Citigroup Legal Costs Jump $600M as FX Probes Accelerate

The video discusses an investigation into City and other banks for currency market rigging, leading to financial restatements and increased legal expenses. It highlights the involvement of global regulators and the potential financial impact on banks, with a focus on legal provisions and historical context of similar incidents.

What prompted Citibank to restate its financial results in the third quarter?

• Allegations of currency market rigging

• A merger with another bank

• An increase in interest rates

• A new investment opportunity

Which banks are involved in the FX criminal and antitrust investigation?

• Barclays and Credit Suisse

• Goldman Sachs and Morgan Stanley

• JP Morgan, UBS, HSBC, and Royal Bank of Scotland

• Bank of America and Wells Fargo

What is the potential financial impact of the FX investigations on banks?

• $10 billion

• $20 billion

• $100 billion

• $41 billion

Which bank set aside almost $2 billion for litigation provisions in the third quarter?

• Deutsche Bank

• Citibank

• UBS

• JP Morgan

What is the main reason for the increased legal reserves by banks?

• Rising operational costs

• Currency probes and regulatory scrutiny

• Expansion into new markets

• Introduction of new financial products