Good morning, welcome to the week.
One of Credit Suisse’s longest-standing supporters, US investment firm Harris Associates, is selling its entire stake in the scandal-hit Swiss bank. The chief investment officer of Harris Associates explains his decision — scroll down for more.
To split or not to split? EY partners will soon have to vote on whether to separate the Big Four firm’s audit and advisory businesses. The Financial Times breaks down the proposed plan in today’s Big Read.
Today I’m keeping an eye on:
Economic data: US factories will report orders for January.
WTO meeting: The general council of the World Trade Organization convenes, with sanctions against Russia on the agenda.
Any thoughts on today’s FirstFT? Let us know at firstname.lastname@example.org.
Today’s top news
1. EXCLUSIVE: Harris Associates has sold its entire stake in Credit Suisse after years of scandal and an exodus of clients at the Swiss lender. Last year the firm held 10 per cent of the bank, now Harris has raised questions about “the future of the franchise”.
2. BP is not slowing its green transition to cash in on high oil prices, the boss of its US business insisted, despite the company announcing a scaling back of climate goals last month after record profits. Read our full interview with Dave Lawler, chair of BP America.
3. Fed officials are growing more hawkish. The most recent example was Mary Daly, president of the San Francisco Fed, who joins a growing cast of governors hinting rates will need to stay higher for longer.
4. Global minimum tax could eat up US green subsidies according to a group of multinationals. The combination of the new global minimum tax of 15 per cent and the special green tax credits could lead to a costly combination for foreign companies.
5. EXCLUSIVE: Beijing has told Hong Kong’s elite to give up their western passports if they want a seat in China’s rubber-stamp parliament. Here’s why it matters.
The Big Read
To split or not to split? That is the question facing EY’s partners when a plan to spin off the Big Four firm’s advisory arm from its audit business goes up for a vote. EY’s bosses believe partners understand the rationale for the deal, but falling company valuations have changed the landscape.
We’re also reading . . .
Chart of the day
Driven by dissatisfaction with the current Republican leadership, a new class of megadonors are giving millions to far-right groups such as the anti-tax Club for Growth and allowing them to wield outsized influence within the party.
Take a break from the news
This week’s Lunch with the FT is with Miss Malaysia-turned-movie star Michelle Yeoh, who talks about what an Oscar would mean to Asian actors — and why she really, really wants to bring that statue home.
Additional contributions by Tee Zhuo and Annie Jonas
Read the full article here