Outflows of deposits from small banks paused last week, while outflows from large banks increased. This implies that funds continue to flow out of traditional banking and into money market funds or other alternative investments as investors search for yield. While it is too soon to declare the ... READ MORE >
Financial services
Financial services update: Q4 banking, AI-powered funds, regulatory proposals
In the latest installment of our monthly financial services update, we take a look at banking results from the fourth quarter of 2022, artificial intelligence-powered funds, and two regulatory proposals. Q4 banking results The bank failures of early March have changed the landscape for financial ... READ MORE >
4 areas of focus for financial institutions in early 2023
Despite the lift in financial institutions’ net interest margins from unprecedented rate hikes, the headwinds facing the industry through declining macroeconomic conditions are creating unique downside risks for the nation’s banking system. Still, the strong capital positions of the nation’s banks have ... READ MORE >
Financial services update: NIM growth, fintech recap, nonbank financial institution oversight
In the first installment of our monthly financial services update, we take a look at how financial institutions can sustain net interest margin growth, how fintech finished out 2022 and a rule proposed by the Consumer Financial Protection Bureau to create a registry of nonbank financial ... READ MORE >
Private equity deal activity remains resilient despite leveraged loan market
2022 U.S. private equity deal flow closed as the second-best year on record in both dollar and volume terms against a backdrop of a debt-financing squeeze. Banks retreated from the broadly syndicated loan market after their balance sheets were saddled with commitments to finance leveraged buyouts on much ... READ MORE >
Venture capital trends were mixed in 2022; expect them to converge in 2023
It was a mixed year in 2022 for venture capital as fundraising hit an all-time high, whereas deal activity slowed and exits capitulated. The start of this year should see these trends move in the same direction as appetite for fast-growing startups wanes and investor focus shifts to profitability and ... READ MORE >
How remittances bolster emerging economies
Remittances play a well-known but little discussed role in emerging markets around the world. Low-income countries like El Salvador are heavily dependent upon such payments from families and friends who work in other countries, with roughly 20% of gross domestic product coming from remittances. The ... READ MORE >
As insurtech investment dips, companies get boost by teaming with traditional insurers
Insurance technology startups (insurtechs) have been disrupting the insurance industry for several years, offering customers on-demand products and streamlined services driven by technological advancements. The traditional insurance industry provided the perfect landscape for insurtech disruption as the ... READ MORE >
Venture capital activity slows even as deal counts and fundraising hit records
Venture capital deal and exit activity for the first nine months of the year were well below the explosive pace set last year as various headwinds set in during the third quarter to cool off the blazing trends that had prevailed since the second quarter of 2020. Deal activity through September totaled ... READ MORE >
Accounting for climate risks in business decisions
After a slow start, hurricane season has taken a significant toll in North America this year. Hurricane Fiona devastated Canada’s Atlantic provinces, leaving hundreds of thousands of people without power. Less than a week later, Hurricane Ian laid waste to vast areas of Florida and the Southeastern United ... READ MORE >