Bloomberg

ALSO NOTED: Apple's other Sarbox problem; Does FASB still make sense?

Mon, 22 Jan 2007 19:01:38 -0500

> Recall that Mayor Bloomberg commissioned McKinsey to study the U.S. financial markets. No surprise: it found that Sarbox was one reason New York City could lose its spot as the world's financial center. Article

> Sarbanes-Oxley has focused attention on accounting process in the U.S. like never before. Now, some are asking some really big questions, like whether the Financial Accounting Standards Board (FASB) still makes sense. Article

> With all the options controversy, Apple had enough Sarbox-like issues. Now here's another one.

> More fund managers, especially small-cap managers, are getting their Sarbanes-Oxley strategies worked up. Article

> Activist seeks to force a top U.S. investment bank to disclose the impacts of Sarbox. Article

> Here's more on the need to keep the U.S. financial markets tops in the world. Article

> Hot job alert: Head of IT finance. Not surprisingly it requires both IT and financial expertise. Article

> Sarbanes-Oxley has had an effect on Canadian firms as well. Article

> LSE still fending off the Nasdaq. Article

And Finally... Cultural revolution in China's financial system. Article

ALSO NOTED: Hiring a big-name accountant is big news; SEC given clean bill of health on controls;

Mon, 20 Nov 2006 19:01:38 -0500

> Mayor Bloomberg of New York City continues his campaign to reform Sarbox, part of his effort to keep NYC the world's financial center. People are eagerly awaiting the commissioned report from McKinsey & Co. I am interested in what it will say about necessary changes by top Wall Street firms--perhaps more price competition for offerings. Article

> A new study suggests that companies that lack a strong presence of independent directors were more likely to grant dubiously timed options as part of compensation packages. This is not surprising; good fodder for activist shareholders. Article

> It's interesting how the hiring of a big-name accountant (the title chief accounting officer is catching on a bit) has become big news. You'll want to make sure you get the new executive's Sarbox experience into the press release and hopefully into any resulting articles. Here's a good example.

> The Administrative Review Board of the Department of Labor recently found that some employee-supervisor emails were not enough to establish fraud. Thus the employee was not accorded whistleblower protection under Sarbanes Oxley. Article

> People found it humorously ironic when the GAO rapped the Securities and Exchange Commission for, of all things, it's audit and controls process. The problems have been apparently solved. The GAO has given the agency a thumbs up regarding its internal controls. Article

> We brought you news recently that top accounting firms want to move to a future of Internet-based, principles-oriented, forward-looking auditing. Here's some more commentary on the proposal. Article

> A bit more on all the executive shuffling in 2006. Article

> A new survey has identified the top supply chain risks. Article

> New search from SEC combs through 15 million pages. The Associated Press has some fun with it, looking for the seven deadly sins. Article

And Finally... Skilling goes to prison next month. Article

Update: The twilight of NYC?

Mon, 06 Nov 2006 19:01:39 -0500

You night have been tempted to think the "twilight of New York as a financial center" story was a fleeting one. But the city has done a good job keeping it in the news. The latest: Senator Charles Schumer has weighed in on the side of Mayor Bloomberg and others in arguing that Sarbox threatens the city's status. Recall that the city has hired McKinsey to help it sort through the issues. While there are sound reasons that Sarbox should be modified, the issue really boils down to Wall Street. IPOs have globalized a bit, and that has some people nervous. This is overblown for a few reasons: Top investment banks, all based in New York, have been cashing in despite the trend away from the city. They can underwrite around the world. Also, if things really get tight, top banks could always reduce fees to drum up business. And finally, longterm would-be issuers may realize they get much better after-market support in the U.S.

For more on Schumer and NYC:
- read this article from CNNmoney.com

ALSO: There still a healthy number of foreign companies interested in U.S. exchanges. Article

Related Article:
NYC officials hire McKinsey to explore exchange woes. Report