Australia’s FS sector has been relatively untouched by recession. The country’s large banks remain well capitalized – and are looking for opportunities to consolidate their position. Chinese banks, meanwhile, appear to gradually shifting their gaze toward overseas markets, according to our research.
But where will the deals take place?
The Atlantic markets, Asia and Europe – although the latter’s market is being held back by uncertainty about regulation, including capital adequacy requirements. In the UK in particular, the FS sector is due for a major overhaul – the country’s soon to see regulation that will split retail and investment banking interests. Also, a number of UK FS companies are undertaking internal reviews that will almost certainly result in new assets coming on to the market in the next two to three years.
– Tim Prince, Head of Integration and Separation, KPMG Canada