Do Billion-Dollar Fines Make A Difference To Big Banks?
International regulators are hitting a handful of banks with more than $4 billion in fines. Will they even notice?By Sebastian Martinez | November 12, 2014
So, $4 billion is a lot of money, right? Like, a whole lot of money? Well, maybe not if you're a bank.
International regulators hit a handful of banks — HSBC, Royal Bank of Scotland, JPMorgan Chase, Citibank and UBS — with a total of $4.25 billion in fines, to be exact.
The reason is a little complicated, but it basically has to do with foreign exchange — and how big banks manipulated the exchange rate between different currencies. David Gillen of The New York Times explains.