BCG on Financial Institutions

🚨 𝗔𝘁 𝗙𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗜𝗻𝘀𝘁𝗶𝘁𝘂𝘁𝗶𝗼𝗻𝘀, 𝗥𝗶𝘀𝗸 𝗦𝗵𝗼𝘂𝗹𝗱 𝗕𝗲 𝗘𝘃𝗲𝗿𝘆𝗯𝗼𝗱𝘆’𝘀 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀. BCG’s latest report, highlights how risk must now operate as an enterprise-wide capability, embedded in strategy, linked across functions, and owned by leadership as a whole. The 𝟱 𝗳𝗼𝗿𝗰𝗲𝘀 reshaping the risk agenda: • Geopolitical volatility • Regulatory fragmentation • Digital & Technology acceleration • Cyber exposure • Sustainability regulation 👉 𝗧𝗵𝗲 𝗰𝗼𝗺𝗺𝗼𝗻 𝘁𝗵𝗿𝗲𝗮𝗱: these forces are increasingly interconnected — and institutions that break risk out of its silo will be better positioned to anticipate shocks, act with speed, and build true resilience. 🔗 Full report: https://lnkd.in/dM3rtZAT ✍️ Thank you to the authors: Gerold Grasshoff, Rowena Fell MA CPP, Dr. Anne Kleppe, Laurin Frommann, Amine Benayad, Vanessa Lyon, Kirsten Rulf, Or Klier & Stefan Bochtler. #RiskManagement #Compliance #FinancialServices #Banking #BCG #AI #CyberSecurity #Regulation #Sustainability #Geopolitics #RiskTransformation

🔎 𝟵𝗠 𝟮𝟬𝟮𝟱 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 𝗢𝗿𝗶𝗴𝗶𝗻𝗮𝘁𝗶𝗼𝗻 & 𝗔𝗱𝘃𝗶𝘀𝗼𝗿𝘆 𝗧𝗿𝗲𝗻𝗱𝘀 – 𝗠𝗼𝗺𝗲𝗻𝘁𝘂𝗺 𝗥𝗲𝘁𝘂𝗿𝗻𝘀 𝘁𝗼 𝗠&𝗔 𝗮𝗻𝗱 𝗘𝗾𝘂𝗶𝘁𝘆 𝗖𝗮𝗽𝗶𝘁𝗮𝗹 𝗠𝗮𝗿𝗸𝗲𝘁𝘀 The latest Boston Consulting Group (BCG) Investment Banking Origination & Advisory Trends for 9M 2025 shows four key themes shaping the market:   📈 𝗗𝗲𝗮𝗹-𝗠𝗮𝗸𝗶𝗻𝗴 & 𝗖𝗮𝗽𝗶𝘁𝗮𝗹 𝗥𝗮𝗶𝘀𝗶𝗻𝗴 𝗥𝗲𝗰𝗼𝘃𝗲𝗿𝘆 IB revenue rose 10% YoY, led by +19% in M&A, with Tech, Industrials, and FIG driving 50%+ of deal volume. Debt Capital Markets (DCM) and Equity Capital Markets (ECM) are set to rebound, fueled by larger, tech-driven issuances tied to AI, infrastructure, and digital assets.   🏦 𝗡𝗕𝗙𝗜𝘀 𝗥𝗲𝘀𝗵𝗮𝗽𝗶𝗻𝗴 𝗢𝗿𝗶𝗴𝗶𝗻𝗮𝘁𝗶𝗼𝗻 𝗠𝗼𝗱𝗲𝗹𝘀 Non-bank financial institutions (NBFIs) and advisory-only firms gained +1pp of M&A fee share YoY as sponsor-driven deals rose +2pp. Leading banks are partnering with NBFIs on co-origination and syndication to combine balance sheet scale with asset-light agility.   🤖 𝗚𝗲𝗻(𝗔𝗜) 𝗠𝗼𝘃𝗲𝘀 𝗳𝗿𝗼𝗺 𝗗𝗲𝘀𝗶𝗴𝗻 𝘁𝗼 𝗕𝘂𝗶𝗹𝗱 Leading banks are advancing from the GenAI design to build phase — developing prototypes, proofs of concept, and testing functionality in live deal workflows. The coming quarters will test GenAI’s impact, with early results highlighting productivity gains and advisor adoption as critical to scaling.   🌍 𝗚𝗹𝗼𝗯𝗮𝗹 𝗙𝗿𝗮𝗴𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻 𝗘𝘅𝗽𝗲𝗰𝘁𝗲𝗱 𝘁𝗼 𝗗𝗲𝗲𝗽𝗲𝗻 The US remains 55% of global IB fees, but APAC, Canadian asset-light banks, and Japanese asset-heavy banks are gaining. Europe faces continued regulatory headwinds as global fragmentation deepens.   📄 Read the full report below. Huge thanks to Julian Hein, Nicola D'Avino, Amrit Shahani, Rishi Baveja, Maximilian Burggraf, Yirou Han, Raluca Gligor, & Christian (Chris) Schmid for their continued leadership and contributions to this piece.   #InvestmentBanking #CapitalMarkets #MergersAndAcquisitions #PrivateCredit #GenAI #CIB #BCGVantage #9M2025 #BCGInsights

💡 Merchant services are being reshaped by platforms, not processors. 💬 As Stanislas Nowicki notes in BCG’s 𝗚𝗹𝗼𝗯𝗮𝗹 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱, software platforms have been growing around twice as fast as digital acquirers and nearly three times as fast as incumbents, reflecting their clear lead in satisfaction, retention, and SMB relevance. ⚙️ Leading players are building 𝗽𝗹𝗮𝘁𝗳𝗼𝗿𝗺-𝗰𝗲𝗻𝘁𝗿𝗶𝗰 𝗺𝗲𝗿𝗰𝗵𝗮𝗻𝘁 𝗲𝗰𝗼𝘀𝘆𝘀𝘁𝗲𝗺𝘀—embedding payments, lending, accounts, and other value-added services directly into merchant workflows. As platforms become full operating systems for SMBs, banks and acquirers that shift from pure acceptance to vertical, software-aligned propositions will be best positioned to win. 📄 Read the full report: https://lnkd.in/d9gEkzak #BCGInsights #GlobalPayments2025 #MerchantServices #EmbeddedFinance #Fintech #PaymentsFuture

Our new report, 𝗖𝗼𝗿𝗽𝗼𝗿𝗮𝘁𝗲 𝗮𝗻𝗱 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 𝟮𝟬𝟮𝟱, outlines three possible futures for CIB through 2030.   This carousel explores the Base case, where growth continues steadily but with increased regional fragmentation and a shift toward EMEA & APAC.    Swipe through for the highlights—and discover how NBFIs, AI, digital assets, and geopolitics could shape this future.   👉 Read the full report (with all three scenarios) here: https://lnkd.in/eVEU96cV #CorporateBanking #InvestmentBanking #BCGInsights

💰 AI could expand retail-banking profitability by ~30%, unlocking over $370B in new annual profit potential. 🗣️ As Saurabh Tripathi highlights, this represents a step-change opportunity for retail banks to reshape their profit pools through AI-driven growth and efficiency. 📈 BCG’s 𝗥𝗲𝘁𝗮𝗶𝗹 𝗕𝗮𝗻𝗸𝗶𝗻𝗴 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱 outlines where this value will emerge—and how retail banks can move decisively to capture it. 📄 Read the full report: https://lnkd.in/e32R3aH8 #RetailBanking #AITransformation #BCGInsights #FutureOfBanking

💡 Risk in payments has moved from the back office to the boardroom. 💬 As Laurin Frommann notes in BCG’s 𝗚𝗹𝗼𝗯𝗮𝗹 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 𝗥𝗲𝗽𝗼𝗿𝘁 𝟮𝟬𝟮𝟱, risk and compliance are now core strategic capabilities. With sanctions tightening, AI scaling, and real-time payments expanding, resilience defines competitiveness. ⚙️ Leading players are building 𝗶𝗻𝘁𝗲𝗹𝗹𝗶𝗴𝗲𝗻𝗰𝗲-𝗱𝗿𝗶𝘃𝗲𝗻 𝗰𝗼𝗺𝗽𝗹𝗶𝗮𝗻𝗰𝗲 𝗳𝗿𝗮𝗺𝗲𝘄𝗼𝗿𝗸𝘀—integrating sanctions screening, transaction monitoring, and AI-based fraud detection—to operate safely in volatile markets. Those who treat compliance as strategy, not cost, will lead. 📄 Read the full report: https://lnkd.in/d9gEkzak #BCGInsights #GlobalPayments2025 #RiskManagement #Compliance #Fintech #PaymentsFuture

🚀 𝗕𝗖𝗚 𝗙𝗶𝗻𝗧𝗲𝗰𝗵 𝗤𝘂𝗮𝗿𝘁𝗲𝗿𝗹𝘆 𝗨𝗽𝗱𝗮𝘁𝗲 – 𝗤3 𝟮𝟬𝟮𝟱   Q3 2025 has seen a robust rebound in global FinTech investment activity, supported by rising investor confidence and regulatory progress across digital assets. More specifically, growth was driven by sustained mega-deal activity, particularly in Trading & Investments and Financial Infrastructure segments, as well as strong M&A and IPO activity.   In BCG’s latest 𝗦𝘁𝗮𝘁𝗲 𝗼𝗳 𝗙𝗶𝗻𝗧𝗲𝗰𝗵 – 𝗤𝟯 𝟮𝟬𝟮𝟱 report, we take a deep dive into the state of digital assets. Here are a few of our key findings:   🔹 Global equity funding reached $14.2 billion this quarter, marking a 65% year-over-year increase despite a decline in overall deal volume. 🔹 There are roughly 3,700 FinTechs active in the digital asset ecosystem, accounting for 23% of global FinTech investments in 2025 YTD compared to just 5% in 2019. 🔹 Key catalysts for growth include regulatory clarity—notably the EU’s MiCA framework and the US GENIUS Act—and maturing blockchain and tokenization technology, which have enabled use cases in custody, settlement, and stablecoin infrastructure. 🔹 The projected CAGR for digital asset FinTechs is roughly 20% through 2029, contingent on continued institutional adoption and macroeconomic stability. 🔹 Despite optimism, systemic risks remain. Uneven regulatory progress across markets, lingering infrastructure gaps, and potential contagion from high-profile failures could slow the ecosystem’s institutional integration.   Ultimately, our deep dive shows that digital assets—and the FinTech ecosystem surrounding them—are moving from experimental to essential, reshaping how people create, store, and exchange wealth globally.   Read the full report below for more insights.   Many thanks to our authors: Dr. Markus Ampenberger, Ankit Mathur, Thomas Lloyd, Carlos Bravo Agapito, Guglielmo de Stefano and Akash Garg.   #FinTech #VentureCapital #Startups #Innovation #Q32025 #BCG #Strategy #Digital #DigitalAssets

📈 In the corporate and investment banking (CIB), fixed income, currencies, commodities, and equities are set to gain as technology reshapes trading and market access. 💡 As Youssef Intabli highlights, tech-forward markets—driven by non-bank financial institutions—will redefine which platforms and clients will shape the future of liquidity and growth. 📊 Explore which asset classes, clients, and ecosystems are best positioned to thrive in our Corporate and Investment Banking Report 2025: https://lnkd.in/eVEU96cV #CorporateBanking #InvestmentBanking #BCGInsights

Global payments are getting a long-overdue upgrade. In Money Movement, the latest Fintech Files episode by BCG Platinion, Michael Shaulov from Fireblocks explains how stablecoins and secure APIs are connecting financial institutions in real time. A great listen for anyone following the future of payments. 🎧 Give it a listen! https://lnkd.in/dSvFb-BM

🚀 The 𝟮𝟯𝗿𝗱 𝗲𝗱𝗶𝘁𝗶𝗼𝗻 𝗼𝗳 𝗼𝘂𝗿 𝗚𝗹𝗼𝗯𝗮𝗹 𝗣𝗮𝘆𝗺𝗲𝗻𝘁𝘀 𝗥𝗲𝗽𝗼𝗿𝘁 is out now, revealing that 50% of e-commerce spending could be agent-assisted in the next few years. Download the full version now! https://lnkd.in/d9gEkzak   💡 Not only will potentially half of e-commerce spending be enabled by agents in the coming years, but nearly 20% will become autonomous in the same timeframe.   As models evolve, we can expect to see AI agents managing entire purchasing processes with minimal human input. #BCG #GlobalPaymentsReport #AI #PaymentsInnovation