Breaking News
Get 40% Off 0
👀 Reveal Warren Buffett's stock picks that are beating the S&P 500 by +174.3% Get 40% Off

Citigroup shares dip on report of new Fed demands to fix risk control

Published Feb 12, 2024 22:46
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
C
-1.20%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Citigroup (C) shares are down Monday after reports stated U.S. regulators have asked the bank for urgent changes regarding its process for measuring the default risk of its trading partners.

In addition, Reuters stated that the bank's own auditors feel a plan to improve internal oversight is lacking. These developments could impact Citi's turnaround plans.

Citi shares are down 1.5% at $53.21 at the time of writing. The stock opened Monday's session at $53.57.

Reuters said its sources told them that in late 2023, the Federal Reserve sent three notices to Citi asking the bank to address how it measures the risk of default by counterparties in derivative transactions in the coming months.

Furthermore, an email seen by the publication shows that Citi's internal audit unit believes more work is needed to address problems previously raised by regulators. According to the email, the audit unit found some of the work conducted in order to improve risk management was inadequate.

The bank is also said to have failed to meet a requirement of having procedures in place to guarantee the board and senior management receive extensive reports about risks across the company.

Citigroup shares dip on report of new Fed demands to fix risk control
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email