Likely prompted by its ongoing SIFI battle, MetLife is reportedly looking to spin off its retail life and annuity business and break up what’s now the largest life insurance company in the US, with $880 billion in assets – NYTimes and WSJ
Meanwhile, at AIG, its poor performance that has shareholders lobbying for a split – WSJ
Better-than-expected December export news and moves by China’s central bank to stabilize the yuan helped calm China markets today, raising hopes for a second day of gains on Wall Street – WSJ
Still, RBS apparently isn’t taking the long view (or at least recommending it to its clients) – WSJ
Hedge fund Lion Point Capital is taking aim at Ally Financial, one of the nation’s largest auto lenders that was “rescued by taxpayers during the financial crisis, but has since failed to live up to investors’ expectations.” With the move, Lion Point joins “a select group of activist investors” targeting a “national, deposit-taking bank” and suggests that this recent wave of activism could spread to big institutions suffering from “lackluster returns” – NYTimes
Morgan Stanley has escaped a $626 million toxic MBS suit by Dexia SA after a New York state appeals court affirmed that a prior owner “didn’t technically transfer legal rights to Dexia after [the securities’] plummet in value” – Law360
The junk bond market is speaking to money manager Martin Fridson (and, thankfully for his sanity, others), and its warning of trouble ahead, as junk-bond spreads enter a range that’s creeping closer to recessionary levels – Bloomberg
Some details on just how, exactly, Dow and DuPont are hoping to smooth through a merger involving 100,000 employees and over $100 billion in value – WSJ
The TPP merited a shout-out (to tepid applause) in the SOTU last night, and it could be getting some additional rules extending e-commerce regulations to financial services firms if a bipartisan group of lawmakers have their way – Law360
Sun-drenched yard, pool, cool old railcar out back, and a recent $50k drop in price . . . and yet, shockingly, this Pennsylvania house doesn’t exactly have buyers lining up – NYTimes
