The Financial services industry provided the first CVA client and therefore was the first industry area that developed. It has remained a core sector for over 25 years, representing ~40% of Sales in certain offices. Currently the industry is undergoing major upheaval as a result of the financial crises, as the major players now have to deal with the significant issues that arise from changes to the industry structure, changes in customer perception of them as institutions, and the impact of regulatory change that they are facing from all levels and types of authority.
Corporate & Investment Banking
Darwinism : will banks move from reptiles to birds?
The concept of step-changes introduced as gradualist natural selection could not explain why reptiles became birds at some point. As in evolutionary theory, the current crisis consists in a massive step change for banks that triggers a full new set of selection pressures. Pre-crisis winning models probably won’t be post ones.
The multiple benefits of a “Customer-centric” ALM
CVA customer-centric ALM combines new customer behaviours, catchment areas, competition and resource access cost to develop optimal pricing for deposits and credit, in a “yield management” approach
One major lesson from the crisis is that banks and other institutions cannot fulfill their corporate governance responsibilities effectively until their boards take ownership of strategy and the evaluation of strategy, and conduct "strategy audits" in the same way they are required to audit financial accounts.More
Big Data: Attack is the best Defence
Google, Paypal , Facebook, and a myriad of small players (Mint, SmartPlan…) are eager to make finance yet another source of client knowledge they can sell. Banks have data on client profiles and behaviour, which they could use for the benefit of both the client and the bank. But accessing this pot of gold means reaching out beyond the bank counter to the retail and social world. Will banks dare ?
Don’t tell me about Multichannel…
Tell me about customer experience instead! There are two ways of optimising a channel model. Either you try to integrate your existing channels or as at CVA, you define a target client experience and identify the best options to get you there.