Global bank booking models
Making a success of structural reform
At a time of heightened global regulatory scrutiny, global banks’ booking models are under increased pressure from the authorities. This report, launched in partnership between Deloitte’s three regulatory strategy centres – EMEA, US, and APAC – critically assesses booking models in the new regulatory and supervisory environment.
Global bank booking models: Making a success of structural reform looks at what booking models are, and why they are in the spotlight. It considers a wide range of regulatory challenges, with a particular focus on resolution planning and structural reform initiatives.
The report argues that an in-depth understanding of a bank’s booking practices can provide crucial insights into its business and operating model. In addition, the report states the ways in which banks can comprehensively re-evaluate current practices to turn this regulatory minefield into an opportunity for positive business transformation.
- Supervisors are asking direct and challenging questions of a number of banking groups’ booking practices, and are set to become more systematic in their scrutiny of wider industry practices.
- Resolution planning and bank structural reform regulations empower regulatory authorities to impose changes on banking groups’ legal and operational structures.
- Booking model changes are often made as corollaries of other decisions, but adopting a group-wide strategic booking model perspective can generate insights into business and operating models.
- By comprehensively reviewing booking practices, banking groups can not only pre-empt supervisory interventions, but can also derive business benefits from the increase in transparency such reviews can generate.