Western Europe

Wealth managers profited from the volatility of 2020. With the same beneficial gyrations unlikely in 2021, Victor Matarranz, global head of Santander Wealth Management and Insurance at Banco Santander, says the hard work starts now.

Litigation funding has surged in recent years. The asset class is catnip to yield-hungry investors, with funders expanding from their roots in Australia and the UK to tap new markets from Germany to Brazil and the US.

As government debt burdens keep rising to fight the virus, so do the chances of sudden sell-offs that could suck all markets into a vicious downward cycle.

UniCredit entered the Covid-19 crisis flush with capital. That money was earmarked for dividends and share buybacks. So far, it has gone on frontloading loan write-offs.

It’s easier to reach your destination if you know where you’re going.

The transformation plan appears to be working and as the investment bank regains market share, Deutsche looks better set for the coming consolidation.

The past year has brought new challenges for Crédit Agricole’s partnerships in products and distribution. But the wave of bank M&A sweeping Europe is also an opportunity – as its Creval deal shows.

Covid-19 has hit the Spanish lender particularly hard, but the pandemic could spur a longer-term strategic shift.

Every bank has had to balance Covid and geopolitics in 2020, but few have had it harder than HSBC

The investment bank has proven its value in a tough year, but revenue stability is the challenge ahead.

After a year when credit markets propped up the financial performance of continental Europe’s biggest bank, concern remains about its credit risks.

Despite Covid, it was a good year for UBS and its outgoing chief executive Sergio Ermotti. Now it’s time for his successor Ralph Hamers to show his hand.

As the outsiders – those foreign nationals who turned around Europe’s largest banks – move on, it is not immediately obvious how well Lloyds’ António Horta-Osório fits Credit Suisse.

The recent wave of M&A has left behind weaker banks such as Banco BPM, Sabadell and, above all, Banca Monte dei Paschi di Siena. Jean Pierre Mustier’s exit from UniCredit shows why.

Jean Pierre Mustier’s decision to leave UniCredit raises the alarming prospect of the crippled Banca Monte dei Paschi di Siena pulling down a much bigger and stronger Italian bank.

Pre-2008 M&A mistakes still stand in the way of a bolder bank purchase such as Banco BPM.

A new Swiss-Singaporean enterprise styles itself as the world’s first digital asset bank. It is regulated, resembles the structure of a mainstream bank and has some high-visibility advisers and investors, among them Peter Wuffli. Will it work?

Post-2008 accounting standards set aside capital for tomorrow’s problem loans today. In doing so, they rely on the judgements of the banks themselves. However, after Covid-19, European banks cannot afford to provision for write-offs in the same way as their US counterparts.

Selling its US bank to PNC fixes BBVA’s capital problem and allows it to consolidate in Spain. Arch-rival Santander’s similar troubles may be harder to solve.

A global green recovery is still a distant ambition, but leadership across sectors is slowly coming together.

Tighter BTP-Bund spreads obviate the need for an international sub-holding, UniCredit CEO Jean Pierre Mustier tells Euromoney.

Ralph Hamers’ project to centralize ING’s operations was flawed from the outset. Scrapping it is sensible, but a mark against his legacy.

Fear of Chinese advances with programmable money and Facebook’s Libra are pushing central banks to digital currencies, which may transform financial markets.

Italy’s biggest bank is floundering because it is based on a flawed premise.

Swift regulatory clearance raises fully fledged new bank’s hopes for smooth path to profit in an under-served market segment.

The outgoing CEO’s surprisingly good final results mean his successor has less room for manoeuvre.

Incoming UniCredit chairman Pier Carlo Padoan could be a useful ally to CEO Jean Pierre Mustier, but the latter may not realise his dreams in Germany and Europe unless the bank plays a greater role in Italy, too.

Tidjane Thiam is no longer running Credit Suisse, but the clever appointment of Christian Meissner to bridge its private banking and investment banking teams, delivering new services to super-wealthy clients, shows his dream lives on.

The BRICS economies, which between them represent 40% of the world population and 32% of its GDP, are a powerful force for the private banking industry as their economic engines drive wealth creation. But they are all distinct markets with their own unique opportunities and challenges.

As European bank consolidation finally gets under way, Euromoney looks at the financial firepower of the region’s top 20 players. Which banks are now best-placed to do the acquiring and which are at risk of being swallowed up? Mid-tier banks in southern Europe look especially vulnerable.