Rule Financial’s new white paper ‘The Liquidity Gap’ claims that the banking industry is missing an opportunity by making compliance an end in itself.
It argues that where banks have invested in a complete review and overhaul of their liquidity controls and systems, adopting dynamic, proactive management of their resources, they’ve been able to achieve a genuine competitive advantage, profiting substantially from their optimised processes.
During one review, an unnamed major investment bank discovered a staggering US$14bn of unused collateral it was subsequently able to put back to work.
David Goucher, a former banker who leads Rule Financial’s liquidity management practice, said: “While the liquidity crisis may be over, the storm hasn’t passed. Prices are still above pre-crisis levels and there is a serious possibility of a further liquidity event. Many banks have appreciably improved their liquidity reporting capabilities and are able to comply with the FSA reporting requirements, but few have significantly enhanced their internal liquidity and collateral management capabilities.”
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.