Cybercrime has driven up demand for cyber insurance. But losses are on the rise, too, and some cyber events are uninsurable. How are insurers responding to higher losses, and what can be done about the kinds of risks that are too big for private insurers to cover? Plus, sales of alternative fuel vehicles worldwide are accelerating. What does it mean for the credit quality of auto finance captives, the companies that finance loans and leases on behalf of automakers?

Ahead of the COP 26 conference in Glasgow, analysts Lev Dorf, Brandan Holmes and Vanessa Robert explain why banks, insurance companies and asset managers are under pressure to reduce exposure to carbon-intensive industries. Indeed Moody's has estimated that G20 financial institutions are exposed to carbon transition risk to the tune of $22 trillion. However, financial institutions will need to play a vital role in financing the shift to net zero, and in this episode our team discuss what new areas of economic growth are emerging.

Peter Nerby, Olivier Panis and Shunsaku Sato explain how global systemically important banks are faring as the pandemic starts to recede. Dean Ungar discusses the implications for US health insurers should the Medicare hospital insurance trust fund run out of money. And David Yin tells us how a recent cryptocurrency ban in China is positive for financial institutions.

Stephen Tu, Melina Skouridou and Farooq Khan explain how four forces reshaping finance will likely reduce banks’ revenue from core activities and undermine their role as financial intermediaries. Plus, Alka Anbarasu explains why India’s banks will weather the stress from a COVID-19 resurgence, and Jasper Cooper gives an update on insured hurricane losses in the US.

Analyst Fadi Massih discusses the credit strengths and weaknesses of the crypto asset exchange.

The insurance group’s Helena Kinglsey-Tomkins explains what’s driving the global reinsurance outlook shift to stable from negative. Plus, Young Kim tells us how evolving technology and rising fintech competition are transforming Korea’s insurance business.

As infections rise and overall vaccination rates remain low in Southeast Asian nations and India, loan performance will weaken as economic recoveries stall, although the effects will vary by country. However, government support and strong loss-absorbing buffers will support banks’ credit strength.

Tae Jong Ok looks at Kakao Bank’s rapid rise from its social media origins to one of Korea’s biggest retail lenders. Plus, Christian Badorff and Melina Skouridou talk about the insurance impact of recent heavy floods in Germany, and the European Central Bank’s plan to pilot a digital euro.

Dean Ungar diagnoses the causes of US health insurers’ evolution over the past decade, and discusses the benefits and risks for the sector’s credit strength. Plus, Guy Combot and Atsi Sheth talk about recent changes in Italian bank governance and the broader credit implications of increased gender diversity.

Rajeev Bamra and Steve Tu speak with Carolyn Henson about why stablecoin growth has put traditional financial institutions and bank regulators on the defensive. Meanwhile, David Fanger explains why large US banks will be able to distribute more to shareholders this year, and Marina Cremonese discusses money market funds’ readiness for the transition away from LIBOR.

Madhavi Bokil, Alexios Philippides and Laura Bazer explain how banks’ profit margins and US life insurers’ portfolio yields will benefit from rising inflation and a steeper yield curve in several advanced economies. Plus, Joe Pucella discusses the outlook for US commercial real estate lenders and Neal Epstein talks about Federal Reserve actions that helped money market funds stave off the risk of negative yields.

Manoj Jethani, Laura Bazer and Rory Callagy discuss the reasons for returning the outlooks for global and US life insurance and global asset management to stable from negative. Plus, James Eck updates us on Puerto Rico’s debt settlements.

Alberto Postigo and Alka Anbarasu discuss the threat of climate change to banks’ asset quality. Plus, Megan Fox and Steve Tu talk about the effects on banks and asset managers of the Biden administration’s new executive order on climate-related financial risk, and Sid Ghosh tells us whether businesses around the world can get insurance coverage for disrupted operations during the pandemic.

Vanessa Robert and Marina Cremonese of the Funds and Asset Management team discuss new money market fund regulations proposed in the US and EU after a material flight to quality shook short-term credit markets last year. Plus, Svetlana Pavolva of the Banking team explains the significant social risks facing banks in Commonwealth of Independent States countries.

Gersan Zurita of the Credit Strategy and Research team and Semyon Isakov of the Banking team discuss rising inflation in some key emerging markets. Plus, Felipe Carvallo and Mik Kabeya of the Banking team talk about slipping government support for banks in economies that are heavily dependent on oil.

Bob Garofalo and Laura Bazer of the Insurance team explain the drivers behind all the M&A transactions in the life insurance industry, and what they mean for credit when the buyers are private-equity firms. Plus, Donald Robertson of the Banking team and Jasper Cooper of the Insurance team answer questions about Archegos and the recent cyber attack on insurer CNA.

Fresh off the Asset Management team’s virtual conference, Rory Callagy highlights how asset managers are finding growth – sometimes through acquisitions – in ESG, alternative investments and software solutions. Plus Antonello Aquino of the Banking team discusses the growing environmental risks African banks confront.

In a special episode of our Focus on Finance podcast series, Stephen Long, Louise Lundberg and Eugene Tarzimanov of the Banking team join host Carolyn Henson to discuss the prospects for banks around the globe as government economic support measures start to unwind and banks brace for a substantial rise in loan defaults. Many economies are set to rebound this year but banks must factor in continuing uncertainty over the future course of the pandemic.

With cyber risk on the rise, Lesley Ritter of the Cyber Risk team and Megan Fox, Michael Dion and Rokhaya Cisse of the Financial Institutions team discuss our survey and findings on banks’, insurers’ and asset managers’ preparedness for a cyberattack.

Brandan Holmes of the Insurance team and James Leaton of the ESG team discuss why global regulators are zeroing in on financial sector climate risks. Plus, the Asset Management team’s Steve Tu talks about how and why US ESG investments are surging in popularity, and Francisco Uriostegui discusses the benefits and challenges for Mexican pension funds of incorporating ESG screening into investment decisions.

Donald Robertson and Fadi Massih of the Securities and Exchanges team size up the implications that the recent social media-powered short squeeze has for US retail brokers, market makers, clearinghouses and exchanges. Plus, Swen Metzler spotlights German banks’ pressing need to rein in costs, and Alka Anbarasu tells us which Indian banks will win the race to go digital.

A dwindling number of workers in developed economies will support a growing share of retirees, and growth and profitability are declining for banks, insurers and asset managers. Young Kim of the Insurance team and Tomoya Suzuki of the Banking team examine how South Korea’s insurers and Japan’s regional banks are turning demographics into opportunities, while Dean Ungar of the Asset Management team zeroes in on US asset managers’ future.

Lan Wang of the Banking team and Lillian Li of the Credit Strategy & Research team discuss why China’s move to open up its domestic financial markets to foreign securities firms potentially benefits all parties, despite operational hurdles. Plus, Marina Cremonese of the Asset Management team joins Lan to talk about the future for asset managers seeking to grow their businesses in China.

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.

Laura Bazer and Dominic Simpson of the Insurance team and Greg Bauer and Sophia Lee of the Banking team discuss how a fragile economic recovery, low interest rates and uncertainty about renewal of government support measures are among the drivers of negative outlooks for global banks, life insurers and reinsurers. P&C insurers will benefit in the difficult operating environment from lower auto claims, strong capital, and the mandatory nature of certain products.

Rokhaya Cisse and Marina Cremonese of the Asset Management team explore why the pandemic fallout has dimmed revenue prospects and made growth harder for asset managers. Plus, Celina Vansetti-Hutchins looks at how a difficult operating environment and elevated asset risk are driving our negative outlook for financial institutions in emerging markets.​​​

Edoardo Calandro, David Fanger and Daniel Yu of the Banking team zero in on the COVID-19 pandemic’s effects on bank loans in the UK, US and Australia. Plus, Shachar Gonen of the Insurance team and Keith Banhazl of the Structured Finance team look at how much the slowdown in commercial real estate will weaken US life insurers’ CMBS holdings.​

Banks will benefit from an increased customer base as accelerated digitalization makes financial services available to unbanked populations in emerging markets. But traditional banks face competition as big tech firms impinge on payment services and central banks explore creating their own digital currencies as a defensive move.​​​​​​​

​​Stefan Kahandaliyanage of the Insurance team lays out the risks US health insurers face from a policy drive toward a public insurance option. Plus, Simon Ainsworth and James Eck of the Insurance team discuss the latest developments in global insurers’ efforts to assess and manage climate risk. ​​​​​

As policy rates continue to decline globally, Banking team member Laurie Mayers examines the effect on UK banks, while Shunsaku Sato does so for Japanese banks and Farooq Khan for Brazilian banks. Plus, Olivier Panis of the Banking team and Stefan Kahandaliyanage of the Asset Management team update financial institutions’ readiness for the transition away from Libor in 2021.​​​

Peter Nerby and Michael Rohr of the Banking team discuss how global systemically important banks entered the coronavirus crisis with healthier balance sheets, capital and liquidity than before the last global downturn. Plus, Ceres Lisboa explains how Latin American banks risk a sharp deterioration in asset quality as payment deferrals and government aid lapse.​

From our Insurance team, James Eck explains why threats to profitability turned the outlook on global reinsurers negative, and Laura Bazer tells us how the coronavirus shock jolted global life insurers into a new, more digital future.

Antonello Aquino from the Insurance team explains why European insurers are giving back premiums now and might have to cover more claims later because of the pandemic. Plus, Banking team analyst Alka Anbarasu details the government support India’s public-sector banks will need to maintain capital strength as credit costs rise in COVID-19’s wake.​​​

Alessandro Roccati from the banking team explains how coronavirus-driven demand for contactless digital financial services, along with remote work, are raising the cyber threat to banks. Plus, Steve Tu of the asset management team looks at how the latest US government intervention in money markets could signal an eventual phaseout of institutional prime funds.