Western Europe

In his first year as chief executive, Andrea Orcel has backed out of a deal to buy Banca Monte dei Paschi di Siena and prioritized capital distributions at UniCredit. However, his flirtation with an acquisition in Russia has shown that the bank can still raise eyebrows. Orcel talks to Euromoney about the bank’s biggest opportunities and how M&A can help realize them.

Trading update does little to answer concerns around underlying performance and a slowdown in wealth management.

Early in the Covid crisis, CACIB avoided the big equity derivatives losses its local rivals suffered. Chief executive Jacques Ripoll tells Euromoney how the bank plans to take advantage of the rise of sustainable finance, which plays to its long-standing expertise in infrastructure and energy.

Nicolas Cailly, head of payments and cash management at Societe Generale, is responsible for growing the French bank’s cash-management franchise. He tells Euromoney why the bank’s new treasury offering is a step forward for TMS implementation.

Brought in to help clean up Credit Suisse, the high-profile Portuguese banker has been forced to quit to preserve what is left of its reputation.

Douglas Flint, former HSBC chair and current chairman of Abrdn, talks to Euromoney about climate change, his hope for the future and how he convinced CEO Stephen Bird to join the firm over fish and chips and a pint in an Edinburgh pub.

It took all of six days of the new year before the tone was set: XP Inc’s announcement of its acquisition of Banco Modal. The deal will need regulatory approval, but is being warmly endorsed by the target’s management and its minority shareholder, Credit Suisse.

As legacy banks plough billions into fintech, their valuations – especially compared to standalone fintech players – are far from seeing the desired benefit. Spin-offs and subsidiary IPOs are part of a growing push to make these fintech investments more independent and visible, and to force a sum-of-parts valuation. Is the answer to restructure into a listed financial holding company, of which the legacy bank would just be one part?

LeasePlan’s absorption by Societe Generale-owned ALD comes at the same time as rumours of a takeover by SocGen of ING France, potentially adding to digital bank Boursorama’s growth.

Many observers remain unconvinced about the Scottish government’s official currency if the country were ever to gain independence.

The Swiss firm’s decision to sell specialist Zurich-based wealth manager Wergen & Partner is the latest in a series of M&A deals. Expect more activity as private banks expand into new markets, or exit non-core markets to focus resources and invest in technology.

BNP Paribas has in effect ruled out using the proceeds of its US retail bank sale on big bank M&A in Europe.

Liquidnet’s network of asset managers might see big benefits from automating new issue data and workflows from TC Icap’s bank customers.

It might have the wind in its sails, but the bank will need to be nimble and smart if it is to find success in its three principle aims.

Now back at single-A with both leading rating agencies, Deutsche hopes to win more business and improve margins as investors await their share of the returns.

Losing your chief executive in messy circumstances is never a good look, but Barclays does at least have momentum in its investment bank as it looks for a fresh start in 2022.

Beyond the headline-grabbing talks on buying Banca Monte dei Paschi, the new chief executive has radically reshaped the bank as he seeks to better harness its potential.

Greater regulatory clarity, and perhaps a sale of Bank of the West, leave the French bank with the happy dilemma of what to do with excess capital.

Ralph Hamers is quietly imposing his vision on UBS, axing senior titles to simplify the structure and eyeing a new US digital bank for affluent customers.

Credit Suisse’s hopes for 2021 were dashed by March, thanks to Greensill’s collapse and Archegos’s implosion. It really needs 2022 to go well.

StanChart had more to lose than most from the disruption of Covid – and more to gain as the markets where it operates recover.

Being France’s biggest retail bank might not sound as appealing as it once was. But Crédit Agricole’s management is focused on the growing number of additional products it is plugging into the network.

After years when the UK and the US banks were Santander’s problem children, those markets are now leading its recovery.

Chief executive Andrea Orcel’s new plan for UniCredit has little of the asset-selling drama of his predecessor. Whether it works better than the old strategy may be longer in the telling.

At the end of each year, Euromoney takes a close look at the performance of 25 key institutions that we cover. Speaking to senior executives at these firms, we assess what went right and what didn’t, together with what might lie ahead. This year, we have also examined the views of those at the top on two important factors for 2022: their own and others’ asset quality, and the disruptive threat of China. Their observations are discussed in the two features below, followed by our reports for 2021 on the Euromoney 25.

Rising inflation expectations matter to the banking industry. Santander CEO José Antonio Álvarez explains, however, that negative real rates will probably persist for the next five or 10 years because of Covid.

A new index aggregates corporate profitability, asset values and debt service capacity, and shows worrying signs of stress even amid low default rates.

Emerging Europe has been slow to join the fight against climate change. Now the region’s biggest banking group is making its voice heard.

Chief executive of commercial banking Doug Petno says advanced payments technology rather than lending is the key to winning mid-market clients.

A second large AT1 deal this year shows increased investor confidence around the bank’s transformation, but timing the deal was tricky.