Janus, JPMorgan, Merrill Lynch, Morgan Stanley, UBS, Wachovia

Bloomberg reports that Janus Capital Group has posted a 36% increase in second-quarter earnings to $66.3m. In the period, the US-based fund manager attracted its biggest inflow of new cash from investors in 8 years ($5bn).

The Daily Telegraph reports that JPMorgan is thought to have held talks with National Australia Bank and other interested parties, including private equity groups, about making a possible bid for HBOS, and then breaking up the bank. JPMorgan is thought to be interested in financing any deal and picking up some of the assets.

CNBC reports that Morgan Stanley is targeting Merrill Lynch brokers as it starts a 'massive' recruitment drive to beef up its brokerage sales force.

The New York Post reports that UBS has been sued by New York Attorney General Andrew Cuomo, who claims that the Swiss bank duped clients into buying auction-rate securities by passing them off as safe investments. Cuomo said: 'Not only is UBS guilty of committing a flagrant breach of trust between the bank and its customers, its top executives jumped ship as soon as the securities market started to collapse, leaving thousands of customers holding the bag'.

A UBS spokesperson said: 'It is frustrating that the New York Attorney General has filed this complaint while we have been fully engaged in good-faith negotiations with his office to bring liquidity to our clients' holding auction-rate securities. We will vigorously defend ourselves against this complaint'.

Finally, Reuters reports that new Wachovia CEO Robert Steele has put his money where his mouth is, buying a million shares in the company this week for a cool $16.1m.

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