Global Corporate and Investment Banking:   An Agenda for Change

Four years after the financial crisis, the agenda for change within the global corporate and investment banking (CIB) industry remains significant. In this compendium, we bring together five articles published over the past year that serve as a ready reckoner for the CIB agenda—not just for capital markets and banking, but also for critical components of the banking infrastructure that supports funding.

Day of Reckoning explores the impact of new regulations on capital markets businesses. After-tax return on equity for these businesses is likely to fall from 20 percent pre-regulation to 7 percent, absent any mitigating actions by banks. We suggest strategies that banks can pursue to manage the impact of regulation on their capital markets businesses and to maintain an acceptable level of profitability. We examine portfolio optimization, model and data quality improvements, financial efficiency, and operational enhancements.