Capital markets are crucial in helping firms to navigate the turbulent geopolitical climate, acting as both a catalyst for growth and a long-term stabiliser to effectively handle challenges such as currency risk, interest-rate fluctuations and the increasing cost of capital. In the first of our Euromoney Market Voices series, the CEO of Lloyds Bank Corporate Markets explains how markets are adapting to the challenges of the new normal – and how banks and corporates can take advantage.

Six years after the Paris Agreement and the world is still looking for enablers to accelerate the net-zero journey. Many see trade finance instruments as the next significant step but that requires accurate and structured data, robust reporting capabilities, and streamlined processes. Key leading players in the area tell Euromoney what is changing in the world of sustainable trade finance.

In 2010, Soumya Rajan was a senior private banker at Standard Chartered in Mumbai. Then she quit to set up Waterfield Advisors, a multi-family office and wealth advisory firm which now helps Indian families manage US$4.3 billion in assets. She tells Euromoney why wealth management in India is so exciting, which factors are driving new money creation – and why so many private banks are so bad at serving women.

Javier Rodríguez Soler, BBVA’s global head of sustainability and corporate and investment banking, says an acquisition of Banco Sabadell would boost his division’s international standing. But BBVA is already eyeing a leading role in banking decarbonisation around the world, especially in the US. Partnerships with private equity companies, and investments in cleantech funds, are among the ways it is pursuing that goal.

Corporate supply chains are facing logistic, shipping and operational challenges while also under pressure from geopolitical tensions and natural disasters, as highlighted by trade leaders at the world’s leading banks in Euromoney’s Trade Finance Survey 2024.

New transition bond includes step-down, as new ‘green infrastructure’ bond issued.

Wholesale banking head Andrew Bester explains the renowned retail bank’s ambition to win new revenues building on its expertise in sustainable finance.

With corporates taking a more holistic view of sustainability, banks are under pressure to address concerns over reporting and verification requirements for sustainable working capital, trade finance and liquidity management products.

Corporate treasurers are playing it safe when balancing the merits of exploiting improved access to capital against the risk of unexpected economic shocks and business interruption.

The decision by the US SEC to drop mandatory Scope 3 reporting weakens global emissions reporting standards. However, many corporate issuers are already using Scope 3 performance targets on sustainability-linked transactions for non-regulatory reasons. Are the debt and equities markets leading companies onto ESG ground upon which regulators fear to tread?

Corporates seeking to leverage sustainable investment opportunities continue to be restricted by the lack of reliable data on which to base their assessments.

The UBS chief investment office’s sustainable and impact investing strategist wants to avoid measurement for the sake of measurement, but responding to client demand for more data while ensuring its readability remains a challenge.

Results index Many banks in Africa donate part of their profits to charitable organisations. But few go beyond these pecuniary donations to dedicate their time and financial skills in support of the social good. Ecobank is one of the exceptions. The pan-African bank sets aside 1% of its profits after tax to supporting the initiatives of its social projects arm, the Ecobank Foundation, it also supports the fight against pandemics in Africa using skills and talents unique to banking. For those reasons, it wins best bank for corporate social responsibility.

Results index Like digital innovation, demonstrating a commitment to corporate social responsibility is a relatively recent obligation in banking. So when social involvement has been at the heart of an institution’s identity for more than 100 years, it is hard to take a cynical stance and brand its efforts in the area as little more than a belated effort to manage its public image.

Results index One increasingly important way for banks to differentiate themselves is through their corporate social responsibility activities, which helps to bind banks to their local communities and build and retain customers in those regions. Lafise Bancentro’s innovative and effective One Laptop Per Child charitable organization has previously been recognized by Euromoney. The programme continues to evolve from the original concept, launched in 2009, to provide central American children with better educational opportunities. This evolution is the reason Lafise Bancentro wins the award for the region’s best bank for CSR.

Results index Few firms can be said to engage in corporate social responsibility both as an organization and on behalf of its clients as much as Morgan Stanley, which receives this year’s award for North America’s best bank for corporate social responsibility (CSR). In wealth management, Morgan Stanley’s Investing with Impact Platform offers more than 130 products and funds for both institutional and retail clients. By the end of last year, it had more than $5 billion in assets under management – half way to its 2018 goal.

The financial sector has been slow to embrace a diversity and inclusion agenda, but a small handful of banks are taking charge. Bank of America Merrill Lynch is a role model globally, and the results of that are tangible

Not only does JPMorgan Chase invest its own philanthropic dollars more broadly across the world than any other bank, it also puts its financial expertise to work to help solve global social and environmental issues.