hsbc

The UK's accounting rules are distorting bank profits and leading to confusion over executive pay, some of the country's largest investors have have warned.

David Cameron has issued one of his strongest defences of the banking sector yet, telling the Lord Major's banquet those who "trash the banks would end up trashing Britain".

HSBC is investigating allegations criminals used offshore accounts at its Jersey business for money laundering and tax evasion, the BBC reports.

Britain's largest bank HSBC has set aside an extra $800m to cover settlements for breaching anti money-laundering rules in the US.

HSBC is to convert its whole-of-market advisory proposition into a restricted advice model next year, Investment Week understands.

PASSIVES

THE BIQ QUESTION

Over the last three months, UK bank shares have enjoyed a strong rally, helped by the ECB's and US Federal Reserve's liquidity moves.

BENCHMARKS

Richard Colwell, manager of the Threadneedle UK Equity Income fund, discusses the current state of the UK market and the outlook for the next 12 months.