By Patrick Sims, (202) 822-1205, email@example.com
Merger activity in the banking sector faces a fundamental tension in the years to come: new regulation has made efficiency gains from mergers more attractive; and at the same time, regulatory scrutiny of mergers has increased, especially for larger firms. The implication of this dynamic is that firms that are better able to navigate public scrutiny and the regulatory approval process for mergers will be at a strategic advantage versus their competitors.
We expect an increase in mergers due to incentives in economies of scale and increased regulation:
We expect that it will be harder for large firms to merge:
This report provides additional insight detailing the HPS framework for establishing a regulatory competitive advantage:
Patrick Sims is a senior analyst at Hamilton Place Strategies. Prior to joining HPS, Patrick acted as a lead research analyst in the financial institutions’ group at SNL Financial and worked for CFA Institute. He is a finance and international business graduate of James Madison University and studied EU Policy at the University of Salamanca, Spain.