Category: Finance

ESG stands for environmental, social, and governance. It is a framework for assessing how companies perform in these three areas compared to their competitors. ESG investing is a fast-growing trend that aims to align financial returns with positive social and environmental impacts. But what do banks really mean when they claim to put trillions of dollars into ESG? Are they truly committed to sustainability, or are they just greenwashing their…

Lloyds shares (LSE: LLOY) have been underperforming the FTSE 100 index this year, despite the favourable environment of rising interest rates. The bank’s share price is down about 10% year-to-date, while the broader market is up about 15%. Why is this the case, and are there better opportunities in the UK banking sector? One of the main reasons for Lloyds’ lacklustre performance is the intense competition in the UK retail…

Inflation, the general rise in the prices of goods and services, has been a major challenge for the global economy in 2023. Many countries have experienced higher inflation rates than their central banks’ targets, driven by factors such as supply chain disruptions, commodity price shocks, and fiscal stimulus. This has put pressure on central banks to adjust their monetary policies to contain inflation and maintain price stability. The Impact of…

UBS releases its latest preferences for Australian banks UBS, a global financial services firm, has recently published its updated preferences for the Australian banking sector. The report, titled “Australian Banks: 2023 Outlook”, provides an overview of the challenges and opportunities facing the major banks in the country, as well as the firm’s ratings and price targets for each of them. According to UBS, the Australian banking sector is facing a…

Buy now, pay later (BNPL) is a popular payment option that allows consumers to purchase goods and services online or in-store and pay in installments over time. BNPL providers such as Affirm, Klarna, and Afterpay have seen explosive growth in recent years, especially among younger and digital-savvy shoppers who value convenience, flexibility, and affordability. However, BNPL is not only beneficial for consumers and merchants, but also for credit card issuers…

Fed’s QT policy drains bank reserves The U.S. banking landscape is currently navigating a complex financial terrain, marked by a quest for liquidity amidst the Federal Reserve’s quantitative tightening (QT) measures. QT is a policy that involves reducing the size of the Fed’s balance sheet by selling or letting mature some of the assets it acquired during the quantitative easing (QE) program that followed the 2008 financial crisis. QE was…

Savers can benefit from rising interest rates Savers who are looking for the best returns on their money are advised to act fast and take advantage of the rising interest rates offered by some banks. According to experts, interest rates have been on the rise over the past year thanks to central banks raising their base rates and inflation expectations. This means that savers can now find savings accounts that…

Google and Symphony Communication Services, a cloud-based messaging and collaboration platform for financial services, have launched a new voice analytics offering for banks and other financial institutions. The service, called Symphony Voice Analytics, leverages Google Cloud’s artificial intelligence and speech recognition capabilities to transcribe, analyze, and archive voice conversations on Symphony’s platform. How Symphony Voice Analytics works Symphony Voice Analytics is an add-on feature for Symphony’s existing voice service, which…

The chancellor of the exchequer, Rishi Sunak, hosted a reception for some of the UK’s most prominent business figures at Windsor Castle on Monday, in an attempt to woo them with a royal welcome and a message of confidence in the economy. However, some of the attendees expressed their concerns about the lack of clarity and certainty on key issues such as tax, regulation, and trade. A rare opportunity to…

Banking as a service (BaaS) is a business model that allows fintech companies to offer banking products and services to their customers without having to obtain a banking license. Instead, they partner with banks that provide the regulatory compliance, infrastructure, and access to the payment system. BaaS has been seen as a win-win situation for both fintechs and banks, as it enables innovation, customer acquisition, and revenue diversification. However, the…