Donald Robertson and Ana Arsov of the Banking team explain how the lessons global investment banks learned from the financial crisis better prepared them to withstand coronavirus stresses, and how strong capital markets revenue buffered the large loan-loss provisions they booked during 2020. Plus, Mark Wasden and Bruno Baretta of the Banking team explore how coronavirus effects are driving the negative outlook for most global finance companies.

Inside this episode:

• Mark Wasden and Bruno Baretta of the Banking team explore how coronavirus effects are driving the negative outlook for most global finance companies (begins at 2:13).
• Donald Robertson and Ana Arsov of the Banking team explain how the lessons global investment banks learned from the financial crisis better prepared them to withstand coronavirus stresses, and how strong capital markets revenue buffered the large loan-loss provisions they booked during 2020 (begins at 9:19).

Related content:

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• Asset Management Companies (AMCs) – China: AMCs' participation in bank restructuring reinforces their policy role but weakens standalone credit profile - Aside from acquiring and disposing bad loans, AMCs are performing a growing range of functions to facilitate the restructuring of distressed banks.
• Global Investment Banks: 2021 outlook stable as diverse businesses, strong capital, liquidity and funding ease pandemic-related asset quality pressure (Slides) - Diverse, profitable businesses along with strengthened capital and liquidity will shield the global investment banks against pandemic-related asset quality deterioration in 2021.