Tuesday’s Headlines: TD Bank looks to expand its wealth management in the U.S.
Toronto-Dominion Bank is looking toward the U.S. market as it seeks to grow its mutual fund and investment advice business, according to a Businessweek story. The second largest Canadian lender has made remarkable inroads in its southern neighbor – launching 1,300 branches in the past seven years and spending $25 billion to open retail locations and buy up other banks – all focused on urban, affluent areas.
TD Bank currently offers investment advice through TD Ameritrade, in which it owns a 45 percent stake and which usually serves clients with less than $750,000 in assets. The bank will have more than 2,000 wealth advisers in Canada by the end of this year, up slightly from 2011, and has invested heavily in technology and infrastructure in the business.
Wealth management jives with the bank’s home, auto, life and health insurance business, which earned C$541 million last year, as there are opportunities to sell insurance to wealth management clients, according to the bank’s CEO.
Spain’s Santander said Q4 profits plunged 98 percent on tougher real estate-loss rules and earnings in the UK and Brazil. [WSJ]
Commerzbank’s CEO thought he had acted "honorably" when the bank did not to pay bonuses to 104 investment bankers. [NY Times]
Swiss hedge fund company Gottex will cut costs by 15 percent this year after assets fell by $1 billion to $7.34 billion. [Reuters]