AP/Keith Srakocic
Unregistered broker used client money to pay gambling debts (Financial Advisor)
Gregory Ruehle, an unregistered broker based in Oceanside, California, was charged by the Securities and Exchange Commission with "fraudulently selling purported stock in a medical device company and pocketing investors' money," according to Financial Advisor. The SEC says Ruehle raised $1.9 million from investors, promising to sell them his personal holdings in ICB International, a medical device company. According to the complaint, Ruehle promised the sale of more securities than he owned, and those that he did own weren't transferable. Ruehle then used the money to pay off his gambling debts.
Greece is back in recession (Bloomberg)
Greece's economy contracted 0.6% in the fourth quarter, dropping it back into a recession for the second time in a year. The reading was an improvement from the 1.4% decline in the third quarter, but it raises concerns about the viability of the country's bailout program. According to Bloomberg, the European Commission expects Greece's economy to contract 0.7% in 2016 before growing 2.7% in 2017.
Some Valentines Day numbers (Couponbox.com)
Couponbox.com says Americans will spend a total of $17.6 billion on Valentines Day in 2016, up 8.5% compared to a year ago. Each year, rose prices climb about 40% ahead of Valentines Day and hotel rooms cost about 25% more than the week before. Valentines Day dinner at a fancy restaurant will cost $280, on average, a 5% jump from a year ago.
UBS made a big hire (Business Insider)
People familiar with the matter told Business Insider that Scott Francoeur, Morgan Stanley's former head of emerging markets credit sales, has joined UBS as head of emerging markets distribution for foreign exchange, rates, and credit in the Americas. Francoeur was a casualty of Morgan Stanley's job cuts that were announced in December. At the time, Morgan Stanley CEO James Gorman said, "The net of it will be more of a US-focused business, a slimmer business when it comes to some of the macro products."
Broker sales weighed on LPL's quarter (Wealth Management)
LPL Financial announced adjusted earnings of $0.37 per share, missing the Bloomberg consensus of $0.51.The results marked a steep drop from the $0.49 per share gain from a year ago. Revenue also fell short, sliding 7.6% to $1.02 billion on expectations of $1.05 billion. According to Wealth Management, LPL's sales commissions tumbled 12% year-over-year and advisory fees fell 5% YoY. "As we move into 2016, market volatility has only increased, and we expect continued pressure on brokerage sales.," LPL Chairman and CEO Mark Casady said in the earnings release.