Industry Analysis & Industry Trends
Slow worldwide economic growth, fears over high sovereign debt levels, and weak consumer confidence have kept business and trading activity below prerecessionary levels. As a result, worldwide demand for industry investment banking and broker-dealer services remains suppressed. Over the next five years, new regulations in the United States and parts of Europe will shape and constrain the industry. In response, investment banks will shift resources away from risky activities into more stable fee-based activities and regions with faster economic growth... read more
Industry Investment
Industry participants have increased their investments in technology in an attempt to improve efficiency and lower processing and administration costs. One factor that has positively affected these areas is the increased development of online services. However, labor costs are still a considerable expense because research and advice remain the major activities in the industry. Investment banks require highly skilled and experienced staff members to perform these activities, which means providing higher wages to employees... read more