Where the Banking Industry Goes from Here by Knowledge@Wharton
Here is an excerpt from Knowledge@Whorton on where the banking industry is heading and then a book review on A New Era in Banking: The Landscape After the Battle by Angel Berges, Mauro F. Guillén, Juan Pedro Moreno and Emilio Ontiveros.
In the book A New Era in Banking: The Landscape After the Battle, Angel Berges, Mauro F. Guillén, Juan Pedro Moreno and Emilio Ontiveros examine the opportunities and challenges for the banking industry following the financial crisis that began in 2007. The following review explores the book’s takeaways for banking leaders.
Knowledge@Wharton also recently had an opportunity to speak with Guillen and Moreno about their new book. Watch the video below.
“The financial sector in general, and banks in particular, will never be the same,” proclaims A New Era of Banking. The book is written by Angel Berges, professor of finance and international management at Universidad Autonoma, Madrid, and professor of finance at AFI-Escuela de Finanza; Mauro F. Guillén, Wharton management professor and director of the Joseph H. Lauder Institute of the University of Pennsylvania; Juan Pedro Moreno, managing director of Accenture’s global banking industry practice, and Emilio Ontiveros, economic and business administration professor at the Universidad Autonoma de Madrid. They are referring to the impact on the industry of the catastrophic financial crisis, which began in 2007 and came close to destroying the Western world’s financial system.
A team of writers from Bloomberg News estimated in 2010 that the total cost of outlays and commitments by U.S. taxpayers of stabilizing the crisis was $12.8 trillion, almost as much as U.S. Gross Domestic Product for a year. The Federal Reserve Bank, the powerful U.S. central bank, will not provide details and, despite three court rulings, continues to refuse to do so, arguing that it would exacerbate the crisis.
See full article by Knowledge@Whorton, more on the book below
A New Era in Banking – Decription
A New Era in Banking: The Landscape After the Battle by Angel Berges, Mauro F. Guillén, Juan Pedro Moreno and Emilio Ontiveros.
The financial crisis that began in 2007 triggered a break with banking practices of the past. Even as the crisis occurred, a broader set of economic, geopolitical, and technological forces were already reshaping the financial industry’s transition from the twentieth to the twenty-first century. While these changes in the financial and global climate have led to a major overhaul of banking regulations and increased scrutiny of banks, they have also revealed opportunities for the development of a banking sector fit for the future.
A New Era in Banking: The Landscape After the Battle identifies the main drivers of change at the heart of this wholesale transformation of the financial services industry. It examines the complex challenge for financial institutions to de-risk business models, reconnect with customers, and approach stakeholder value creation. Untangling the severe mutations that have taken place in the banking sector, A New Era in Banking, contextualizes these changes within larger trends that extend beyond the confines of the financial crisis. Banks are more vulnerable than ever to the crosscurrents of economic, demographic, regulatory, and technological change. However, by discussing how banks can operate as flexible, technology-enabled information businesses, A New Era in Banking advocates financial practices based not only on survival, but innovation.
About the Author
Juan Pedro Moreno is Accenture’s senior managing director, global banking. He has more than twenty-five years of experience overseeing large-scale transformation projects in banking and capital markets firms in Europe, North America, South America, and Africa. He has served as innovation and economics chair at Universidad Autonoma de Madrid, and is an Eisenhower Fellow. Mauro F. Guillen is the Zandman Professor of International Management at the Wharton School, and the director of the Lauder Institute of Management and International Studies. He a recipient of the Aspen Institute’s Faculty Pioneer Award, and serves on the advisory board of the School of Applied Finance at Analistas Financieros Internacionales. Angel Berges is professor of finance and international management at Universidad Autonoma, Madrid, as well as professor of finance at AFI-Escuela de Finanza. He is a founding partner and CEO at AFI, one of the largest consulting companies in Spain. He also serves as a member of the Stakeholders Group at the European Securities Markets Authority (ESMA) and past president of the European Finance Association. Emilio Ontiveros is an economic and business administration professor at the Universidad Autonoma de Madrid, and founder and president of Analistas Financieros Internacionales (AFI). He has authored numerous articles for scientific and professional magazines, and regularly contributes to the national media. He is a Real Colegio Complutense (Harvard University) Fellow, a former member of the International Advanced Research in Economics, and a visiting scholar at Wharton School of the University of Pennsylvania.