New Risks, Old Models: The Asset Management Business The asset management business is undergoing a period of unprecedented change. Asset managers are struggling to deliver the products and returns that aging populations in Asia and the West demand against the backdrop of negative interest rates and slow growth. As fee levels fall under pressure from
Have Private Equity Valuations Reached Bubble Levels? Venture capital and private equity have boomed in the last ten years. McKinsey estimates that private market assets under management hit $5.8 trillion in 2019 and that private funds are sitting on dry powder of over $2 trillion. Fueled by cheap debt and investors hungry for yield, the
Green Bonds Are Growing Fast – But There Are Challenges Since the launch of the first “green bond” in 2008, the climate-aligned bond market has grown to an estimated $1.45 trillion and the annual issuance of labeled green bonds exceeded $167 billion in 2018. Yet this rapid growth has come with rising risks. Increasingly, some large
Commercial Real Estate Boom Turns Bust As Pressure Piles On After collapsing during the financial crisis, commercial real estate (CRE) has enjoyed a decade-long boom. Fueled by historically low interest rates, the sustained CRE bull market has seen prices hitting all-time highs from Asia to the Americas and beyond. However, clouds are gathering
Energy Revolution: Fracking Is Out, Renewables Are In The coal and oil and gas (OG) industries are experiencing a period of upheaval. Demand for cleaner, low-carbon electricity is driving a switch away from coal and oil to natural gas and renewable energy. At the same time, the fast-growing shale industry – which uses
EMIR Refit Is Live – What’s Changed? The final text of the revisions to the European Market Infrastructure Regulation (EMIR), known as EMIR Refit, was published in May. The legislation is now live, and firms must be fully compliant with its various provisions. EMIR Refit made some important changes to the original regulation, many of
Technology is touching every aspect of finance, transforming decades-old practices and redefining core tasks. In our Disruption in Financial Services series, we explore how new tools and technologies are changing the business of finance and reshaping how financial professionals do their jobs. Disruption in Financial Services: Big Tech’s Move into Finance Is Raising Regulatory Hackles
Technology is touching every aspect of finance, transforming decades-old practices and redefining core tasks. In our new series, Disruption in Financial Services, we explore how new tools and technologies are changing the business of finance and reshaping how financial professionals do their jobs. Disruption in Financial Services Fintech Is Shaking Up The Sleepy World
What’s An Unprofitable Business Worth? Valuing High-Growth, Loss-Making Companies Recent IPOs by high-growth, loss-making businesses such as Lyft and Uber have highlighted a sharp divide among investors over a simple question: What is a company worth? For traditional or value investors, a company’s value is a function of its current and historical
Goodbye LIBOR: Industry Planning For The End of LIBOR Accelerates As regulators escalate their calls for financial firms to plan for the discontinuation of LIBOR, industry bodies are working to ensure that the transition to a post-LIBOR world is smooth. At the center of efforts in derivatives markets is the International Swaps and Derivatives Association
