BNP Paribas, PwC, SAP and the European Association of Corporate Treasurers released the second edition of their thought leadership initiative, the Journeys To Treasury report at EuroFinance Barcelona.
The first edition of the report, released at EuroFinance Vienna in 2016 made a lasting impression on the corporate treasury community, with more than 1000 downloads across the world and more than 24,000 visits to the report’s website within the first three months of its launch. The 2017 edition of the report has taken the narrative further and discusses some of the most important issues and trends affecting the corporate treasury.
The second edition of Journeys To Treasury follows in the footsteps of the 2016 edition with three key topics of discussion. Distilled from the results of a survey of more than 100 corporate treasurers, several panel discussions and interviews, the report is structured around the topics of data analytics, regulation, compliance and geopolitics, and cybersecurity. As part of the introduction, JTT 2017 also gives an update on a few other important topics, such as blockchain, instant Payments and FinTechs.
The advantages of relying on the analysis of treasury data as opposed to the ability to handle the three Vs of Big Data (volume, velocity and variability) form the backbone of this section of the report. In order to be able to use Big Data, a company needs to have the necessary systems and skillsets for harnessing it before it can be put to any use in the treasury. Unfortunately, most companies do not have these competences. However, all treasuries do have organised data regarding cash balances, bank statements and other financial transactions. The report uses several convincing arguments and a case study to make recommendations on the various analyses this data can be subjected to in order to make it useful for the corporate treasury function.
This section of the report also discusses data analytics supported by Artificial Intelligence (AI) and Robotics. Using real-world examples it demonstrates how corporate treasuries are co-developing tools that are likely to change the workings of the industry with real-time monitoring and automated responses to events.
Regulation, compliance and geopolitics
The ever-changing geopolitical scenario and the shifting regulatory landscape are at the top of most corporate treasurers’ agendas. Events like the decision of the United Kingdom to leave the European Union or the coming into power of the new administration in the United States of America continue to have far-reaching implications. The second section of JTT 2017 discusses how agility of response and risk resilience have become important elements of policy as new regulations bear down on corporate treasuries around the world.
The section goes on to discuss the impending imposition of compliance measures like the General Data Protection Regulation (GDPR) by the European Union and the EU Payments Services Directive (PSD2), both of which will come into force in 2018. While GDPR will affect the corporate treasury in the way it deals with the data of its customers, employees and vendors, PSD2 is likely to dramatically change the existing payments landscape. The report, while discussing these issues, makes to-the-point recommendations regarding dealing with and making the best of such changes on the regulatory landscape.
Any discussion on the corporate treasury function is incomplete without a thorough analysis on cybersecurity which remains one of the biggest challenges faced by corporate treasuries across the world. The final section of JTT 2017 deliberates this extremely important topic at length. Financial loss due to a cybersecurity breach in a company is not the only loss it suffers. The associated reputational loss and the cost of investigation and resolution of the issues resulting from such a breach can have long-term consequences. The report makes recommendations regarding the involvement of ‘ethical hackers’ in order to stay one step ahead.
The report lays emphasis on the need to ensure measures to protect against the targeting of individual members of the staff as the ‘weakest link’ in the chain. While it calls for cybersecurity strategies to be better aligned with the actual risks faced by a company, the report also emphasises the importance of a detailed incident plan and a strong communication plan to ensure that all stakeholders are on-board. As an illustration of a holistic approach towards the prevention and management of fraud, JTT 2017 uses the example of a leading agro-industrial group’s adaptation of its internal culture and updated arrangements with its financial partners.
The second edition of the Journeys To Treasury report is available online and can be downloaded at www.journeystotreasury.com.
Source : journeystotreasury.com
BNP Paribas Group, first quarter 2020 results
Excellent business drive in the quarter impacted by an unprecedented health crisis
The health crisis has had major repercussions on macroeconomic outlook and produced extreme shocks on the financial markets. After a quarter in line with the 2020 objectives of BNP Paribas, health crisis related developments had several major negative impacts on the first quarter 2020.
Commenting on these results, Chief Executive Officer Jean-Laurent Bonnafé stated:
“In response to the health crisis, the Group’s teams have mobilised around the world to contribute to the functioning of the economy and its financing. Our concerns have been to protect our employees who are fully mobilised to ensure banking services, to quickly implement solutions to support the financing of our corporate, institutional and individual clients, and to launch in all regions where we are present a plan for emergency donations to the hospital sector and organisations committed to assist vulnerable people.
At the end of a quarter supported by an excellent business drive, in line with its 2020 objectives, the results of BNP Paribas for the 1st quarter 2020 were impacted by the harshness of the health crisis. The good resilience of revenues and results despite this shock demonstrates the robustness of the Group’s diversified and integrated model. With all teams at BNP Paribas, whose I want to thank tireless commitment to serving customers and providing support to society, we will continue our efforts to mitigate the impact of the crisis on the economy and prepare for the future.”
Press Release: https://invest.bnpparibas.com/documents/1q20-pr-23455
Test it here: how sustainable is your organisation?
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As Belgium's largest bank, BNP Paribas Fortis wants to drive socio-economic development in our country. This development requires companies to transition to a sustainable business model. As this is not particularly straightforward, BNP Paribas Fortis wants to make its expertise available to its customers.
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BNP Paribas Group, second quarter 2019 results
The business of BNP Paribas was up this quarter in a context where economic growth remained positive in Europe but slowed down, implying expectations of a continued low interest rate environment.
Director and Chief Executive Officer of BNP Paribas, Jean-Laurent Bonnafé:
“BNP Paribas delivered in the first half an increase in net income at 4.4 billion euros. Revenues were up thanks to business growth in the operating divisions. Operating expenses were well contained and benefitted from the transformation plan, generating a positive jaws effect. The common equity Tier 1 ratio rose to 11.9%, illustrating the Group’s solid balance sheet. New digital experiences rolled out for customers are a success and the Group is actively executing its ambitious policy of engagement in society. I would like to thank all the employees of the Group for their dedicated efforts to achieve these good results. ”
BNP Paribas Group, first quarter 2019 results
The business of BNP Paribas was up this quarter for the three operating divisions with in particular a gradual upturn in the business of CIB. Economic growth slowed down in Europe but remained positive. After the crisis in the markets at the end of 2018, the market context remained lackluster at the beginning of the quarter, but improved towards the end of the period.
Director and Chief Executive Officer of BNP Paribas, Jean-Laurent Bonnafé:
“BNP Paribas delivered a good level of result this quarter, at 1.9 billion euros. Revenues were up thanks to business growth in the operating divisions with in particular an upturn in client business at CIB. Operating expenses were well contained and benefitted from cost saving measures, generating a positive jaws effect.”