RETAIL BANKING | Staff Reporter, Singapore

Weekly Global News Wrap Up: Global banks fined $321b since 2008 for regulatory failings ; I-banks could earn $332m from big deals in Europe

Credit Suisse will lend more to the wealthy, and Wells Fargo robo-adviser will target young investors.

A Bloomberg report notes that banks globally have paid $321 billion in fines since 2008 for an abundance of regulatory failings from money laundering to market manipulation and terrorist financing, according to data from Boston Consulting Group. That tally is set to increase in the coming years as European and Asian regulators catch up with their more aggressive U.S. peers, who have levied the majority of charges to date, BCG said in its seventh annual study of the industry published Thursday. Banks paid $42 billion in fines in 2016 alone, a 68 percent rise on the previous year, the data showed. Read the full story here.

According to Reuters, a spate of big deals by financial services companies in Europe could earn investment banks an estimated $332 million in advisory fees, with Goldman Sachs set to take the lion's share of the pot. In the past two days, Standard Life revealed plans to buy Aberdeen Asset Management and Deutsche Bank said it would raise 8 billion euros ($8.48 billion) from investors, potentially generating a big payday for investment banks working on those transactions. Read more here.

Credit Suisse expects higher lending to the world's wealthiest individuals will help its big bet on wealth management pay off, says Reuters. Around a third of the 30.2 billion Swiss francs ($29.8 billion) of net new assets taken in last year at its International Wealth Management (IWM) and Asia Pacific (APAC) divisions came via lending, according to Chief Financial Officer David Mathers, who believes this could go even higher. Read more here.

Reuters notes that Wells Fargo & Co's wealth management business said it would launch its new robo-adviser Intuitive Investor later this year in a bid to develop a new revenue stream from existing Millennial customers who may be looking to open their first investment account in a crowded online market. Read more here.

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