Of Special Interest
- Global banking market capitalisation slumps by over 30% amid pandemic says Buyshares research
- S&P Global report says financial market infrastructure sector's earnings likely to cool off In second half
- CMA issues fifth publication over 3 years of the service quality league table of personal and business current account providers
- Barclays says scammers take advantage of COVID-19, cashing in on nations’ uncertainty
- Juniper Research new study says the volume of B2B payments facilitated by non-banks will exceed 53 billion in 2022, from a COVID-related low of 38 billion in 2020
- Digital wallet spend in Europe & North America to increase by 40% in 2019, finds study
- Juniper forecasts mobile money transactions will exceed 200 billion by 2024
- Banks can save the world from climate change, says former UN climate chief
- Research by NatWest reveals gender divide over attitudes to saving
- Europe’s big bank problem: too much capital is trapped in the US, says Scope
- Later-Life lending market set to almost double in the next 10 years, finds report
- Barclays/Cebr report challenges nation to think differently about wealth
- Fifth of UK investors looking to debt investment, new research reveals
- Regtech will play a more important role in PSD2, says Mitek
- Banks turn to Fintech partnerships to improve customer experience, finds Fraedom
- New industry code to tackle fraud must deliver, says Which?
- New TTF report highlights loss of trust in financial services
- Arxan highlights financial app vulnerability epidemic
- SAS asks whether banks really need to choose between operations and innovation
- Which? raises alarm as almost 1,700 free ATMs become fee-charging
- Financial wellness affects half of peoples’ mental or physical health, finds report
- Study finds traditional financial institutions embrace Fintech disruption
- Grass is greener for environmentally friendly businesses, finds Barclays
- Prospective homeowners would consider a 40-year mortgage to escape renting, finds Santander
- Millennials’ needs are changing the face of banking industry, says new report
- FS is putting consumer data at risk by failing to protect mobile apps, says Arxan
- A lack of belief in their ability holds 28% women back in work, says Cambridge & Counties
- ‘Which?’ reveals Scotland has lost over a third of its bank branches in eight years
- Next downturn unlikely to be as bad as 2008, according to S&P
- FCA reveals findings from first cryptoassets consumer research
- US consumers favour single mobile app for banking and payments
- Banks suffering major IT shutdowns every day, ‘Which?’ reveals
- The US will be a key offshore centre in 2019, says GlobalData
- Debit industry changes markedly in 10 years of the Debit Issuer Study
- UK's ‘Big Five’ face ‘too big to compete’ as small challengers secure stellar returns
- Banks as vulnerable now as before crash, says new study
- Leverage ratio a constant conundrum for European and US banks, says SNL
21st August 2020
S&P Global report says financial market infrastructure sector's earnings likely to cool off In second half
After a strong June and July, S&P Global Ratings expects earnings for the financial market infrastructure sector to soften in the second half but remain solid.
"We believe the sector will remain resilient, with strong cash flow generation for most players," said S&P Global Ratings credit analyst Giles Edwards in the report published tthis week-"Global FMI Sector Midyear 2020: Strong Cyclical Performance Is Set To Slow."
In the first half of 2020, a spike in trading activity and recovering asset prices led to a strong earnings performance for the sector. The COVID-19 pandemic spurred a bout of extraordinary volatility and record volumes amid the extraordinary market gyrations of March and April.
Disciplined financial risk appetite remains a generally supportive feature in the sector, but the completion of two large acquisitions will likely push sector leverage higher by year-end.
The ratingagency's negative outlook bias for the sector continues to reflect idiosyncratic downgrade risks.