Shifting sands on the world stage look set to provide extreme challenges and interesting opportunities for providers in the global financial sector.
Could a third World War be looming in Europe as the US provides long range missile capability to the Ukraine and Putin rattles Russia’s nuclear capability sabre in return?
The USA has a new president who will take office in less than 50 days and tensions in the Middle East continue to rise. In these shifting tides can we expect an increased flight to safety into valuable, stable metals like gold bullion and platinum? What about the US dollar with a new president Trump and the Swiss franc in a destabilized Europe?
“The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is over….they will face 100% Tariffs,” Trump.
Will US isolationism and “America First” have a significant impact on foreign policy and the global economy or is it political smoke and mirrors with no real, tangible impact?
On the contrary, for example the US debt ceiling is a real red flag and a possible catastrophe waiting to happen if not handled very prudently by the new administration.
The cost of financial services risk compliance for Trustees and International Banks has already been rising steadily in the past few years as navigating the waters of global risk compliance becomes increasingly dense and complex. As banks derisk we can probably expect this trend to continue and even escalate.
In these tumultuous times, investors and portfolio managers are looking for safe harbors for both their assets and investment suites. Financial service providers are also looking at how they can offer competitively priced banking solutions and simplify and streamline bank account openings for retaining existing clients and onboarding new ones.
Expanding investment portfolios as a strategy to counter and hedge against increased risk and destabilization on the global stage looks set to continue and grow as traditional investment destinations shift, and new opportunities emerge. We will be watching carefully as these events unfold.
At ikyc, we specialise in providing comprehensive international banking solutions for trustees, corporates, and family offices globally. We understand the difficulties that professional advisors, such as lawyers and local trust entities, can face when it comes to opening bank accounts for their clients.
If you would like to hear more, please visit our page on banking solutions
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