There were many victims of 2008’s Great Recession, but perhaps none were as hard-pressed as those in emerging markets, who were effectively cut off by the suddenly risk-averse big banks of developed countries. Access to finance through traditional avenues is still hit and miss for those in developing countries, but things are looking up with the advent of technological solutions that are bridging the gap to a more promising future.
Customers today are leery of sharing with businesses too much of what they consider to be one of their most valuable assets: their personal data. And it’s no wonder, as data breaches abound. Fortunately for banks in the United Kingdom, they rank more highly than other businesses in customer estimation of data guardianship, according to recent research. How can businesses across sectors bolster customer trust in their data handling?
Although banks have been in financial services longer than anyone else, they have a thing or two to learn about customer service from the mammoths in the retail sector. Retail subscription services are taking off, promising to deliver combinations of products conformed to the needs and likes of customers, whose preferences are well known from data analyses. What similar steps can banks adopt in their drive to augment customer satisfaction?
The London Inter-bank Offered Rate, LIBOR, has for 50 years served as one of the most widely used benchmark interest-rate indexes. But its reputation has been tarnished by concerns that it has been manipulated by banks, and the United Kingdom’s FCA has pulled the plug on LIBOR submissions after 2021. Its successors—risk-free rates—are lining up to take over, but the transition is definitely not guaranteed to be smooth.
Diversity and inclusion have recently become top goals in the strategic policies of many banks, but how is execution matching up? Research continues to expose large gaps between good intentions on paper and good outcomes in practice. Diversity and inclusion are more than nice-sounding words; when realized, they boost profitability. Banks that go no further than prioritising these goals in mission statements miss out on playing the ace.
“The times they are a-Changin’” sung Bob Dylan in the 1960’s as the civil rights movement swept through the US and changed the direction of a Nation forever.Fast forward to 2019 and this anthem of change rings true for the banking sector. Whether it be emerging FinTech start-ups, regulatory bodies or the changing demands of their customers, it’s an industry that is being disrupted from all sides.
Misgivings about the ultimate outcome of Brexit have delivered a blow to the UK’s once-hot housing market. Buyers are reluctant to buy, and sellers are hesitant to sell—until there is more clarity on Brexit. House prices are trending lower, with few exceptions. As October 31, the new Brexit deadline, draws nearer, house buyers and sellers will watch developments closely and hope for a final resolution.
An efficient financial sector is central to maximizing an economy’s potential by helping it to make optimal and longer-term investments. Developing countries face a chicken and egg dilemma when it comes to financing, because it is hard to have efficient financial services without companies that can make good use of funding. This article examines how practical intervention to build the capacity of financial services through professional training will boost developing countries.
For Better or for Worse: The Linkage Between the US Economy and the Major Economies of the Western Hemisphere
The US economy is on track to break its own record; its current 115 months of expansion is only five months shy of the record set in the 1990s. The next recession will come, maybe soon, as the economy succumbs to factors such as policy errors, foreign growth and corporate profit. And the United States will not fall alone; other Western Hemisphere countries will be dragged down with it.
Mr. Simon Hughes, International Banker, and Mr. Anders Bouvin, President and Group CEO of Handelsbanken, discuss the bank’s recent positive financial results, its strategy and growth.