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The article discusses increased interest among Chinese companies in investing in small European finance firms. In February 2015 Anbang Insurance Group Co. agreed to buy the insurance unit of financial group SNS Reaal. An acquisition of Portuguese banking company Novo Banco is reportedly being considered by Chinese conglomerate Fosun International Ltd.

The article reports that six large banks including Deutsche Bank AG, HSBC Holdings PLC, and Royal Bank of Scotland Group are expected to be fined hundreds of millions of euros apiece by European Union regulators for their role in manipulating the London interbank offered rate (Libor) and the euro interbank offered rate (Euribor). Banking company Barclays PLC has cooperated with regulators and is expected to avoid being fined.

The article discusses concerns among European Union financial regulators that some banks are making their capital ratios look better than they actually are by using questionable practices in determining risk-weighted assets. An example cited is Lloyds Banking Group PLC, which in 2010 lowered its risk weighting for residential mortgages, thus allowing it to retain less capital against them.

The article reports that a study conducted by the publication has found that large European Union (EU) country banking industry firms have increased their deposits of cash reserves with central banks by $128 billion as of March 10, 2012 compared to December 2011. It is noted much of the funds deposited with central banks were obtained from low-interest loans given the banks by the European Central Bank.

The article reports that the ratings agency Moody's Investors Service announced it would delay until May, 2012 its decisions on whether to downgrade the credit ratings of 114 European Union (EU) country banks in 16 countries. The possible mass downgrade is considered as an effect of the banks' exposure to the European sovereign debt crisis. The impact of lower ratings on the banks' finances is discussed. INSET: Downgrade Damage.

The article reports that all but 13 of the 150 European banks subjected to stress tests by the European Central Bank (ECB) and European Banking Authority passed those exams. Four Italian banks including Banca Monte dei Paschi di Siena SpA were found to be collectively short 3.3 billion euros in bank capital. ECB official Vitor Constâncio said the results should strengthen public confidence in the banks.

The article discusses efforts by European banks to retain bank deposits and attract those from competitors. Southern European banks in particular are trying to stem an outflow of customer deposits. Flat screen television sets are among the inducements banks in Spain and other countries are offering to new customers. Advertising for British bank HSBC Holdings PLC touts the institution's safety and security. INSET: Deposit Wars.