“Governance does seem to be the element that is most easy to understand the impact on investment performance, and so the most tangible, whereas the E and the S are a little bit harder to quantify,” says Andrew McCollum.
A combination of deep cuts to the teams over the past two years and an eye on investing in talent for the medium-term has meant that the past few months have been one of the busiest for fixed income recruitment since 2008 the financial crisis,...
“They have a strong franchise in credit derivatives. They have invested in credit data. It makes sense that they would buy an asset that furthers corporate bond trading as well,” said Kevin McPartland.
Once considered a staid business, trade finance could be emerging as a hub of innovation and disruptive change, according to Greenwich Associates.
Richard Johnson expects that within the next 12 months that Wall Street market makers will be making markets in bitcoin, ether, and XRP, which represents the majority of market capitalization and liquidity among digital currencies.
Kevin McPartland told Euromoney that the future lies in venues that support multiple trading models.
In a report earlier this year by Greenwich Associates, which stated that voice communications will play a key role in the electronic trading era.
Greenwich Associates has said that liquidity intelligence, helping to enable bilateral negotiations for illiquid bonds, is likely to be more important than the growth of electronic trading in fixed income.
Research from Greenwich Associates suggests there are other factors at play that fuel corporates’ motivation to switch banking providers.
“It’s not as if everyone is going to come to work and there’s a bunch of robots sitting in their seats,” said Richard Johnson.
