Monday morning briefing – January 28, 2019

The new technologies that European banks are prioritizing. The possible impact of an Amazon chequing account. The shift from passive to strategic beta and active. The practices FINRA will focus on in 2019. And much more in this week’s briefing.

Economic/industry news

International Economic Data Snapshot – includes aggregated data of the worldwide economy: Snapshot: International economic data

The Chinese economy grew 6.4% in the fourth quarter: China sees slowest economic growth since 1990

ECB maintains benchmark refinancing rate at 0%: ECB holds rates steady, guidance unchanged

BoJ holds interest rates steady: Bank of Japan keeps interest rates steady and cuts inflation forecast

Central banks may hold steady in early 2019: What to expect from central banks in 2019

U.S. recession in 2020 possible, according to Ray Dalio: Ray Dalio, founder of the world’s biggest hedge fund, sees a ‘significant risk’ of a possible US recession in 2020

The intertwining of impact investing and philanthropy: How impact investing can amplify philanthropic efforts

Some ESG trends you need to know: Five ESG trends to focus on for 2019

SG funds continue to attract large amounts of capital: Bucking the trend, flows into ESG funds set another record in 2018

Desjardins has launched the Desjardins Alt Long/Short Equity Market Neutral ETF: Desjardins introduces alternative ETF

CIBC launches CIBC Smart Investment Solutions: CIBC combines active and passive strategies in new portfolios

CI Investments launches ETF portfolios: CI introduces actively managed ETF portfolios

Fidelity introduces new ETFs to its lineup: Fidelity launches new factor ETFs, mutual funds

Happy Birthday, TFSA: The TFSA turns 10

On the pulse – New frontiers in fintech

How businesses can seize the opportunity in a fast-changing world: Navigating a world of disruption

How banking experts would launch their brand new bank: How banking providers can get their digital strategy right in 2019

Here are a few technologies that could impact financial services firms this year: Five emerging tech trends to watch in 2019

The asset management industry could benefit from regtech: How regtech will digitally transform asset management in 2019

The potential impact of an Amazon chequing account: An Amazon checking account could displace $100 billion in bank deposits (but it won’t)

Financial services firms should be prepared to enter the “greenfield”: Banks should take a page from fintechs on innovation

A look at some digital transformation myths: Busting five myths of digital transformation

Governments should provide a supportive environment for AI: Artificial intelligence initiatives need government support

How SMEs will benefit from fintech: Emerging fintech innovations set to influence SME lending in 2019

The government shutdown putting the country at risk of cyberattacks: With cybersecurity threats looming, the government shutdown is putting America at risk

Which new technologies European banks are prioritizing: Improving product agility is now a priority for 51% of European Banks, according to Temenos

A view from the inside on new technologies: The promises and pitfalls of new technologies

AI versus humans in the credit decision-making process: AI to outperform human credit decisions by 2024 – survey

IBM a number of health care insurance companies are looking to create a blockchain network for the health care industry: IBM teams up with healthcare firms for blockchain initiative

Understanding of blockchain lacking: New research points to poor understanding of blockchain amongst senior business execs

News and notes (U.S.)

The hedge fund industry experienced $35 billion in redemptions in 2018: 2018 was a challenging year for hedge funds, says eVestment

Center Lake Capital posted a 76% return in 2018: This hedge fund blew the doors off in 2018

Get to know Seth Klarman: Hedge fund billionaire Seth Klarman: The ‘most influential investor you’ve probably never heard of’

JP Morgan’s outlook on the alternative investment industry: JP Morgan’s 2019 Alternatives Outlook highlights opportunities across hedge funds, private equity, private credit, real estate and real assets

The potential drawbacks of the significant capital raises by private equity: The consequences of PE’s fundraising arms race

Natural resources attracting private capital: Private investment in natural resources hits record high

A look at some trends in the U.S. PE industry: More deals, fewer funds and other US PE trends in 9 charts

Shifting from passive to strategic beta and active: ETF providers pivot to strategic beta, active management

Outflows from long-term U.S. funds at its highest level since 2008: Investors showed major risk aversion in 2018

Government shutdown forces Cboe’s withdrawal of its bitcoin ETF application: Cboe’s bitcoin ETF application pulled after repeated SEC delays

Portfolios need to be more diversified, according to BlackRock: BlackRock: Advisors are overweight equities and ill prepared for 2019

Here is what practices FINRA will focus on in 2019: Finra to target online sales practices of broker-dealers

A deep dive into the pros and cons of a wealth tax: Opinion: How a wealth tax would work in the United States

High-net-worth topics

It is getting harder to attract capital from the high-net-worth: Fleeing clients are grim reality in banks’ push to manage wealth

The number of high-net-worth individuals globally expected to grow over the next five years: Global wealthy projected to grow 6.1% annually in next 5 years

The average age of the rich is dropping: Survey of U.S. investors finds the rich are getting younger

How the high-net-worth should handle a divorce: What Jeff and MacKenzie Bezos (and all high-net-worth couples) need to do to avoid a messy divorce

Polls & surveys – What financials are saying

IMF expects global economic growth of 3.5% in 2019 (IMF): IMF cuts world growth forecast to 3.5%

42% believe that the Canadian economy will worsen in 2019 (FPSC): 4 in 10 Canadians think the economy will be worse this year

Almost 75% of portfolio managers expect a recession (BCG): Portfolio managers believe recession is near

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