegiateAthleticAsso- Bankman-Fried arrived at a Nassau courthouse in Nassau shortly before untilatrialbegins.Theformerbillion-
hisbrotherJustin—andtheteams’cur- sional sports teams this year. The ciationchampionshipandhasdonated courthousearound11amlocaltimeyes- Bankman-Fried,accordingtoReuters. aire’srequestlastweektobereleasedon
rentowner,RobertSarver,willgivethe National Football League’s Denver millionstohisalmamater’sathleticpro- terdayunderheavypoliceguard.He bailintheBahamashadbeendenied.
brothersmorethan50percentowner- Broncossoldfor$4.6bninJune,arecord gramme. signedpreliminarydocumentstoclear ShouldhearriveinNewYorkafter
shipofthetwoteams.Thedealisstill priceforaprofessionalteam,toacon- “Basketballisatthecoreofmylife,” thewayforhisreturntohishomecoun- courthours,Bankman-Friedislikelyto
subjecttoduediligenceandapprovalby sortiumledbyWalmartheirRobWal- IshbiasaidinastatementlateonTues- tryonTuesdaynight,accordingtoaper- beheldincustodyovernight.Wereheto
theNBA’sboardofgovernors. ton. In football, Chelsea FC and AC day.Hesaidhehadspentthepasttwo sonfamiliarwiththematter. bedeniedbail,Bankman-Friedwould
Asitstands,the$4bnvaluationofthe Milanfetchedrecordsumsfortransac- decades building United Wholesale, Thehearingconcludedabout40min- betransferredtoapre-trialfacility,such
Sunsanditssisterteam,theWNBA’s tions of English Premier League and “andI’mconfidentthatwecanbring utes after Bankman-Fried’s defence asthenotoriousMetropolitanDeten-
Mercury,comesinatalmostdoublethe continentalEuropeclubs,respectively. thatsamelevelofsuccesstothesegreat lawyertoldthecourtheis“anxiousto tionCenterinBrooklyn.
enterprise valuations of other recent MatIshbiaischiefexecutiveofUnited organisationsonandoffthefloor”. leave”theBahamas,Reutersreported. SincehisarrestintheBahamaslast
NBAtransactions.The2019saleofthe WholesaleMortgages,aDetroit-based JustinIshbiaisafoundingpartnerof The US Department of Justice last week,Bankman-Friedhadbeenheldat
BrooklynNets,toAlibabaco-founder businessthatwentpublicthroughaspe- Chicago-based private equity firm weekfiledchargesagainstBankman- aNassauprisonknownforitsharsh
JosephTsaifor$2.35bn,wasaUSprofes- cial purpose acquisition company in Shore Capital and is an investor in Friedandaccusedhimoforchestrating FTXfounderSamBankman-Fried conditions.
sionalsportsrecord. September2020justastheboomin UnitedWholesale. “oneofthebiggestfinancialfraudsin arrivesatcourtinNassauyesterday SeeMarkets
Thursday22December2022 ★ FINANCIAL TIMES 7
COMPANIES & MARKETS
Emergency medicine goes under buyout knife
For private equity, a slice of US healthcare spending appears to be just what the doctor ordered — but backlash is growing
MARKVANDEVELDE—NEWYORK UnitedHealthcaretopayaTeamHealth
subsidiary$60mnincompensationand
KatiePorterdidnotgotothenearest punitive damages connected to one
hospitalwhen,inthemiddleofher2018 suchclaim.
campaignforelectiontoCongress,she TeamHealth said such episodes
begansufferingpaininherabdomen. showedthatithad“theresourcesand
“Iknewenoughtochoosetogotoan scaletofightbackagainstgiantinsur-
in-networkemergencyroomwhenmy ancecompaniesthatareexploitingtheir
appendixburst,”saidPorter.Inagony, hugesizetoslashpaymentstodoctors”.
sheinsistedonbeingtakentoahospital UnitedHealthcaresaidcrucialevidence
thatwascoveredbyherhealthinsur- was withheld from the jury and is
ance,thoughitwasfurtheraway.“But appealing.
mysurgeonwasoutofnetwork.”Soon “Idon’tthinkanybody’sasainthere,”
after,shereceivedademandfromthe saidMarkMiller,whoadvocateshealth-
doctorforabout$3,000. carereformatArnoldVentures,aphil-
Porterlearntthehardwaythather anthropicfundsetupbyenergytrader
hospital,likemanyintheUS,didnot JohnArnold.“It’struethattheinsurers
employthedoctorswhoworkthere. engageinclaimsdenial,basichassleand
ItisafeatureofthefragmentedUS allkindsofotheractivitiesthatfroma
healthcare system that the private physician’spointofviewcouldbevery
equityindustryhasseizedon.Overthe unfair.Butconsolidationisinherentto
pastfiveyears,someofthecountry’s theprivateequitybusinessmodel,and
biggestbuyoutfirmshavesnappedup onehugeoutcomeofconsolidationis
thecompaniesthatemployemergency pricesgoup.”
roomdoctors,capturingsomeofthe18 DoctorsatTexomaMedicalCenterin
percentofgrossdomesticproductthat Denison,Texasdidnotunderstandhow
theUSspendsonmedicalcare. privateequitywasgoingtochangethe
Critics have said the result is an waytheyworkeduntilsixmonthsafter
increasingly concentrated market in thetakeover.
whichahandfulofWallStreet-backed “Theycameinsayingthatnothing
companieshavethepowertocontrol wouldchange,”saidaTexasdoctoratan
howemergencymedicineispractised emergency department that was
andpaidfor. acquiredbyAPP.“Theydidn’tdoany-
Thebuyoutfirmsandsomeinthe thingforsixmonthsandthentheyput
healthcareindustrydismissthisfear, themodeltowork.”
sayingscaleisnecessaryfordoctorsto Thatmodelisspeltoutinapresenta-
holdtheirownindailynegotiationson tiongivenbyAPPexecutivesasthey
billswithpowerfulinsurers. sought a cash infusion of $580mn, a
Texasprovidesastrikingexampleof copyofwhichhasbeenseenbytheFT.
theinroadsprivateequityhasmade. “Anypotentialnegativeimpactresult-
Threegroupsemployphysiciansthat ingfromtheNoSurprisesAct”wouldbe
staffaboutaquarterofthestate’s384 repaired — the presentation assured
18
emergencyrooms,anFTreviewofjob Lucrative comingtoahead.Inresponse,hehired anearlyversionofthelaw,whichthey ThebiggestUShealthinsurer,United- % potentiallenders—bycuttingdoctor
postings and regulatory records has operations: an investment banker to work out arguedwouldhaveenabledbiginsur- Healthcare,hasfiledlawsuitsagainst wages,linkingearningsto“productiv-
Shareof
found.Thispatternisrepeatedacross KKRacquired whethertheyshouldselltoabiggerrival ancecompaniestosetratesunilaterally. EnvisionandTeamHealth,allegingthat ity”,replacingdoctorswithlessquali-
grossdomestic
thecountry.Asinglecompany,Team- physician ortoaprivateequityfirm. TeamHealthsaidithadlongeschewed bothcompaniesdrasticallyovercharged productspent fiedpersonnel,andreducingstaffing.
Health,reportedin2017thatitpro- staffingbusiness “We’d grown, we’d built our infra- so-calledsurprisebillingasamatterof forroutineencountersbysubmitting onmedical APPstaffsatleastadozenemergency
videdemergencystaffingto17percent Envisionand structure,butweneededtobebigger,” policy,andEnvisionendedthepractice billsindicatingthatpatientswouldhave careintheUS roomsintheHoustonarea,accordingto
ofthehospitalsinitstargetmarket. Blackstone saidNewton. afteranewchiefexecutive,JimRechtin, riskeddeathorpermanentimpairment job advertisements published on the
$1,712
TeamHealthwassoldtoBlackstone snappedup Manyexecutivesbelievethatemer- joinedin2020. unless they had received immediate, company’swebsite.Medicsinthecity
for$6.1bnin2017,ataboutthesame TeamHealth, gencymedicshavebecomevulnerable Withpatientssafefromsurprisebills, complexcare. aresuingtoextricatethemselvesfrom
Allegedbilltosee
timerivalAmericanPhysicianPartners whileBrown toinsurerstryingtosqueezepayouts Rechtinsaid,insurerswerefreetopress Inonecasecitedinalawsuitfiledin non-competeagreementssimilartothe
amanwithgastric
wastakenoverbyBrownBrothersHar- Brothers becausetheyarerequiredbylawtotreat thenegotiatingadvantagecreatedbya Tennesseelastyear,TeamHealthalleg- painafterheate onepresentedtodoctorsatTexoma,
riman.Thebiggestphysicianstaffing Harrimantook allcomers. 1986lawthatrequiredhospitalstotreat edlydemanded$1,712fortreatinga23- ahotdog.Hewas contending that APP’s efforts to cut
company, Envision, was acquired by overAmerican In 2016, Newton sold the doctor’s emergencycasesregardlessofabilityto year-oldmanwhowalkedintoahospi- givenanantacid costsandboostprofitsendedupblight-
KKRfor$9.9bnthefollowingyear. Physician grouphehadjoinedasayoungmedicto pay.“Asubsetofhealthplansbeganto talatmidnightcomplainingofepigas- ingtheemergencyroomswithinfight-
AstheBidenadministrationtoughens Partners Envision,thebiggestproviderofstaffing sayineffect,‘Hey,ifyouhavetoseemy tricpainaftereatingachillidog.Court ingandmismanagement.
competitionpolicyafteryearsofleni- FTmontage/GettyImages for hospital emergency rooms. Two patients,regardlessofwhetherIpay documentsstatethatthepatientwas One Houston doctor is accused of
ency, antitrust enforcers are increas- yearslater,KKRboughttheenlarged you,whyshouldIpayyou?’” givenanantacidandsenthome. divertingperformancepaymentsthat
inglyreceptivetoargumentsthatpri- group,makingNewtononeofthemost However,insurersclaimthatdoctors’ UnitedHealthcare alleges fraud in wereduetohiscolleaguesbybilling
vateequitymoneyisdistortingthepro- senior executives at a company that groupsexploittheabsenceofanupfront about60percentofthehighest-cost insurancegroupsformorehoursthan
visionofhealthcare. hoped,underprivateequityownership, negotiation to charge unreasonable medicalbillssubmittedbythetwopri- heworked,accordingtoacomplaint
thatitwouldhavethefinancialheftto pricesforemergencycare. vate-equity-ownedcompanies,withthe
‘Consolidationisinherent standuptothebiggestinsurers. The stand-off has spawned an insurersayingithasmade$100mnin ‘Theacquisitionfeltmore
Foraprivateequityindustrythathas expanding legal battle that casts an overpaymentstoTeamHealthalone.
tothemodel,andonehuge likeahostiletakeoverand
made billions of dollars and created unflatteringlightoninsurancecompa- Similarallegationshaveappearedin
outcomeispricesgoup’ empiresbyassemblingcarwashes,den- niesandphysicianstaffinggroupsalike. testimony from doctors who have hadadevastatingimpact’
tists’ offices and local businesses of worked in private-equity-run emer-
MarkMiller,ArnoldVentures everyconceivablekindintoefficiently gencyrooms. Rebeldoctors’lettertochief
runnationalchains,a“roll-up”ofhospi- Caleb Hernandez, a physician who
The Federal Trade Commission, tal emergency rooms seemed like a workedatvarioushospitalsinColorado, filedinHarrisCountyagainstseveral
whosechairLinaKhanhasvowedto soundplan. claimedinalawsuitthathehadbeen APPsubsidiaries.
takea“muscular”approachtopolicing Butprivateequityfirmshadnotreck- requiredtofalsifyrecordstoshowthat Another doctor allegedly told col-
privateequitydealsthathave“life-and- onedonalegislativebacklashthatmade he had participated in the care of leaguestoworkwhileunwell,appearing
death”consequences,hostedalistening ithardertocollectpaymentformedical patientswhoweretreatedbyless-quali- tocircumventCovidprotocolsbycom-
sessiontoprobetheconsequencesof carethattheyarerequiredbylawto fied staff, so that TeamHealth could municating“hisfourMs:Motrin[ibu-
healthcaremergersearlierthisyear. provide.Twoyearsafterherelection, claimreimbursementatahigherrate. profen],mask,manup,mustnottest”,
Lawsuitsfiledinthepasttwoyearsby Porter,aDemocrat,joinedabipartisan Thecasewassettled;termshavenot thecomplaintsaid.
employees,doctors’groupsandinsur- majorityinCongressthatpassedtheNo beendisclosed. TheAPPsubsidiariesnamedinthe
ance companies sketch a picture of SurprisesAct,whichbansmedicalpro- ButTeamHealthandEnvisionargue lawsuithavedeniedtheallegations.APP
thoseconsequences,allegingthatsome vidersfrombillingpatientsforcharges thattheyaretherealvictimsofalong- andBrownBrothersHarrimandeclined
ofthebiggestfirmshavetamperedwith thathavebeenrejectedbytheirinsur- runningcampaignbyUnitedHealthcare tocomment.
clinicalstandardstocutcostsorraise ancecompanies. toavoidpayinglegitimatemedicalbills. Theescalatingfightsoverdoctorpay
bills,orthatinsomecasestheyhave Envision and Blackstone-owned FTC’sLinaKhan:toughlineondeals Theirargumentshavemetwithsome and working conditions may partly
engagedinsystematicfraud. TeamHealthbothcampaignedagainst with‘life-and-death’consequences success.LastyearaNevadajuryordered reflectanindustryhitbyrisingcosts,
Suchdisputes,togetherwithapoten- tougher reimbursement negotiations,
tialregulatorycrackdown,threatennot andashortageofpatients,astheriskof
only private equity’s profits but the infectionmademanypeoplewaryof
OneinfourTexasemergencyroomhospitalsstaffedbythreebuyoutgroups*
financialstabilityofalife-savingindus- settingfootinahospital.
trythatissaddledwithbillionsofdol- Numberofacutebeds APP’sefforttoraisenewdebtfailed,
larsofdebtfollowingthebuyoutdeals. forcing the company to negotiate a
“I call it a monopolisation,” said a 100 restructuring.
Texasdoctorwhohasworkedfortwoof 1,000 Afteralengthynegotiation,Envision
thethreebiggestprivate-equity-backed this year used a complicated legal
staffing companies and laments the manoeuvretopresentcreditorswitha
decisionofsomemedicstosellthebusi- choicebetweenahaircutonitsdebtor
nessestheyhavebuilt.“It’slikeourcol- beingpushedtothebottomoftheprior-
leaguesaresellingthefuturegeneration ityqueueforrepayment.InOctober,a
ofmedicine.” downgrade from Moody’s pushed
Evenbeforeprivateequitybecame TeamHealthdeeperintojunkterritory.
involved,hospitalshadcompellingrea- BackatTexoma,themedicsplotteda
sontooutsourcestaffingofemergency rebellion.Unwillingtoembraceman-
rooms,oftenrelyingonsmallgroups agementthattheyfeltworsenedpatient
ownedbythedoctorsthemselves. care,yetreluctanttoriskacostlylaw-
Some hospitals did not want the suit,theywrotetothehospital’schief
administrativeoverheadoforganising executive,askinghimtohelpthemtake
rotasornegotiatingwithinsurers.Oth- backcontroloftheiremergencyroom.
ersruninstateswherefor-profithospi- “Theacquisitionfeltmorelikeahos-
talsarebarredfromemployingdoctors tile takeover and had a devastating
topractisemedicine,ameasurethatis impactnotonlyonourmoralebutin
intendedtopreventtheprofitmotive patientcareandqualitymetricsaswell,”
fromintrudingontreatmentdecisions. saidtheletter,signedbyfivedoctorslast
Thoseincentivescreatedaninherent DecemberandseenbytheFT.
tensionbetweendoctorsbothrunning Therebellionborefruit.Texomasaid
companies and providing care, and it“nolongercontractedwithAPPforER
openedthedoorforprivateequity. physician services”. APP’s removal
ChrisNewtonhadonlyjustfinished pavedthewayforthedoctorstosetup
hismedicalresidencyinMichiganwhen theirownstaffinggroupatthehospital.
in 2002 he joined Emergency Physi- Suchoutcomesarerare.Accordingto
Privateequity Unknown/other
cians Medical Group, which ran the APP’spresentationtolenders,issuedin
emergencyroomatStJoseph’sHospital November2021,onlyonecontractter-
inAnnArbor.“Ireallydidn’tknowwhat mination had occurred in the com-
EPMGdid,”saidNewton. pany’shistory.
Twelveyearslater,hewaschiefexec- “Wewereabletopullitoff,”saidone
utiveofabusinessemploying500doc- oftheTexomadoctors.“Thespiritis
torsacross35emergencydepartments, back.It’snotabouthowmuchmoney
justastheconflictbetweenmedicalpro- *AmericanPhysicianPartners,EnvisionandTeamHealth theycantakefromyou,it’sabouttaking
Sources:AmericanHospitalDirectory;FTresearch
viders and insurance companies was careofpatients.”
8 ★ FINANCIAL TIMES Thursday22December2022
COMPANIES & MARKETS
Fixed income. Debt sell-off Crypto
US bitcoin
Japanese bonds sustain fresh
miner Core
blow in test of BoJ resolve Scientific files
for bankruptcy
JOSHUAOLIVER
One of the largest US-listed bitcoin
miners has filed for bankruptcy as
companies battle falling token
pricesandrisingcostsfortheenergy-
intensive business of churning out
cryptocurrencies.
Core Scientific filed yesterday for
Chapter 11 bankruptcy protection in
Texas,whereitisbased.Thecompany
saiditplannedtokeepoperatingand
producingbitcoinwhileithammered
outarestructuringdealwithitslenders
andcreditors.
TheNasdaq-listedcryptominerisa
constituentoftheRussell2000Index,a
widelyheldbenchmarkofsmallerUS
companies,meaningitsbankruptcywill
hittheportfoliosofmanyinvestorsand
deepenthewoesofthecryptoindustry.
Itsmarketvaluereachedalmost$3bn
inAprilbuthassincefallentolessthan
$100mn,accordingtoFactSetdata.
It operated facilities in five US
stateswherecomputerschurnthrough
complex equations in a race against
otherbitcoinnetworkparticipantsto
createnewunitsofthecryptocurrency.
Thecompanyisoneofseverallisted
cryptominerswhosestockhasbeenhit
astheirprofitsaresqueezedbetween
tumblingpricesforcryptotokensand
risingglobalpricesforthevastamounts
ofenergyburntintheminingprocess.
Yieldsstillsoaringasinvestors Takeahike: Thecentralbanknowownsmore Thebankruptcyfiling
Japanesebondyields BoJshakesbondmarket
theBankof thanhalfofoutstandingbonds.Onsome
spotpathtohigherinterest shoothigher outofitsslumber ‘wasnecessitatedbya
Japanhas days,nobondtradestakeplaceatall—a
10-yearyield(%) Dailychangein10-yearJapanese
stressedthatthe sharpcontrastwithothermajorbond declineinthecompany’s
ratesafterpolicyadjustment 0.8 governmentbondyield(percentagepoints) latestyield marketsintheUSandEuropewhere
operatingperformance’
0.15 curvecontrol billionschangehandseveryday.
0.6
KANAINAGAKIANDERISUGIURA adjustmentis Tradershavelongcomplainedabout
TOKYO 0.4 0.10 notaraterise thisfrozenliquidity.Buttheysaythe Core Scientific began trading in
Japanesegovernmentbondpriceshave PhilipFong/AFP/Getty timingofKuroda’sefforttolubricate Januaryfollowingadealwithaspecial
0.2
lurchedlowerforthesecondstraight 0.05 market functioning, at a point when purpose acquisition company backed
dayasmarketsforcefullychallengedthe 0 inflation is accelerating and other byBlackRock.Itsstockisdown98per
centralbank’sassertionthatitwasnot 0 centralbanksarepullinginterestrates centthisyear.
-0.2
planningtoraiseinterestrates. rapidlyhigher,pointstoabiggershift. Thecompanysaidthebankruptcyfil-
YieldsontypicallysleepyJapanese -0.4 -0.05 They are likely to test the central ing“wasnecessitatedbyadeclineinthe
government bonds blasted higher on 2014 16 18 20 22 2020 21 22 bank’sabilitytosticktoitsnewlimitson company’soperatingperformanceand
Tuesday, sending shockwaves across Source:Refinitiv volatility,analystssaid. liquiditysufferingfromtheprolonged
globaldebtmarkets,afterBankofJapan “The BoJ may be forced to take decrease in the price of bitcoin, the
governor Haruhiko Kuroda stunned thatfurtherchangesinpolicyaremore [inApril],”saidTakeshiYamaguchi, [further]measuresifmarketplayers, increaseinelectricitycosts...andthe
investorsinhisfinalmonthsinoffice likely.” chief Japan economist at Morgan particularly outside of Japan, do not failurebycertainofitshostingcustom-
withatweaktothewaythecentralbank OnTuesday,thecentralbanksaidit Stanley. “No matter how much believeKuroda’sremarksandcontinue erstohonourtheirpaymentobligations”.
keeps a lid on long-term borrowing would allow 10-year bond yields to Kuroda says this is not a rate hike shortingJapanesegovernmentbonds,” Core also suffered from the bank-
costs. fluctuateby0.5percentagepointsabove and that easing measures are being said Kiichi Murashima, economist at ruptcy of crypto lender Celsius Net-
“This measure is not a rate hike,” orbelowitstargetofzero,replacingthe strengthened,noonebelieveshim.It’sa Citigroup. “An important task for work,whichcollapsedinthesummer.
Kuroda said. “Adjusting the [yield previousbandof0.25percentagepoints. credibilityissue.” the new governor is to restore the Thetwocompanieshavebeenlocked
curve control] does not signal...an Japan has kept long-term yields Thecentralbankhassoughttomatch BoJ’s reduced credibility and rebuild inadisputeoverhostingservicesthat
exitstrategy.” pinned down since 2016 and the its words about sticking to an easy communication with markets,” he CoreprovidedtoCelsius,whichadded
But in yesterday’s trading, yields previous range had been in place monetarypathwithaction. added. totheminer’sfinancialstrains.
keptoncrankinghigher,withbench- since2021inanefforttorekindlelong- Inadditiontowideningthe10-year Mizuho’s Momma and Morgan The price of bitcoin, the largest
mark10-yearyieldsreaching0.5per dormantinflation. yieldband,italsoboostedmonthlyJGB Stanley’sYamaguchisaidtheBoJcould cryptocurrency,hasfallenmorethan65
cent—lowbyglobalstandardsbuta Kuroda, who is stepping down as purchasesfrom¥7.3tnto¥9tn($68bn) scrap yield curve controls under the percentthisyearagainstthedollar,hit-
significantdoublingfromthestartof governor in April, denied the andofferedanevenbroaderrangeof newgovernornextyearbutthehurdle tingtwo-yearlows.
thisweekandthehighestpointsince adjustmentrepresentedatighteningof unlimitedbondbuying.Someanalysts to increasing interest rates would be London-listedminerArgoBlockchain
mid-2015. monetary policy, saying the BoJ was saythissendstherightmessage. higher then due to global economic hasshed97percentthisyear.Valkyrie
Pressure on the debt suggests that determinedtoeasefurtherifneededto “ThisisnotaturningpointinBoJ ‘Thegenie strains. BitcoinMinersETF,whichtracksaport-
investors believe they can see the achieveits2percentinflationtarget. policy,”saidKazuoMomma,theformer “The next policy decision the BoJ foliooflistedminers,hasfallenabout80
isoutofthe
beginningofanendtoJapan’ssix-year But that message is not cracking headofmonetarypolicyattheBoJwho takeswilllikelybeamajorone—suchas percentsinceitlaunchedinFebruary.
experimentwithnegativeinterestrates through,especiallyascoreinflation— isnowexecutiveeconomistatMizuho bottleto changinglong-orshort-termpolicyrate Corehasupto5,000creditorsand
andyieldtargeting. whichexcludesvolatilefoodprices— Research Institute. “If the market targetsorterminatingYCCaltogether, between$1bnand$10bninassetsand
markets
“Weallknowthisisastepinthat recentlyexceededtheBoJ’stargetfor functionimproves,thiswillbeaone-off andthiswilldependontheriskofglobal Ourglobal liabilities,accordingtocourtfilings.
direction,” said Mark Dowding, chief theseventhmonthinarow,hittinga measure.” thatfurther economic slowdown in 2023,” said teamgivesyou Thecompanyowesabout$73mnto
investment officer at BlueBay Asset 40-yearhighof3.6percentinOctober. MommasaidtheBoJ’sdecisionwas NaohikoBaba,chiefJapaneconomist market-moving its 30 largest unsecured creditors,
changesin
Management, whose long-running “Thebondmarketisalreadystarting basedinpartonabondmarketsurvey atGoldmanSachs,suggestingthatthe newsandviews, including unpaid taxes and energy
negativebetonJapanesegovernment topriceinthattheBoJwillsteadilyhead conductedinNovemberthatshowed policyare centralbankcouldabandonitsnegative 24hoursaday suppliers.Itslargestunsecuredclaimis
bondsthisweekdeliveredlargereturns. towardstheendofitsmonetaryeasing marketconditionsweredeterioratingto interestratepolicy. ft.com/markets $42mnowedtofinancialgroupBRiley,
morelikely’
“Thegenieisoutofthebottletomarkets programmewiththechangeingovernor theworstlevelin15years. AdditionalreportingbyKatieMartin alendertothecryptominer.
Financials Crypto
South Korea’s Mirae builds presence in FTX customers to vie for priority
European ETF sector with GHCO deal payouts in US bankruptcy case
STEVEJOHNSON Asian bank trying to meaningfully petitortorivalissuers.GHCOclaimsto JOSHUAOLIVER Chapter 11 bankruptcy proceedings newyearatthelatesttorecognisethe
expandinEuropeandindoingsothey be the largest market maker for on- in Delaware, including customers, customers’status.
The South Korean financial group AgroupofFTXcustomerswilltryto
aregenuinelyinclinedtoinvesttobuild exchangeETFtradinginEurope,with suppliersandlenders,whowillhaveto FTXdidnotrespondtoarequestfor
Mirae has expanded its presence in securequickerrepaymentforpeople
athirdalternativeinwhatisotherwisea monthly trading volumes of $3bn, vie with each other for priority to comment.
Europebybuyingitsthird-largestmar- who have money trapped with the
duopolyinmarketmakinginETFs,” accordingtoMirae. receiverepaymentoutofthecompany’s AjudgeoverseeingtheUSbankruptcy
ketmakerinexchangetradedfunds. defunctexchangebyconvincingaUS
saidDanIzzo,chiefexecutiveofGHCO, Howeveritisaverysmallplayeron remainingassets. ofcollapsedcryptolenderCelsiusthis
courtthatclients’cryptoassetsremain
Mirae is snapping up London-based whowillstayoninhisrole. “over-the-counter” off-exchange plat- TheactionbyFTXclientsisintended monthorderedthatasmallnumberof
theirownproperty.
GHCO,achallengertothenear-duopoly Thedealcouldraiseconcernsovera formssuchasTradewebandBloom- toavoidcustomersbeinglastinline. clientsshouldbepaidbackassetsthat
ofFlowTradersandJaneStreetinoff- potentialconflictofinterest,giventhat berg,wherethevastmajorityoftrading LawyersrepresentingagroupofFTX “Iftheassetsbelongtothecustomer, werenevermingledwithothercashat
exchangetradingofETFsinEurope. GHCOisleadmarketmakeronmore takesplace.Marketparticipantssaid clientswhohadatotalof$1.6bnstuck thereisnoline—it’sjusttheirassets,” thecompany.Thejudgeinthecaseis
Themovecontinuesaflurryofactiv- than40percentofEuropeanETFlist- thatshouldassuageconcerns. ontheexchangewhenitcollapsedlast stillweighingthequestionofhowto
ityinthefast-growingETFmarketby ings,accordingtoIzzo,andwillnowbe “Marketmakinghasonlyafewplay- monthsaytheyplantoarguethatthose ‘Iftheassetsbelong treatothercustomers’funds.
Seoul-based Mirae Asset Financial ownedbyaparentthatisadirectcom- ersandhavinganotheronethatisbetter funds are held by FTX as “custody” Celsiushasaskedthecourttotreat
tothecustomer,
Group,whichhasdivisionsencompass- capitalisedisagoodthingforallplayers assets, meaning they should be paid clientfundsthatwereheldincustodyas
ingassetmanagement,lifeinsurance intheETFmarketfromtheissuersto backswiftlyratherthanrolledintothe thereisnoline— beingownedbythecustomerswhile
andbrokerageservices. theinvestors,”saidHectorMcNeil,co- sprawlingbankruptcyproceedingsfor viewingassetspledgedtoreceivehigh
it’sjusttheirassets’
InJuneitboughtETFSecurities,one founderandco-chiefexecutiveofETF SamBankman-Fried’scryptoempire. interestpaymentsinthelender’s“earn”
ofthepioneersofAustralia’sETFsector. issuerHANetf. Thestatusofcustomerdepositshas programmeasthecompany’sproperty.
ThisbuiltonitsacquisitionofGlobalX, MJLytle,chiefexecutiveofTabula emergedasakeylegalquestioninthe said Erin Broderick, counsel to law The road to recovery for FTX
aNewYork-basedissueralsoactivein InvestmentManagement,abondETF spateofbankruptciesofcryptocurrency firm Eversheds Sutherland, which is customers is further complicated by
EuropeandAsia,in2018,anditspur- specialist,saidtheseparationinopera- firmsthisyear,includingthecollapseof representingthegroupofFTXclients. allegations that up to $10bn of the
chase of Canada’s Horizons ETFs in tionsbetweenMiraeandGlobalXalso lendersCelsiusNetworkandVoyager FTX, founded by Bankman-Fried, roughly$16bnthattheexchangeheld
2011.SouthKorea-basedTigerETFis helps.“Iwouldtrustthattheywould Digital. frozecustomerwithdrawalsinNovem- wasloanedortransferredtoAlameda
alsoinitsstable. runthebusinessseparately,”hesaid. Clients face being lumped into the berafterclientsrushedfortheexits. Research,aprivatetradingfirmalso
Miraeoperatesmarket-makingdesks LytlesaidtheEuropeanETFmarket- category of “general unsecured Broderickarguedthatthecollapsed ownedbyBankman-Fried.
inSouthKoreaandHongKong,anETF makingsectorhadnotfullyrecovered creditors”, which means they would exchange’s terms of service support The 30-year-old former billionaire
tradingdeskinNewYorkandasmall fromtheretrenchmentofbankssuchas probablyhavealongwaittorecover clientshaving“ownershiprights”over hasdeniedintentionalwrongdoing.He
teamoffixed-incometradersinLon- Deutsche Bank and Société Générale moneyandmightreceiveaslittleas thefundsleftintheiraccounts. wasarrestedintheBahamaslastweek
don,butithasnotradinginfrastructure Seoul-basedMiraehasstruckseveral afterthe2008globalfinancialcrisis. penniesforeachdollartheyareowed. Shesaidthefirmplannedtomakea after US federal prosecutors charged
forETFsinEurope.“Wehaveamajor dealsinthefast-growingETFmarket Financialtermswerenotdisclosed. FTXfacesasmanyas1mncreditorsin request to the court early in the himwithfraud.
Thursday22December2022 ★ FINANCIAL TIMES 9
COMPANIES & MARKETS
Tough decisions lie
The day in the markets
ahead on supervising
Whatyouneedtoknow
crypto exchanges
3USstocksriseasmarketsdigestBank USstocksbouncehigher
ofJapanpolicychange
S&P500index
3Bondssteadyafterinvestorssense
Matthew Elderfield
BoJissofteningpolicystance
3,900
3Yenmarginallyweakeragainstdollar
afterprevioussession’ssurge
Markets Insight
3,880
Stocksclimbedyesterdayandglobal
bondmarketssteadiedfollowingaheavy
sell-offsparkedbytheBankofJapan’s R
3,860
unexpecteddecisiontorelaxitspolicyof
pinningyieldsclosetozero. egulatecryptoorletitburn? suchbundlingofmultipleservicesina difficultdecisionstomakeongranting
OnWallStreet,theS&P500andthe 3,840 WhiledebateragesintheUS singlelegalentity.Someguardrailswill licences if exchanges aren’t ready in
tech-heavyNasdaq100bothadvanced (andacrossthepixelsofthe beneededindetailedrulessetduring timeforthenewEUandUKrules.
1.4percent. Financial Times), it is therun-uptoimplementation. Theexchangeswillneedbigchanges
EquitiesacrosstheAtlanticalsorose 3,820 alreadyoverintheEU—and Second,Micawillimposeclientasset to theirbusiness models before they
withtheStoxxEurope600indexclosing soonwillbeintheUK. protectionrulesonserviceproviders. submitlicenceapplications.Micahasa
1.7percenthigher. TheFinancialServicesandMarkets FTX’sallegeduseofclientassetstofund raftofotherchallengingrequirements
Thegainscameasstabilityreturnedto 3,800 Billiswindingitswaythroughparlia- its trading arm means creditors are thatalsoneedtobesortedquickly.
governmentbonds,whichonTuesday ment.Itnowincludesabroaddefinition waitingtohearabouttheirlosses.These Exchanges will have to vet each
wererockedbytheBoJ’sannouncement ofcryptoassetsthatwillbesubjectto creditorsarethoughttonumberatleast cryptoasset’ssuitabilityforcustomer
thatitwouldallow10-yearJapanese 3,780 regulation.AUKTreasuryconsultation 100,000andcouldbemorethan1mn. tradingbasedonthe“reliabilityofthe
yieldstoclimbashighas0.5percent Mon Tue Wed willfillinthedetailsshortly.Andin Thishasleftotherexchangesscram- solutionsused”andthepotentialassoci-
comparedwith0.25percentpreviously. theEU,theMarketsinCryptoAssets bling to demonstrate the validity of ationwithfinancialcrime.Theywill
Source:Refinitiv
TheUS10-yearTreasuryyieldwas Regulation (Mica) was agreed this theirproofofreserves—theassetsthat needtodisclosetheadverseenviron-
littlechangedat3.68percent,having summerandwillcomeinforceby2024. backcustomerpositions—withBinance mentalandclimate-relatedimpactof
earliertouchedathree-weekhighof3.71 Theyenwasmarginallyweaker FederalReservechairJayPowellsaid With the aftershocks from the commissioningareportfromaccount- theminingrequiredforcryptoassets.
percent,despiteacontinuedsell-offin yesterdayat¥132.40tothedollar therewas“moreworktodo”intamingUS collapseofthecryptoexchangeFTX Liabilityforlossesfromhackingofcus-
Japanesegovernmentdebt.UKand followinganincreaseofalmost4percent inflationafterincreasinginterestrates reverberating,anewquestioncomes Supervisorsneedthe tomerwalletswillkickin.Tougherrisk
Germanbondyieldswerealsosteady. onTuesday. lastweekwhileChristineLagarde, intofocus:howtosuperviseacrypto warnings for crypto investments will
resourcesandpolitical
WhileBoJgovernorHaruhikoKuroda Thecurrencywaslikelytorisefurther presidentoftheEuropeanCentralBank, exchange? comeintoforceinboththeEUandUK.
stressedthatTuesday’smovewasnota asJapaneseinvestorssolddollar saiditwas“notdone”raisingrates. Micasetsadmirablytoughstandards covertorefuselicences Supervisorshavetightdeadlinesto
shiftawayfromJapan’sultra-loose holdingstobuyJapanesedebt,drawnby “TheFed,ECBandBoJhaveall for crypto asset service providers, makelicensingdecisionsunderMica.
untilproblemsaresorted
monetarypolicy,investorssensedacrack theriseinyields,saidGeorgeSaravelos, deliveredhawkishsurprisesoverthe coveringexchanges.Exchangeswillnow Theriskisthattheracetobethecrypto
inthecentralbank’sresolvetostand strategistatDeutscheBank. pastweek,”saidSteveEnglander,head needalicencefromonecountryinorder hubofEuropewillswaydecisions—like-
apartfromtheglobaldashtohigher “TheBoJpolicyshift(despiteGovernor ofG10FXresearchatStandard togainapassporttodobusinessacross wisethenewUKimperativesforsuper-
interestrates. Kuroda’sclaimstothecontrary)should Chartered,pointingoutthatmovesby theEU.Twobigchangesarecoming. ingfirmMazars.Butthereportislim- visorstoconsidercompetitiveness.
“TheBoJhastakenafirststeptoward starttoputtheJapanesewallofmoney themostinfluentialcentralbankshad First,corporatestructure.Theservice itedinscopeonthecryptoassetsitcov- Binance,byfarthelargestexchange,
tightermonetarypolicy,”saidUlrich towork,”Saravelossaid.“Thereisalot addeda“risk-offflavour”tomarkets providerswillneedtohaverobustcor- ers,unconvincingabouthowcustomer isthekeytestcase.Frenchregulatorthe
Leuchtmann,currencystrategistat tomove.” headingintotheChristmasperiod. porategovernanceandcontrols,anEU liabilitiesarecalculatedandlackscom- AutoritédesMarchésFinanciersraised
Commerzbank. TheBoJ’sdecisioncameafterUS TommyStubbington legalentityand,crucially,acorporate mentontheeffectivenessofinternal eyebrowsbyregisteringBinanceunder
structurewithjurisdictionsthatdonot controls.Mazarsannouncedattheend pre-MicarulesdespiteBinancebeing
preventeffectivesupervision. oflastweekthatithadstoppedprovid- finedbyDutchsupervisorsandtheUK’s
Markets update FTX’s failure highlights the impor- ingproofofreservereportsentirelyand FinancialConductAuthoritysayingit
tanceofthesestandards.Butitishardto painstakinglyqualifiedpastonesasnot wasunsupervisable.Whatwillhappen
givetheotherexchangesgoodmarks. beinganassuranceexercise. inthe(re)licensingprocess?
Thelargest,Binance,willstillnotsay Clientassetsegregationwasabignon- Supervisorsneedtheresourcesand
US Eurozone Japan UK China Brazil whereitisheadquartered,forexample. cryptoprobleminthefailureofLehman politicalcovertorefuselicencesuntil
Stocks S&P500 Eurofirst300 Nikkei225 FTSE100 ShanghaiComp Bovespa AstheBankofEngland’sJonCunliffe BrothersandthebrokerdealerMFGlo- corporate structure and client asset
Level 3876.03 1704.68 26387.72 7497.32 3068.41 107165.49 says,partoftheproblemisthatthese bal.ThisledtoacrackdownintheUK problemsaresorted.
%changeonday 1.42 1.63 -0.68 1.72 -0.17 0.28 arenotreally“exchanges”butrather andelsewherewithbigfines,detailed The best way to supervise crypto
Currency $index(DXY) $per€ Yenper$ $per£ Rmbper$ Realper$ providemultiple,bundledservicesthat newregulationandincreasedpersonal exchanges?Startbynotlicensingthem
Level 103.935 1.061 131.995 1.211 6.971 5.201 would be separated in traditional seniormanagerliability.Toughrules, untiltheyhavegottheiracttogether.
financeforconflictofinterest,pruden- bespoke to crypto, will need to be
%changeonday -0.029 -0.282 0.441 -0.247 0.001 0.271
tialandconsumerprotectionreasons. developedandadoptedatspeed. MatthewElderfieldisaformerfinancial
Govt.bonds 10-yearTreasury 10-yearBund 10-yearJGB 10-yearGilt 10-yearbond 10-yearbond
Mica unhelpfully appears to allow Supervisorsaregoingtohavesome regulator
Yield 3.678 2.308 0.474 3.571 2.886 12.656
Basispointchangeonday -0.660 0.900 6.190 -2.100 -0.100 -10.800
Worldindex,Commods FTSEAll-World Oil-Brent Oil-WTI Gold Silver Metals(LMEX)
Level 402.54 82.00 78.08 1813.90 23.74 3950.20
%changeonday 1.05 2.76 3.58 1.29 2.15 1.13
Yesterday'scloseapartfrom:Currencies=16:00GMT;S&P,Bovespa,AllWorld,Oil=17:00GMT;Gold,Silver=Londonpmfix.BonddatasuppliedbyTullettPrebon.
Main equity markets
S&P500index Eurofirst300index FTSE100index
7680
4160 1760
7360
4000 1680
7040
3840 1600
3680 | | | | | | | | | | | | | | | | | | | | 1520 | | | | | | | | | | | | | | | | | | | | 6720 | | | | | | | | | | | | | | | | | | | |
Oct 2022 Dec
Oct 2022 Dec Oct 2022 Dec
Biggestmovers
% US Eurozone UK
Nike 13.70 Adidas 6.17 JdSportsFashion 6.09
Carnival 5.31 Philips 5.72 Ocado 4.83
s Fedex 4.82 Grifols 5.07 AngloAmerican 4.02
p
U AmericanAirlines 4.47 A.p.Moller-MaerskB 4.34 Persimmon 3.59
Apa 4.26 Eni 3.55 St.James'sPlace 3.31
%
HostHotels&Resorts -4.14 Bayer -1.16 Bunzl -0.96
WalgreensBootsAlliance -2.52 Oci -1.10 Halma -0.39
s
n GeneracHoldings -2.05 Volkswagen -0.62 SevernTrent 0.08
w
Do HiltonWorldwideHoldings -1.88 Commerzbank -0.60 Aveva 0.16
FirstSolar -1.24 CasinoGuichard -0.49 Homeserve 0.25
Pricestakenat17:00GMT BasedontheconstituentsoftheFTSEEurofirst300Eurozone
AlldataprovidedbyMorningstarunlessotherwisenoted.
Wall Street Europe London
SportsweargroupNiketoppedtheS&P AgloomyupdatesentNorway’sXXL TheatrechainCineworldfellfollowing
500indexafterdeliveringforecast- tumblingwiththesportsgoodsretailer newsthatUSpeerAMCwasnolongerin
beatingresultsforitsfiscalsecond warningthattradingduringthiscurrent talkstoacquire“certainstrategic...
quarter. quarterremained“challenging”. assets”ofthebankruptgroup.
A17percentyear-on-yearrisein Themarketwascharacterisedbyhigh Inaregulatoryfiling,AMCrevealed
revenueto$13.3bntoppedthe$12.6bn inventorylevels,“resultinginaggressive that“atthistime,negotiationsarenot
estimatedbyanalysts,althoughgross pricingandexcessivecampaign continuing”regardingdiscussionsover
marginsweresqueezedowingto activities”,itsaid. theUSandEuropeanassetsofthe
promotionalactivityandprice-cutting Coreprofitsforthequarterwere world’ssecond-largestcinemachain.
aimedatclearinginventory. expectedtolandbetweenNKr50mn Cineworldfiledforbankruptcy
TheperformancepromptedUBStolift ($5.1mn)andNKr100mn,downfrom protectioninSeptemberafterwarningin
itspricetargetforNike. NKr403mnayearearlier,asheavy Augustthatticketsaleswerestill“below
Thenewsalsospurredarallyinpeers discountingcontributedto“significantly expectations”.
suchasUnderArmourandLululemon lowergrossmargins”,saidXXL. IntellectualpropertygroupTekcapital
AthleticaandretailerDick’sSporting Alsointhesportssector,Germany’s jumpedonnewsthatacompanywithin
Goods. AdidasandPumaralliedafterNikebeat itsportfoliohadstruckastatesidedeal.
SixFlagsjumpedfollowinga WallStreetexpectationsovernight. USsupermarketchainHannaford
presentationbyLand&Buildings,a AerospacegroupAviosankfollowing Brothersagreedtostockthetable-top
shareholderwitha3percentstakeinthe the“prematuretermination”ofoneofits shakersofMicroSalt,adeveloperofa
themeparksoperator. rocketmissions,itsaid. proprietarylow-sodiumsaltinwhich
TheactivistinvestorsaidSixFlags’real TheItaliancompanysaidaroundtwo Tekcapitalownsamajoritystake.
estatewas“likelyvaluedatmorethanthe andahalfminutes“afterthelift-offofthe Thetrimmingofitsproduction
company’sentirecurrentequitymarket VegaClauncher,ananomalyoccurred”, scheduleleftScotgoldResourceslower
capitalisationofapproximately$1.8bn”. addingthatmissiondatawasbeing withthepreciousmetalsproducer
L&Bthereforeproposedarealestate analysedtoclarifywhathappened. forecasting2,000ouncesofgoldinthe
investmenttrustconversionorproperty FrenchfragrancegroupInterparfums fourthquarter,fallingbelowaprevious
salethathadthepotentialtoboostSix ralliedonnewsthatithadsigneda estimate3,000to3,500ounces.
Flags’shareprice. licensingagreementwithfashionsports ChiefexecutivePhilDaysaidthe
Thestockwasdownabout50percent brandLacoste. guidancemiss—causedbychangesto
thisyearbeforeyesterday’srally. Underthe15-yeardeal,itwouldbe itsminingscheduleandharsherthan
SoftwaregroupBlackBerryretreated responsibleforthecreation,development expectedweather—was“disappointing”.
followinga17percentyear-on-yearfallin andmarketingofperfumeandcosmetics Nike’sbumperresultsacrossthe
quarterlycybersecurityrevenue. linesundertheLacostebrand. AtlanticsentretailerJDSportstothetop
RayDouglas RayDouglas oftheFTSE100index.RayDouglas
10 ★ FINANCIAL TIMES Thursday22December2022
MARKET DATA
WORLDMARKETSATAGLANCE FT.COM/MARKETSDATA
CChhaannggeedduurriinnggpprreevviioouussddaayy’’ssttrraaddiinngg((%%))
SS&&PP550000 NNaassddaaqqCCoommppoossiittee DDoowwJJoonneessIInndd FFTTSSEE110000 FFTTSSEEEEuurrooffiirrsstt330000 NNiikkkkeeii HHaannggSSeenngg FFTTSSEEAAllllWWoorrlldd$$ $$ppeerr€€ $$ppeerr££ ¥¥ppeerr$$ ££ppeerr€€ OOiillBBrreenntt$$SSeepp GGoolldd$$
-0.68% -0.282% -0.247%
Nochange
1.42% 1.51% 1.52% 1.72% 1.63% 0.34% 1.05% 0.441% 1.88% 1.29%
SSttoocckkMMaarrkkeettmmoovveemmeennttssoovveerrllaasstt3300ddaayyss,,wwiitthhtthheeFFTTSSEEAAllll--WWoorrllddiinntthheessaammeeccuurrrreennccyyaassaaccoommppaarriissoonn
AAMMEERRIICCAASS EEUURROOPPEE AASSIIAA
NNoovv2222---- Index AllWorld NNoovv2222--DDeecc2211 Index AllWorld NNoovv2222--DDeecc2211 Index AllWorld NNoovv2222--DDeecc2211 Index AllWorld NNoovv2222--DDeecc2211 Index AllWorld NNoovv2222--DDeecc2211 Index AllWorld
S&P500 NewYork S&P/TSXCOMP Toronto FTSE100 London XetraDax Frankfurt Nikkei225 Tokyo Kospi Seoul
3,949.94 3,876.03 20,220.01 19,491.90 7,452.84 7,497.32 14,422.35 14,082.43 27,944.79 26,387.72 2,405.27 2,328.95
Day 1.42% Month -1.86% Year -16.62% Day 1.30% Month -2.10% Year -6.54% Day 1.72% Month 1.64% Year 2.75% Day 1.54% Month -2.76% YearNaN% Day -0.68% Month -5.37% Year -5.50% Day -0.19% Month -4.73% Year -21.40%
NasdaqComposite NewYork IPC MexicoCity FTSEEurofirst300 Europe Ibex35 Madrid HangSeng HongKong FTSEStraitsTimes Singapore
11,024.51 10,706.09 51,569.72 50,071.65 1,722.66 1,704.68 8,325.00 8,302.30 17,424.41 19,160.49 3,259.56 3,256.19
Day 1.51% Month -2.88% Year -30.21% Day 0.47% Month -2.24% Year -3.21% Day 1.63% Month -0.34% Year -7.41% Day 1.43% Month 2.15% Year 0.73% Day 0.34% Month 6.34% Year -15.88% Day 0.07% Month -0.39% Year 6.07%
DowJonesIndustrial NewYork Bovespa SãoPaulo CAC40 Paris FTSEMIB Milan ShanghaiComposite Shanghai BSESensex Mumbai
33,700.28 33,349.89 109,036.54 106,571.58 6,657.53 6,584.13 24,590.50 24,111.97 3,088.94 3,068.41 61,418.96 61,067.24
Day 1.52% Month -1.01% Year -6.01% Day 0.28% Month -2.28% Year 1.66% Day 2.01% Month -0.97% Year -4.22% Day 1.66% Month -2.45% Year -8.05% Day -0.17% Month -0.93% Year -14.61% Day -1.03% Month -0.93% Year 9.44%
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 179037.32 172335.85 Cyprus CSEM&PGen 68.46 68.68 Italy FTSEItaliaAll-Share 26080.99 25703.58 Philippines ManilaComp 6520.80 6414.27 Taiwan WeightedPr 14234.40 14170.03 Cross-Border DJGlobalTitans($) 410.60 405.77
Australia AllOrdinaries 7293.00 7199.60 CzechRepublic PX 1183.06 1176.06 FTSEItaliaMidCap 39502.10 38930.11 Poland Wig 57264.12 56656.26 Thailand BangkokSET 1609.94 1604.44 EuroStoxx50(Eur) 3870.62 3802.49
S&P/ASX200 7115.10 7024.30 Denmark OMXCCopenahgen20 1816.51 1806.72 FTSEMIB 24111.97 23718.25 Portugal PSI20 5765.52 5737.94 Turkey BIST100 5429.13 5429.13 Euronext100ID 1255.86 1233.11
S&P/ASX200Res 6041.50 5895.50 Egypt EGX30 14541.98 14523.26 Japan 2ndSection 7228.27 7239.06 PSIGeneral 4462.15 4432.19 UAE AbuDhabiGeneralIndex 9222.93 9251.11 FTSE4GoodGlobal($) 9534.48 9412.24
Austria ATX 3119.36 3061.22 Estonia OMXTallinn 1760.78 1750.70 Nikkei225 26387.72 26568.03 Romania BETIndex 12261.02 12199.83 UK FT30 2752.80 2706.40 FTSEAllWorld($) 402.54 398.35
Belgium BEL20 3741.20 3671.37 Finland OMXHelsinkiGeneral 10943.89 10868.72 S&PTopix150 1624.73 1634.56 Russia MicexIndex 2436.57 2445.30 FTSE100 7497.32 7370.62 FTSEE300 1704.68 1677.27
BELMid 9609.32 9461.85 France CAC40 6580.24 6450.43 Topix 1893.32 1905.59 RTX 1245.71 1212.57 FTSE4GoodUK 6742.73 6631.49 FTSEEurotop100 3366.99 3311.59
Brazil IBovespa 107165.49 106864.11 SBF120 5050.53 4951.69 Jordan AmmanSE 2474.43 2474.47 Saudi-Arabia TADAWULAllShareIndex 10276.94 10280.15 FTSEAllShare 4095.42 4026.91 FTSEGlobal100($) 2459.78 2426.35
Canada S&P/TSX60 1181.27 1167.08 Germany M-DAX 25486.65 24962.50 Kenya NSE20 1656.34 1655.21 Singapore FTSEStraitsTimes 3256.19 3253.97 FTSEtechMARK100 6290.64 6170.72 FTSEGoldMin($) 1741.44 1689.47
S&P/TSXComp 19558.24 19306.89 TecDAX 2947.20 2901.74 Kuwait KSXMarketIndex 6633.44 6603.51 Slovakia SAX 341.88 341.88 USA DJComposite 11041.35 10888.00 FTSELatibexTop(Eur) 4440.00 4432.20
S&P/TSXDivMet&Min 1552.22 1515.44 XETRADax 14097.82 13884.66 Latvia OMXRiga 1159.54 1152.95 Slovenia SBITOP - - DJIndustrial 33349.89 32849.74 FTSEMultinationals($) 2584.62 2579.71
Chile S&P/CLXIGPAGen 27961.16 28095.10 Greece AthensGen 923.00 915.51 Lithuania OMXVilnius 944.34 948.47 SouthAfrica FTSE/JSEAllShare 73836.91 73040.51 DJTransport 13581.49 13384.63 FTSEWorld($) 729.77 721.57
China FTSEA200 10170.26 10162.41 FTSE/ASE20 2239.19 2220.36 Luxembourg LuxX 1454.79 1426.51 FTSE/JSERes20 72443.98 70718.61 DJUtilities 966.48 958.49 FTSEurofirst100(Eur) 4545.59 4470.39
FTSEB35 9000.71 8988.96 HongKong HangSeng 19160.49 19094.80 Malaysia FTSEBursaKLCI 1462.55 1467.32 FTSE/JSETop40 67672.38 66921.51 Nasdaq100 11228.21 11072.43 FTSEurofirst80(Eur) 5261.43 5168.50
ShanghaiA 3216.13 3221.71 HSChinaEnterprise 6500.18 6472.29 Mexico IPC 50375.15 50139.42 SouthKorea Kospi 2328.95 2333.29 NasdaqCmp 10706.09 10547.11 MSCIACWIFr($) 602.98 602.00
ShanghaiB 286.16 286.23 HSCCRedChip 3578.21 3568.47 Morocco MASI 10899.12 11065.16 Kospi200 303.23 304.05 NYSEComp 15207.90 15000.62 MSCIAllWorld($) 2592.86 2585.89
ShanghaiComp 3068.41 3073.77 Hungary Bux 45589.30 45481.08 Netherlands AEX 709.58 697.25 Spain IBEX35 8302.30 8185.20 S&P500 3876.03 3821.62 MSCIEurope(Eur) 1714.77 1719.50
ShenzhenA 2060.62 2070.36 India BSESensex 61067.24 61702.29 AEXAllShare 969.89 952.64 SriLanka CSEAllShare 8420.26 8508.53 Wilshire5000 38451.70 37891.24 MSCIPacific($) 2631.98 2601.22
ShenzhenB 1144.86 1143.40 Nifty500 15527.55 15726.20 NewZealand NZX50 11452.05 11404.83 Sweden OMXStockholm30 2065.13 2036.42 Venezuela IBC 16421.18 16635.30 S&PEuro(Eur) 1736.72 1706.34
Colombia COLCAP 1261.61 1260.21 Indonesia JakartaComp 6820.66 6768.32 Nigeria SEAllShare 49416.18 49414.96 OMXStockholmAS 788.17 775.69 Vietnam VNI 1018.88 1023.13 S&PEurope350(Eur) 1747.18 1718.61
Croatia CROBEX 2013.05 2011.29 Ireland ISEQOverall 7246.57 7106.83 Norway OsloAllShare 1017.37 1006.88 Switzerland SMIIndex 10845.59 10659.19 S&PGlobal1200($) 2902.67 2869.29
Israel TelAviv125 1813.45 1826.09 Pakistan KSE100 39342.89 39832.45 Stoxx50(Eur) 3717.08 3659.10
(c)Closed.(u)Unavaliable.†Correction.♥Subjecttoofficialrecalculation.Formoreindexcoveragepleaseseewww.ft.com/worldindices.Afullerversionofthistableisavailableontheft.comresearchdataarchive.
STOCKMARKET:BIGGESTMOVERS UKMARKETWINNERSANDLOSERS
AMERICA LONDON EUROMARKETS TOKYO Dec21 %Chg %Chg Dec21 %Chg %Chg Dec21 %Chg %Chg Dec21 %Chg %Chg
ACTIVESTOCKS stock close Day's ACTIVESTOCKS stock close Day's ACTIVESTOCKS stock close Day's ACTIVESTOCKS stock close Day's FTSE100 price(p) week ytd FTSE250 price(p) week ytd FTSESmallCap price(p) week ytd IndustrySectors price(p) week ytd
tradedm's price change tradedm's price change tradedm's price change tradedm's price change Winners Winners Winners Winners
Tesla 108.3 138.81 1.01 RioTinto 179.1 5782.00 119.00 RocheGs 362.6 302.92 1.78 MitsubishiUfjFin,. 2625.1 850.50 32.10 Antofagasta 1559.50 6.9 15.9 GamesWorkshop 8615.00 15.3 - Hunting 323.00 22.3 101.9 IndustrialMetals 7878.17 3.3 23.7
Apple 50.0 135.55 3.25 Diageo 157.3 3693.00 63.50 NestleN 257.6 110.29 1.55 SumitomoMitsuiFin,. 1675.0 5179.00 205.00 Beazley 672.50 5.2 44.3 Drax 675.50 7.8 10.3 Trifast 68.80 18.0 -57.0 Mining 11097.91 3.3 -
Nvidia 27.7 164.69 3.84 Shell 145.5 2354.50 47.00 NovartisN 237.6 86.14 1.15 ToyotaMotor 891.4 1808.00 -37.00 Centrica 95.88 4.2 34.3 Investec 510.40 6.8 24.0 Nanoco 43.40 15.7 - Oil&GasProducers 8217.25 2.6 43.8
Amazon.com 26.0 86.67 1.48 Bp 138.8 480.00 12.55 Totalenergies 191.8 59.03 1.73 Softbank. 701.1 5800.00 74.00 AngloAmerican 3249.50 3.7 7.6 Clarkson 3040.00 6.1 - Zotefoams 335.00 12.4 -17.8 Tobacco 36306.97 2.5 23.9
Nike 24.4 117.35 14.14 Glencore 121.9 560.80 12.80 AsmlHolding 180.8 544.10 14.10 MizuhoFin,. 599.4 1806.00 39.00 Glencore 560.80 3.7 47.9 Qinetiq 363.60 5.6 36.5 Fisher(james)&Sons 372.00 12.4 2.3 Aerospace&Defense 5133.63 2.5 22.6
Microsoft 22.9 243.67 1.87 Astrazeneca 113.3 11244.00 118.00 NovoNordiskBA/s 171.5 124.38 0.00 TokyoElectron 537.1 40970.00 -620.00 EndeavourMining 1759.00 3.3 8.6 Mitchells&Butlers 138.50 5.2 - OxfordBiomedica 416.00 12.0 -65.4 Banks 3282.97 1.7 7.8
AdvancedMicroDevices 15.4 67.37 2.32 Unilever 90.3 4225.00 68.50 Unicredit 161.3 13.40 0.20 FastRetailingCo., 490.1 79340.00 140.00 StandardChartered 625.80 3.2 39.9 ParagonBanking 560.00 4.7 -0.8 OnTheBeach 151.00 11.7 - NonlifeInsurance 3301.92 1.4 0.3
MetaPlatforms 11.1 119.60 2.51 Prudential 71.8 1092.50 34.50 IntesaSanpaolo 158.4 2.10 0.03 NintendoCo., 487.8 5540.00 -1.00 Fresnillo 881.80 3.2 0.5 TullowOil 37.98 4.6 - Saga 122.40 10.9 - Construction&Materials 6854.83 0.6 -
Boeing 9.9 196.22 7.93 JohnsonMatthey 71.5 2139.00 -1.00 Eni 155.8 13.46 0.46 Sony 385.8 10185.00 -165.00 BaeSystems 860.40 3.1 56.3 HiltonFood 547.00 4.2 - CityOfLondonInvestment 450.00 9.8 - Food&DrugRetailers 4152.31 0.5 -5.1
Netflix 9.0 297.39 9.20 BritishAmericanTobacco 71.4 3353.50 39.00 UbsN 132.0 17.56 0.63 Dai-ichiLifeHoldings 382.4 2950.00 64.50 RioTinto 5782.00 2.8 18.1 GcpInfrastructureInvestments 101.80 3.9 -6.1 ToppsTiles 52.60 9.4 - Electricity 10636.58 0.5 5.5
Pearson 938.40 2.8 55.1 Wetherspoon(J.d.) 441.60 3.8 - Hostelworld 120.00 7.7 73.4 HealthCareEquip.&Services 10885.43 0.0 31.8
BIGGESTMOVERS Close Day's Day's BIGGESTMOVERS Close Day's Day's BIGGESTMOVERS Close Day's Day's BIGGESTMOVERS Close Day's Day's
HsbcHoldings 511.30 2.7 14.1 Coats 71.50 3.8 3.2 Restaurant 29.60 6.7 - HouseholdGoods 10062.40 0.0 -
price change chng% price change chng% price change chng% price change chng%
Ups Ups Ups Ups Losers Losers Losers Losers
Nike 117.35 14.14 13.70 TullowOil 37.98 2.34 6.57 AdidasAgNaO.n. 125.60 7.30 6.17 SumitomoMitsuiFin,. 5179.00 205.00 4.12 Segro 766.20 -7.0 - NationalExpress 130.40 -15.2 - PodPointHoldings 56.60 -18.0 - GeneralFinancial 11575.61 -5.3 0.1
Carnival 8.53 0.43 5.31 JdSportsFashion 120.15 6.90 6.09 PhilipsKon 13.11 0.71 5.72 MitsubishiUfjFin,. 850.50 32.10 3.92 AutoTrader 524.80 -6.9 - Currys 57.10 -12.6 - AbrdnEurLogisticsome 67.10 -13.2 - PersonalGoods 30661.80 -5.3 -
Fedex 172.27 7.92 4.82 Iwg 158.20 8.65 5.78 A.p.M__ller-M__rskBA/s 2084.21 86.73 4.34 SumitomoMitsuiTrustHoldings,. 4583.00 144.00 3.24 Bunzl 2793.00 -6.8 -5.3 Trainline 265.00 -12.5 -4.4 IntPersonalFinance 67.20 -10.4 - RealEstate&InvestmentServic 2147.65 -4.4 -
AmericanAirlines 13.09 0.56 4.47 LiontrustAssetManagement 1082.00 52.00 5.05 SiemensEnergyAgNaO.n. 17.49 0.65 3.86 ResonaHoldings,. 713.60 21.10 3.05 LondonStockExchange 7154.00 -6.0 2.2 MoltenVentures 344.20 -10.8 - Petrofac 71.70 -8.8 - RealEstateInvestmentTrusts 2220.04 -4.3 -
Apa 46.01 1.88 4.26 Wood(john) 133.70 6.35 4.99 A.p.M__ller-M__rskAA/s 2047.90 75.30 3.82 KawasakiKisenKaisha, 2807.00 82.00 3.01 Halma 2048.00 -5.9 - Syncona 177.00 -10.2 - XpPower 1942.00 -8.8 - Software&ComputerServices 1787.55 -3.7 -
Rightmove 526.80 -5.9 - BalancedCommercialPropertyTrust 88.20 -9.4 - Esken 5.29 -7.8 - Electronic&ElectricalEquip. 8858.83 -3.6 -
Downs Downs Downs Downs
Spirax-sarcoEng 10750.00 -5.7 - TritaxBigBoxReit 138.10 -9.0 - SchroderRealEstateInvestmentTrust 42.05 -7.7 - IndustrialTransportation 3508.94 -3.3 -
HostHotels&Resorts 16.21 -0.70 -4.14 AstonMartinLagondaGlobalHoldings 156.85 -11.15 -6.64 Neste 44.55 -1.94 -4.17 HinoMotors, 513.00 -27.00 -5.00
Ocado 651.60 -5.4 - Discoverie 731.00 -9.0 - KinAndCarta 218.00 -7.6 - SupportServices 10020.84 -3.3 -
WalgreensBootsAlliance 38.54 -1.00 -2.52 Syncona 177.00 -4.60 -2.53 BayerAgNaO.n. 48.80 -0.57 -1.16 TokyoTatemonoCo., 1660.00 -82.00 -4.71
CrodaInt 6650.00 -5.2 -34.3 Marshalls 264.60 -8.9 - Manchester&LondonInvestmentTrust 332.00 -7.3 - Travel&Leisure 6359.55 -2.8 -
GeneracHoldings 89.07 -1.86 -2.05 BhMacro 4520.00 -80.00 -1.74 VolkswagenAgStO.n. 151.70 -0.95 -0.62 Fujikura 1014.00 -49.00 -4.61
Burberry 2028.00 -5.1 11.5 WatchesOfSwitzerland 830.00 -8.6 - PictonPropertyomeLd 76.70 -6.8 - IndustrialEngineering 13974.46 -2.8 -
HiltonWorldwideHoldings 127.05 -2.44 -1.88 Marshalls 264.60 -3.20 -1.19 SartoriusAgVzoO.n. 340.80 -0.10 -0.03 TokyuFudosanHoldings 638.00 -26.00 -3.92
Experian 2834.00 -5.0 - SiriusRealEstateLd 73.40 -7.4 - AuroraInvestmentTrust 195.00 -6.7 - Chemicals 11754.93 -2.7 -
FirstSolar 154.65 -1.94 -1.24 Videndum 1050.00 -12.00 -1.13 Edf 12.00 0.00 0.00 Panasonic 1145.00 -44.50 -3.74
ScottishMortgageInvestmentTrust 733.20 -4.9 - WizzAirHoldings 2066.00 -7.1 - Treatt 616.00 -6.7 -52.2 GeneralIndustrials 6091.89 -2.4 -
BasedontheconstituentsoftheS&P500 BasedontheconstituentsoftheFTSE350index BasedontheconstituentsoftheFTSEurofirst300Eurozoneindex BasedontheconstituentsoftheNikkei225index
Basedonlastweek'sperformance.†Priceatsuspension.
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
Dec21 Currency Mid Change Mid Change Mid Change Dec21 Currency Mid Change Mid Change Mid Change Dec21 Currency Mid Change Mid Change Mid Change Dec21 Currency Mid Change Mid Change Mid Change
Argentina ArgentinePeso 174.2502 0.3292 184.9573 -0.0866 211.0179 -0.1049 Indonesia IndonesianRupiah 15587.5000 -15.0000 16545.3342 -55.014118876.5793 -63.3527 Poland PolishZloty 4.3841 -0.0137 4.6535 -0.0255 5.3092 -0.0293 ..ThreeMonth 0.8260 0.0020 0.8761 0.0000 - -
Australia AustralianDollar 1.4893 -0.0109 1.5808 -0.0154 1.8036 -0.0176 Israel IsraeliShekel 3.4688 0.0028 3.6819 -0.0057 4.2007 -0.0066 Romania RomanianLeu 4.6138 0.0011 4.8973 -0.0104 5.5873 -0.0120 ..OneYear 0.8264 0.0020 0.8752 0.0001 - -
Bahrain BahraininDinar 0.3770 - 0.4002 -0.0009 0.4565 -0.0011 Japan JapaneseYen 131.9950 0.5800 140.1057 0.2862 159.8467 0.3218 Russia RussianRuble 71.6275 1.1275 76.0288 1.0200 86.7413 1.1612 UnitedStates UnitedStatesDollar - - 1.0614 -0.0025 1.2110 -0.0029
Bolivia BolivianBoliviano 6.9100 - 7.3346 -0.0173 8.3680 -0.0200 ..OneMonth 131.9944 0.5788 140.1055 0.2857 159.8461 0.3207 SaudiArabia SaudiRiyal 3.7610 - 3.9921 -0.0094 4.5546 -0.0109 ..OneMonth - - 1.0612 -0.1524 1.2111 -0.0029
Brazil BrazilianReal 5.2014 0.0141 5.5210 0.0019 6.2989 0.0020 ..ThreeMonth 131.9934 0.5768 140.1049 0.2846 159.8451 0.3186 Singapore SingaporeDollar 1.3505 0.0002 1.4335 -0.0032 1.6355 -0.0037 ..ThreeMonth - - 1.0607 -0.1524 1.2113 -0.0029
Canada CanadianDollar 1.3614 0.0002 1.4450 -0.0032 1.6486 -0.0037 ..OneYear 131.9885 0.5671 140.1016 0.2779 159.8461 0.3142 SouthAfrica SouthAfricanRand 17.1794 -0.1343 18.2350 -0.1860 20.8043 -0.2128 ..OneYear - - 1.0593 -0.1524 1.2116 -0.0029
Chile ChileanPeso 875.7000 -10.3450 929.5094 -13.2021 1060.4777 -15.0938 Kenya KenyanShilling 123.1500 -0.0500 130.7172 -0.3620 149.1353 -0.4173 SouthKorea SouthKoreanWon 1285.7500 -3.9000 1364.7558 -7.3729 1557.0506 -8.4577 Vietnam VietnameseDong 23725.0000 -30.0000 25182.8907 -91.398528731.1739 -105.1368
China ChineseYuan 6.9706 0.0000 7.3990 -0.0174 8.4415 -0.0201 Kuwait KuwaitiDinar 0.3064 0.0004 0.3252 -0.0004 0.3711 -0.0005 Sweden SwedishKrona 10.4075 -0.0038 11.0470 -0.0301 12.6035 -0.0347 EuropeanUnion Euro 0.9421 0.0022 - - 1.1409 0.0000
Colombia ColombianPeso 4757.1300 -9.8100 5049.4442 -22.3625 5760.9129 -25.6855 Malaysia MalaysianRinggit 4.4375 0.0040 4.7102 -0.0069 5.3738 -0.0080 Switzerland SwissFranc 0.9265 0.0005 0.9834 -0.0017 1.1220 -0.0020 ..OneMonth 0.9418 0.0022 - - 1.1408 0.0000
CostaRica CostaRicanColon 587.5850 0.7200 623.6904 -0.7071 711.5687 -0.8276 Mexico MexicanPeso 19.7095 -0.0495 20.9206 -0.1021 23.8683 -0.1172 Taiwan NewTaiwanDollar 30.7120 -0.0470 32.5992 -0.1270 37.1924 -0.1460 ..ThreeMonth 0.9414 0.0022 - - 1.1405 0.0000
CzechRepublic CzechKoruna 22.7806 0.0512 24.1804 -0.0027 27.5874 -0.0039 NewZealand NewZealandDollar 1.5876 0.0077 1.6851 0.0042 1.9225 0.0047 Thailand ThaiBaht 34.7300 -0.0350 36.8641 -0.1243 42.0582 -0.1431 ..OneYear 0.9399 0.0023 - - 1.1396 0.0000
Denmark DanishKrone 7.0063 0.0144 7.4369 -0.0022 8.4847 -0.0028 Nigeria NigerianNaira 455.7500 10.2500 483.7546 9.7629 551.9158 11.1227 Tunisia TunisianDinar 3.1255 0.0063 3.3175 -0.0011 3.7849 -0.0014
Egypt EgyptianPound 24.7343 0.0652 26.2542 0.0074 29.9534 0.0075 Norway NorwegianKrone 9.8389 -0.0502 10.4435 -0.0781 11.9150 -0.0894 Turkey TurkishLira 18.6648 0.0033 19.8116 -0.0433 22.6031 -0.0501
HongKong HongKongDollar 7.7918 0.0049 8.2706 -0.0143 9.4359 -0.0166 Pakistan PakistaniRupee 225.1500 -0.0250 238.9848 -0.5911 272.6579 -0.6824 UnitedArabEmirates UAEDirham 3.6725 -0.0005 3.8981 -0.0097 4.4474 -0.0112
Hungary HungarianForint 378.3504 -0.0039 401.5990 -0.9527 458.1845 -1.1004 Peru PeruvianNuevoSol 3.8233 -0.0128 4.0583 -0.0232 4.6301 -0.0265 UnitedKingdom PoundSterling 0.8258 0.0020 0.8765 0.0000 - -
India IndianRupee 82.8175 0.0612 87.9064 -0.1425 100.2925 -0.1655 Philippines PhilippinePeso 55.0900 -0.1525 58.4751 -0.3004 66.7143 -0.3447 ..OneMonth 0.8259 0.0020 0.8764 0.0000 - -
RatesarederivedfromWMReutersSpotRatesandMorningStar(latestratesattimeofproduction).Somevaluesarerounded.Currencyredenominatedby1000.Theexchangeratesprintedinthistablearealsoavailableatwww.FT.com/marketsdata
FTSEACTUARIESSHAREINDICES UKSERIES FT30INDEX FTSESECTORS:LEADERS&LAGGARDS FTSE100SUMMARY
www.ft.com/equities
ProducedinconjunctionwiththeInstituteandFacultyofActuaries Dec21 Dec20 Dec17 Dec16 Dec15 YrAgo High Low Yeartodatepercentagechanges Closing Day's Closing Day's
£Strlg Day's Euro £Strlg £Strlg Year Div P/E X/D Total FT30 2752.80 2706.40 2740.00 2718.90 2688.00 0.00 2870.10 2450.90 Oil&GasProducers 44.00 HealthCareEq&Srv -3.22 Construct&Material -19.44 FTSE100 PriceChange FTSE100 PriceChange
Dec21 chge% Index Dec20 Dec19 agoyield% Cover ratio adj Return FT30DivYield - - - - - 0.00 3.93 2.74 Oil&Gas 43.27 GasWater&Multi -4.39 FTSE250Index -19.66 3IGroupPLC 1329 40.50 IntertekGroupPLC 3970 81.00
FTSE100(100) 7497.32 1.72 6656.03 7370.62 7361.31 7297.41 3.63 1.61 17.10 267.19 7698.28 P/ERationet - - - - - 0.00 19.44 14.26 Tobacco 23.96 NonlifeInsurance -5.33 OilEquipment&Serv -20.21 AbrdnPLC 191.05 6.05 JdSportsFashionPLC 120.15 6.90
FTSE250(250) 18863.65 1.72 16746.92 18544.76 18648.96 22820.30 3.21 0.78 39.80 551.07 15704.71 FT30hourlychanges Mining 23.19 Travel&Leisure -8.37 SupportServices -20.39 AdmiralGroupPLC 2076 19.00 KingfisherPLC 233.40 6.10
FTSE250exInvCo(171) 19324.07 1.90 17155.68 18963.12 19078.44 23596.84 3.32 1.62 18.58 583.67 16415.91 8 9 10 11 12 13 14 15 16 High Low Aerospace&Defense 21.96 LifeInsurance -8.65 IndustrialEng -22.79 AirtelAfricaPLC 112.60 2.10 LandSecuritiesGroupPLC 619.00 12.00
FTSE350(350) 4135.64 1.72 3671.57 4065.75 4064.64 4166.72 3.57 1.50 18.63 143.48 8427.39 2706.4 2731 2730.8 2733.2 2735.2 2739.3 2739.2 2741.5 2748.1 2752.8 2706.4 BasicMaterials 14.13 LeisureGoods -8.97 MobileTelecomms -24.90 AngloAmericanPLC 3249.5 125.50 Legal&GeneralGroupPLC 253.00 6.80
FTSE350exInvestmentTrusts(268) 4077.40 1.73 3619.86 4007.94 4005.61 4062.73 3.62 1.70 16.24 143.61 4293.98 FT30constituentsandrecentadditions/deletionscanbefoundatwww.ft.com/ft30 Pharmace&Biotech 12.39 Media -9.40 Telecommunications -25.39 AntofagastaPLC 1559.5 41.00 LloydsBankingGroupPLC 46.25 0.73
FFTTSSEE335500HLoigwheerrYYiieelldd((211382)) 34527668..7754 11..5867 33718795..7339 43250131..0190 43251012..4516 43736069..6395 25..0080 01..9724 1512..5523 19624..6913 58225263..8972 FTWILSHIRE5000INDEXSERIES HBaenakltshCare 117..3624 BFienvaenrcaigaelss -1-91..4315 FHioxeudseLhinoeldTGeoleocdosm&mHso --2266..9914 AAsshsotecaiadteGdroBurpitiPsLhCFoodsPLC 41759776 7313..0000 LMo&ndGonPLSCtockExchangeGroupPLC 18761.7504 504..0400
FTSESmallCap(235) 6191.05 1.01 5496.34 6128.92 6130.49 7269.29 3.53 -0.22-128.31 207.87 10419.79 Electricity 5.44 Software&CompServ -12.60 Chemicals -29.49 AstrazenecaPLC 11244 118.00 MelroseIndustriesPLC 131.50 3.55
FTSESmallCapexInvCo(126) 4949.55 1.18 4394.15 4891.77 4899.37 6033.36 3.75 2.33 11.43 161.59 8662.01 Dec20 Dec20 PersonalGoods 4.55 Technology -12.82 Electronic&ElecEq -30.22 AutoTraderGroupPLC 524.80 4.80 MondiPLC 1425 34.00
FFFFFFFFTTTTTTTTSSSSSSSSEEEEEEEEAAAFAAAFlllllllIeelllllM-----ddSSSSSgghhhmmAllaiiaalnnaarlrre-gglleeSllee((eh(e83x5xxax118MrI)II65ennn)u)vvv(l7tCCC3inooo7a)(((t313io159n)74a))ls(522)114443114030780589102360756230452........4992434622014956 -10111100........7971071106346421 11333303683577223305381052537543........8547224761226607 114433114029680482738249865511618........9704728610014066 114433114026980592783242757723944........8468525570934593 1145441127100513904502718647083440........8992567686987284 33331333........5576797674520992 -10121037........4065781862921217-1113311390406038........1276155487005918 1111434412446741310011........6923862583754613 238984241439222922175866979610814........3128143997570976 FFFFSimnTTTTofauoWWWWrrrkcm.iiiiellllCssssa:hhhhotWiiiiiporrrryeeeenilrsi52MLighsa05hier00artgge00ve©a.aWiCC2laa0aibpl2psl2ehiWaretihAlstdhtpvirsies:/o./rAwsllwLrLiwCgh.(wWtsil3irsle8444shsh7999irei0538err5718e.vc....)e6037oid3424sm.a/nsoFFFiTTTlnuvWWWteiosiiinllltsssmshhh/eiiiirrrnneeedteSMMaxmdiiecdvasrilsCol.oaCWCrpaaripeplsghisirtee®rediswaitrhegthiseteSrEeCd.544sF275eu715rrv627tih...c348ee275r FBNUFCTTeotOSSivnlNiEeEstrui1AFeamI0sglNl0ee{ArHsInNGYdoC-e}oISxAdhLsaSreInIdnedxex 3----122111......269569283362 TFIFCFEnoiTeqondoScunauhdiEsnstuyHPtcSrmirIaimaonaerldvladrsSeulwSlescCtaeeravrrrIpinevsciseIc&ntesrdsEeqx -------11111118445675.......78985075990909 FGRRIAInnoeeeuddoaantuudollessmEEr&ttarrssoiilttaaDbRIIllirnnleTMuevvtrgseeaaessRin&tlttaese&&lrpPtssaoaiTS&rrlttreesr -------33334570345398.......70522674859709 AABBBBB&aaaevverraeiMvcrzvaaSllaaetyEPtyyGsuLsDtPrrCeoPoeLmpLuvCCeepslaoPPnpLLCmVCaelnutesRPeLtCailS.A. 44814614650735908722......71340050300800 115892248.......05231560004000 NNNOPPPeeecaaearrattxssriwdtohismoPnoienLansmGgCtlrPoGSGoLnuqrrCiopPuduLaPPCprLeLCPCHLColdingsLTD 12691065325205183690...925641..5080005 1316456304030.......50080000000000
BerkeleyGroupHoldings(The)PLC 3843 103.00 PhoenixGroupHoldingsPLC 611.60 17.60
FTSEAll-ShareTechnology(20) 1912.87 1.16 1592.27 1890.90 1908.85 2310.95 2.00 0.89 56.35 39.97 2771.23
FTSEAll-ShareTelecommunications(6)1401.56 1.07 1166.66 1386.66 1397.54 1856.97 7.56 1.04 12.75 99.22 2143.08 FTSEGLOBALEQUITYINDEXSERIES BPPLC 480.00 12.55 PrudentialPLC 1092.5 34.50
BritishAmericanTobaccoPLC 3353.5 39.00 ReckittBenckiserGroupPLC 5724 42.00
FTSEAll-ShareHealthCare(14) 14686.06 1.39 12224.65 14485.23 14464.53 13078.20 2.56 1.05 37.41 374.42 13602.14
FTSEAll-ShareFinancials(255) 4550.72 1.73 3788.01 4473.31 4463.39 4821.47 3.72 0.90 29.80 166.74 5065.45 Dec21 Noof US$ Day Mth YTD Total YTD GrDiv Dec21 Noof US$ Day Mth YTD Total YTD GrDiv BritishLandCompanyPLC 393.10 9.70 RelxPLC 2311 27.00
FTSEAll-ShareRealEstate(55) 813.39 1.90 708.29 798.26 809.76 1206.90 4.36 3.63 6.31 34.08 858.32 Regions&countries stocks indices % % % retn % Yield Sectors stocks indices % % % retn % Yield BtGroupPLC 113.50 1.50 RentokilInitialPLC 517.40 4.40
FTSEAll-ShareConsumerDiscretionary(83)4530.38 1.78 3771.08 4451.22 4469.96 5351.67 2.43 1.27 32.57 108.43 4806.40 FTSEGlobalAllCap 9443 677.16 0.2 -2.1 -20.1 1086.33 -18.3 2.4 OilEquipment&Services 24 272.84 1.7 -4.6 16.6 506.88 21.5 4.3 BunzlPLC 2793 -27.00 RightmovePLC 526.80 11.80
FTSEAll-ShareConsumerStaples(24)19626.43 1.43 16337.00 19349.06 19436.13 19727.30 3.90 1.13 22.70 698.72 18002.09 FTSEGlobalAllCap 9443 677.16 0.2 -2.1 -20.1 1086.33 -18.3 2.4 BasicMaterials 392 597.82 0.6 0.7 -11.1 1102.90 -7.2 4.5 BurberryGroupPLC 2028 26.00 RioTintoPLC 5782 119.00
FTSEAll-ShareIndustrials(84) 6231.20 1.48 5186.84 6140.16 6165.62 7238.02 2.30 1.36 32.06 138.27 7216.79 FTSEGlobalLargeCap 1898 606.07 0.1 -2.0 -20.2 1002.16 -18.4 2.4 Chemicals 195 785.75 0.6 -1.8 -18.9 1392.53 -16.5 3.2 CentricaPLC 95.88 1.50 Rolls-RoyceHoldingsPLC 91.12 2.69
FTSEAll-ShareBasicMaterials(22) 9370.86 2.47 7800.28 9145.20 9040.56 8137.77 5.80 2.01 8.58 539.20 12775.26 FTSEGlobalMidCap 2258 877.20 0.3 -1.7 -18.2 1324.25 -16.4 2.3 Forestry&Paper 20 254.45 0.9 -0.5 -16.6 516.08 -13.5 4.0 Coca-ColaHbcAG 1963.5 27.50 RsGroupPLC 921.00 20.00
FTSEAll-ShareEnergy(13) 8497.32 2.27 7073.15 8308.47 8255.71 5928.26 3.55 2.82 9.99 303.49 10340.10 FTSEGlobalSmallCap 5287 892.94 0.3 -2.9 -22.0 1288.41 -20.5 2.2 IndustrialMetals&Mining 99 492.44 0.9 1.7 -11.0 944.67 -6.1 5.2 CompassGroupPLC 1920.5 19.00 SageGroupPLC 760.80 11.20
FTSEAll-ShareUtilities(9) 8545.63 0.80 7113.37 8478.20 8455.67 8768.77 4.49 0.57 38.81 373.12 13029.95 FTSEAll-World 4156 398.35 0.2 -2.0 -19.8 676.77 -18.1 2.4 Mining 78 967.90 0.4 4.2 4.0 1889.92 10.6 6.0 ConvatecGroupPLC 231.40 6.40 Sainsbury(J)PLC 221.80 1.30
FTSEAll-ShareSoftwareandComputerServices(18)2062.08 1.15 1716.47 2038.63 2058.39 2486.31 2.00 0.89 56.29 43.17 3160.52 FTSEWorld 2665 721.57 0.3 -2.2 -19.6 1645.16 -17.9 2.4 Industrials 802 486.36 0.3 -1.5 -19.0 776.87 -17.3 2.1 CrhPLC 3303.5 69.50 SchrodersPLC 442.80 12.60
FTSEAll-ShareTechnologyHardwareandEquipment(2)5114.01 1.95 4256.89 5016.23 4995.01 6352.84 2.36 0.69 61.13 92.89 6628.49 FTSEGlobalAllCapexUNITEDKINGDOMIn 9154 714.36 0.2 -2.2 -20.3 1124.00 -18.6 2.3 Construction&Materials 156 556.21 0.0 -1.5 -24.7 937.00 -23.1 2.3 CrodaInternationalPLC 6650 68.00 ScottishMortgageInvestmentTrustPLC 733.20 19.20
FTSEAll-ShareTelecommunicationsEquipment(1) 598.19 2.14 497.93 585.67 593.72 622.70 2.06 2.31 21.08 11.51 855.06 FTSEGlobalAllCapexUSA 7636 487.08 0.2 0.5 -18.8 866.84 -16.3 3.3 Aerospace&Defense 35 893.08 0.7 2.3 11.2 1395.57 12.9 1.5 DccPLC 4132 102.00 SegroPLC 766.20 14.40
FTSEAll-ShareTelecommunicationsServiceProviders(5)2144.18 1.02 1784.81 2122.49 2138.51 2868.55 7.83 1.02 12.51 157.08 2988.23 FTSEGlobalAllCapexJAPAN 8039 704.88 0.0 -2.4 -20.3 1140.87 -18.6 2.4 GeneralIndustrials 76 235.93 0.8 -1.8 -15.0 417.50 -12.8 2.6 DiageoPLC 3693 63.50 SevernTrentPLC 2668 2.00
FTSEAll-ShareHealthCareProviders(3)10961.87 1.12 9124.64 10840.33 10909.43 8303.19 0.53 4.88 38.52 58.27 10174.39 FTSEGlobalAllCapexEurozone 8783 715.72 0.2 -2.2 -20.0 1123.26 -18.3 2.3 Electronic&ElectricalEquipment 157 605.90 0.1 -2.9 -24.6 871.32 -23.4 1.6 EndeavourMiningPLC 1759 27.00 ShellPLC 2354.5 47.00
FTSEAll-ShareMedicalEquipmentandServices(2)5518.69 2.34 4593.74 5392.32 5430.25 5773.65 2.59 0.97 40.05 142.76 5330.84 FTSEDeveloped 2175 662.24 0.3 -2.3 -19.7 1069.45 -18.1 2.2 IndustrialEngineering 158 985.72 0.5 0.1 -14.8 1568.75 -13.0 2.0 EntainPLC 1330.5 25.00 Smith&NephewPLC 1094 23.00
FTSEAll-SharePharmaceuticalsandBiotechnology(9)21023.67 1.34 17500.06 20745.86 20705.24 18579.42 2.58 1.04 37.27 539.80 17533.53 FTSEDevelopedAllCap 5817 689.43 0.3 -2.4 -20.0 1096.92 -18.3 2.2 IndustrialTransportation 131 899.72 -0.7 -1.4 -19.0 1467.22 -16.3 3.6 ExperianPLC 2834 32.00 Smith(Ds)PLC 319.50 4.30
FTSEAll-ShareBanks(12) 3239.72 1.54 2696.74 3190.59 3154.77 2963.16 4.03 2.63 9.44 129.94 2868.34 FTSEDevelopedLargeCap 833 620.44 0.3 -2.4 -20.0 1019.72 -18.3 2.2 SupportServices 89 502.32 0.6 -3.8 -29.3 748.32 -28.3 1.6 F&CInvestmentTrustPLC 910.00 16.00 SmithsGroupPLC 1609 25.50
FTSEAll-ShareFinanceandCreditServices(8)9943.85 0.91 8277.24 9854.24 9892.01 9749.59 2.13 2.28 20.61 210.32 13362.83 FTSEDevelopedEuropeLargeCap 218 377.20 0.2 0.7 -16.1 747.81 -13.4 3.3 ConsumerGoods 566 539.05 -0.6 -1.3 -21.8 907.24 -20.1 2.5 FlutterEntertainmentPLC 11650 220.00 SmurfitKappaGroupPLC 3089 59.00
FTSEAll-ShareInvestmentBankingandBrokerageServices(31)8409.76 2.77 7000.27 8183.10 8269.97 10370.30 5.27 1.55 12.27 437.54 11880.01 FTSEDevelopedEuropeMidCap 354 561.13 0.0 -0.3 -27.2 965.87 -25.1 3.1 Automobiles&Parts 132 454.81 -2.3 -9.4 -41.2 735.01 -40.3 2.3 FrasersGroupPLC 743.00 21.50 Spirax-SarcoEngineeringPLC 10750 65.00
FTSEAll-ShareClosedEndInvestments(191)11581.91 1.34 9640.76 11428.52 11475.48 14016.87 2.75 -3.43 -10.58 305.55 7260.48 FTSEDevEuropeSmallCap 743 788.16 0.0 -0.3 -28.6 1303.20 -26.6 3.3 Beverages 72 771.30 -0.1 1.6 -4.3 1314.08 -2.2 2.3 FresnilloPLC 881.80 15.60 SsePLC 1716 13.50
FTSEAll-ShareLifeInsurance(6) 7106.65 2.84 5915.56 6910.10 6904.72 7620.87 4.31 1.08 21.46 294.59 8696.74 FTSENorthAmericaLargeCap 235 818.38 0.1 -3.9 -21.5 1230.99 -20.3 1.8 FoodProducers 134 717.13 -0.1 0.3 -8.7 1237.49 -6.6 2.5 GlaxosmithklinePLC 1453.2 26.20 St.James'sPlacePLC 1108.5 35.50
FTSEAll-ShareNonlifeInsurance(7) 3715.26 1.30 3092.58 3667.46 3634.27 3630.37 3.85 1.24 20.94 130.27 7912.17 FTSENorthAmericaMidCap 422 1084.65 0.3 -3.0 -17.0 1509.50 -15.5 1.9 HouseholdGoods&HomeConstruction 64 534.43 -0.1 3.8 -18.3 901.52 -16.1 2.7 GlencorePLC 560.80 12.80 StandardCharteredPLC 625.80 4.60
FTSEAll-ShareRealEstateInvestmentandServices(10)2058.26 1.95 1713.29 2018.97 2022.86 3056.55 2.47 3.66 11.09 43.02 6143.06 FTSENorthAmericaSmallCap 1331 1051.59 0.5 -4.6 -20.3 1402.34 -19.1 1.7 LeisureGoods 53 229.70 0.2 -1.7 -27.9 325.07 -26.9 1.5 HaleonPLC 320.70 6.15 TaylorWimpeyPLC 102.75 3.13
FTSEAll-ShareRealEstateInvestmentTrusts(45)2021.11 1.89 1682.37 1983.69 2016.76 2990.07 4.71 3.63 5.85 93.16 3075.41 FTSENorthAmerica 657 537.33 0.2 -3.7 -20.7 826.41 -19.4 1.8 PersonalGoods 97 898.57 -0.3 0.9 -22.2 1385.84 -20.7 1.9 HalmaPLC 2048 -8.00 TescoPLC 226.90 2.50
FTSEAll-ShareAutomobilesandParts(2)1473.26 -2.96 1226.34 1518.14 1567.49 3426.88 0.77-34.22 -3.80 14.02 1532.70 FTSEDevelopedexNorthAmerica 1518 259.96 0.5 1.0 -17.6 498.01 -15.1 3.2 Tobacco 14 1010.84 0.4 3.9 5.1 2862.19 10.0 6.1 HargreavesLansdownPLC 855.80 24.00 UnileverPLC 4225 68.50
FTSEAll-ShareConsumerServices(2)3162.84 0.99 2632.74 3131.88 3135.49 2632.83 1.21 2.76 29.85 38.43 4012.05 FTSEJapanLargeCap 169 376.84 2.6 2.8 -17.3 554.01 -15.3 2.6 HealthCare 339 721.38 0.1 0.9 -8.6 1151.07 -7.0 1.8 HomeservePLC 1198 3.00 UniteGroupPLC 906.00 20.00
FTSEAll-ShareHouseholdGoodsandHomeConstruction(11)8406.11 2.97 6997.22 8163.89 8165.57 14544.96 8.84 1.60 7.06 710.24 7564.21 FTSEJapanMidCap 339 529.87 2.3 3.1 -13.7 739.89 -11.5 2.7 HealthCareEquipment&Services 132 1350.89 -0.3 -0.4 -18.8 1658.95 -18.0 1.0 HSBCHoldingsPLC 511.30 8.50 UnitedUtilitiesGroupPLC 1018 8.00
FTSEAll-ShareLeisureGoods(2) 23114.40 1.84 19240.38 22695.98 23001.62 24836.75 2.92 1.59 21.47 831.45 25832.18 FTSEGlobalwiJAPANSmallCap 896 591.65 2.4 3.7 -15.0 857.97 -12.6 2.8 Pharmaceuticals&Biotechnology 207 493.65 0.3 1.8 -0.7 846.98 1.6 2.2 ImperialBrandsPLC 2083 17.00 VodafoneGroupPLC 84.50 0.70
FTSEAll-SharePersonalGoods(4) 26366.32 1.97 21947.27 25857.54 26332.06 29616.91 2.13 2.80 16.74 558.37 20738.30 FTSEJapan 508 155.09 2.5 2.9 -16.6 255.30 -14.5 2.6 ConsumerServices 428 512.50 0.0 -2.8 -27.3 732.37 -26.4 1.3 InformaPLC 618.40 15.20 WeirGroupPLC 1707 46.00
FTSEAll-ShareMedia(11) 9371.74 1.67 7801.01 9218.14 9253.68 9807.77 2.36 1.47 28.83 221.42 6593.97 FTSEAsiaPacificLargeCapexJapan 1081 665.65 -1.2 1.4 -20.2 1214.48 -17.8 3.2 Food&DrugRetailers 69 317.54 0.3 -0.3 -7.8 505.46 -5.6 2.4 IntercontinentalHotelsGroupPLC 4801 32.00 WhitbreadPLC 2659 45.00
FTSEAll-ShareRetailers(22) 1845.33 2.55 1536.05 1799.50 1807.22 2754.69 2.99 3.08 10.89 54.64 2408.65 FTSEAsiaPacificMidCapexJapan 859 955.99 -1.0 2.4 -15.7 1681.72 -13.0 3.5 GeneralRetailers 141 889.16 -0.4 -4.2 -30.5 1216.02 -29.8 1.0 InternationalConsolidatedAirlinesGroupS.A. 129.58 1.74 WppPLC 820.80 21.00
FTSEAll-ShareTravelandLeisure(29)6217.65 1.56 5175.56 6121.94 6148.69 7290.20 0.65 -7.30 -21.02 40.99 6431.06 FTSEAsiaPacificSmallCapexJapan 2053 530.79 -1.5 0.5 -27.1 906.55 -25.0 3.2 Media 75 285.25 0.5 -3.0 -39.2 410.20 -38.5 1.4
FTSEAll-ShareBeverages(5) 28275.12 1.71 23536.15 27798.45 27862.04 31020.58 2.12 2.01 23.55 584.47 22660.17 FTSEAsiaPacificExJapan 1940 530.68 -1.2 1.5 -19.7 1029.01 -17.3 3.3 Travel&Leisure 143 443.46 0.3 -0.2 -13.5 648.10 -12.5 1.2 UKSTOCKMARKETTRADINGDATA
FTSEAll-ShareFoodProducers(10) 5877.35 1.84 4892.29 5770.91 5836.17 6831.29 2.63 2.27 16.77 152.70 5725.05 FTSEEmergingAllCap 3626 697.90 -0.8 1.1 -20.7 1219.19 -18.0 3.7 Telecommunication 89 126.88 0.3 -3.0 -14.4 299.71 -10.9 4.4
FTSEAll-ShareTobacco(2) 36307.03 1.10 30221.89 35910.96 36046.57 29921.27 6.53 0.87 17.62 1906.82 34100.23 FTSEEmergingLargeCap 1065 643.43 -0.8 1.1 -21.8 1130.71 -19.0 3.7 FixedLineTelecommuniations 31 99.10 0.8 -2.8 -12.1 269.45 -7.5 5.3 Dec21 Dec20 Dec19 Dec16 Dec15 YrAgo
FTSEAll-ShareConstructionandMaterials(15)7272.21 1.70 6053.37 7150.82 7148.50 8765.30 3.18 0.66 47.93 230.56 8873.56 FTSEEmergingMidCap 916 1017.15 -0.3 1.4 -11.5 1786.40 -8.3 3.9 MobileTelecommunications 58 149.98 0.1 -3.1 -15.6 304.88 -12.7 4.0 OrderBookTurnover(m) 89.11 45.09 93.57 93.57 93.57 518.98
FTSEAll-ShareAerospaceandDefense(7)5387.46 1.41 4484.51 5312.78 5281.88 4277.47 2.18 0.10 460.84 104.10 6571.04 FTSEEmergingSmallCap 1645 750.52 -1.0 0.9 -22.5 1253.33 -19.9 3.5 Utilities 199 319.25 0.3 1.9 -7.0 748.10 -4.0 3.3 OrderBookBargains 514068.00 476735.00 851537.00 851537.00 851537.00 655002.00
FTSEAll-ShareElectronicandElectricalEquipment(11)10426.27 1.04 8678.81 10318.64 10425.18 13866.19 1.69 2.09 28.42 161.86 10312.46 FTSEEmergingEurope 116 126.90 0.5 12.0 -69.4 266.12 -68.0 2.8 Electricity 141 362.08 0.4 2.0 -6.1 835.31 -3.2 3.2 OrderBookSharesTraded(m) 1034.00 897.00 2985.00 2985.00 2985.00 1133.00
FTSEAll-ShareGeneralIndustrials(8)4901.76 1.38 4080.21 4835.21 4865.29 5551.73 2.96 1.22 27.68 151.23 6486.36 FTSELatinAmericaAllCap 261 696.51 3.0 -1.8 -1.8 1388.02 7.4 10.4 GasWater&Multiutilities 58 313.50 0.0 1.5 -9.1 760.87 -5.9 3.7 TotalEquityTurnover(£m) 7890.73 5740.91 19616.71 19616.71 19616.71 5856.96
FTSEAll-ShareIndustrialEngineering(5)15436.64 1.31 12849.43 15237.11 15328.46 19475.17 1.69 2.01 29.40 261.52 20735.59 FTSEMiddleEastandAfricaAllCap 331 720.03 -0.1 -4.9 -9.6 1320.53 -6.8 3.3 Financials 852 255.77 0.5 -1.6 -14.8 492.35 -12.1 3.3 TotalMktBargains 674002.00 637458.00 1051844.00 1051844.00 1051844.00 840215.00
FTSEAll-ShareIndustrialSupportServices(30)9639.11 1.60 8023.58 9487.35 9555.60 12169.98 2.00 1.67 29.96 196.21 11101.62 FTSEGlobalwiUNITEDKINGDOMAllCapIn 289 313.32 0.1 1.2 -12.9 641.47 -9.8 3.7 Banks 269 194.90 1.0 -1.9 -13.9 418.32 -10.4 4.2 TotalSharesTraded(m) 4836.00 4879.00 8043.00 8043.00 8043.00 6207.00
FTSEAll-ShareIndustrialTransportation(8)5298.42 1.62 4410.39 5213.94 5247.05 6818.77 2.10 3.34 14.25 102.86 5556.14 FTSEGlobalwiUSAAllCap 1807 921.99 0.2 -3.8 -20.9 1336.92 -19.7 1.7 NonlifeInsurance 72 361.77 1.2 1.7 3.2 604.58 6.3 2.9 †Excludingintra-marketandoverseasturnover.*UKonlytotalat6pm.‡UKplusintra-marketturnover.(u)Unavaliable.
FTSEAll-ShareIndustrialMaterials(1)16753.13 1.52 529.78 16503.08 16403.06 20503.83 1.96 1.81 28.16 329.06 21161.70 FTSEEuropeAllCap 1466 426.58 0.2 0.6 -20.3 811.97 -17.8 3.2 LifeInsurance 52 223.60 1.3 3.6 -7.5 431.61 -3.8 3.9 (c)Marketclosed.
FTSEAll-ShareIndustrialMetalsandMining(9)8482.62 2.62 7060.92 8265.81 8158.53 6788.57 6.17 2.02 8.02 517.75 13021.33 FTSEEurozoneAllCap 660 412.43 0.3 -0.1 -20.5 778.99 -18.0 3.2 FinancialServices 209 418.17 0.1 -3.5 -16.2 635.65 -14.8 1.8
FTSEAll-SharePreciousMetalsandMining(5)10478.27 1.75 8722.09 10297.96 10168.59 18255.71 3.44 1.83 15.90 358.99 7387.54 FTSEEDHEC-RiskEfficientAll-World 4156 459.00 0.2 -1.3 -15.9 723.97 -13.8 2.8 Technology 359 446.67 0.0 -4.4 -34.2 583.39 -33.5 1.2
FTSEAll-ShareChemicals(7) 12978.87 1.07 10803.58 12841.23 12912.45 18039.31 2.69 1.82 20.35 355.95 13039.64 FTSEEDHEC-RiskEfficientDevelopedEurope 572 310.77 0.1 0.4 -24.8 547.10 -22.5 3.3 Software&ComputerServices 184 676.85 0.3 -2.0 -36.7 819.06 -36.3 0.7 AlldataprovidedbyMorningstarunlessotherwisenoted.Allelementslistedareindicativeandbelieved
FTSEAll-ShareOil.GasandCoal(12)8249.08 2.27 6866.52 8065.70 8014.43 5753.31 3.55 2.82 9.99 294.63 10410.31 Oil&Gas 130 400.20 1.2 -4.8 22.1 822.99 28.2 4.8 TechnologyHardware&Equipment 175 394.46 -0.5 -6.9 -31.2 554.67 -30.2 1.7 accurateatthetimeofpublication.NoofferismadebyMorningstarortheFT.TheFTdoesnotwarrantnor
Oil&GasProducers 86 397.81 1.3 -5.1 25.2 840.54 32.0 5.1 AlternativeEnergy 20 188.26 -1.2 0.1 -9.7 270.18 -9.3 0.4 guaranteethattheinformationisreliableorcomplete.TheFTdoesnotacceptresponsibilityandwillnotbe
FNToSnEFSineacntocriaInlsd(i3c3e0s) 5009.76 1.69 4447.61 4926.37 4927.85 5002.67 3.53 1.63 17.41 170.86 9070.19 RReeaallEEssttaatteeInInvveesstmtmeenntt&TSruesrvtsices 114028 244390..4545 --10..57 -02..98 --2247..28 1408069..3744 --2225..05 34..20 lFioarblae[e-mail].
FTSEGlobalLargeCap 1898 606.07 0.1 -2.0 -20.2 1002.16 -18.4 2.4
Hourlymovements 8.00 9.00 10.00 11.00 12.00 13.00 14.00 15.00 16.00 High/day Low/day TheFTSEGlobalEquitySeries,launchedin2003,containstheFTSEGlobalSmallCapIndicesandbroaderFTSEGlobalAllCapIndices(large/mid/smallcap)aswellastheenhancedFTSEAll-WorldindexSeries(large/ DataprovidedbyMorningstar|www.morningstar.co.uk
FTSE100 7384.15 7395.83 7407.23 7412.82 7440.09 7445.77 7438.64 7458.54 7489.95 7497.32 7380.00 midcap)-pleaseseehttps://research.ftserussell.com/Products/indices/Home/indexfiltergeis?indexName=GEISAC&currency=USD&rtn=CAP&segment=global-developed–emerging.ThetradenamesFundamentalIndex®
FTSE250 18573.16 18685.35 18675.65 18677.99 18726.18 18744.09 18743.72 18771.85 18855.98 18865.98 18573.16 andRAFI®areregisteredtrademarksandthepatentedandpatent-pendingproprietaryintellectualpropertyofResearchAffiliates,LLC(USPatentNos.7,620,577;7,747,502;7,778,905;7,792,719;PatentPendingPubl.
FTSESmallCap 6127.52 6137.33 6140.72 6146.27 6157.62 6159.46 6161.18 6167.97 6190.45 6191.26 6123.65 Nos.US-2006-0149645-A1,US-2007-0055598-A1,US-2008-0288416-A1,US-2010-0063942-A1,WO2005/076812,WO2007/078399A2,WO2008/118372,EPN1733352,andHK1099110).”EDHEC™”isatrademark
FTSEAll-Share 4033.92 4042.83 4047.78 4050.50 4064.59 4067.75 4064.52 4074.54 4091.81 4095.42 4032.50 ofEDHECBusinessSchoolAsofJanuary2nd2006,FTSEisbasingitssectorindicesontheIndustrialClassificationBenchmark-pleaseseewww.ftse.com/icb.ForconstituentchangesandotherinformationaboutFTSE,
TimeofFTSE100Day'shigh:16:35:28Day'sLow08:35:30FTSE1002010/11High:7672.40(10/02/2022)Low:6826.15(12/10/2022) pleaseseewww.ftse.com.©FTSEInternationalLimited.2013.AllRightsreserved.”FTSE®”isatrademarkoftheLondonStockExchangeGroupcompaniesandisusedbyFTSEInternationalLimitedunderlicence.
TimeofFTSEAll-ShareDay'shigh:16:45:37Day'sLow08:11:00FTSE1002010/11High:4296.96(10/02/2022)Low:3712.50(12/10/2022)
Furtherinformationisavailableonhttp://www.ftse.com©FTSEInternationalLimited.2013.AllRightsreserved.”FTSE®”isatrademarkofthe
LondonStockExchangeGroupcompaniesandisusedbyFTSEInternationalLimitedunderlicence.†SectorP/Eratiosgreaterthan80arenotshown.
ForchangestoFTSEFledglingIndexconstituentspleaserefertowww.ftse.com/indexchanges.‡Valuesarenegative.
UKRIGHTSOFFERS UKCOMPANYRESULTS UKRECENTEQUITYISSUES
Amount Latest Company Turnover Pre-tax EPS(p) Div(p) Payday Total Issue Issue Stock Close Mkt
Issue paid renun. closing 4Global Int 1.389 1.262 1.236L 0.091 4.300L 0.000 0.00000 0.00000 - 0.000 0.000 date price(p) Sector code Stock price(p) +/- High Low Cap(£m)
price up date High Low Stock Pricep +or- AberdeenDiversifiedIncomeandGrowthTrust Pre 1.416 21.139 0.230L 6.670 1.40000 1.38000 Jan19 2.800 2.760 12/15 29.84 AIM S247 Smarttech247GroupPLC 30.00 -0.75 31.46 30.00 3722.4
TherearecurrentlynorightsoffersbyanycompanieslistedontheLSE. AstraZeneca Pre 7349.000 8292.000 2053.000 3288.000 1.280 2.080 0.00000 0.00000 - 0.000 0.000 12/05 0.30 HELD HellenicDynamicsPLC 0.15 -0.01 0.32 0.13 1910.8
CapitalMetals Int 0.000 0.000 0.378L 1.197L 0.001L 0.002L 0.00000 0.00000 - 0.000 0.000
Carnival Pre 12169.000 1908.000 6080.000L 9522.000L 5.160L 8.460L 0.00000 0.00000 - 0.000 0.000
Coca-ColaEuropacificPartners 1st 1868.000 1844.000 149.000 144.000 0.360 0.320 0.00000 0.00000 - 0.000 0.000
Coca-ColaEuropacificPartners 3rd 6146.000 1844.000 713.000 144.000 1.940 0.320 0.00000 0.00000 - 0.000 0.000
Coca-ColaEuropacificPartners Pre 6146.000 1844.000 713.000 144.000 1.940 0.320 0.00000 0.00000 - 0.000 0.000
Coca-ColaEuropacificPartners Pre 4076.000 1844.000 429.000 144.000 1.040 0.320 0.00000 0.00000 - 0.000 0.000
Coca-ColaEuropacificPartners Pre 1868.000 1844.000 149.000 144.000 0.360 0.320 0.00000 0.00000 - 0.000 0.000
GreatSouthernCopper Int 0.000 0.000 0.481L 0.085L 0.226L 0.000 0.00000 0.00000 - 0.000 0.000
IntuitiveInvestmentsGroup Pre 0.000 - 1.567L - 2.010L - 0.00000 - - 0.000 -
Figuresin£m.Earningsshownbasic.Figuresinlighttextareforcorrespondingperiodyearearlier. §Placingprice.*Intoduction.‡Whenissued.Annualreport/prospectusavailableatwww.ft.com/ir
Formoreinformationondividendpaymentsvisitwww.ft.com/marketsdata ForafullexplanationofalltheothersymbolspleaserefertoLondonShareServicenotes.