New research from Greenwich Associates has highlighted that corporate banking success will surpass expectations as bank relationships are increasingly becoming rationalised and counterparty risk in the US is now less of a concern.
In the report, New Regulation Benefits the Top Banks with Larger Share, Greenwich Associates explains how a “consolidation trend” has increased international business for US companies with the top banks.
Andrew Grant, consultant at the research company, says that he predicts success for US banks. “While we expect to see further gains among the top US banks, it will be interesting to track the positive momentum the largest foreign banks are showing,” Grant said.
Alongside this, new regulations and stricter capital reserve requirements have broken down bank profit margins and ensured that shifts in strategy means that the larger banks are more selective when choosing who to provide capital to.
Another Greenwich Associates consultant, Don Raftery, says that companies are getting the same message. “Across the full spectrum of corporate banking services, companies are receiving a clear message: Banks’ biggest and most profitable clients will receive the highest levels of servce, while smaller and less lucrative accounts receive less intensive coverage or even see their relationships dropped altogether,” Raftery said.
Europe’s opening banking regulation is finally here. After months of preparation across the continent, the Revised Payment Services Directive comes into effect on January 13.
The cost of compliance efforts for banks has increased exponentially in recent years. This is especially true for those banks that are active in the global trade finance domain, where the overwhelming expectation is for compliance requirements to become even more complex, strict and challenging over time.
This year promises to further the regulatory compliance burden imposed on financial institutions. How are firms in the sector responding to the challenge?
Global trends, technology and the role of the treasurer in 2025 were hotly debated by treasurers at this year’s Treasury Leaders Summit in London. A focus on technology and automation was universal, others argued over the impact of macroeconomic and global trends on treasury.