As we turn the page on 2024, the economic and political landscape presents both opportunities and challenges. With a new administration potentially making changes to the regulatory environment, businesses may find more opportunities for growth and re-investment. At the same time, consumer credit constraints and concerns over national debt require careful navigation. The year ahead is not about extremes—it’s about balance. Leaders must position themselves to capitalize on opportunities while preparing for potential shifts that could impact markets and their businesses. By focusing on clear indicators and staying agile, businesses can thrive in a dynamic environment. Opportunities in 2025 Interest…

The Federal Reserve decided to keep the federal funds rate the same on Jan. 29, 2025. This decision comes after the Fed made three rate cuts in the second half of 2024. The Fed rate’s current target range of 4.25% to 4.50% is still high compared to what it was for most of the past two decades[0]Board of Governors of the Federal Reserve System. FRED Graph. Accessed Jan 29, 2025..When is the next Fed meeting?The Federal Open Market Committee’s next meeting is March 18-19, 2025. This is the next scheduled time that the FOMC could modify the federal funds rate.This…

It was a close call for a dog named Max when fire raged through his Altadena neighborhood. The brindle-coated Corso mix hid, huddled and scared, under some bushes in his yard as the Eaton fire ravaged his street. Firefighters and photojournalists in the area could hear his terrified barks. As if the situation wasn’t dire enough, an explosion went off in a nearby garage. The moments of his harrowing rescue were caught on camera in some of the most heartwarming photographs of the L.A. fires by freelance photojournalist Nic Coury, who was on the scene that day for the Associated…

In the midst of a wildfire roaring across southern California that is not only destroying homes but also taking lives, home insurance costs are taking on a whole new dimension. Those fears are propagating into the way homebuyers look at new properties, into the shopping and selection process and therefore the sales process, into land development, into economic impacts and on and on. Zillow reports that newly listed for sale homes face increasing climate risk compared to 2019 across five factors: flood, wildfire, wind, heat, and air quality. This increased risk means that more than 80% of home buyers now…

No matter how often bank regulators, international standard setters, rating agencies, or financial reform advocates like me warn banks that climate change is serious, they are not heeding our warnings. Climate change disasters have significantly increased and intensified in the last several decades. According to the National Centers for Environmental Information, from 1980–2024, there have been slightly over 400 climate disaster events in the United States with losses exceeding $1 billion. Banks in the U.S. are not required to measure and report to regulators or market participants how climate change can impact their credit and investment portfolios; consequently, none of…

As banks continue to reinvent themselves using AI, data, cloud and other technologies, the industry finds itself in a paradox. A quarter century of digital has completely transformed banking, making it faster, cheaper, and more efficient than ever, with customers moving money in seconds, 24×7, through the push of a button. But, as a result, it’s made banking impersonal and created a sea of sameness as banks become less differentiated and lose the human connection fostered at the branch level. AI holds the solution to this paradox. It will enable banks to understand customers on a deeper level, power meaningful…

Our Nerds say:“When choosing a savings account, a high rate isn’t the only thing you’ll want to consider. You’ll want to see whether there are any monthly fees or withdrawal limits. “It’s also important to pick an account that meets your overall banking needs. If you want your checking and savings accounts to be at the same bank, for example, you’ll want to go with an institution that offers both checking and high-yield savings.”- Margarette Burnette, NerdWallet banking writerBest high-yield savings accounts: full list of editorial picksWhen selecting the best high-yield savings accounts, NerdWallet uses multiple data points, including monthly…

Over the past decade, the rise of the fintech industry has fueled remarkable innovation, placing powerful technological capabilities that otherwise might have been out of reach into the hands of companies and consumers. For companies, the fintech boom has also created something else: risks, in the form of complexity in their technology stacks. Large companies today sometimes rely on scores of fintech partners who provide an array of capabilities. These products are often deeply integrated—and sometimes shoehorned—into companies’ often sprawling technology architecture. Companies’ symbiotic relationship with fintech is providing real benefits. Within corporate tech platforms, fintech products are playing an…

Thanks to over a decade of Dodd-Frank and Basel III regulations, the Trump administration inherits a well-capitalized and liquid banking system. Squandering this gift would be very dangerous to the financial and mental health of Americans. Healthy banks are critical to the U.S. economy more than any other sector. Bank supervisors globally have a framework to assess banks’ capital, asset quality, management, earnings, liquidity and sensitivity to market risk (CAMELS). A few highlights below show that presently, the American banking system would earn a high CAMELS score. This score is due to the safeguards that bank regulations have required bank…

OBSERVATIONS FROM THE FINTECH SNARK TANK A new study from Cornerstone Advisors, looking at the financial services providers that Americans opened checking accounts with in 2024, underscores the continued dominance of digital banks and fintechs like Chime, PayPal, and Square in the checking account market. What’s going on in the checking account market? Digital banks and fintechs dominate new checking accounts opened…Digital banks and fintechs captured nearly half (44%) of all new checking accounts opened in 2024. Combined, megabanks (Bank of America, Chase, Citi, and Wells Fargo) and regional banks (those with $100 billion to $1 trillion in assets) accounted…