The Commonwealth Bank’s reputation has taken a battering at the Royal Commission, and a veteran of 13 years on the top table of the Bank’s Executive Committee explains what went wrong and where we should head.
Tag Archives | bank regulation
This exclusive annual scorecard checks bank results in a difficult year, and looks ahead at the hurdles and opportunities for the sector that many Australians rely on for their income.
Changes to banking regulations have led to higher interest rates on bank loans for SMEs and personal loans, pushing borrowers towards the rapidly growing new segment of non-bank lending for faster and better service.
Our regular check on the ‘star’ performances from the Australian banks’ May 2018 reporting season in the face of low credit growth, increased regulatory scrutiny and the sales of insurance and wealth management divisions.
The fiduciary duty of banks, while not legislated, is implied by their central role in the economy. Bank deposits are accepted as ‘money’, and public confidence in banks is fundamental to a functioning economy.
The implications for hybrids, bank margins and bank fees from the increase in the risk-weighting of residential mortgages and learning our banks are not top quartile among the capital levels of global banks.