Lloyds Bank buys MBNA credit card firm for £1.9bn

British banking group Lloyds has announced it’s intention to purchase credit card company MBNA. The deal which is expected to be completed in the first half of 2017 will see the UK banking group pay £1.9BN to MBMA’s current owners Bank of America.

This deal is seen as a good fit which should complement Lloyds existing credit card services. It will increase Lloyds market share of the UK credit card market from 15% to 26%.

Significant cost synergies are seen as being behind the deal. Initial estimates expect savings of over £100 million per year from the deal.

Lloyds chief executive Antonio Horta-Osorio commented on the deal “The MBNA brand and portfolio are a good fit with our existing card business and we will focus on providing its customers with excellent service and value.”

Following the takeover MBNA will retain it’s own card branding and rates.

The deal is the first by Lloyds since the 2008 financial crisis. It is expected that the proposed acquisition will increase group revenues by around £650m per year.

The deal assumes £240m to cover claims against MBNA for PPI mis-selling claims. It is thought that the deadline set on claims by the FCA helped to underpin this latest deal. As recently as October Lloyds itself set aside a further £1BN to cover remaining PPI payments.

Lloyds has continued with an ongoing restructuring plan, revealing plans to shed a further 1,200 jobs in October. It’s most recent report showed that pre-tax profits had fallen 15% over the third quarter to £811m.

The latest deal is expected to boost revenues by £650m a year. It predicts an increase in earnings per share of 3% and 5% once the deal is completed.

Lloyds which remains part owned by the UK government is expected to become fully privatized in 2017. The sale of the remaining 7% government stake is expected to be completed early in the New Year. Proceeds from the sale will be returned to the treasury.

Shares in Lloyds Banking Group closed the day at 64.13 pence, up 1.58p on the day (2.52%)

lloyds share price


The shares have had a good run in recent months and the latest deal look set to add to the bottom line.

With the final sale of the remaining government holding scheduled for early next year, there is the potential for further deals.

Binary options traders who backed the latest news today would have profited from a Call position with their broker. With seasonal markets in play, further long trades could profit if the current momentum continues.

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EZ Binary Signals Review

In this EZ Binary Signals review we take a look at this latest signal service for Binary Options.

EZ Binary Signals is a trading service that provides binary options signals.

While this particular service is new, it is run by an experienced team of binary options traders with over 10 years market experience.

The service makes use of technical and fundamental analysis to identify low risk trading opportunities. Trading alerts are sent via email to members as they trade their own accounts.

Signals are provided across key Forex pairs. Expect to receive trading opportunities for EUR/USD, USD/JPY, GBP/USD, USD/CAD, AUD/USD etc.

There is no set time for the signals. Instead they are sent when the right conditions present themselves. Positions tend to run for 1 or more days.

How It Works

Many of the currently available alert services for Binary Options focus the volume of alerts generated.  This means that that you will sign up and get a huge number of signals sent around the clock. Typically most services will make use of short term, 1 hour trading opportunities that are generated through the use of an automated bot.

The problem with this approach is that the actual yield from these services can be very small. Who wants to sit around taking 100 trades and day and hope that you end in profit? This is where many of these signals fall down. You end up doing a lot of work for very little return. Don’t forget you are also paying for this privilege as well.

EZ Binary Signals approach this differently. The focus is on quality rather than quantity.  The service aims looks to identify 1-3 trading opportunities per week.

The signals types themselves are also different. They don’t use the higher or lower trades most commonly used. Instead they make use of the ‘Does Not Touch’ trade types. These are very much more like standard Call and Put option expiries but instead levels are set on the trades which are not expected to be touched over the duration of the contract. They allow for a more ‘trading’ style approach to be taken.

If there is a downside to this approach it is that there are few brokers who offer these types of trades. The traders behind the service make use of Binary.com and naturally it is this platform that they recommend you use.

Binary Signals

Signals are sent via email and provide the full details needed to place the trade.

A typical alert would be as below:

Asset: EUR/USD
Trade: Does Not Touch
Level: 1.0650 
Duration: 1 Days
Placed: 35%

Here you would trade on the EUR/USD and set the level 1.0650. You select the duration to run the trade for. Typically trades are open for a couple of days.

Once happy it’s just a case of clicking on the trade type ‘Does Not Touch’ to place this in your account.


What is very impressive with the service is the level of performance.

At the time of writing the strike rate is well over 90% which puts gains from using the service firmly in profit. The performance of the last 10 days we can certainly attest to as we have received and placed these in our own account.

One of the issues that many people encounter when trading is signals is that it is very difficult to actually place them at the suggested levels in your account. If the signal suggests placing at say, ‘x’ and by the time you get to it the return is ‘y’ it can be difficult to know whether to act on it.

While markets move quickly the bonus of this service is that the trades can be placed any time up until the close on the day there are sent.

We placed the trades upon receipt and were able to get similar to returns to those suggested in the alert. On a couple of occasions we checked again later the same day. Due to the intervening movement of the markets in some cases the returns we could get were better and sometimes they were worse.

On balance we would suggest that the law of averages would even out any issues in this area over time. The service website suggests not taking a trade if the returns have dropped below 20%. In this instance it is suggested that the risk would not commensurate with the reward.

EZ Binary Signals Live Test

In reviewing any service it is important to test it to see how it actually performs. As with all our reviews we test out the signals to see if they can actually deliver.

We started trading the service in February. Since then we have received 10 trading alerts. Of these alerts we have had 9 winning traders and 1 losing trade. This gives the service a strike rate of 90%.

While this is quite a small sample size the results reported on the website show similar performance going back across the previous two months.

The full list of trades taken are listed below:-

EZ Binary Signals Live Trading Record
Date Asset Trade Level Expiry Return Result
24/02/2017 EUR/USD Does Not Touch 1.0633 1 Day 30% Win
28/02/2017 USD/JPY Does Not Touch 111.8 1 Day 35% Win
02/03/2017 USD/JPY Does Not Touch 113.65 1 Day 37% Win
06/03/2017 USD/JPY Does Not Touch 113.47 1 Day 30% Win
21/03/2017 AUD/USD Does Not Touch 0.7676 1 Day 53% Win
22/03/2017 USD/JPY Does Not Touch 1.1037 1 Day 33% Win
27/03/2017 EUR/JPY Does Not Touch 119.34 1 Day 32% Win
29/03/2017 USD/JPY Does Not Touch 110.34 1 Day 35% Win
31/03/2017 USD/JPY Does Not Touch 1.3190 1 Day 35% Loss
05/04/2017 USD/JPY Does Not Touch 1.3190 1 Day 30% Win

Read my final verdict and conclusion below.

Ultimately any signals have to be judged on two metrics. The first is the level of performance. The second is the effort required to achieve that performance.Unusually this service delivers on both these scores.

The performance is first rate. It delivers gains and it does this with very little work.  You won’t be trading for the sake of trading. If anything, you might feel a little underwhelmed as to how little trading is involved. However the results speak for themselves. Try it.

£1 a Day Trial! (14 days for £14)

Then service is priced at £87 per quarter (3 months).

EZ Binary Signals Review Verdict

  • Very simple trading method – takes minutes per week
  • Excellent long term record that delivers
  • Stands out from many of the ‘me too’ alert services
  • Signals are only available on Binary.com platform

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