Reuters : Thomas Cook sets May 7 deadline for interest in airline business: sour

Thomas Cook sets May 7 deadline for interest in airline business: sources - https://reut.rs/2V5B0wG

LONDON (Reuters) - Thomas Cook has set a deadline of May 7 for expressions of interest in its airline business, with Indigo Partners and Lufthansa among the likely bidders, sources said.

The heavily-indebted British travel group put its profitable airline business up for sale in February after profit warnings in 2018 left it needing to raise cash.

Thomas Cook’s airlines business consists of Germany’s Condor, as well as British, Scandinavian and Spanish operations.

A sale of the business, in whole or in part, would enable the world’s oldest tour operator to invest more in its own hotels and improve its online sales.

A source familiar with the discussions said that Indigo and Germany’s Lufthansa appeared most interested in the business.

British Airways owner IAG should not be ruled out and easyJet has engaged in talks but is seen as less interested, the source added.

It is not clear whether Ireland’s Ryanair would bid.

Another source said that private equity groups KKR and Apollo might also look at taking over the whole of Thomas Cook.

The airlines business would provide access to valuable European slots linking Britain to Spain, Greece and Turkey.

Thomas Cook, Indigo, IAG and easyJet declined to comment, while Lufthansa and Ryanair were not immediately available.

Lufthansa executives have said repeatedly that the German airline wants to “play an active role” in consolidation.

Indigo, the private equity firm managed by Bill Franke, the veteran U.S. low-cost airline investor, has previously made investments in several airlines including Hungary’s Wizz.

Thomas Cook has been revamping different parts of its business this year, closing high street stores and reviewing its money division as it focuses on holidays.

The company was hit badly in 2018 when a hot European summer deterred customers from booking holidays through the year.

One banking source said the airline would fetch less than 1 billion euros ($1.12 billion). Thomas Cook has a current market value of just over 400 million pounds ($522.68 million).

Sources said that competition issues could influence which parts of the business different suitors go for.

Sky News has said China’s Fosun International, a Thomas Cook shareholder, was interested in its tour business.

FT : Hulu closes gap with Netflix in the US Disney-owned streaming service has a

Hulu closes gap with Netflix in the US
Disney-owned streaming service has added 4m new subscribers so far this year

Hulu has added nearly 4m paying subscribers so far this year, as the Disney-owned streaming company gains ground on Netflix in the US.

The company, whose original shows include The Handmaid’s Tale, now has 26.8m paying subscribers, it revealed ahead of its annual presentation to advertisers on Wednesday. Including free trials, it has 28m customers, it said.

This remains a far cry from rival Netflix, which dominates video streaming with 149m subscribers globally. Hulu operates in the US only.

But in the US, Hulu’s growth has been rapid while Netflix has slowed. Netflix added 1.7m subscribers in the US in the first three months of 2019, according to its most recent earnings report. Hulu added 3.8m in the first four months of the year.

The event for advertisers on Wednesday was part of a season of glitzy presentations known as upfronts in which the major US media companies vie to lure ad dollars to their TV channels and streaming services.

Hulu brought out stars including George Clooney, Reese Witherspoon, Kate McKinnon, Margot Robbie, Mindy Kaling and Chrissy Teigen, underscoring the growing clout of streaming companies in Hollywood.

Mr Clooney joked it was his first upfront in 25 years, alluding to his role on the hit show ER in the Nineties, while thanking Hulu for running reruns of the show.

Hulu unveiled new shows that it hopes will convince advertisers of its cultural cachet and relevance with younger viewers.

It has commissioned two television series based on Disney’s Marvel characters. It is also working with Vox Media’s production studio to make cooking shows with David Chang and Chrissy Teigen. And it gave the green light to a series starring Kate McKinnon as Elizabeth Holmes of Theranos.

Hulu, which was conceived as a joint venture among traditional media companies getting into the streaming business for the first time, now has only two owners: Disney, with a 60 per cent stake, and Comcast, with 30 per cent. Disney chief Bob Iger has said he may be interested in taking full control of the company.

AT&T sold its 10 per cent stake in Hulu back to the company last month in a deal that pegged the value of Hulu at $15bn. Netflix’s market capitalisation is over $160bn.

Disney executives said at an investor day last month that they expect Hulu to grow to between 40m and 60m subscribers by 2024. Hulu is lossmaking, and Disney does not expect it to become profitable until 2023 or 2024.

FT : Homegrown Islamist extremists still UK’s biggest threat, says MI5 chief And

FT : Homegrown Islamist extremists still UK’s biggest threat, says MI5 chief
Andrew Parker reveals 80% of thwarted terror attacks involved individuals ‘inspired by Isis’

The head of Britain’s domestic intelligence service has warned that homegrown Islamist extremists inspired by Isis propaganda remained the biggest threat to UK security, raising fresh concerns over the terror group’s potency even after its defeat in Syria.

Andrew Parker’s comments come days after a new video was released through official Isis media channels showing Abu Bakr al-Baghdadi, the leader of the Sunni extremist group.

In his first public appearance in five years, Mr Baghdadi claimed responsibility for last month’s Easter suicide bombings in Sri Lanka and threatened to launch a new wave of violence around the world.

While security analysts say the video could be a sign that Isis is in disarray and taking desperate measures to try to inspire fresh attacks, Mr Parker insisted the pull of such propaganda was “startling”.

The MI5 director-general added that 80 per cent of the plots thwarted by police, MI5 and the UK’s western allies in 2018 were conducted by people inspired by the ideology of Isis “but who had never actually been in contact with it in Syria or Iraq”.

The statistic suggests the threat posed by returning fighters and their families to European countries may not be as significant as first feared.

“Although the collapse deprived Isis of physical space, it has shown that an ideology does not require territory to survive,” Mr Parker wrote in the London Evening Standard on Wednesday. “In the UK there remain individuals who are inspired by Isis propaganda, despite having shown no interest in travelling to Syria.”

Mr Parker said last month’s attacks on churches and hotels in Sri Lanka, which killed more than 250 people and were carried out by a local Islamist terror group but dedicated to and claimed by Isis, showed that the organisation was still capable of launching large scale, murderous attacks.

“The abhorrent events in Sri Lanka are a stark and tragic reminder of terrorists’ determination and ongoing ability to perpetuate misery through launching large-scale attacks,” he wrote. “There is no doubt that the fall of the so-called caliphate in Syria marked a significant military defeat and a hugely symbolic loss for Islamic State, but we must not be complacent.”

Isis surrendered its remaining territory to US-backed forces in March. Hundreds of foreign fighters are now being held in detention camps while European and other western governments try and work out what to do with them.

Mr Parker’s remarks back up concerns expressed by one former western intelligence chief, who told the Financial Times that sleeper cells or organised group attacks were now less of a concern than lone operators who have been radicalised online.

“The basic assessment has been that organised cells as such are maybe less fundamental than they were and it’s the individual radicalisation process which is a particular concern,” the former intelligence chief said. “It’s the impact on individual radicalisation.”

>>> ENIGMA WEEKLY - 01/05/19 - The Rumors are True...

 

 

 

01 May 2019

 

 

 

The rumors are true… Tether is not fully dollar-backed. While the news certainly doesn’t help the currency or crypto market’s credibility, it may not come as a surprise to investors. Indeed, Tether’s relative stability this morning can be seen as evidence of a longstanding, tacit market understanding of the currency’s insolvency. According to Bitfinex and Tether’s management, USDT is only 74 percent dollar-backed. The admission comes during a period of intensifying scrutiny from U.S. law enforcement. 

 

Last week, New York Attorney General Letitia James, accused Bitfinex of using Tether’s cash reserves to cover up a $600 million funding shortfall. What does this mean for the market? Tether has come to occupy a unique place in the crypto market, acting as a crucial funding currency for investors trading across large exchanges. A crisis at Tether has the potential to send shock waves across the market. That said, in the long run, we are constructive on this scandal as we feel it will bring about greater transparency and disclosure in future. According to famed Bitcoin bull, Tom Lee, the market doesn’t care about Tether’s issues. Regardless, Bitcoin’s fundamentals continue to improve and innovation continues with Bakkt’s acquisition of a custody company. Enigma is excited to report developments of our own, with the launch of our new API product.

 

Performance Snapshot as of 7am GMT 01/05 

Name

Ticker

Wk Close

Wk Change

YTD Change

Record High

Mkt Cap

Bitcoin

BTC

$5,398.160

-1.4%

40.2%

$20,089.00

$95,282,778,382

Ethereum

ETH

$163.380

-1.2%

10.7%

$1,432.88

$17,138,013,581

Ripple

XRP

$0.309

1.8%

-15.7%

$3.84

$12,918,153,003

Bitcoin Cash

BCH

$270.000

-2.3%

65.7%

$4,355.62

$4,794,621,595

Litecoin

LTC

$74.490

3.0%

131.5%

$375.29

$4,565,728,119

EOS

EOS

$4.970

2.1%

82.1%

$22.89

$4,529,175,505

Binance Coin

BNB

$21.830

-1.3%

270.0%

$24.37

$3,103,040,416

Tether

USDT

$1.020

1.0%

-1.9%

$1.22

$2,857,335,297

Stellar

XLM

$0.102

-1.3%

-11.4%

$0.93

$1,935,069,611

Cardano

ADA

$0.068

-6.1%

62.1%

$1.32

$1,794,961,249

TRON

TRX

$0.024

3.5%

21.7%

$0.30

$1,608,748,953

Monero

XMR

$64.630

-2.6%

30.6%

$495.84

$1,066,440,743

DASH

DASH

$114.760

-1.0%

45.0%

$1,642.22

$990,004,875

Bitcoin SV

BSV

$54.110

2.3%

-40.4%

$117.52

$960,754,068

IOTA

MIOTA

$0.312

10.4%

-17.1%

$5.96

$840,659,690

Tezos

XTZ

$1.230

-3.9%

165.7%

$10.74

$811,755,211

 

Enigma Research

Lead Analyst: Aliya Itzkowitz

aitzkowitz@enigma-securities.io

 

 

 

 

Regulation Watch

 

Russia is testing crypto in four regions: Moscow, Perm Krai, Kaluga Oblast, and Kaliningrad Oblast. As AMB Crypto reports, “According to a bill drafted by the Federation’s Economy ministry, regulatory sandboxes will be allowed to establish bases in these regions. This effectively means that companies, firms, and projects will be allowed to experiment with cryptocurrencies in these regions without actually breaking any federal law, even though the administration is yet to regulate crypto-assets.” This is a surprisingly progressive move from Russia. As Cryptobriefing reports, “users of cryptocurrencies will be immune from prosecution for working with crypto.” That said, the initiative will be closely state-monitored.  

 

In France, the PACTE draft Bill (Action Plan for Business Growth and Transformation) was adopted at its final reading in the French National Assembly on 11 April, 2019. Once enacted, the law will establish a framework for fundraising via the issuance of virtual tokens (ICOs) and digital assets services providers (DASP). Providing that they meet certain requirements, ICOs now have the option of applying for a visa from the Autorité des Marchés Financiers (AMF), although the visa remains optional. As we noted last week, France is pushing for the rest of Europe to use the French approach as a model for crypto regulation. From 1 May, Finland will follow France and adopt cryptocurrency regulation. The so-called “Act on Virtual Currency Providers” aims to regulate cryptocurrency service providers and has been approved by the Finnish President. 

 

In the U.S., concerns were expressed by New York’s Attorney General, Letitia James, regarding Bitfinex and Tether. Her comments came as part of an ongoing U.S. Department of Justice probe into parent company iFinex Inc. Tether, which typically trades pegged to the dollar, dropped to 97 cents after the news broke. Interestingly, this morning, after management admitted that the currency not fully dollar-backed, USDT is trading back up around $1.02. As NewsBTC comments, “USDT Not Backed 100%, But Did Anyone Think That it Was?” An affidavit filed by Stuart Hoeger, the general counsel at both Tether and Bitfinex, states: “As of the date [April 30] I am signing this affidavit, Tether has cash and cash equivalents (short term securities) on hand totalling approximately $2.1 billion, representing approximately 74 percent of the current outstanding tethers.”

 

 

Letitia James, New York’s Attorney General, has accused Bitfinex of using Tether’s cash reserves to cover a funding gap.

(Source: Cosmopolitan)

 

 

 

The Tether Rumors Were True

 

What Does this Mean for the Market?

 

The U.S. Attorney General in New York, Letitia James, has accused Bitfinex of using Tether’s cash reserves to cover up an $850 million funding gap. James filed the following statement: “Our investigation has determined that the operators of the ‘Bitfinex’ trading platform, who also control the ‘tether’ virtual currency, have engaged in a cover-up to hide the apparent loss of $850 million dollars of co-mingled client and corporate funds. New York state has led the way in requiring virtual currency businesses to operate according to the law. And we will continue to stand-up for investors and seek justice on their behalf when misled or cheated by any of these companies.”  

 

The Attorney’s office is currently investigating iFinex Inc. - the company that operates both Bifinex and Tether. As The Financial Times reports, “The attorney-general claims Hong Kong-based Bitfinex had lost access to $850m that it handed to Crypto Capital Corp, a Panamanian entity, and that to cover the gap it “gave itself access” to up to $900m of Tether’s cash reserves through a series of ‘conflicted corporate transactions.’” Tether is the second most traded currency after Bitcoin. The concerns around Tether had a significant affect on the overall market last week, prompting a $10 billion loss across the market.  

 

The allegations of wrongdoing at iFinex are nothing new. For a long time, investors have been questioningwhether Tether is as secure as it claims to be. A major source of suspicion has been Tether’s relationship with the exchange Bitfinex – with whom it shares a CEO. Recent research has exposed the possibility that Tether props up the price of Bitcoin. According to a study, half of Bitcoin’s gains in 2017 can be attributed to Tether.  

 

Last October, insolvency concerns came to a head after reports that Tether had switched to banking with HSBC since their primary partner, Noble Bank, was facing issues. This story, combined with a fake rumor that Binance was delisting Tether led to a 3 percent drop in USDT – a large move for a currency that is meant to stay stable.

 

 

Tether sold off sharply last October (Source: Trading View)

 

The Department of Justice is focusing its criminal probe on Bitcoin, Tether and Bitfinex. Last year, both Tether Ltd. and Bitfinex received subpoenas from the U.S. Commodity Futures Trading Commission. Market manipulation has been a key sticking point in all substantive discussions with regulators. As Bloomberg reports, “While federal prosecutors opened a broad criminal probe into cryptocurrencies months ago, they’ve recently homed in on suspicions that a tangled web involving Bitcoin, Tether and crypto exchange Bitfinex might have been used to illegally move prices.”    

 

Last year, John Griffin, a finance professor at the University of Texas, published a 66 page paper in which he argued that tether was used to buy bitcoin at key moments when it was declining, which helped "stabilize and manipulate" Bitcoin’s price. "Fraud and manipulation often leave footprints in the data and it's nice to have the blockchain to track things," Griffin said. Though Bitfinex has never complied with requests for a full company audit, CEO J.L. van der Velde has denied claims of wrongdoing. "Bitfinex nor Tether is, or has ever, engaged in any sort of market or price manipulation," he recently said. Tether management has repeatedly dismissed insolvency allegations.

 

 

Tether dropped last week after comments from New York’s Attorney General about the illicit funding relationship between Bitfinex and Tether (Source: Trading View)

 

Yet, this week, management admitted to a funding shortfall for the first time. As Stuart Hoeger, general counsel admitted, “Tether has cash and cash equivalents (short term securities) on hand totalling approximately $2.1 billion, representing approximately 74 percent of the current outstanding tethers.” Transparency remains an issue as Tether has never complied with subpoena requests from the U.S. Commodity Futures Trading Commission.   

 

Tether’s problems are undeniably a challenge for crypto. That said, as The Wall Street Journal notes, Tether’s woes have been largely “shrugged off” by investors. “Allegations raised Thursday surrounding [the] popular digital coin haven’t had much effect on trading.” At Enigma, we take Tether’s resilience, and the limited market response, as an indication of positive sentiment in the broader market. Even a few months ago, this would have been precisely the sort of news to precipitate a panic-driven sell-off. The fact that this had not happened is a very good sign for the crypto market. Investors may be skeptical of iFinex’s business model but they are separating those concerns from broadly constructive attitudes towards Bitcoin and crypto in general. Perhaps, the market’s resilience is also a sign that regulators interacting with crypto is seen as a positive. An ongoing conversation with U.S. authorities points towards imminent regulation – the catalyst institutional investors have all been waiting for.  

 

 

Catalyst Calendar

 

May

10 – Ethereal Summit NY – Ethereum Summit, bringing together investors and industry icons

11 – LTCV Hard Fork   – Each LTC holder receives LTCV in the ratio of 1:2 for free

11 – TRON Monthly BTT Airdrop – Binance will take a snapshot of TRX balances at 0:00 (UTC) on the 11th day of each month and distribute BTT

 

 

What We're Reading

 

Providing Liquidity for the Crypto Ecosystem - Enigma Securities Launches New API Product – Since its launch a year ago, Enigma Securities, Makor Group's cryptocurrency brokerage business has experienced rapid growth. Now, Enigma is expanding its services to include a new Application Program Interface, also known as an API. In today's fast paced, technologically driven world, Enigma's API connects institutional clients to one of the largest liquidity pools in the digital assets industry.

Crypto Community Reacts to Tether Admitting USDT Not Fully Backed – According to the company behind it, stablecoin USDT is not fully backed by fiat currency deposits. It was revealed today that the controversial crypto asset firm Tether only holds around 74 percent of the total value of USDT’s current circulating supply. Tether and the crypto exchange Bitfinex are currently defending allegations from the New York Attorney General’s office that the latter borrowed $600 million from Tether to stay afloat after the trading venue reportedly lost $850 million.

Iota Partners With Jaguar Land Rover on Crypto Rewards Program, Price Jumps 20% – United Kingdom car manufacturer Jaguar Land Rover will use blockchain network Iota to reward drivers with cryptocurrency for data reporting, the companies confirmed in a press release on April 29. Part of a plan to gather better information on road conditions and vehicle performance, Jaguar will distribute Iota’s Iota tokens to Smart Wallets tied to participating drivers.

E*Trade Is Close to Launching Cryptocurrency Trading – E*Trade Financial Corp. is getting ready to let customers trade cryptocurrencies on its platform, according to a person familiar with the matter. The firm will start by adding Bitcoin and Ethereum, and will consider adding other currencies in the future, said the person, who asked to remain anonymous because the matter is private. A spokesman for E*Trade declined to comment.

Mutual Owners, Mutual Funds: What We Know About the Bitfinex/Tether Scandal – In what seems to be one of the greatest crypto scandals 2019 has seen so far, the United States Attorney General in New York accused Bitfinex of using Tether’s cash reserves to cover a rumored $850 million funding gap with reserves meant for backing the stablecoin. Both companies share the same owner. Now, the crypto exchange and the stablecoin have found themselves in hot water. At least $90 million worth of assets had left the Bitifinex wallets once the accusations were aired, while tether’s USDT peg remains almost unshaken.

Digital Asset Lending Snapshot - Genesis Q1 Insights – At the end of 2018, we had crossed $1 billion in total originations with an active loan book of $153 million. Since then, we originated an additional $425 million in Q1, bringing our total originations to $1.53 billion since launching the lending business in March 2018. Our current active loan book rose to $181 million at the end of Q1, a 17% increase from the end of 2018. Based on the first few weeks of April, we expect to see sustained growth in the lending market in Q2.

Nike Poised to Break into the Crypto Space with ‘CryptoKicks’ – In what could be one of the biggest announcements in the cryptosphere so far in 2019, trainer behemoth Nike seem poised to break into the crypto space after filing for a trademark on ‘CryptoKicks.’ The filing indicates that Nike is intending to launch a cryptocurrency called CRYPTOKICKS”.

Cryptocurrencies Shed $10 Billion in an Hour on Worries Over ‘Stablecoin’ Tether – Cryptocurrencies fell amid reignited regulatory worries and questions around the legitimacy of so-called “stablecoin” tether. The entire market shed about $10 billion in value in the space of an hour late Thursday, CoinMarketCap data showed. This after the New York attorney general accused the operator of bitcoin exchange Bitfinex and tether issuer Tether Limited of hiding an $850 million loss.

2,000 More US Grocery Stores Enable Bitcoin Buying at Coinstar Machines – Supermarket kiosk chain Coinstar is expanding the footprint of its bitcoin-buying service to more than 2,000 locations in 19 different states. The service, through a partnership with blockchain startup Coinme that offers individuals the ability to convert cash into bitcoin, has expanded from an initial 70 machines to some 2,100 different kiosks.

Tom Lee: Bitcoin Market Does Not Care About Current Tether Issues – Fundstrat’s chief of research, Tom Lee, has told CNBC that even though on Friday, the BTC price slightly dropped and the market saw some issues to do with USDT, Bitcoin will keep going upwards, and the bull run may have already started. As for the current troubles with Tether (USDT), Lee said that they do not impact Bitcoin much, since the majority of investors “long tether because [they] don’t want to be long Bitcoin.”

ICE’s Bakkt Announces Acquisition of Digital Asset Custody Company – Intercontinental Exchange (ICE)-lead institutional cryptocurrency trading platform Bakkt has аcquired a crypto custodian service, the firm announced on April 29. In a blog post, Bakkt announced a number of new measures in its apparent effort to stimulate regulatory feedback, including the acquisition of Digital Asset Custody Company (DACC).

Nasdaq Adding Index for XRP Cryptocurrency to Global Data Service – Stock exchange operator Nasdaq is adding yet another cryptocurrency index – this time for the world’s third-largest cryptocurrency, XRP. The company announced Monday that, through its partnership with New Zealand-based blockchain data and research firm Brave New Coin, it will offer “real-time” index information for XRP starting May 1.

West Ham Goes Crypto: English Soccer Club Launches Fan Token on Blockchain – English Premier League soccer team West Ham United turns to blockchain to launch its own token. The “fan token,” powered by Socios.comwill allow West Ham’s 40 million supporters to vote on club decisions and gain access to exclusive rewards. The fan token initiative has already been adopted by Juventus and Paris St. Germaine and comes during a wave of mainstream blockchain adoption.

US, Japan, and South Korea Record the Highest Number of Cryptocurrency Exchange Visits – DataLight, a cryptocurrency analytics website published a report on April 29 which reveals that the United States recorded the highest number of visits on cryptocurrency exchanges. According to the report, the United States has 22 million monthly visits to the leading 100 cryptocurrency exchanges.

DTCC Shines A Surprising Light On Enterprise Cryptocurrency – Cryptocurrency took center stage at the annual Fintech Symposium hosted by the Depository Trust and Clearing Corporation, which keeps the master record for $48 trillion worth of stocks, bonds, and other assets. Literally. While other hot technologies like artificial intelligence and cloud were all highlighted in various ways, the only two panels at the event, featuring DTCC clients, were on cryptocurrency an the underlying technology that makes it possible, blockchain.

 

www.enigma-securities.io

info@enigma-securities.io

DISCLAMER: The information contained in this note issued by Enigma Securities Limited is not intended to be advice nor a recommendation concerning cryptocurrency investment nor an offer or solicitation to buy or sell any cryptocurrency or related financial instrument. While we provide this information in good faith it is not intended to be relied upon by you and we accept no liability nor assume any responsibility for the consequences of any reliance that may be placed upon this note. Enigma Securities Limited is an Appointed Representative of Makor Securities London Ltd which is authorized and regulated by the Financial Conduct Authority (625054).

 

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Thank you for reading. Please reach out to info@enigma-securities.io with any questions.

 

 

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>>> Walt Disney's Hulu added 3 mln subs in Q1 to get to 28 mln; announces two

Walt Disney's Hulu added 3 mln subs in Q1 to get to 28 mln; announces two new Marvel series (136.97)
  • The company announced today that it has increased its total customer base to more than 28 million — 26.8 million monthly paid subscribers, and 1.3 million promotional accounts.
  • Hulu and Marvel Television Expand Partnership With Two New Live-Action Series,Marvel's Ghost Rider and Marvel's Helstrom.
  • Hulu Partners With Vox Media Studios, Majordomo Media, and Suit & Thai Productions In Multi-Year Deal to Create Food-Focused Hulu Originals

Reuters : The world’s population is getting older. Japan is on the forefront...

https://tmsnrt.rs/2XYewe2 : Check the link for full article

Going gray
The world’s population is getting older. Japan is on the forefront of this demographic trend that will affect Germany, China and Italy in coming years.

Japan is rapidly going grey. Thanks to a declining birth rate and one of the highest life expectancies, it has become the most aged society in the world.

About 28 percent of the population is 65 or older and that number is expected to grow in coming decades to more than 35 percent, straining the country’s social services.

Expenses for elderly care are growing. Essentially, a larger number of elderly are relying on fewer young people for economic output, tax revenues and physical and emotional care.

To boost government revenues for looming increase in fiscal social welfare spending, Prime Minster Shinzo Abe’s government plans to raise Japan’s sales tax to 10 percent from 8 percent in October.

Japan is on the forefront of a demographic transformation that is starting to envelop Germany, China and South Korea.

Although many developing countries have young, growing populations, global society as a whole is aging. This will place what the IMF describes as a “demographic tax” on economic growth.

Emptying countryside
Over the next 30 years, nearly all parts of Japan will see their elderly population rise 5 to 20 percent, with the biggest changes coming in the northern rural areas, particularly the prefectures of Fukushima, which was devastated by the 2011 tsunami and nuclear crises, and Akita.

NYT - DealBook : How Deutsche Bank Dealt With Demands for Trump Records

How Deutsche Bank Dealt With Demands for Trump Records

Deutsche Bank has Trump’s records ready
President Trump sued his longtime lender on Monday to block a subpoena from the House Intelligence and Financial Services Committees for documents about his finances.

David Enrich of the NYT pulls back the curtain on how Deutsche Bank has handled the situation:

• “Deutsche Bank officials have been working closely with investigators from the chamber’s Financial Services and Intelligence Committees to identify information that might assist their investigations into the president, according to people familiar with the discussions.”

• “Bank officials have told The Times that they were eager to provide the materials to Congress. In part, they said additional transparency might help squelch speculation that Deutsche Bank had served as a conduit for Russian money to get to Mr. Trump.”

• “Lawyers for the bank worked with congressional staff members to narrow the scope of the subpoena to make it easier for the bank to quickly produce the requested materials, according to the people.”

• Bank officials have “compiled reams of materials to hand over. Included in those documents are multiple pages from each of Mr. Trump’s annual federal tax returns.”

Maybe they’ll never be shared. But “the heads of the two committees that issued the subpoena, Representatives Maxine Waters and Adam B. Schiff, called the suit ‘meritless’ and an attempt to obstruct congressional oversight,” Mr. Enrich writes.

FT : Arki Busson’s hedge fund LumX posts $8.7m loss Firm also delays its annual

Arki Busson’s hedge fund LumX posts $8.7m loss
Firm also delays its annual report and warns on value of goodwill

The investment firm run by Arpad “Arki” Busson, once one of the hedge fund industry’s most influential figures, has revealed a large loss and delayed publishing its annual report in the latest sign of its fading fortunes.

Swiss-listed LumX Group reported unaudited figures stating it had made a net loss of $8.7m — a ninth consecutive year of losses — on gross revenues of $8.2m in 2018. The group has a market capitalisation of SFr11.4m ($11.2m).

The firm, citing “planned recapitalisation measures”, said the Swiss stock exchange had granted it an extension until the end of May to publish its audited results. If it fails to do so, it will risk its shares being suspended.

LumX added that its audited financial statements would be available “when the agreements relating to this restructuring have been concluded”. It provided no additional detail.

Mr Busson, LumX’s executive chairman, co-founded the children’s charity Ark and is well known for his philanthropic work and previous relationships with Hollywood actor Uma Thurman and model Elle Macpherson.

LumX also warned that it could not confirm the value of goodwill — the amount one company pays for another over and above the value of the target’s assets — and said there was “a risk of full or partial impairment, which would have a further impact” on its net results.

In its last semi-annual report, which related to the first six months of last year, the firm reported goodwill of $21.1m and said it had not seen any signs of impairment from the acquisition of Mr Busson’s former business EIM Group.

Disclosure rules on the Swiss stock exchange require listed companies to present results within four months of the end of their annual reporting period. LumX was originally expected to report annual results on April 29 according to its own website. It said it would confirm the date of its annual meeting with shareholders “in due course”.

LumX, which has offices in London and Switzerland, has been cutting staff in recent years as its assets have shrunk. In March it announced further job reductions, citing “investor trends and headwinds” and gave up its mutual fund licence in Switzerland. It remains regulated by the UK Financial Conduct Authority.

The group provided no update on its assets under management. It had $7.1bn in fee-earning assets at the end of June last year, compared with the $18bn it managed when it was known as Gottex at the end of 2007. The group provides risk analysis services and a managed account platform as well as investment management.

LumX declined to provide additional comment. Its 2018 loss and the delay to the publication of its financial results were first reported by Financial News.

The firm’s shares have fallen 65 per cent during the past two years and closed at SFr0.105 on Tuesday. The Swiss exchange is closed for a national holiday on Wednesday.