Barclays Capital executives said Friday that they are kicking in $1.6 billion in financing for an investment fund. The WSJ also reported
that the British bank and parent company to Barclays Global Investors lost up to $400 million in the two Bear Stearns hedge funds that helped spark last month's liquidity squeeze. On Thursday, Barclays bank borrowed money through a Bank of England lending facility after finding technical difficulties with a securities-clearing system that meant it faced a shortfall at its central-bank account. Robert Diamond Jr., Barclays' president, downplayed any problems. "You should expect to see us outperform whatever environment we're in," he told the paper. "If there was a black-hole exposure in BarCap, we would have to make an announcement. And I am looking you in the eyes -- as much as I can through a [conference phone] -- and saying that I still expect us to outperform in this market environment."
Stay ahead of the news ... Sign up for our email alerts now