BNP Paribas hit by equities troubles

摘要

BNP PARIBAS made a €87m loss in equities trading in the first quarter after extremely volatile markets and the unexpected suspension of many dividends dislocated hedging set up against structured products. A year earlier it pulled in €488m from equities trading revenues. SOCIETE GENERALE had a week earlier reported a similar equities crash stemming from structured products. And smaller rival NATIXIS on Wednesday also took a €130m charge relating to dividend suspensions affecting its equities division, meaning it chalked up a €32m loss in the quarter for the unit, against €132m of revenues a year ago. French banks have smaller cash equities businesses than many international rivals. Cash equities benefited from strong volumes during the quarter, and the big five US banks reported a 21% rise in equities revenues and other European investment banks reported a 15% increase. But not the French banks.