Wise's billionaire CEO fined £350,000 by UK regulators over failure to report tax issue

Published On Oct 28, 2024, 6:58 AM

Kristo Käärmann, the billionaire CEO of Wise, has been fined £350,000 by the Financial Conduct Authority (FCA) for failing to disclose a tax issue related to capital gains from shares he sold in 2017. This breach of conduct rules raises questions about his fitness to lead a financial firm. Despite this setback, analysts have increased their profit expectations for Wise, highlighting a 17% rise in underlying income and a buy recommendation with a target price of £1,000 from Peel Hunt. The fine is less severe than what Käärmann could have faced, and he has committed to ensuring his tax affairs are properly managed in the future.