Simon English: A tough old game for stockbrokers
Friday 26 October 2012
City stockbrokers are struggling horribly. There's not much trade, and a jobs shake-out, perhaps more brutal than even they expect, is coming soon. Lots of the small firms on the edge of EC2, the ones with names that sound a bit to the stock punter in Ealing Broadway like they might be big (but that are not), have long looked like falling off the ledge.
Stick with us, the bosses say, we shall be ok. They admit they need to raise money, but say this won't be a problem. We are stockbrokers, they might argue, raising money is (part of) what we do.
The thing is, it's very difficult for almost anyone to raise money at the moment. Until the eurozone crisis is resolved, not many people want to take a punt – this is a problem for the brokers, both for their business and their funding.
What's telling is that few of the staff are willing to back the stock-broking houses with their own money, something they certainly would do if they thought the assets they own (the sort of thing they are paid to measure) had long-term value.
Perhaps these firms are presently like football clubs as far as owners are concerned: trophy assets, but not much else. No footballer has ever said: "I believe in this business. Pay me in shares."
When Robin van Persie joined Manchester United, it wasn't a clear part of his contract that he must be given stock in Man U's recent float. Given what has happened to the shares since that float, it seems that RVP and the stockbrokers have both called it right.
- 1 Emma Watson on Jennifer Lawrence naked photo leak: 'Even worse than seeing women's privacy violated is reading the comments'
- 2 Saudis risk new Muslim division with proposal to move Mohamed’s tomb
- 3 A teacher speaks out: 'I'm effectively being forced out of a career that I wanted to love'
- 4 Cee Lo Green: It is only rape if the victim is conscious
- 5 Katie Hopkins breaks down in tears over weight gain challenge: ‘I hate fat people for making me do this’
Perez Hilton apologises for publishing Jennifer Lawrence naked 4Chan photos
Emma Watson on Jennifer Lawrence naked photo leak: 'Even worse than seeing women's privacy violated is reading the comments'
Ariana Grande nude photos leak: Pictures are completely fake, say representatives
Saudis risk new Muslim division with proposal to move Mohamed’s tomb
Katie Hopkins breaks down in tears over weight gain challenge: ‘I hate fat people for making me do this’
Rotherham child sex abuse scandal: Labour Home Office to be probed over what Tony Blair's government knew - and when
What do immigrants really think of Britain? Polish immigrant's Reddit post goes viral
Ashya King: Parents of five-year-old boy refused permission to visit him in hospital and denied bail at Spanish court
With Douglas Carswell joining Ukip, my party has taken another giant step forward
When elitism grips the top of British society to this extent, there is only one answer: abolish private schools
Ashya King: 'Cruel NHS has not given us the treatment we need', says father of five-year-old with brain tumour who fled to Spain
iJobs Money & Business
£30000 - £45000 per annum + benefits+bonus+package: Harrington Starr: Front-Of...
£700 per day: Harrington Starr: Quantitative Developer C++, Python, STL, R, PD...
£700 per day: Harrington Starr: Java/Calypso Developer Java, Calypso, J2EE, J...
£500 per day: Harrington Starr: SQL Developer SQL, C#, Stored Procedures, MDX...