Shares in the Royal Bank of Scotland sold-off heavily on Friday morning following its latest results, with Investec Bank's respected analyst Ian Gordon downgrading the bank to sell after labeling revenues at its investment banking arm "awful".
The bank's shares were down 6% to 290p by 11am, with investors selling the shares despite a return to profit. RBS announced pre-tax profits of £806m earlier today, while chairman Philip Hampton said the government should begin selling shares by the middle of next year at the latest. However, digging into the numbers, Investec's Gordon said the markets division - the new name for its investment banking arm - had produced 'awful' numbers. Profits at the division fell 64% in Q1 compared to the previous year, to £500m. As a result, he downgraded the group and said the upside from he...
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