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Using financial data, Mark Sibthorpe compares the performance of TD bank to its rivals. TD grew faster in 2017 than its rivals, but was cited for aggressive sales practices.

Mr. Michael R. King, Tangerine Chair in Finance and Co-Director, Scotiabank Digital Banking Lab / Ivey Business School at Western University

This video covers XE.com's presentation at the AI, Big Data and Analytics event which took place in Toronto February 7/8, 2018. Cecelia Tamez and Jean Louis provide insights into their evolution and winning strategy.

Greenpeace's campaign to stop TD financing the oil sands is delusional. Trillions of dollars are at stake for the banks and the Canadian economy. This video explores the related financial issues.

This video provides an overview of the main differences between Canada's approach to overland flooding versus the US approach.

Canadian bank overview part 5, medium-large banks. Banks include Manulife, Tangerine and Laurentian Bank.

Canadian banking industry overview of Canadian Tire Bank, Presidents Choice Financial, Equitable Bank, B2B Bank

Overview of small-medium size banks in Canada. Banks covered include Versabank, Hollis Bank, Equity Bank and Caisse Populaire Acadienne.

Review of small banks including Bridgewater,Vancity Bank, Concentra, Wealth One, Zag...

Jamie Dimon calls bitcoin a fraud used by criminals, yet he has jumped into the blockchain with both feet.

RBC invested $24 million into Wave Technologies and now they will roll out Waves accounting, invoicing, reporting and billing platform to SMEs.

Overview of Canadian banking industry. This multi-part series looks at issues facing Canadian banks from a variety of angles. Part 1 examines the types of banks and scale using ROE and EBITDA as measures.


About

About BankNews TV: financial services industry monitor (FSIM), analytics and research

Latest news and events for Canadian financial service companies, analytics, fintech and AI. BankNews.TV provide the latest technology news and reports for banks and insurance companies looking to compete in a rapidly changing market.

Analytical information and financial information related to technogies that can change your business.

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Research

Banking on Pot  

www.banknews.tv/docs/c10191_banking-on-pot.pdf

SBS

As states across the US legalize marijuana for both medicinal and recreational purposes, it has fueled a growing industry of marijuana related businesses (MRBs).


Canadian banking industry overview  

Mark Sibthorpe

The industry overview is divided into 5 parts:

Introduction
Small banks
Small medium sized banks
Medium sized banks
Medium large banks


2014 Mobile payments the Apple pay way  

www.banknews.tv/docs/Mobile_Payments_Apple_Pay_2014.pdf

Mark Sibthorpe

With Walmart Pay about to userp Apple Pay, I thought I would share my 2014 book on mobile payments and loyalty. The guilde was written for Merchants that want to understand loyalty, credit, mobile payments and Apple Pay, but anyone involved with credit and loyalty might find it useful.
The book is a prelude to Walmart leaving MCX, and chronicles the evolution that led to Walmart Pay. There is an extensive case study of Walmart that looks into its efforts to become an ILC and to avoid paying credit card transaction fees ('merchant discount').
It offers readers a step-by-step methodology for evaluating and transforming credit and loyalty programs. The strategies are based on proven examples and industry facts. The Nectar, Target, Canadian Tire and Walmart case studies are examples of the practical approach I have taken, written with the intent that merchants can use them as blueprints for their own initiatives. 


Death to bitcoin, long live the blockchain   (See full report)

Mark Sibthorpe

Jamie Dimon calls bitcoin a fraud used by criminals, yet he has jumped into the blockchain with both feet.


TD bank industry conduct  

www.banknews.tv/docs/tdind2.pdf

Mark Sibthorpe

TD’s share price recently collapsed by $7 bn in one day due to CBC’s allegations of aggressive selling tactics. A huge fall from a bank that was trading at a premium as recently as January. This was even before the most recent allegation of TD attempting to avoid paying taxes on advertising.
This report chronicles the events leading up to the collapse, shows TD's performance, analyses other related issues.


Book review: Back from the Brink  

www.banknews.tv/docs/backbrink.pdf

Mark Sibthorpe

This is a book review of the book Back from the Brink by Paul Halpern, Caroline Cakebread, Christopher C. Nicholls and Poonam Puri.


Footnote 151  

www.banknews.tv/docs/footnote151.pdf

Mark Sibthorpe

Footnote 151 implies an important regulatory change related to derivative contracts. It means that US Banks will not be required to hold as much capital against commodities. If you want to understand the implications of this regulatory change in more detail, see the enclosed related article detailing the changes. For contextual purposes, I have also included two Rolling Stones Magazines reports from 2010 and 2014 that chronicle the role large US banks have played in manipulating commodities. You might question the credibility of these sources, but rest assured, these reports are based on United States Senate hearings which outline the issues in a 396 page report related to the implied risks. 


Save the Canadian economy now  

www.banknews.tv/docs/helecopter-money.pdf

Mark Sibthorpe

Consumer debt spending appears to have insulated Canada from the worst of the credit crisis, but now the alarming magnitude of consumer debt ($1.92-trillion) could exacerbate a day of reckoning.
This report assesses the issues at hand and recommends the solution to get Canada's economy on track.


Reasons financial service companies should consider gamification  

www.banknews.tv/docs/Gamfin.pdf

Mark Sibthorpe

Gamification of business processes resulted on Mint.com growing to 10 million users within 4 years. This report explains how.


National Bank Special Report  

www.banknews.tv/docs/NatBSpec.pdf

Mark Sibthorpe

According to Bloomberg, National Bank of Canada will take a C$64 million ($48 million) restructuring charge in the fourth quarter and said its investment in Maple Financial Group Inc., which is being probed by German regulators, may be at risk of a “substantial loss.”


Will Canadian banks charge companies for deposits?  

www.banknews.tv/docs/depgrowthimpact2.pdf

Mark Sibthorpe

In light of today’s possible rate cut, this report discusses how a bank rate cut and capital ratio pressure could precipitate negative corporate deposit interest rates in Canada.


Canadian Tire's (CTC) - Canadian Tire Financial Services (CTFS) Scotia deal overview and risk assess  

www.banknews.tv/docs/ctfsfinal.pdf

Mark Sibthorpe

Review of the Canadian Tire Financial Services deal with Scotiabank, risks, opportunity and benefits.


Finance minisiter scorecard August 26, 2015  

www.banknews.tv/docs/Scorejo-August-2015.pdf

Mark Sibthorpe

This report looks at Joe Oliver, minister of finance’s progress to date, and assigns a grade to his government’s performance to date.


Xtreme Branch  

www.banknews.tv/docs/xbranch.pdf

Mark Sibthorpe

Branches are evolving to meet the digital age. This documents tracks the evolution with real-world examples.


Canadian Nudge  

www.banknews.tv/docs/nudge.pdf

Mark Sibthorpe

Whether he knew it or not, Tom Reid, a senior vice-president at Sun Life, made a case for the behavior modification concept ‘Nudging’ when he recently proposed auto-enrolling Canadians in his company’s pension plans. Sun life cover 1.2 million Canadians, about 60% of the eligible employees.
According to Reid,


CWB cause for concern  

www.banknews.tv/docs/cwbupdate.pdf

Mark Sibthorpe

In an earlier report BankNews.TV expressed concerns about CWB. Here are 5 charts that show cause:
1. First earnings drop in years;
2. Deposits dropping which will increase cost of funds in the future.


BNTV Overview  

www.banknews.tv/docs/overviewpdf.pdf

BNTV

BankNews.TV Publishing Corp services overview document:

  • Analytics
  • Financial services industry monitor (FSIM) industry briefings and developments reports
  • Research


Challenger banks not a threat to big banks  

www.banknews.tv/docs/challenger.pdf

Mark Sibthorpe

This report looks at Canadian challenger banks (apart from merchant led banks) and explains why they have not threatened larger institutions. It also looks at ways in which these upstarts have achieved success.


Gamification of financial data project  

www.banknews.tv/docs/GamingEventProposal-printsample--en-final.pdf

Mark Sibthorpe

This document contains details on how BankNews.TV is helping kids learn programming via gamification of financial data.


The impact a rate rise will have for Canadian banks  

www.banknews.tv/docs/irr-f.pdf

Mark Sibthorpe

Canadian banks have made money throughout the credit crisis, but this trend may be about to reverse. The rational supporting this prediction is that revenue has grown despite a declining net interest margin (NIM). It has grown in spite of this fact because Canadian debt (loan lease volume) has risen significantly, as shown in chart 2.

This report looks at the issues facing Canadian banks in the event of a Bank Rate rise.  


FIFA: the new goldenballs  

www.banknews.tv/docs/goldenballs.pdf

Mark Sibthorpe

Yesterday, the Attorney General of Switzerland (OAG) opened criminal proceedings related to the FIFA scandal. This report outlines some of the events related to the criminal investigation, with a particular focus on banking.


Scorecard Minister of Finance: JIm Flaherty  

www.banknews.tv/docs/Scorecard Min Fin Flaherty April 8 2014.pdf

Mark Sibthorpe

March 18, Finance Minister Jim Flaherty resigned from cabinet after having endured a difficult year due to health issues. This report looks at his legacy and attempts to grade his government’s performance to date.


Sample RFP for a Loyalty Program  

www.banknews.tv/docs/sample RFP for a loyalty program.pdf

Mark Sibthorpe


Merchants extend financial services  

www.banknews.tv/docs/merchantfs.pdf

Mark Sibthorpe

Merchant led financial services are growing in importance once again. This is exemplified in the ongoing UK rivalry between ASDA, Sainsbury and Tesco. Together these merchant/financial service companies provide the backstop for three different approaches for merchants looking to extend their financial services.


Hot Money: real-estate  

www.banknews.tv/docs/hotmoney.pdf

Mark Sibthorpe

Canadian and London real estate, like Macau, may also be a convenient means for China’s elite to move money offshore; with the deleterious effect of driving up home values. Louise Shelley`s research concurs. In a published paper written for the National Defense University, Shelley argues that money laundering in real estate (MLRE) increases prices.


Currency Cheat Sheet: a guide for the rest of us  

www.banknews.tv/docs/currencycheatsheet.pdf

Mark Sibthorpe

Readers of this document will be presented with monetary policy issues and facts
that show the USD will likely remain the dominant reserve currency, despite
questionable Chinese practices, record US debt levels, and a shaky economy.


Riches to Rags? Summary of possible risks for Genworth MI CANADA, INC.  

www.banknews.tv/docs/gq4risk.pdf

Mark Sibthorpe

Genworth had its Q4 2014 earnings call. Genworth own about 30% of the mortgage default insurance in Canada. Not surprisingly, the earnings call became focussed on Alberta; and for good reason, with 20% of its outstanding insured mortgage balance in Alberta, sensitivity to the oil shock and how Genworth plan to manage related risks were discussed in detail.


Canadian Western Bank Competitive Forecast  

www.banknews.tv/docs/cwbf.pdf

Mark Sibthorpe

Based on historical financial data (see detailed charts pages 5-8), the oil based recession in Alberta, and comparison against two of its peers, this document outlines my observation with respect to CWB’s future performances.


Liquid Canada: the tipping point  

www.banknews.tv/docs/Liquid.pdf

Mark Sibthorpe

This report examines liquidity issues in the Canadian financial service industry.


Bank Fees  

www.banknews.tv/docs/Bank fees.pdf

Mark Sibthorpe

Recently the CBC and The Globe and Mail both reported on what has been referred to as a consumer “bank fee outcry”. CBC compares banks to cable and phone companies, standing accused of trying to gouge customers with service fees. The backlash appears to have originated in conjunction with the NDP and the Consumers Council of Canada which argues that there is anxiety ‘among consumers about banking fees’.


Cheap Oil Report  

www.banknews.tv/docs/co2.pdf

Cheap oil has pushed the Bank of Canada's governor, Stephen Poloz onto a slippery slope. For some background on this, take October 22nd, when Poloz bid farewell to forward guidance, resulting in yesterday's surprise rate cut. A cut that has enraged TD and other banks, which see this as eroding profits.
 


Canada's Economy, a strategic solution  

www.banknews.tv/docs/ces.pdf

This report explores Canada's strategies to compete globally. The report begins with an analyses of the housing market, because housing is the canary in the coal mine; explores what happens in the event of collapse; and analyses the underlying problem causing Canada to be uncompetitive.
 


Complete loyalty RFP  

www.banknews.tv/docs/booksample.pdf

Merchants that want to understand loyalty, credit and mobile payments should read this book. It offers readers a step-by-step methodology for evaluating and transforming credit and loyalty programs. The strategies are based on proven examples and facts. The Nectar, Target, Canadian Tire and Walmart case studies are examples of the practical approach I have taken, written with the intent that merchants can use them as blueprints for their own initiatives.
 


Mobile Payments Blueprint: guide to credit and loyalty transformation for merchants  

www.banknews.tv/docs/booksample.pdf

Merchants that want to understand loyalty, credit and mobile payments should read this book. It offers readers a step-by-step methodology for evaluating and transforming credit and loyalty programs. The strategies are based on proven examples and facts. The Nectar, Target, Canadian Tire and Walmart case studies are examples of the practical approach I have taken, written with the intent that merchants can use them as blueprints for their own initiatives.
 


Report on merchants extending financial services  

www.banknews.tv/docs/

Special report explaining why some merchants in the UK, U.S. and Canada are expanding their financial services. The paper discusses the structural and regulatory pressures facing merchants and explains the rational behind key decisions. This is an 8 page high level report
 


Guide to system selection  

www.banknews.tv/docs/gssnow.pdf

Read sample report: Guide to system selection. This sample would normally cost $99 but is available free as a sample. Click here view sample report.


News feed

HOW ECONOMICAL PLANS TO REMAIN INDEPENDENT AFTER DEMUTUALIZATION

Canadian Underwriter - Greg Machbach (2018-08-10)

If Economical Insurance becomes publicly-traded on the stock exchange, it could eventually be acquired, but company officials have no intention of making Economical an easy acquisition target.


BANK OF CANADA WARNS SPOILS OF INNOVATION IN HANDS OF A FEW ‘SUPERSTAR’ TECH GIANTS

G&M - Barrie McKenna (2018-08-08)

The Bank of Canada is calling for tougher regulation to thwart a growing concentration of the spoils of innovation in the hands of a clutch of "superstar" tech giants.


ECONOMICAL EXPOSED TO ONTARIO’S AUTO MARKET CYCLES

Canadian Underwriter - Greg Machbach (2018-07-10)

Exposure to Ontario’s regulated auto market is one factor leading to the “unsatisfactory” financial performance at Economical Insurance, CEO Rowan Saunders suggested to mutual policyholders attending the company’s annual general meeting, held Monday at the Bingemans Centre in Kitchener, Ont.


DEBIT CARDS OVERTAKE CASH PAYMENTS IN THE UK

Finextra - Finextra (2018-06-18)

The latest market report from trade association UK Finance shows how new technology, payment innovation and changing consumer habits contributed to 13.2 billion card payments at the end of 2017 overtaking cash payments (13.1 billion) for the first time. 


ROBOTS SAVE NORDEA FROM GDPR PROCESSING NIGHTMARE

Finextra - Finextra (2018-06-18)

GDPR has seen customers exercising their new rights to access personal data, leaving banks with a significant burden. Nordea estimates that every GDPR request could take between one and three hours to complete manually and so turned to its robotics centre of excellence for help.


U.S. LAWMAKERS WARN CANADA ABOUT CHINESE TELECOM GIANT HUAWEI

G&M - Robert Fife, Steven Chase (2018-06-18)

Senior lawmakers on U.S. intelligence committees are warning the Trudeau government that Chinese smartphone maker Huawei – which has turned Canada into a key research centre for next-generation mobile technology – is a national-security threat to a network of Canada’s allies.


NEW LEVERAGED MARIJUANA ETFS ON THE WAY

G&M - Clare O'Hara (2018-06-18)

Investors looking to leverage the marijuana industry can soon do so, with three new exchange-traded funds (ETFs) set to launch later this summer.


CITIGROUP AGREES TO PAY $100-MILLION TO SETTLE CHARGES STEMMING FROM LIBOR SCANDAL

G&M - Ken Sweet (2018-06-18)

Citigroup Inc. agreed on Friday to pay US$100-million to settle charges that its bankers manipulated an important interest rate used to price everything from credit cards to mortgages.


HOW A HANDFUL OF HEDGE FUNDS CORNERED CANNABIS FINANCING — AND MADE A KILLING IN THE PROCESS

FP - Mark Rendell (2018-06-18)

At the end of May, marijuana company Cannabis Wheaton Income Corp. raised $115 million in a bought deal co-led by the Bank of Montreal’s investment banking arm.


THE 'MOTHER OF ALL CREDIT BUBBLES' IS BREWING — AND THIS TIME IT ISN’T HOUSEHOLD DEBT

FP - Steven Pearlstein (2018-06-18)

Let’s recall those heady days of 2006 when home prices were rising 10, 15, even 20 per cent a year, allowing millions of homeowners to refinance mortgages and collectively take out more than US$300 billion in cash from the increased value of their properties. Some spent the money on furniture, appliances, cars and vacations, adding fuel to an already roaring economy. Others reinvested it in the already booming real estate and stock markets. When it finally occurred to everyone that those houses and those stocks weren’t really worth what the debt-fueled market said they were, markets crashed, banks flirted with insolvency, and the economy sank into a deep global recession.


THE FOUNDATION OF CANADA'S FINANCIAL SYSTEM HAS A FEW CRACKS

FP - Kevin Carmichael (2018-06-18)

Household debt still is so high that we’d be in trouble if something bad happened, such as a global trade war that crippled demand and sunk commodity prices. And real estate prices in some places are still so extreme that we could be the cause of our own downturn; house-poor consumers could stop shopping, or a sharp drop in home values might leave households with debts that exceed the value of their assets.


AEROPLAN PROMISES A TRANSFORMED REWARDS PROGRAM IN 2020, BUT WILL IT FLY?

CBC - Sophia Harris (2018-06-18)

Aeroplan promises a new beginning, but that hasn't quelled fears among members about its future after Air Canada cuts ties with the rewards program in 2020.


AUDI CEO RUPERT STADLER ARRESTED IN VOLKWAGEN EMISSIONS INVESTIGATION

CBC - CBC (2018-06-18)

German authorities on Monday detained the chief executive of Volkswagen's Audi division, Rupert Stadler, as part of a probe into manipulation of emissions controls.


CANADIAN HOME SALES EXPECTED TO FALL 11% THIS YEAR

CBC - CBC (2018-06-18)

In a mid-year update to its market outlook released Friday, the Canadian Real Estate Association (CREA) said sales of homes this year via the Multiple Listing Service (MLS) is now seen coming in at 459,900 units. Sales in 2017 topped 517,000 units.


IIROC GAINS NEW TOOLS TO PROTECT QUEBEC INVESTORS

Insurance Journal - IIJ (2018-06-18)

The Investment Industry Regulatory Organization of Canada (IIROC) is praising the Government of Quebec for passing legislation that gives the regulator better tools to protect the province’s investors.


QUEBEC’S BILL 141 IS ADOPTED

Insurance Journal - Andrea Lubeck (2018-06-18)

Quebec’s Bill 141An Act mainly to improve the regulation of the financial sector, the protection of deposits of money and the operation of financial institutions, was passed June 13, two days before the end of the legislative session.


FIRM INTRODUCES FIRST GUARANTEED ISSUE INSURANCE PRODUCT COVERING MEDICAL CANNABIS

Insurance Business - Paolo Taruc (2018-06-18)

Markers Insurance has announced it will offer what it claims is the country’s first guaranteed issue insurance product for individuals providing coverage for medical cannabis prescriptions. It expects to initially launch an individual product by August 15, followed by a group product for companies wishing to provide such benefits to their employees.


STUDY CALLS FOR ADOPTION OF FLOOD PREVENTION STANDARDS

Insurance Business - Paolo Taruc (2018-06-18)

Of all extreme weather events in Canada, flooding is currently the costliest, causing millions of dollars in property damage, the study said. Citing data from the Insurance Bureau of Canada, it said 58% of catastrophic insurable loss claims between 2008 and 2015 were due to water damage.


BRIAN REEVE ELECTED TO BOARD OF AUTO INSURER

Canadian Underwriter - Greg Meckbach (2018-06-18)

Reeve is partner and chair of the corporate and regulatory insurance group of law firm Cassels Brock and Blackwell LLP. He previously served as chief agent in Canada for some foreign-owned insurers.


ONE WAY OF PREDICTING WHETHER A COMPUTER WILL TAKE YOUR JOB

Canadian Underwriter - Greg Meckbach (2018-06-18)

“If you are good at following and memorizing the rules, there is going to be a computer that replaces you,” said Adam Mitchell, principal of Mitchell & Whale Insurance Brokers Ltd., during the Property Casualty Underwriters Club CEO Luncheon. “If you can’t employ compassion and empathy and creativity in ways to think outside the box – you can be replaced” by a computer, Mitchell warned.


GOLDMAN SACHS BANKERS MOONLIGHT AS VENTURE CAPITALISTS

WSJ - LIZ HOFFMAN, PETER RUDEGEAIR (2018-06-18)

When Spotify Technology SA went public in April, Goldman Sachs Group Inc. was sitting on a stake in the music-streaming startup worth more than $350 million, a sevenfold return on a 2012 investment.


PLACE YOUR BETS: FABULOUS FINTECH OR BORING BANKS?

FT - Patrick Jenkins (2018-06-18)

From Berlin to Bangalore “fintechs” — the trendy financial technology companies that are promising to overhaul every aspect of traditional finance — have become investment darlings.


PRIVATE EQUITY-BACKED MICROFINANCE FUND TO LIST IN LONDON

FT - Nicholas Megaw (2018-06-18)

A Bangladeshi-Dutch lender backed by private equity will become Europe’s first publicly-listed microfinance institution  next month, with a London IPO expected to value it at several hundred million pounds.


BIS: CRYPTOCURRENCIES ARE AN ENVIRONMENTAL DISASTER THAT COULD BREAK THE INTERNET

Finextra - Finextra (2018-06-18)

"To process the number of digital retail transactions currently handled by selected national retail payment systems, even under optimistic assumptions, the size of the ledger would swell well beyond the storage capacity of a typical smartphone in a matter of days, beyond that of a typical personal computer in a matter of weeks and beyond that of servers in a matter of months."


MAJOR FINANCIAL INSTITUTIONS SET UP THIRD-PARTY RISK MANAGEMENT COMPANY

Insurance Business - Lyle Adriano (2018-06-16)

Several of America’s biggest banks have come together to create a new company that will carry out risk assessments on suppliers and partners.


ITALY WON’T RATIFY EU FREE-TRADE AGREEMENT WITH CANADA, AGRICULTURE MINISTER SAYS

G&M - Francesca Landini (2018-06-15)

Italy will not ratify the European Union’s free trade agreement with Canada, its new agriculture minister said on Thursday, ratcheting up an international trade spat and potentially scuppering the EU’s biggest accord in years.


OSC ALLEGES CALDWELL INVESTMENT PRACTICES WERE A CONFLICT OF INTEREST

G&M - Andrew Willis (2018-06-15)

Market regulators targeted Caldwell Investment Management Ltd. with possible fines and suspension on Thursday, alleging the mutual fund firm overcharged clients by directing trades to its wholly owned dealer when rival firms offered better prices.


RBC REACHES SETTLEMENT OVER ROGUE FOREIGN-EXCHANGE TRADER IN BRAZIL

G&M - James Bradshaw (2018-06-15)

Royal Bank of Canada has reached a $4.4-million settlement with a Brazilian regulator over a former trader’s role in a cartel that allegedly manipulated foreign-exchange rates.


RBC SAYS IT WAS TARGETED BY CYBERATTACKS SIMILAR TO THOSE INVOLVING BMO, SIMPLII

FP - FP (2018-06-15)

“All I know is that we had built defences to that type of attack, because they tried us, and they couldn’t get in,” Dave McKay, president and CEO of Toronto-based RBC, said on Wednesday. “Other non-Canadian groups have tried to do that to us and we’ve been very successful in defending against that for a … long period of time.”


EVEN RISING INTEREST RATES CAN’T STOP TRADITIONAL RETAIL REITS FROM CASHING IN ON SHIFT TO RESIDENTIAL

FP - DAvid Dias (2018-06-15)

Retail REITs are poised to reap tremendous benefits from a number of tailwinds over the next couple of years, despite rising interest rates and the growth of e-commerce, as they pivot to mixed-use and residential development, analysts say.


CADILLAC FAIRVIEW IS BUILDING A $800-MILLION OFFICE TOWER IN TORONTO THAT WILL BE TEACHERS’ NEW HOME

FP - CP (2018-06-15)

The building will be situated on the northeast corner of Front Street and Simcoe Street in downtown Toronto.


MORTGAGE BORROWING SLIDES TO LOWEST SINCE 2014

CBC - CBC (2018-06-15)

Canadians' mortgage borrowing over the first three months of 2018 fell by $2 billion to $13.7 billion — the lowest level since the second quarter of 2014 —  following the introduction of new lending rules and a rise in interest rates, Statistics Canada reported Thursday.


ONTARIO HOME PRICES EXPECTED TO RISE MODERATELY, DECLINES UNLIKELY TO PERSIST: CMHC

CBC - CP (2018-06-15)

A report by Canada Mortgage and Housing Corp. says a recent drop in Ontario home prices isn't expected to persist.


FIDELITY INTRODUCES FIDELITY GLOBAL GROWTH AND VALUE CLASS

Insurance Journal - IIJ (2018-06-15)

Fidelity Investments Canada ULC launched June 14 Fidelity Global Growth and Value Class. The fund will be managed by portfolio managers Will Danoff and Joel Tillinghast.


BEAZLEY EXPECTS HEIGHTENED AWARENESS OF CYBER INSURANCE

Insurance Business - Alicja Grzadkowska (2018-06-15)

“Certainly any integration presents its challenge, but Beazley has taken a really measured and thoughtful approach to how they integrated us into the company,” he said. “Beazley is not a company that’s known for making lots of acquisitions so with Creechurch, they wanted to make sure they got it right and I can honestly say they did.”


NEW BASEMENT FLOOD AWARENESS TRAINING FOR HOME INSURANCE BROKERS

Canadian Underwriter - Greg Meckbach (2018-06-15)

The Intact Centre also plans to offer – later this month on a pilot basis – a course in five cities to roughly 400 brokers out west, said Feltmate, who is also a professor at the University of Waterloo’s school of environment, enterprise and development.


‘SPIKES’ IN MARIJUANA USE FOUND AFTER LEGALIZATION

Canadian Underwriter - Greg Meckbach (2018-06-15)

In jurisdictions where cannabis has been legalized “we see spikes in use at the onset of sales,” Lewis Koski, former director of the Colorado Marijuana Enforcement Division, said Tuesday during a panel discussion in Toronto.


DONALD TRUMP APPROVES TARIFFS ON ABOUT $50 BILLION OF CHINESE GOODS

WSJ - Bob Davis, Peter Nicholas (2018-06-15)

President Donald Trumpapproved tariffs on about $50 billion of Chinese goods, people familiar with the decision said, as the U.S. ratchets up its trade fight with Beijing over China’s alleged pressure on U.S. firms to transfer technology to Chinese partners.


GRABBING AN UBER? NOW YOU CAN BUY YOUR OWN INSURANCE FOR THE RIDE

WSJ - Leslie Scism (2018-06-15)

Chubb Ltd. has teamed with a technology startup to sell insurance to passengers of ride-hailing services like Uber Technologies Inc. to cover medical and other costs in the event of an accident.


FED LIMITS CREDIT EXPOSURE BIG BANKS CAN HAVE WITH EACH OTHER

WSJ - Lalita Clozel (2018-06-15)

A banking regulator capped the amount of exposure the largest banks operating in the U.S. can have with each other, putting in place a long-awaited rule to reduce the chance of snowballing credit risk in the financial system during times of crisis.


EQUITABLE LIFE SOLD FOR £1.8BN TO INSURER LCCG

FT - Oliver Ralph (2018-06-15)

Equitable came close to collapse in 2000 in one of the UK’s biggest financial scandals, costing its policyholders millions of pounds and prompting a raft of inquiries from the government, regulators and the European Parliament.


BANK OF ENGLAND WARNS OVER 0% CREDIT CARD OFFERS

FT - Nicholas Negaw (2018-06-15)

The Bank of England has issued a warning about the sort of risky lending practices particularly important to Virgin Money, at a critical time in the bank’s negotiations over a £1.6bn takeover by rival CYBG.


CANADA HAS A SUBPRIME REAL ESTATE PROBLEM, YOU JUST DON’T KNOW IT

Better Dwelling - Stephen Punwasi (2018-06-15)

A few weeks ago, a real estate agent told me about his client. Relatively wealthy older dude, closed on not one but two townhouses he plans on flipping. After some questions regarding who financed such a deal, he explains it was a private lender. Right before adding, “don’t worry, it’s not like in the US. This guy has good credit, he just couldn’t get enough money from his bank.”


HOUSE OF COMMONS REJECTS SEVERAL KEY AMENDMENTS TO CANNABIS ACT

Insurance Business - Alicja Grzadkowska (2018-06-15)

One battle might be over, but the war is just beginning. Days after the Canadian Senate passed the Cannabis Act with 46 amendments, sending C-45 back to the House of Commons for approval, the government now plans to reject several of the key changes.


CANADIAN BUSINESS LEADERS FEAR FALLOUT FROM BREWING TRADE WAR WITH U.S.

G&M - Justin Giovanetti (2018-06-14)

Fears about the negative impact of a Canada-U.S. trade war are reaching into the corner offices of some of Canada’s biggest and most prominent companies.


IN DIGITAL AGE, RBC EMBARKS ON ‘REIMAGINING’ HOW IT CULTIVATES RETAIL BANKING

G&M - Tim Kiladze. James Bradshaw (2018-06-14)

Amid a digital revolution upending norms in nearly every industry, Royal Bank of Canada is investing heavily in a new division that will fundamentally alter the way it targets and attracts personal and commercial banking customers.


HAUNTED BY HOUSING: MILLENNIALS LET RIP ABOUT THEIR HOME OWNERSHIP FRUSTRATIONS

G&M - Rob Carrick (2018-06-14)

recent poll covered in this column indicated that 40 per cent of 18- to 37-year-olds believe their generation is mostly or much worse off than their parents, and 54 per cent said the economic system in Canada benefits other generations over theirs. To find out more, we invited our millennial readers to fill out a short questionnaire asking them about their work history, about their experience with home ownership and about what makes them both angry and hopeful.

We ended up with responses mainly from twenty- and thirtysomethings in cities with expensive housing markets (check out the Voices From the Housing Market gallery here). The people featured in our gallery have jobs – employment isn’t a big issue. But most are either unable to afford to buy a home, or financially stressed as owners.


BANK OF CANADA LOOKING FOR A DEPUTY AFTER LEDUC DEPARTURE

FP - Kevin Carmichael (2018-06-14)

Wanted: a francophone economist with elite research skills who can provide an outsider’s perspective on how we do things here in Canada.


CANADA PENSION PLAN SETS RECORD FOR COUNTRY'S LARGEST GREEN BOND IN $1.5-BILLION DEBUT

FP - Maciej Onoszko (2018-06-14)

Canada Pension Plan Investment Board went green with a bang.


RBC, WESTJET PARTNER ON NEW LOYALTY PLATFORM TO LAUNCH LATER THIS YEAR

FP - CP (2018-06-14)

The Royal Bank of Canada and WestJet are partnering on a new loyalty platform.


FEDERAL RESERVE BOOSTS KEY INTEREST RATE

CBC - Reuters (2018-06-14)

The Federal Reserve raised interest rates on Wednesday, a move that was widely expected but still marked a milestone in the U.S. central bank's shift from policies used to battle the 2007-2009 financial crisis and recession.


IS THE LOONIE THE 'MOST HATED CURRENCY' IN MARKETS RIGHT NOW?

CBC - Rajeshni Naidu-Ghelani (2018-06-14)

The Canadian dollar has seen its share of volatility this year as trade tensions between the U.S. and Canada reached a fever pitch over the weekend. 


GREAT-WEST LIFE OFFERS PLAN MEMBERS ACCESS TO INTERNET-BASED COGNITIVE BEHAVIOURAL THERAPY

Insurance Journal - IIJ (2018-06-14)

Great-West Life announced June 13 that it will be offering eligible group plan members access to Morneau Shepell’s internet-based cognitive behavioural therapy (iCBT) platform.


MONTREAL TO OFFER BUSINESS INTERRUPTION COMPENSATION TO MERCHANTS

Insurance Business - Lyle Adriano (2018-06-14)

Montreal mayor Valérie Plante has announced a plan to reimburse merchants in the city whose businesses have been affected by the municipality’s numerous construction projects.


DMC INSURANCE, BLACKBERRY TEAM UP TO DEVELOP TELEMATICS SOLUTIONS FOR TRUCKING COMPANIES

Insurance Business - Lyle Adriano (2018-06-14)

DMC Insurance, a Fairfax company that provides commercial transportation insurance solutions, has announced a partnership with BlackBerry.


LETHAL ROMAINE LETTUCE E. COLI OUTBREAK CAUSES INSURANCE HEADACHE

Insurance Business - Bethan Moorcraft (2018-06-14)

Since mid-April, the case count currently sits at 197 across 35 states, according to the Centers for Disease Control and Prevention (CDC). Of the five fatalities, two victims were from Minnesota and the other three from California, Arkansas and New York. A further six cases have been reported by the Public Health Agency in Canada “with a similar genetic fingerprint to illnesses” reported in the US.


AS SENATE APPROVES CANNABIS ACT, BROKERS NEED TO RAMP UP THEIR EDUCATION ON THE SECTOR

Insurance Business - Alicja Grzadkowska (2018-06-14)

It’s been a long time coming, but the Senate finally approved a bill to legalize recreational marijuana use on June 07. With us now one step closer to marijuana being available in stores across Canada – the bill was passed with amendments, so it will have to go back to the House of Commons for approval – insurance professionals with an eye on entering the emerging markets of both recreational and medical marijuana need to arm themselves with the right vocabulary.


WHAT THE MAY 4 WINDSTORM CAN TEACH THE INDUSTRY ABOUT CATASTROPHE MODELLING

Canadian Underwriter - Jason Contant (2018-06-14)

“While the combination of factors on May 4 was rare, it is important for insurers, and those modelling future catastrophes, to recognize that it’s often rare events like these that cause the most damage – and they are also the events that are difficult to generalize in model predictions,” Scott Kehler, president and chief scientist of Winnipeg-based Weatherlogics Inc. told Canadian Underwriter Wednesday.


BORROWING COSTS CLIMB ALONG WITH FED RATE INCREASES

WSJ - Paul Keirnan (2018-06-14)

Borrowing costs for consumers have risen as the Federal Reserve continues to tighten monetary policy, with interest rates on home, auto and credit-card loans reaching multiyear highs in recent months.


ERA OF EASY MONEY FOR EUROZONE NEARS ITS END

NY Times - Jack Ewing (2018-06-14)

The European Central Bank is expected on Thursday to take another cautious step toward an era when the eurozone economy will function without life support.


AS A TRADE WAR WITH CHINA LOOMS, THE FED’S POWELL DID NOT SOUND WORRIED

NY Times - Peter Eavis (2018-06-14)

“So, right now, we don’t see that in the numbers at all. The economy is very strong, the labor market is strong, growth is strong. We really don’t see it in the numbers. It’s just not there. But — so I — I would put it down as more of a risk.”


U.K. COURT RULES AGAINST PLUMBING COMPANY IN ‘GIG ECONOMY’ CASE

NY Times - Amie Tsang (2018-06-14)

Britain’s highest court ruled on Wednesday that a plumber who had sued a large London plumbing company over working rights could not be classified as self-employed, in a case that could lead to a closer examination of the relationship between businesses and workers in the “gig economy.”


CANADA’S RISKIEST REAL ESTATE BUYERS ARE DISAPPEARING AFTER MORTGAGE STRESS TESTS

Better Dwelling - Stephen Punwasi (2018-06-14)

Stress tests are being demonized by the industry, and even some politicians. Many claim it’s the reason behind lower price growth, but it was unsustainable growth to begin with. Stress tests reduce the maximum mortgage size, and prepare buyers for higher rates. The only buyers impacted by these test, are ones that would have been highly indebted. The more of these buyers that pile into the market, the higher risk the market becomes as rates rise. The industry should be celebrating that loan quality is improving, instead of complaining that they can’t get a family into a loan that’s questionably large.


BANKING ON POT

BankNews.TV - SBS (2018-06-14)

As states across the US legalize marijuana for both medicinal and recreational purposes, it has fueled a growing industry of marijuana related businesses (MRBs).


THE WORLD ISN’T PREPARED FOR RETIREMENT, A NEW SURVEY SHOWS

Benefits Pro - Suzanne Woolley (2018-06-14)

Across the board, though, workers didn’t seem to recognize the huge impact that basic changes in the labor force, technology and the climate will probably have on their retirement plans, said Catherine Collinson, president of the nonprofit Transamerica Center for Retirement Studies and executive director of the Aegon Center for Longevity and Retirement.


AURORA CANNABIS BUYS ANANDIA LABORATORIES IN ALL-STOCK DEAL VALUED AT $115-MILLION

G&M - CP (2018-06-13)

Aurora Cannabis Inc. has signed an agreement to buy Anandia Laboratories Inc. in an all-stock deal valued at $115-million.


IA FINANCIAL NAMES DENIS RICARD AS NEW CEO

G&M - Clare O'Hara (2018-06-13)

After 18 years as president and chief executive officer of iA Financial Group, industry veteran Yvon Charest is set to retire in September and pass the reins over to chief operating officer Denis Ricard.


CANACCORD SPAC REACHES TAKEOVER AGREEMENT WITH ONTARIO’S SPARK POWER

G&M - Tim Kiladze (2018-06-13)

Ten months after going public, Canaccord Genuity’s private-equity arm is close to taking over a business, allowing the investment bank to try its hand at an acquisition strategy that has felled some reputable Canadian names.


RBC’S U.S. COMPLIANCE CHIEF DEPARTS: SOURCES

G&M - Gillian Tan (2018-06-13)

Royal Bank of Canada’s U.S. compliance chief is no longer with the firm, at least the third executive to depart in the past two months.


INSIDE THE CPP INVESTMENT BOARD: MANY CANADIANS THINK CPP WON'T BE THERE FOR THEM AT RETIREMENT — THEY COULDN'T BE MORE WRONG

FP - Video (2018-06-13)

The Financial Post’s Barbara Shecter speaks with Mark Machin, CEO of Canada Pension Plan Investment Board, about the key misconceptions Canadians have of the CPP, as well as the major changes that have been made to strengthen the pension plan.


FORMER ATB EMPLOYEE CHARGED WITH STEALING $1.1M THROUGH FAKE BANK LOANS

CBC - David Bell (2018-06-13)

A former Alberta Treasury Branch loan officer faces numerous charges after more than $1 million in fake loans were issued, police say.


RESPONSIBLE INVESTING IS GAINING POPULARITY AMONG INSTITUTIONAL INVESTORS

Insurance Journal - IIJ (2018-06-13)

A new survey by Aon released today shows “a dramatic upsurge” in the number of institutional investors who are interested in responsible investing initiatives.


OSC SEEKS MEMBERS FOR SENIORS EXPERT ADVISORY COMMITTEE

Insurance Journal - IIJ (2018-06-13)

The Ontario Securities Commission (OSC) is seeking members for its Seniors Expert Advisory Committee (SEAC). The committee advises staff on securities-related policy and operational developments that affect older investors and provides input on the OSC's related education and outreach activities.


INSURTECH’S GOT TALENT: LLOYD’S LAUNCHES SEARCH FOR TECH TALENT

Insurance Business - Lyle Adriano (2018-06-13)

The innovation sandbox, Lloyd’s Lab, has launched a global search for tech talent. Those selected will be given a chance to partner with the Lloyd’s market to help it keep up with the latest advances in re/insurance. The talent search is the first in Lloyd’s 330-year history that it is opening its doors to the global tech start-up and entrepreneur community.


ADD STANDARD WORDING TO HOMEOWNER POLICIES SAYS RETIRED AGENT

Insurance Business - Paolo Taruc (2018-06-13)

“If there’s 60 companies that insure homeowners’ policies in New Brunswick, there could be 60 different policy wordings for what they’re covered for,” said retired agent Mac Burns as reported by CBC News.


AVIVA ANNOUNCES $10 MILLION COMPETITION FOR START-UPS IN CANADA

Insurance Business - Paolo Taruc (2018-06-13)

The Toronto-held event will give start-up firms the opportunity to pitch to a panel of Aviva advisors for a chance to get up to $10 million-worth of investment.


FORMER KPMG CANADA INSURANCE LEADER PARKINSON ELECTED TO MORTGAGE INSURER BOARD

Canadian Underwriter - Greg Machbach (2018-06-13)

Neil Parkinson, former national leader of KPMG Canada’s insurance industry practice, has been elected to the board of directors of Genworth MI Canada Inc., Genworth announced last Wednesday.


IS INVESTING IN AI WORTH IT FOR CANADIAN INSURANCE CARRIERS?

Canadian Underwriter - Jason Contant (2018-06-13)

“The result highlighted a reality that a substantial proportion of companies have not seen ROI from analytics yet,” said Eugene Wen, vice president and chief statistician with Manulife Financial. “It deserves extra attention from all analytics executives.”


BANK OF AMERICA TO PAY $15 MILLION TO SETTLE CLAIMS THAT TRADERS CHEATED CUSTOMERS

WSJ - Davd Michaels (2018-06-13)

Bank of America Merrill Lynch will pay over $15 million to settle claims that its traders lied about how much they paid to acquire mortgage bonds, allowing the bank to charge a higher price to clients buying securities.


WHAT COUNTRY WILL WIN THE 2018 WORLD CUP? HERE ARE BIG BANKS’ PREDICTIONS

NY Times - Jamie Condliffe (2018-06-13)

In what has now become somewhat of a quadrennial exercise, strategists and analysts from some of the world’s biggest banks have put their quantitative skills to use in order to predict the winner. DealBook has reviewed the analysis — which includes artificial intelligence, statistical modeling, portfolio theory, and economic analysis — from four different banks.


JPMORGAN IS SUED OVER MEXICAN PROPERTY TRANSFER

Reuters - Staff (2018-06-13)

The complaint by Elias Sacal Cababie and his BVG World SA was filed with the U.S. District Court in Manhattan on Monday, the same day BVG said a Mexican judge had issued an arrest warrant for JPMorgan’s country head, Eduardo Cepeda, for alleged fraud related to a 2007 loan.


ING MOVES BACK INTO INSURANCE WITH AXA TIE-UP

FT - Martin Arnold, Oliver Ralph (2018-06-13)

The partnership between two of Europe’s largest financial groups, which is to be announced on Wednesday, is designed to provide a new form of digital insurance to 13m of the Dutch bank’s customers in six countries


SINGAPORE TO DEVELOP ETHICAL CODE FOR AI AND PERSONAL DATA USE

Finextra - Finextra (2018-06-13)

An advisory council involving public and private sector bodies, including regulator the Monetary Authroity of Singapore, has been appointed to oversee the plan. It will be headed by former attorney-general VK Rajah and will also sponsor a five year research project into the ethical use of AI and personal data.


ASIAN STOCKS, DOLLAR RISE AS TRUMP AND KIM SIGN ‘COMPREHENSIVE’ DOCUMENT

G&M - Swati Pandey (2018-06-12)

The dollar hovered near 3-week highs on Tuesday and Asian shares gained as U.S. President Donald Trump and North Korean leader Kim Jong Un signed a ’comprehensive’ deal at a historic summit aimed at the denuclearisation of the Korean peninsula.


B.C. POT PRODUCER TILRAY WEIGHS IPO

G&M - ANDREW WILLIS AND CHRISTINA PELLEGRINI (2018-06-12)

Tilray Inc. is looking to become the next big publicly traded medical cannabis producer.


HEAD OF CANNABIS-LEGALIZATION TASK FORCE URGES LICENSED PRODUCERS TO RESPECT OTTAWA’S CAUTIOUS APPROACH

G&M - Jessica Leeder (2018-06-12)

As Ottawa prepares to take its final steps toward legalizing the recreational use of marijuana, the head of a task force that made recommendations to the federal government for the bill issued a warning to industry members not to “play fast and loose” with the new rules.


WHACK-A-MOLE: HOUSING SPECULATORS LEAP FROM SINGLES TO CONDOS, SPARKING NEW THREAT

G&M - Michael Babad (2018-06-12)

Housing speculators have been chased out of the singles market but straight into condominiums, raising a fresh threat as governments and regulators are successfully hosing down other areas.


RICHARDSON GMP COUNTERSUES FORMER CALGARY BROKER ADAM WOODWARD FOR $2.1-MILLION

G&M - Jeffrey Jones (2018-06-12)

Richardson GMP has fired back at a former star broker suing the investment dealer for wrongful dismissal and demanding repayment of $2.1-million in loans while denying allegations it ignored his pleas to help him deal with substance abuse.


SECURITIES REGULATOR PUBLISHES GUIDANCE ON CRYPTOCURRENCY OFFERINGS

G&M - Alexandra Posadzki (2018-06-12)

Canadian securities regulators are providing additional clarity on what factors to consider when determining whether a particular cryptocurrency token offering contravenes securities laws.


CIBC’S CARIBBEAN ARM AT RISK OF WRITEOFFS AFTER BARBADOS DEBT DEFAULT

G&M - Tim Kiladze (2018-06-12)

A government debt default in Barbados has put Canadian banks at risk of writeoffs, with Canadian Imperial Bank of Commerce particularly exposed to the Caribbean country’s troubled finances through loans and securities worth a half-billion U.S. dollars.


CPP INVESTMENT BOARD APPROACHED ABOUT TRANS MOUNTAIN, BUT NO DECISION YET: CEO

FP - CP (2018-06-12)

The head of the Canada Pension Plan Investment Board says the federal government’s financial adviser has raised the possibility of getting involved in the Trans Mountain pipeline project but there’s been no political pressure applied.


CAISSE, SUN LIFE BACKING NEW $75 MILLION FINTECH VENTURE CAPITAL FUND

FP - Barbara Shecter (2018-06-12)

A new $75 million venture capital fund is being launched to develop early-stage fintech companies and artificial intelligence applications for financial services with the backing of large financial institutions including the Caisse de dépôt et placement du Québec and Sun Life Financial.


'ZOMBIE NAFTA': WHAT HAPPENS IF TRUMP TEARS UP TRADE DEAL

CBC - Peter Armstrong (2018-06-12)

It's hard to overstate just how chaotic the world's longest border could become the day after a U.S. withdrawal from NAFTA. More than $2 billion worth of trade crosses the Canada-U.S. border every day: car parts, oil, grain, lumber, all streaming into the United States at record numbers.


SUN LIFE GLOBAL INVESTMENTS ANNOUNCES CLOSURE OF EXCEL MONEY MARKET FUND

Insurance Journal - IIJ (2018-06-12)

Sun Life Global Investments (Canada) announced June 8 the closure of Excel Money Market Fund. This decision was made after a proposed merger of Excel Money Market Fund into Sun Life Money Market Fund did not receive the necessary unitholder votes required to proceed.


IPC DEALERS TO COMPENSATE CLIENTS ALMOST $11 MILLION IN NO-CONTEST AGREEMENT WITH OSC

Insurance Journal - IIJ (2018-06-12)

"Registrants are expected to have appropriate controls and supervision in place to protect against excess fees," said Jeff Kehoe, director of enforcement at the OSC. "Regular reviews of a company's internal compliance systems support the integrity of our financial markets and foster investor confidence.”


AMTRUST ANNOUNCES NEW GROUP CHIEF UNDERWRITING OFFICER

Insurance Business - Ryan Smith (2018-06-12)

AmTrust Financial Services has announced the appointment of J. Daniel Hickey (pictured) as group chief underwriting officer. Hickey joined the company in July 2017 as executive vice president of business strategy and business development.


AVIVA CANADA NOW HAS A FOOT IN THE CRITICAL ILLNESS INSURANCE MARKET

Insurance Business - Alicja Grzadkowska (2018-06-12)

“At this point in time, advancements in technology and medicine are letting people live longer. People are recovering from illness and disease, and there’s huge financial strain on people who are trying to recover from these illnesses,” said Terri Mitchell, executive director of accident and health for Aviva Canada. “Critical illness has been around for quite a long time, but it’s not as important a component of people’s financial plans as it really should be.”


WHY DATA IS A FUNDAMENTAL SOURCE OF VALUE IN INSURANCE

Insurance Business - Bethan Moorcraft (2018-06-12)

Data is gold dust in today’s insurance industry. In recent years, artificial intelligence (AI), machine learning and big data analytics tools have cast the industry into a haze of gold, delivering exponential business value through data insights.


NS BLUEBERRY FARMERS LACK INSURANCE AS FROST CAUSES "ALMOST TOTAL DAMAGE"

Insurance Business - Lyle Adriano (2018-06-12)

A late frost has ruined much of the crop for blueberry producers in Nova Scotia – and to make matters worse, many of them lack insurance to cover the losses.


ZURICH ACQUIRES MINORITY SHARE IN INSURTECH START-UP

Insurance Business - Lyle Adriano (2018-06-12)

Zurich Insurance Group has acquired a minority stake in CoverWallet, a start-up that has developed an online-based insurance management platform.


THE NEW THREAT FACING FORT MCMURRAY (AND OTHER PARTS OF WESTERN CANADA)

Canadian Underwriter - Jason Contant (2018-06-12)

With hundreds of claims from the 2016 Fort McMurray wildfire still unresolved as of late last month, Alberta residents could be forgiven for still worrying about wildfire risks in their own backyard.


THE BIG BANK GROWTH PROBLEM: IT’S HARD TO MOVE THE NEEDLE

WSJ - PAUL J. DAVIES (2018-06-12)

Investors can probably expect much better payouts from HSBC than the bank is letting on. But that’s still a problem in a world where they crave growth.


SEC CHAIRMAN: MOST OF DODD-FRANK IS HERE TO STAY

WSJ - Gabriel T. Rubin (2018-06-12)

Postcrisis rules have created new challenges for Trump-appointed regulators as they look at recalibrating the financial rule book, but the vast majority of the 2010 Dodd-Frank Act isn’t going anywhere, Securities and Exchange Commission Chairman Jay Clayton said Monday.


HOW TRUMP’S LUMBER TARIFFS MAY HAVE HELPED INCREASE HOME PRICES

NY Times - Peter Eavis (2018-06-12)

Long before the sharp clash with Canada at the Group of 7 meeting this weekend, the Trump administration imposed tariffs on lumber imports from Canada, which American home builders use in large quantities. The United States Commerce Department contended that Canadian companies were selling lumber into the United States at unfair, subsidized prices.


NEW GOLDMAN SACHS FUND WILL TRACK PAUL TUDOR JONES’S FEEL-GOOD COMPANIES

NY Times - Andrew Ross Sorkin (2018-06-12)

On Wednesday, Goldman Sachs will jump into the social impact investing world, using Mr. Jones’s metrics to build a new exchange-traded fund.


CREDIT SUISSE APPOINTS TWO SEASIA INVESTMENT BANKING EXECS

Reuters - Staff (2018-06-12)

Voon, who has been with the bank for 12 years, will take over as the head of Southeast Asia real estate in investment banking & capital markets.


10,000 JOBS COULD BE LOST TO ROBOTS SAYS CITI

Finextra - Finextra (2018-06-12)

The 20,000 operational staff account for more than 40% of the bank's total employees and are "most fertile for machine processing" according to Forese. 


HSBC PROMISES $17BN INVESTMENT IN TECHNOLOGY

Finextra - Finextra (2018-06-12)

The eight point strategic plan presented to investors by Flint is designed to return the bank to "growth mode" after almost a decade of declining revenues and also features further investment in Asia, a strengthening of its international presence and a promise to turnaround its US business.


TYPICAL TORONTO DETACHED HOME IS DOWN OVER $105,000 FROM LAST YEAR

Better Dwelling - Kaitlin Last (2018-06-12)

The average sale prices is down across the board for Toronto detached units. TREB reported an average sale price of $1,045,553, an 8.2% decline compared to last year. The City of Toronto had an average of $1,426,094, a decline of 5.6% year over year. The suburbs had $929,401, a 9.0% decline from last year. Remember, an average sale price isn’t very helpful for determining how much a home costs. Instead, it should be used as a direction of upgrade flow and dollar volume.


CRYPTOCURRENCIES LOSE $46 BILLION AFTER SOUTH KOREAN BOURSE HACK

Bloomberg - Eric Lam (2018-06-11)

A cryptocurrency exchange hack in South Korea jolted holders of digital assets, fueling a $46 billion selloff and extending this year’s Bitcoin slump to more than 50 percent.


LONDON CLAIMS TO BE AI CAPITAL OF EUROPE

Finextra - Finextra (2018-06-11)

It found that London is home to 758 AI companies - double the total of Paris and Berlin combined. They specialise in more than 30 industries with particular strengths in insurance, finance and law. 


BOC: PRIVATE LENDERS SEE THEIR SHARE OF CANADA’S MORTGAGE MARKET DOUBLE SINCE 2015

Better Dwelling - Stephen Punwasi (2018-06-11)

Canadian real estate sales are just off of record highs, but how many buyers had to skip traditional lenders? Bank of Canada (BoC) numbers show more buyers are turning to private mortgages. The sparsely regulated form of lending allows people with insufficient credit to get a mortgage at steep rates. Despite the steep rates, these lenders have seen their share of the market double since 2015.


USAA SUES WELLS FARGO OVER REMOTE DEPOSIT CAPTURE PATENTS

Finextra - Finextra (2018-06-11)

Online military bank USAA holds around 50 patents connected to its technology that lets members deposit cheques by scanning them with mobile phones.


ANT FINANCIAL SEALS LARGEST SINGLE FUND RAISING ROUND IN HISTORY

Finextra - Finextra (2018-06-11)

Ant Financial has raised a monster $14 billion in Series C equity financing, pushing the value of the giant Chinese conglomerate above $100 billion.


PARTNERSHIPS IN AI

Finextra - Finextra (2018-06-11)

Naveed Hussain, AI Architect and Evangelist, Microsoft UK, talks at NextGen Banking London: The AI Revolution, about Mirosoft's view of AI and how it informs their engagement with banks, how their partnership with Atos and Dell EMCE on AI will develop and what sort of customer strategies are emerging at the moment around AI.


FED AND FED UP: U.S. RATES MAY RISE, CANADIAN HOME SALES WILL TUMBLE

G&M - Michael Babad (2018-06-11)

Markets expect the U.S. central bank’s Federal Open Market Committee, the policy-setting group, to raise the federal funds rate’s target range to 1.75 to 2 per cent.

 


TRADE WAR LOOMS: TRUMP ADVISER SAYS TRUDEAU DESERVES ‘SPECIAL PLACE IN HELL’ FOR CRITICIZING U.S. TARIFFS

G&M - Robert Fife (2018-06-11)

An all-out trade war looms as Donald Trump and his advisers lashed out at Prime Minister Justin Trudeau for declaring Canada won’t be “pushed around” by the U.S. President over the contentious tariff dispute on steel and aluminum.


TASTY RATES NOW AVAILABLE FOR MONEY YOU CAN AFFORD TO LOCK UP FOR A YEAR

G&M - Rob Carrick (2018-06-11)

The upward creep of rates can be seen clearly in what banks, trust companies and credit unions are offering people willing to lock in money for a year with guaranteed investment certificates. There are several options that will give you returns that meet two important requirements. One, they beat the latest inflation rate. Two, they beat the returns on high-interest savings accounts. There should always be a premium for locking your money into an investment as opposed to keeping it in a liquid savings account.


DESJARDINS INVESTMENTS ANNOUNCES CHANGES TO FUND LINEUP

Insurance Journal - IIJ (2018-06-11)

DI announced June 7 that Desjardins Global Asset Management Inc. will now serve as the sole portfolio manager for the Desjardins Dividend Income Fund. Fiera Capital Corporationwill now serve as the portfolio Sub-Manager for the Desjardins Overseas Equity Value Fund, while Lazard Asset Management LLC will now serve as the portfolio Sub-Manager for the Desjardins Global Equity Value Fund and the Desjardins Emerging Markets Funds.


CHARYL GALPIN RE-APPOINTED IIAC BOARD CHAIR

Insurance Journal - IIJ (2018-06-11)

The Investment Industry Association of Canada (IIAC) has announced its 2018-19 Board of Directors, including the re-appointment of Charyl Galpin, Chief Regulatory Officer of BMO Wealth Management, as IIAC Board Chair. Steven Donald, Executive Vice-President, CI Financial Corp., has been re-appointed as Vice-Chair.


AXA TURNS TO SECURITYSCORECARD AS 'PIONEERING PARTNER' FOR CYBER SUCCESS

Insurance Business - Bethan Moorcraft (2018-06-11)

Cyber insurance is in a transformative phase. As businesses of all types and sizes slowly wake up to the serious potential of cybersecurity threats, more and more are turning to their insurers for cyber risk transfer and mitigation advice.  


"CANNABIS LEGALIZATION IS THE BIGGEST POLICY SHIFT WE'RE GOING TO SEE IN OUR LIFETIME"

Insurance Business - Alicja Grzadkowska (2018-06-11)

Anybody who’s hoping to get a piece of the cannabis market pie is watching closely as the Canadian government establishes the regulatory framework for production, distribution, and sales.


FORT MCMURRAY AIRPORT FILES LAWSUIT AGAINST FM GLOBAL

Insurance Business - Lyle Adriano (2018-06-11)

According to a statement of claim filed by the airport on May 01, the facility incurred $34,252,678.18 in damages and lost revenue. The airport authority added in its claim that airport improvement fees and terminal and landing fees are a significant source of revenue. The claim also asked for legal costs and $2 million in damages.


AON OFFERS OUTLOOK ON WORLDWIDE CYBER PREMIUMS SURGE

Insurance Business - Terry Gancuangco (2018-06-11)

Based on the 23% annual growth in cyber premiums for the period, worldwide premiums are forecast to be worth US$4 billion by 2021. That means a compound annual growth rate of 14.1%.


HOW TELEMATICS AFFECTED THIS INSURER’S LOSS RATIO

Canadian Underwriter - Greg Machbach (2018-06-11)

An unnamed European insurer compared its auto insurance customers who were using telematics with its customers who were not, Nino Tarantino, North American CEO for Octo, said in an interview Thursday with Canadian Underwriter.


FEDS MUST CHANGE THE LAW ABOUT OPIOID ALTERNATIVES

WSJ - WSJ (2018-06-11)

As an orthopedic surgeon who has seen the devastation of opioid addiction among postsurgical patients, I was heartened to read “The Heated Quest for Opioid Alternatives” (Journal Report, May 29). I regularly use opioid alternatives in practice and understand their important role in combating the opioid epidemic by stopping addiction before it starts.


K.K.R. SAID TO BE NEAR DEAL TO ACQUIRE ENVISION HEALTHCARE

NY Times - Michael J. De La Merced (2018-06-11)

The deal, which would be one of the biggest by a private equity firm in recent years, reflects Wall Street’s continued interest in the health care industry.


DEUTSCHE BANK SOUNDS OUT INVESTORS ABOUT COMMERZBANK DEAL: BLOOMBERG

Reuters - Andreas Framke (2018-06-11)

Deutsche Bank (DBKGn.DE) on Thursday downplayed the idea that a deal with cross-town rival Commerzbank (CBKG.DE) could materialize soon, after Bloomberg reported that top shareholders had been consulted about a potential tie-up.


CANADA SHOULD NOT PROCEED WITH THE LEGALIZATION OF MARIJUANA AS PLANNED

CBC - David Kryden (2018-06-10)

After the last week or so of avoiding questions about whether marijuana would indeed be legalized by summer as planned, Prime Minister Justin Trudeau confirmed last Thursday that the process will not be delayed. Some senators have called for a one-year deferment to allow for further consultation with Indigenous groups, but the government's plan — at least for now  — is of full steam ahead.


RBC CITES VIOLATION OF RELATIONSHIP POLICIES IN U.S. CAPITAL MARKET CHIEF’S EXIT

G&M - James Bradshaw (2018-06-10)

The head of Royal Bank of Canada’s U.S. capital markets business allegedly violated company policies on workplace relationships, leading to his dismissal earlier this week.


NEW HOUSING CONSTRUCTION FALLS TO LOWEST LEVEL IN A YEAR

G&M - Natalie Wong (2018-06-10)

Canadian housing starts fell to the lowest level in a year in May on a decline in Toronto apartment and townhouses.


CUTTING BENEFITS FOR WORKERS 65 AND OVER RULED UNCONSTITUTIONAL BY RIGHTS TRIBUNAL

G&M - Staff (2018-06-10)

A landmark Human Rights Tribunal of Ontario ruling, which recently determined that cutting or reducing benefits for workers over the age of 65 amounts to discrimination, is expected to have significant implications for older workers from coast to coast.


CARRICK TALKS MONEY: ARE HOUSES AN INVESTMENT OR A CONSUMER GOOD?

G&M - Rob Carrick (2018-06-10)

Rob Carrick discusses whether you should consider your house as an investment or a consumable good with Doug Hoyes, author of 'Straight Talk On Your Money' .


WHAT WILL LEGALIZED MARIJUANA MEAN FOR EMPLOYERS?

G&M - Video (2018-06-10)

Workplace Award panelists provide perspectives on how employers should approach the subject of marijuana with their employees.


‘OPEN FOR BUSINESS’: WHAT DOUG FORD HAS PLANNED FOR ONTARIO'S ECONOMY

FP - Geoff Zochodne (2018-06-10)

“Tonight,” he said, “we have sent a clear message to the world: Ontario is open for business.”


OTTAWA SOUGHT TD BANK TO TALK UP CANADA IN U.S. FOLLOWING TRUMP'S INAUGURATION, DOCUMENT SUGGESTS

FP - Geoff Zochodne (2018-06-10)

Meanwhile, under “points to register,” the document says the Canadian government was reaching out to U.S. “business leaders and influencers” in order “to make the case that Canada is the most important export market for the United States’ companies.”


GEORGE SOROS SEES 'MAJOR' NEW GLOBAL FINANCIAL CRISIS BREWING, EU UNDER THREAT

FP - Nikos Chrysoloras and Helene Fouquet (2018-06-10)

A surging dollar and a capital flight from emerging markets may lead to another “major” financial crisis, investor George Soros said, warning the European Union that it’s facing an imminent existential threat.


NEW JOBS DATA CEMENT THE CASE FOR AN INTEREST RATE HIKE NEXT MONTH

FP - Kevin Carmichael (2018-06-10)

Last week, Sylvain Leduc, deputy governor at the Bank of Canada, gave a rare speech in Quebec City. At about the same time in Ottawa, Prime Minister Justin Trudeau made his move in the trade war with U.S. President Donald Trump.


CANADIAN GOVERNMENT, PENSION FUNDS TO LAUNCH G7 INVESTORS GROUP

G&M - Jacqueline Nelson (2018-06-07)

Some of Canada’s largest pension funds and the Canadian government are drumming up international support to invest in issues of importance to the G7.


CANADA'S RECREATIONAL HOME SALES 'ROBUST' HEADING INTO SUMMER SEASON, SURVEY SAYS

CBC - Rajeshni Naidu-Ghelani (2018-06-07)

The average price of a recreational home in Canada is expected to rise 5.8 per cent to $467,764 by the end of September, according to a new survey by Royal LePage. That's up from $442,239 in the same period last year.


NICOLE BENSON ELECTED CHAIR OF CAFII

Insurance Journal - IIJ (2018-06-07)

The Canadian Association of Financial Institutions in Insurance (CAFII) announced June 6 that Nicole Benson has been elected Chair of its Board of Directors. Benson succeeds Peter McCarthy who has completed a three-year term as Chair.


CARLOS LEITAO BACKTRACKS AND RELUCTANTLY KEEPS BOTH QUEBEC INSURANCE SROS

Insurance Journal - Denis Methot (2018-06-07)

At the beginning of the session, Finance Minister Carlos Leitão announced that he was abandoning the integration of Quebec’s self regulatory insurance organizations – the Chambre de la sécurité financièreand the Chambre de l'assurance de dommages – into Quebec’s financial regulator, the Autorité des marchés financiers (AMF). The two SROs will therefore continue to exist distinctly and evolve within the scope of their consumer protection mandates of monitoring the ethical practices of licensees.


XL GROUP AND AXA MEGA MERGER GETS SHAREHOLDER APPROVAL

Insurance Business - Mina Martin (2018-06-07)

The shareholders of Bermuda-based insurance and reinsurance company XL Group have approved the 100% acquisition by French insurance giant AXA.


PARTNERRE PICKS UP CLAIM ANALYTICS

Insurance Business - Lyle Adriano (2018-06-07)

Founded in 2001, Canada-based Claim Analytics provides predictive modelling solutions to the North American insurance industry. A release said that the company is uniquely positioned as a predictive analytic company due to its combination of experienced actuaries and data experts.


INSURERS’ SHARES DIP AS AMAZON HOME INSURANCE RUMOURED

Insurance Business - Lyle Adriano (2018-06-07)

The Information shared an anonymous tip that the electronic commerce giant had discussions about offering insurance together with its connected home devices. The report had a disclaimer, which stated that while a reliable anonymous source has provided the tip, it does not suggest that Amazon has any plans for insurance.


PAYPAL FOUNDER HELPS LIFT INSURANCE TECH START-UP

Insurance Business - Terry Gancuangco (2018-06-07)

James Fitzgerald, partner at PayPal founder Peter Thiel’s Valar Ventures, said the determination of insurtech Coya to build a fully licensed and integrated insurance offering from the ground up, instead of relying on third parties, sets them apart from the others. This is one of the reasons why the US-based venture capital fund, along with international early-stage investor e.ventures, led the German start-up’s latest financing round.


ZURICH CFO SPEAKS OUT ON LARGE MERGERS

Insurance Business - Terry Gancuangco (2018-06-07)

“The challenge for insurance companies is that our business is typically quite local, and I think if you do these large global merger transactions you disrupt at least one, maybe two different businesses and it is hard to get the full value from them,” said CFO George Quinn in an interview with CNBC.


DOES CANADA HAVE THE ADJUSTING RESOURCES TO HANDLE BACK-TO-BACK CATASTROPHES?

Canadian Underwriter - Jason Contant (2018-06-07)

Does Canada’s property and casualty industry have enough resources in place to adjust major catastrophes that occur in tandem or right on the heels of each other?


TWITTER PLANS TO SELL $1 BILLION IN CONVERTIBLE DEBT

WSJ - Orla McCaffrey (2018-06-07)

Twitter Inc. said Wednesday it plans to sell at least $1 billion in bonds that convert to equity, joining a rush of tech companies taking advantage of soaring share prices to issue convertible debt.


GOLDMAN SACHS BANKER ARRESTED FOR INSIDER TRADING

WSJ - Dave Michaels (2018-06-07)

A banker at Goldman Sachs Group Inc. was arrested Thursday and charged with insider trading after authorities alleged he traded ahead of mergers and acquisitions that he learned about while working at the bank.


GOOGLE IS IN EUROPE’S CROSS HAIRS AGAIN: DEALBOOK BRIEFING

NY Times - Andrew Ross Sorkin (2018-06-07)

Margrethe Vestager, the E.U.’s antitrust chief, has made it clear that Europe will be one of the tech industry’s biggest regulators. The FT’s reported that her commission plans to fine Google over the dominance of its Android mobile operating system, underscoring that point yet again.


THAT SECOND HOME IN VANCOUVER MIGHT JUST BE AFFORDABLE AFTER ALL

Bloomberg - Natalie Wong (2018-06-07)

Prices for “recreational property,” such as second homes, in British Columbia will drop in 2018 as a new tax to deter speculation and check runaway real estate values spurs some to sell and discourages others from buying, according to a forecast by the Toronto-based brokerage firm Royal LePage, a unit of Brookfield Real Estate Services Inc. The average price is expected to fall by 2.8 percent to C$531,333 ($411,408).


TO CATCH A CREDIT CARD THIEF

Bloomberg - Jennifer Surane, Zeke Faux (2018-06-07)

When Chad Evans took a job in 2016 as manager of online investigations for retailer PetSmart Inc., he thought he’d be ferreting out small-time credit card fraudsters. But sometimes he catches glimpses of what may be larger, darker crimes.


BUFFETT, DIMON SAY QUARTERLY PROFIT FORECASTS HARMING ECONOMY: WSJ

Reuters - Staff (2018-06-07)

The pressure to meet short-term estimates has contributed to a fall in the number of U.S. public companies, wrote Buffett, chairman of Berkshire Hathaway Inc (BRKa.N), and Dimon, who is also the chairman of top executives’ lobbying group Business Roundtable, in an article on Wednesday.


UBS HIRES SOLON KENTAS TO LEAD U.S. CONSUMER AND RETAIL M&A

Reuters - Harry Brumpton (2018-06-07)

UBS Group AG (UBSG.S) has appointed Solon Kentas, previously a managing director at Deutsche Bank AG (DBKGn.DE), to lead the Swiss bank’s U.S. consumer and retail dealmaking efforts, UBS announced internally in a memo on Tuesday.


BIS: REAL ESTATE PRICES HAVE ONLY RECOVERED IN HALF OF G20 COUNTRIES SINCE 2007

Better Dwelling (2018-06-07)

Canadian real estate prices skipped the Great Recession, but most places weren’t so lucky. Analysts from the Bank of International Settlements (BIS), the central bank for central banks, crunched the numbers for G20 real estate prices. The majority of advanced economies saw home prices rise in 2017. Despite the increase, home prices in half of these economies are still below 2007 levels in real terms.


VANCOUVER REAL ESTATE INVENTORY JUMPS 38%, NOW AT 34 MONTH HIGH

Better Dwelling - Kaitlin Last (2018-06-07)

The benchmark price of a “typical” home in Greater Vancouver saw a small bump higher. REBGV reported a benchmark of $1,094,000 in May, up 0.2% from the month before. That brings the 12 month change to 11.5% higher from the month before. All regions across REBGV saw prices remain higher than last year, with Vancouver West having to lowest composite gains. There, the benchmark rose 0.3%, which puts it on target for negative gains in real terms.


HIGHER RATES, STRICTER MORTGAGE RULES CURBING HOME PRICES BUT DEBT STILL A KEY RISK: BOC

G&M - David Berman (2018-06-07)

The Bank of Canada believes that higher interest rates and stricter mortgage regulations are successfully curbing lofty Canadian home prices and high household debt levels, but warns that the vast size of outstanding debt continues to pose a key risk to the financial system.


PARENTS CAN FINANCIALLY SUFFOCATE THEIR KIDS BY HELPING THEM BUY HOUSES

G&M - Rob Carrick (2018-06-07)

Talk to financial planners and advisers these days and you’re almost certain to hear about their experiences with parents who want to help their adult children buy a home. The parents worry that, without this assistance, rising prices will keep their kids from ever owning, and so they’re getting expert help to see how affordable it would be to carve off a slice of their savings to help out.


GLOBAL RANKING SHOWS JUST HOW FAST CANADA’S HOUSING MARKET HAS TUMBLED

G&M - Michael Babad (2018-06-07)

Canada is sinking fast in global rankings of real estate price growth amid new rules aimed at taking the froth off inflated markets like Toronto and Vancouver.


HOUSEHOLD DEBT, HOUSING STILL TOP RISKS TO FINANCIAL SYSTEM, BUT BANK OF CANADA LESS WORRIED THAN BEFORE

FP - Video (2018-06-07)

Canada’s housing market and high levels of consumer indebtedness remain the top vulnerabilities for the financial system, but both have shown signs of easing, according to the Bank of Canada.


CANADIANS SHOULD BE CAUTIOUS ABOUT INVESTING WITH CRYPTO-ASSET TRADING PLATFORMS

Insurance Journal - IIJ (2018-06-07)

Canadians should be cautious when considering buying crypto assets through trading platforms, says the Canadian Securities Administrators (CSA). 


IIROC NOW HAS THE ABILITY TO ENFORCE FINES IN MANITOBA COURTS

Insurance Journal - IIJ (2018-06-07)

The Investment Industry Regulatory Organization of Canada now has the ability to enforce, through the courts, its fines against individuals that engage in misconduct in Manitoba.


AND THE AWARD FOR BC'S SUPPLIER OF THE YEAR GOES TO…

Insurance Business - Alicja Grzadkowska (2018-06-07)

The unlikely trio of famed Canadian songbird Sarah McLachlan, indoor fireworks, and hundreds of insurance professionals were brought together by the Insurance Brokers Association of BC’s (IBABC) first-ever awards gala during its 70th annual conference.


INVESTORS RAISE OFFER FOR AMTRUST AFTER PRESSURE FROM CARL ICAHN

WSJ - Allison Prang (2018-06-07)

Carl Icahn pushed to get more money from a group of New York families looking to take their insurance company private. He now is poised to get just that.


LONG-TERM-CARE INSURANCE ISN’T DEAD. IT’S NOW AN ESTATE-PLANNING TOOL

WSJ - Leslie Scism (2018-06-07)

Last year, after finishing with college tuition for their three children, Jessica Galligan Goldsmith and her husband, James, treated themselves to something she had long wanted: long-term-care insurance.


SOCGEN CHIEFS ORDERED LIBOR RIGGING, US RECORDS SHOW

FT - Kadhim Shubber (2018-06-07)


Michel Péretié, the former head of corporate and investment banking, and Didier Valet, who recently resigned as deputy chief executive, allegedly directed the rate-rigging scheme, according to a Department of Justice letter to the French authorities. The April 2015 letter was included in a court filing last month by defence attorneys in the case of a former SocGen banker indicted in the US for Libor manipulation.


LONDON STOCK EXCHANGE HIT BY HOUR-LONG OUTAGE

FT - Hannah Murphy (2018-06-07)

The London Stock Exchange suffered its worst outage in seven years on Thursday morning after a technical issue delayed the start of trading for an hour.


EXCLUSIVE: U.S. IMMIGRATION AUTHORITIES SENDING 1,600 DETAINEES TO FEDERAL PRISONS

Reuters - SARAH N. LYNCH (2018-06-07)

U.S. authorities are transferring into federal prisons about 1,600 Immigration and Customs Enforcement (ICE) detainees, officials told Reuters on Thursday, in the first large-scale use of federal prisons to hold detainees amid a Trump administration crackdown on people entering the country illegally.


WALMART SUES TO BAR FORMER TAX EXECUTIVE FROM JOINING AMAZON

Reuters - Tom Hals (2018-06-07)

Lisa Wadlin told Walmart in January she was considering resigning as senior vice president, chief tax officer, but the company did not learn she was joining Amazon until separation papers were signed on May 15, according to the lawsuit.


THIS COULD BE THE BIGGEST THREAT YET TO THE NINE-YEAR-OLD BULL MARKET

G&M - Ian McGugan (2018-06-06)

Wall Street’s nine-year-old bull market has survived Washington dysfunction, euro zone crises and global trade frictions. But now it faces what could be its biggest threat of all - one of the lowest unemployment rates in recent history.


OTTAWA WARNS INTERNET PLATFORMS SUCH AS FACEBOOK AND NETFLIX THE ‘FREE RIDE’ IS OVER

G&M - Daniel Leblanc (2018-06-06)

The federal government is on a collision course with global internet platforms, vowing to force companies such as Facebook and Netflix to make a greater contribution to the creation of Canadian cultural content without passing on the cost to consumers.


WALL STREET’S CANNABIS INVESTMENTS STAY HUSH-HUSH DUE TO STIGMA

G&M - Jennifer Kaplan (2018-06-06)

Danny Moses wasn’t afraid to broadcast he’d profited from the 2008 housing crisis, but he’s keeping his latest investment – the burgeoning cannabis industry – closer to the vest.


AUSTRALIA CHARGES FORMER LOCAL HEADS OF CITI, DEUTSCHE, ANZ IN CARTEL CASE

G&M - Paulina Duran, Byron Kaye (2018-06-06)

Australian authorities have charged the former local bosses of Citigroup Inc and Deutsche Bank AG with “criminal cartel offences” over a $2.3 billion stock issue, one of the country’s biggest cases of alleged white-collar crime.


U.S. JOB OPENINGS HIT 6.7 MILLION IN APRIL, EXCEEDING NUMBER OF UNEMPLOYED FOR FIRST TIME ON RECORD

G&M - Christopher Rugaber (2018-06-06)

For the first time on record, the number of job openings in the United States exceeds the number of unemployed Americans – a trend that may soon give workers more leverage to demand pay raises.


‘WEIRD SITUATION’: ANALYSTS STUMPED AS CANADIAN OIL PRICE SURGES $12 PER BARREL ON ENBRIDGE DECISION

FP - DAvid Dias (2018-06-06)

The price of Canadian oil surged a record US$12.20 on Monday — eliminating nearly half the discount to U.S. prices — as pipeline major Enbridge Inc. reversed a policy that would have made it more difficult for U.S. refineries to book capacity on its main artery into the U.S. Midwest.


GROUP ANNUITY SALES ON PACE FOR RECORD YEAR AFTER STRONG FIRST QUARTER

FP - Barry Critchley (2018-06-06)

Based on recently released numbers the stage has been set for another banner year for the group annuity business, a financial technique that allows pension fund sponsors to turn investment and longevity risk over to an insurance company.


PRIVATE PENSION PLANS FACE GREATER REGULATORY BURDEN THAN THE CPP

Insurance Journal - IIJ (2018-06-06)

Compared to the Canada Pension Plan (CPP), private pensions are subject to “far more regulations, are more complex in their make-up and face higher costs as a result,” finds a new study released June 5 by the Fraser Institute.


GALLAGHER NAMES NEW HEAD OF GLOBAL COMMUNICATIONS

Insurance Business - Lyle Adriano (2018-06-06)

Gallagher has named Todd Woodward its newest head of global communications.


CHANGING THE RHETORIC AROUND ONTARIO'S AUTO INSURANCE 'POSTAL CODE DISCRIMINATION'

Insurance Business - Bethan Moorcraft (2018-06-06)

With the provincial election just days away, all major political parties in the province have commented on the auto insurance premium problem, trying to own the popular discussion by promising solutions. They’re working hard to earn favour with voters, especially in places like Brampton, the GTA zone with the most expensive auto insurance premiums, according to the interactive Kanetix.ca Insuramap.


WE STILL DON'T KNOW MUCH REGARDING THE FUTURE OF CYBER, SAYS TOP PROFESSOR

Insurance Business - Lucy Hook (2018-06-06)

Another day, another cyberattack: just last week, two major Canadian banks – Bank of Montreal and Canadian Imperial Bank of Commerce – revealed that they had been contacted by cyberattackers claiming to have stolen the data of nearly 90,000 customers, in what was described as the first significant assault on financial institutions in the country.


PATIENCE URGED OF INSURERS WHO DON’T SEE VALUE IN THEIR EARLY AI INVESTMENTS

Canadian Underwriter) - Jason Contant (2018-06-06)

In fact, 85 per cent of more than 1,000 global carriers polled by McKinsey & Company reported being underwhelmed by the value of AI investments. Nick Milinkovich, leader of the insurance analytics practice (Canada) at McKinsey & Company, shared those findings about AI and advanced analytics last week at Insurance-Canada.ca’s first Technology in Action seminar.


MIDDLE-AGED DADS LIKELY TO SMOKE MORE LEGAL POT THAN CANADIAN TEENS

Bloomberg - Jen Skerritt (2018-06-06)

Move over, youngsters. Turns out, the person most likely to be passing around a joint when Canada legalizes marijuana is a middle-aged Gen X’er.


WHY BANKS ARE LOSING THE BATTLE FOR M.B.A. TALENT

WSJ - Laurence Fletcher (2018-06-06)

More M.B.A. graduates are choosing jobs in tech and consulting even as banks jack up starting salaries, a Wall Street Journal analysis shows.


HOW QR CODES ARE CHANGING E-COMMERCE

Mobile Payments Today - Jose Diaz (2018-06-06)

E-Commerce has long relied on the "card-not-present" payment method. At this point, online consumers can do the routine with their eyes closed: Enter their credit card number and billing address into the website form, flip their card around to key in the security code, and click "Purchase." The QR code – which has had a wild ride  – is going to both speed up the e-commerce payment experience and make it more secure.


INDUSTRY LOOKS FOR 'CREATIVE WAYS' TO BRAND LEGALIZED MARIJUANA

CTV - Kevin Bissett (2018-06-06)

Marijuana industry titans will gather in New Brunswick next week to discuss how to market cannabis in a competitive legal marketplace, and other issues raised by the dawn of government-run weed.


BOFE LEADS CONSULTATION ON UK'S SWITCH TO ISO 20022

Finextra - Finextra (2018-06-06)

The central bank, along with the New Payments System Operator (NPSO) and the Payment System Regulator (PSR), is asking for feedback on adopting ISO 20022 across the UK's three main interbank payments systems: Chaps, Faster Payments and Bacs.


ASSESSING THE SUSTAINABILITY OF THE CANADA PENSION PLAN THROUGH ACTUARIAL BALANCE SHEETS

OSFI - Jean-Claude Menard (2018-06-06)

Canadian retirement system with mixed funding approaches is well recognized in the world for its capacity to adapt rapidly to changing conditions.


SCOTIABANK TO SCRAP HALF ITS METALS BUSINESS: SOURCES

Reuters - Peter Hobson (2018-06-06)

Canada’s Bank of Nova Scotia (Scotiabank) is limiting lending by its ScotiaMocatta metals unit as it embarks on a radical restructuring likely to halve the size of the business, sources familiar with the matter said.


CANADIAN EXPORTS HIT ALL-TIME HIGH IN APRIL AS TRADE GAP NARROWS TO 6-MONTH LOW

CBC - CBC (2018-06-06)

The federal government agency said Canada's exports increased 1.6 per cent to a record $48.6 billion in April, marking a sixth increase over the past seven months.


PANEL TO REDRAFT BROADCASTING LAWS AS OTTAWA TAKES AIM AT GLOBAL INTERNET GIANTS

G&M - Daniel Leblanc (2018-06-05)

Ottawa wants to give itself new legal powers over online companies and force foreign-based platforms such as Netflix and Facebook to provide greater financial help to Canada’s struggling cultural industries, according to federal officials and documents.


THE ARRESTING NUMBER THAT SAYS IT ALL ABOUT TORONTO’S HOUSING MARKET SLUMP

G&M - Michael Babad (2018-06-05)

As The Globe and Mail’s Janet McFarland reports, the latest numbers show sales continued to fall in May, with prices also down, though stabilizing.

Sales slumped 22 per cent in May from a year earlier, according to Toronto Real Estate Board numbers released Monday, while average prices fell 6.6 per cent, though gained 1.1 per cent from April.


RBC’S U.S. CAPITAL MARKETS HEAD DEPARTS

G&M - James Bradshaw (2018-06-05)

The head of Royal Bank of Canada’s U.S. capital markets arm has left the bank, ceding the way to new co-heads of the business.


IMF CALLS FOR 'CAREFUL RETHINK' OF CORPORATE TAX STRATEGY

FP - Kevin Carmicael (2018-06-05)

The Bank of Canada reminds us regularly that one of the reasons it’s had to keep interest rates so low is because of our “competitiveness challenges.” We’ve been fretting for nearly a year about the future of the North American Free Trade Agreement. U.S. President Donald Trump’s tax cuts may or may not have induced capital flight. And just last week, we watched Prime Minister Justin Trudeau get in the gutter with Trump, threatening retaliatory tariffs after Canada lost its exemption from U.S. duties on aluminum and steel.


MEET THE ITALIAN BANK CEO WHO SEES OPPORTUNITY AMID THE POLITICAL TURMOIL ROILING MARKETS

FP - Geoff Zochodne (2018-06-05)

“No Euro for me is not an option, as a citizen,” Bossi says. “As a CEO of Banca IFIS, I have to manage the situation together with my colleagues, and we will do it in any case.”


INSIDE THE CPP INVESTMENT BOARD: THE REASONS BEHIND CPPIB'S DECISION TO INVEST SUBSTANTIALLY IN RENEWABLE ENERGY

FP - Barbara Schecter (2018-06-05)

The Financial Post’s Barbara Shecter speaks with Mark Machin, CEO of Canada Pension Plan Investment Board, on how the CPPIB selects long-term investments and their decision to substantially invest in renewable energy.


CANNABIS ENTREPRENEURS SET SIGHTS ON NON-SMOKERS

CBC - Dianne Buckner (2018-06-05)

Canadian entrepreneurs are busy developing a wide range of new ways to use recreational cannabis in a socially acceptable way — without having to roll or smoke a joint.


EUROPEAN FINTECH ALLIANCE HITS OUT AT NEW EC REGULATION EXPERT GROUP

Finextra - Finextra (2018-06-05)

Last week the EC named 14 members of its new expert group on Regulatory Obstacles to Financial Innovation, which has been given the task of helping to create "an environment where innovative fintech products and solutions can be rapidly rolled out".


ROB FORD'S WIDOW SUES PC LEADER OVER INSURANCE PAYOUT AND OTHER CLAIMS

Insurance Business - Lyle Adriano (2018-06-05)

The widow of the former mayor of Toronto, Rob Ford, has filed a multimillion dollar lawsuit against her brothers-in-law and their family businesses, claiming she and her children were defrauded.


ECONOMICAL LAUNCHES NEW POLICY ADMINISTRATION SYSTEM IN TWO PROVINCES

Insurance Business - Lyle Adriano (2018-06-05)

Economical Insurance has launched its new policy administration system for brokers – Vyne – in New Brunswick and Prince Edward Island.


XL CATLIN ANNOUNCES NEW HEADS FOR GLOBAL EXCESS CASUALTY DIVISION

Insurance Business - Lyle Adriano (2018-06-05)

XL Catlin has appointed two executives to leadership roles within its global excess casualty division.


ONTARIO ELECTION 2018: TRAILING LIBERALS PROMISE AUTO INSURANCE DISCOUNTS

Canadian Underwriter - Greg Meckbach (2018-06-05)

Polls show the Ontario Liberals will not likely govern the province after the election this Thursday but, for what it’s worth, a vote for Liberal candidates is a vote for insurance discounts for motorists who use apps intended to discourage distracted driving.


DOZENS OF SENATE CHANGES WON’T SLOW TRUDEAU IN LEGALIZING WEED

Bloomberg - Greg Quinn (2018-06-05)

A Senate vote this week on dozens of amendments to a bill legalizing recreational marijuana probably won’t substantially delay Canadian Prime Minister Justin Trudeau’s push to open the market this summer.


UBS CEO ERMOTTI SAYS VOLATILITY SHOULDN’T FRIGHTEN CLIENTS

Bloomberg - Patrick Winters (2018-06-05)

UBS Group AG Chief Executive Officer Sergio Ermotti said investors shouldn’t take fright after political turmoil in Italy sent tremors through global financial markets in recent weeks.


REAL ESTATE DEVELOPER FORTRESS FACES FORECLOSURE BATTLES AS MORTGAGE LENDERS CIRCLE

G&M - Janet McFarland (2018-06-04)

Real estate developer Fortress Real Developments Inc. is facing a flurry of legal actions from mortgage lenders who have filed applications to foreclose on land earmarked for development projects.


ALBERTA POISED TO LEAD CANADA’S RETAIL CANNABIS SECTOR AMID IMPENDING FEDERAL LEGALIZATION

G&M - Cailynn Klingbeil (2018-06-04)

New entrepreneur Shaun Baid is feeling excited about his prospects these days. Mr. Baid, a Calgary accountant who was laid off last year amid the energy sector downturn, is now working with three partners to open a cannabis retail store.


LAURENTIAN BANK RAISES DIVIDEND AS PROFIT BEATS FORECASTS

G&M - CP (2018-06-04)

Laurentian Bank Financial Group raised its quarterly dividend as its second-quarter profit beat expectations.


THE ‘SCARIEST NUMBER OF THEM ALL’ IN THE FINANCIAL INDUSTRY: NEWBIES

G&M - Michael Babad (2018-06-04)

If you track the data from the beginning of 2009, that ugly period many of us remember so well, to the latest report for March, you see some big numbers.


DOWNGRADED DEUTSCHE BANK FACES ANOTHER CHALLENGE WITH U.S. FED STRESS TEST

G&M - Pete Schroeder (2018-06-04)

Deutsche Bank AG will face another challenge this month when the U.S. Federal Reserve publishes the results of a “stress test” on the bulk of its U.S. operations for the first time.


NATIONAL BANK RAISES DIVIDEND AS PROFIT CLIMBS MORE THAN 10%

FP - CP (2018-06-04)

National Bank of Canada raised its quarterly dividend as it reported its second-quarter profit improved more than 10 per cent compared with a year ago and beat expectations.


CANADIAN BANKS HACKED AND THE INSURANCE CLAIM YOU CAN'T MAKE: CBC'S MARKETPLACE CONSUMER CHEAT SHEET

CBC - Avneet Dhillon (2018-06-04)

If you bank with BMO or CIBC-owned Simplii Financial, you may have been one of the unlucky customers whose account was hacked. Fraudsters threatened to release the financial information of up to 90,000 people (including social insurance numbers and dates of birth) if their million-dollar ransom demand isn't met. Both banks said they will return 100 per cent of any money lost.


WEED THE NORTH: WHY AMERICAN POT COMPANIES ARE LISTING ON A CANADIAN STOCK EXCHANGE

CBC - CBC (2018-06-04)

On the eve of marijuana's leap into the recreational market in Canada, American companies are heading north in droves to get in on the action.  


LAGGING DIGITAL ADOPTION BY INSURERS AFFECTS CUSTOMER SATISFACTION

Insurance Journal - Kate McCaffrey (2018-06-04)

Insurance company executives know that digital solutions are needed to improve the customer experience and business operations. New survey data from research firms Capgemini and Efma, however, shows how much the industry is playing catch up: Only 26 per cent of Gen Y customers, and only 26.3 per cent of tech savvy customers in Canada say their insurance industry experience was a positive one.


INSURERS WELL POISED FOR 2018 HURRICANES - FITCH

Insurance Business - Ryan Smith (2018-06-04)

US property and casualty insurers are well-positioned for what looks to be an average hurricane season in 2018, according to a new report by Fitch Ratings.


BOMBAY BHEL BLAST BRINGS INSURANCE VALUE TO THE FORE

Insurance Business - Bethan Moorcraft (2018-06-04)

“Terrorism is a very unpredictable and indiscriminate risk. A terrorism event can happen anywhere and at any point in time, which is why it’s vitally important for businesses of all sizes to consider affirmative terrorism insurance coverage,” said Adam Posner, senior underwriter for terrorism & political violence at Allianz Global Corporate & Specialty (AGCS).


CAA CONSIDERS LAUNCHING PAY-AS-YOU-GO AUTO INSURANCE IN PEI

Insurance Business - Lyle Adriano (2018-06-04)

CAA is launching its pilot project, called CAA MyPace, in Ontario this summer – the program will allow drivers to pay for auto insurance based on mileage. Now, the company plans to expand the program to other provinces and territories in Canada, starting with the Atlantic area.


DIRECTORS AND OFFICERS FAIL TO GET SHAREHOLDERS CLASS-ACTION TOSSED OUT OF ONTARIO COURT

Canadian Underwriter - Greg Meckbach (2018-06-04)

Five former directors and officers of a Vancouver-based mining firm can be sued personally in Ontario by shareholders alleging the firm misrepresented financial statements.


MAY WINDSTORM LARGEST INSURED EVENT IN ONTARIO IN FIVE YEARS: CATIQ

Canadian Underwriter - Jason Contant (2018-06-04)

The early May windstorm that struck Ontario and parts of Quebec topped $410 million, the costliest insured event since the 2013 Toronto floods, Catastrophe Indices and Quantification Inc. (CatIQ) said Friday.


WHY IS MY U.S. DIVIDEND ETF UNDERPERFORMING RELATIVE TO GENERAL MARKETS?

G&M - John Heinzl (2018-06-04)

A while ago I bought the iShares U.S. High Dividend Equity Index ETF (CAD-Hedged) for my registered retirement savings plan. However, I was shocked when the ETF (XHD-T) fell precipitously at the start of 2018, and had another fall since. These moves have been out of step with the general markets. Can you explain what happened?


AUSTRALIA’S COMMONWEALTH BANK AGREES TO SETTLE CIVIL LAWSUIT

WSJ - WSJ (2018-06-04)

Commonwealth Bank agreed to pay an almost $530 million fine to settle a civil lawsuit that revealed numerous breaches of the country’s Anti-Money Laundering and Counter-Terrorism Act.


CANADIAN INSURER WANTS TO MANAGE MORE INFRASTRUCTURE

WSJ - WSJ (2018-06-04)

Manulife Financial Corp. has spent years buying stakes in pipelines, power grids and transportation systems. Now it wants to manage more of these types of assets for other investors.


CENTRAL BANKERS VERSUS THE MARKET: WHO WOULD LEND BETTER?

WSJ - WSJ (2018-06-04)

Imagine giving a committee of central bankers direct control of how much lending happens in an economy. Sound disruptive? Vulnerable to political meddling? Well, Swiss voters could make it happen on June 10.


POLICING CRYPTOCURRENCIES HAS BECOME A GAME OF WHACK-A-MOLE FOR REGULATORS

NY Times - Peter J. Henning (2018-06-04)

The lure of quick riches has attracted a growing number of investors to cryptocurrencies and initial coin offerings. It has also drawn scam artists.


AUSTRALIA THREATENS ANZ, DEUTSCHE AND CITI WITH CRIMINAL CHARGES OVER SHARE ISSUE

Reuters - Paulina Duran, Byron Kaye (2018-06-04)

Australia is preparing criminal cartel charges against the country’s third-biggest bank and underwriters Deutsche Bank and Citigroup over a $2.3 billion share issue, in an unprecedented move with potential implications for global capital markets.


VISA LAUNCHES $100 MILLION VENTURE FUND; INTRODUCES FAST TRACK PROGRAMME FOR STARTUPS

Finextra - Finextra (2018-06-04)

The focus of the fund will be on supporting start-up businesses that are innovating in the arena of open banking and those using emerging technologies that have the potential to create new secure, commerce experiences.


CAPTIVE INSURANCE MARKET BOOMS AS FIRMS EYE PROFIT OPPORTUNITIES

Insurance Business - Bethan Moorcraft (2018-06-04)

The global risk landscape continues to evolve. New socio-economic and political risks are emerging all the time and the worldwide marketplace is being disrupted by technological innovation. These uncertainties are driving more and more businesses towards captive insurance as part of their risk management strategies.


SWISS RE CANADA APPOINTS NEW PRESIDENT AND CEO

Insurance Business - Bethan Moorcraft (2018-06-04)

Ningen is well-known in the reinsurance world. She has more than 20 years of experience in the industry, starting her career as a reinsurance broker at E.W. Blanch before joining Swiss Re in 2006 when the organization acquired GE Insurance Solutions.


TICKETING COMPANY HACKED; 26 MILLION US AND CANADIAN CUSTOMERS' DATA EXPOSED

Insurance Business - Lyle Adriano (2018-06-04)

Ticketfly, an event ticketing company, has revealed that it suffered a major data breach when a hacker hijacked its website.


RSA: TORONTO’S DISTRACTED DRIVING PROBLEM AFFECTS PEDESTRIANS, CYCLISTS, EVEN OTHER DRIVERS

Insurance Business - Lyle Adriano (2018-06-04)

A new survey conducted by RSA Canada has revealed that Toronto’s pedestrians, cyclists, and drivers all agree that other drivers are the biggest cause of distress on the roads.


U.S. MERCHANTS PAID $96.67 BILLION IN CARD PROCESSING FEES IN 2017 THE NILSON REPORT ON MERCHANT PROCESSING FEES

Nilson Report - Nilson Report (2018-06-04)

Credit, debit, and prepaid general purpose and private label cards issued in the United States generated $6.361 trillion in payments for goods and services in 2017. Processing fees, which include interchange, paid by U.S. merchants to handle all card payments were $96.67 billion, up $8.28 billion over 2016, according to The Nilson Report, the leading card and mobile payment trade publication.  "When you add up all of the spending and divide by fees merchants pay, the average is $1.52 for every $100 in card sales," commented David Robertson, Publisher of The Nilson Report. American Express, Discover, Mastercard, and Visa general purpose credit cards and store, gasoline, medical, etc. private label credit cards accounted for $3.633 trillion in purchase volume. Credit cards accounted for 57.1% of all card purchase volume including debit and prepaid spending for goods and services. Merchants paid $77.07 billion in processing fees to accept credit cards, which was 79.7% of total processing fees. The weighted average of processing fees paid as a percentage of purchase volume from all credit, debit, and prepaid general purpose and private label cards was 1.52% in 2017.   


THE BEST PERSONAL FINANCE ARTICLE I’VE READ IN 2018

G&M - Scott Barlow (2018-06-04)

Morgan Housel from U.S. venture capital firm Collaborative Fund published a tour de force over the weekend. It is easily the best thing I’ve read this year combining investing and personal finance, and I definitely recommend reading the whole thing.


CYBG EXPECTS VIRGIN MONEY INVESTORS TO SEE LESS AS MORE

FT - Matthew Vincent (2018-06-04)

On paper, Monday’s revised proposal from CYBG is worth less, at 354p per Virgin share, than the original, at 359p.


INDIAN BANK MERGER: FRANKENLENDER

FT - Lex (2018-06-04)

The whole is not always worth more than the sum of the parts. That applies to Indian publicly controlled banks as it does to some privately controlled European ones. The government may reportedly stitch four banks together.


TECH SUPPRESSES BANKS’ APPETITE FOR MEGA-DEALS

FT - Sam Theodore (2018-06-04)

The finance industry has been waiting for large cross-border bank mergers since the EU voted for banking union five years ago. Unlike the wild-eyed years before the global financial crisis, such deals, the market believes, will be conducted with efficiency and transparency, governed by tougher regulations and, in the eurozone, closely supervised by the European Central Bank.


TORONTO, VANCOUVER HOME SALES SLUMP AS BUYERS AND SELLERS WAIT ON SIDELINES

G&M - Brent Jang (2018-06-04)

Sales have tumbled in Canada’s two most expensive housing markets as buyers and sellers sit on the sidelines waiting to see whether each region is heading toward stability or continuing volatility.


BANK OF CANADA’S POLOZ SAYS CANADIAN INVESTMENT DATA IS ‘ENCOURAGING’

G&M - Theophilos Argitis (2018-06-04)

Bank of Canada Governor Stephen Poloz said he’s encouraged by strong business investment numbers despite all the uncertainty surrounding NAFTA talks.


News feed

ROBOTS SAVE NORDEA FROM GDPR PROCESSING NIGHTMARE

Finextra - Finextra (2018-06-18)

GDPR has seen customers exercising their new rights to access personal data, leaving banks with a significant burden. Nordea estimates that every GDPR request could take between one and three hours to complete manually and so turned to its robotics centre of excellence for help.


ONE WAY OF PREDICTING WHETHER A COMPUTER WILL TAKE YOUR JOB

Canadian Underwriter - Greg Meckbach (2018-06-18)

“If you are good at following and memorizing the rules, there is going to be a computer that replaces you,” said Adam Mitchell, principal of Mitchell & Whale Insurance Brokers Ltd., during the Property Casualty Underwriters Club CEO Luncheon. “If you can’t employ compassion and empathy and creativity in ways to think outside the box – you can be replaced” by a computer, Mitchell warned.


PLACE YOUR BETS: FABULOUS FINTECH OR BORING BANKS?

FT - Patrick Jenkins (2018-06-18)

From Berlin to Bangalore “fintechs” — the trendy financial technology companies that are promising to overhaul every aspect of traditional finance — have become investment darlings.


BIS: CRYPTOCURRENCIES ARE AN ENVIRONMENTAL DISASTER THAT COULD BREAK THE INTERNET

Finextra - Finextra (2018-06-18)

"To process the number of digital retail transactions currently handled by selected national retail payment systems, even under optimistic assumptions, the size of the ledger would swell well beyond the storage capacity of a typical smartphone in a matter of days, beyond that of a typical personal computer in a matter of weeks and beyond that of servers in a matter of months."


GREAT-WEST LIFE OFFERS PLAN MEMBERS ACCESS TO INTERNET-BASED COGNITIVE BEHAVIOURAL THERAPY

Insurance Journal - IIJ (2018-06-14)

Great-West Life announced June 13 that it will be offering eligible group plan members access to Morneau Shepell’s internet-based cognitive behavioural therapy (iCBT) platform.


DMC INSURANCE, BLACKBERRY TEAM UP TO DEVELOP TELEMATICS SOLUTIONS FOR TRUCKING COMPANIES

Insurance Business - Lyle Adriano (2018-06-14)

DMC Insurance, a Fairfax company that provides commercial transportation insurance solutions, has announced a partnership with BlackBerry.


U.K. COURT RULES AGAINST PLUMBING COMPANY IN ‘GIG ECONOMY’ CASE

NY Times - Amie Tsang (2018-06-14)

Britain’s highest court ruled on Wednesday that a plumber who had sued a large London plumbing company over working rights could not be classified as self-employed, in a case that could lead to a closer examination of the relationship between businesses and workers in the “gig economy.”


INSURTECH’S GOT TALENT: LLOYD’S LAUNCHES SEARCH FOR TECH TALENT

Insurance Business - Lyle Adriano (2018-06-13)

The innovation sandbox, Lloyd’s Lab, has launched a global search for tech talent. Those selected will be given a chance to partner with the Lloyd’s market to help it keep up with the latest advances in re/insurance. The talent search is the first in Lloyd’s 330-year history that it is opening its doors to the global tech start-up and entrepreneur community.


IS INVESTING IN AI WORTH IT FOR CANADIAN INSURANCE CARRIERS?

Canadian Underwriter - Jason Contant (2018-06-13)

“The result highlighted a reality that a substantial proportion of companies have not seen ROI from analytics yet,” said Eugene Wen, vice president and chief statistician with Manulife Financial. “It deserves extra attention from all analytics executives.”


SINGAPORE TO DEVELOP ETHICAL CODE FOR AI AND PERSONAL DATA USE

Finextra - Finextra (2018-06-13)

An advisory council involving public and private sector bodies, including regulator the Monetary Authroity of Singapore, has been appointed to oversee the plan. It will be headed by former attorney-general VK Rajah and will also sponsor a five year research project into the ethical use of AI and personal data.


WHY DATA IS A FUNDAMENTAL SOURCE OF VALUE IN INSURANCE

Insurance Business - Bethan Moorcraft (2018-06-12)

Data is gold dust in today’s insurance industry. In recent years, artificial intelligence (AI), machine learning and big data analytics tools have cast the industry into a haze of gold, delivering exponential business value through data insights.


ZURICH ACQUIRES MINORITY SHARE IN INSURTECH START-UP

Insurance Business - Lyle Adriano (2018-06-12)

Zurich Insurance Group has acquired a minority stake in CoverWallet, a start-up that has developed an online-based insurance management platform.


HSBC PROMISES $17BN INVESTMENT IN TECHNOLOGY

Finextra - Finextra (2018-06-12)

The eight point strategic plan presented to investors by Flint is designed to return the bank to "growth mode" after almost a decade of declining revenues and also features further investment in Asia, a strengthening of its international presence and a promise to turnaround its US business.


CRYPTOCURRENCIES LOSE $46 BILLION AFTER SOUTH KOREAN BOURSE HACK

Bloomberg - Eric Lam (2018-06-11)

A cryptocurrency exchange hack in South Korea jolted holders of digital assets, fueling a $46 billion selloff and extending this year’s Bitcoin slump to more than 50 percent.


LONDON CLAIMS TO BE AI CAPITAL OF EUROPE

Finextra - Finextra (2018-06-11)

It found that London is home to 758 AI companies - double the total of Paris and Berlin combined. They specialise in more than 30 industries with particular strengths in insurance, finance and law. 


USAA SUES WELLS FARGO OVER REMOTE DEPOSIT CAPTURE PATENTS

Finextra - Finextra (2018-06-11)

Online military bank USAA holds around 50 patents connected to its technology that lets members deposit cheques by scanning them with mobile phones.


ANT FINANCIAL SEALS LARGEST SINGLE FUND RAISING ROUND IN HISTORY

Finextra - Finextra (2018-06-11)

Ant Financial has raised a monster $14 billion in Series C equity financing, pushing the value of the giant Chinese conglomerate above $100 billion.


PARTNERSHIPS IN AI

Finextra - Finextra (2018-06-11)

Naveed Hussain, AI Architect and Evangelist, Microsoft UK, talks at NextGen Banking London: The AI Revolution, about Mirosoft's view of AI and how it informs their engagement with banks, how their partnership with Atos and Dell EMCE on AI will develop and what sort of customer strategies are emerging at the moment around AI.


AXA TURNS TO SECURITYSCORECARD AS 'PIONEERING PARTNER' FOR CYBER SUCCESS

Insurance Business - Bethan Moorcraft (2018-06-11)

Cyber insurance is in a transformative phase. As businesses of all types and sizes slowly wake up to the serious potential of cybersecurity threats, more and more are turning to their insurers for cyber risk transfer and mitigation advice.  


AON OFFERS OUTLOOK ON WORLDWIDE CYBER PREMIUMS SURGE

Insurance Business - Terry Gancuangco (2018-06-11)

Based on the 23% annual growth in cyber premiums for the period, worldwide premiums are forecast to be worth US$4 billion by 2021. That means a compound annual growth rate of 14.1%.


PAYPAL FOUNDER HELPS LIFT INSURANCE TECH START-UP

Insurance Business - Terry Gancuangco (2018-06-07)

James Fitzgerald, partner at PayPal founder Peter Thiel’s Valar Ventures, said the determination of insurtech Coya to build a fully licensed and integrated insurance offering from the ground up, instead of relying on third parties, sets them apart from the others. This is one of the reasons why the US-based venture capital fund, along with international early-stage investor e.ventures, led the German start-up’s latest financing round.


GOOGLE IS IN EUROPE’S CROSS HAIRS AGAIN: DEALBOOK BRIEFING

NY Times - Andrew Ross Sorkin (2018-06-07)

Margrethe Vestager, the E.U.’s antitrust chief, has made it clear that Europe will be one of the tech industry’s biggest regulators. The FT’s reported that her commission plans to fine Google over the dominance of its Android mobile operating system, underscoring that point yet again.


OTTAWA WARNS INTERNET PLATFORMS SUCH AS FACEBOOK AND NETFLIX THE ‘FREE RIDE’ IS OVER

G&M - Daniel Leblanc (2018-06-06)

The federal government is on a collision course with global internet platforms, vowing to force companies such as Facebook and Netflix to make a greater contribution to the creation of Canadian cultural content without passing on the cost to consumers.


WE STILL DON'T KNOW MUCH REGARDING THE FUTURE OF CYBER, SAYS TOP PROFESSOR

Insurance Business - Lucy Hook (2018-06-06)

Another day, another cyberattack: just last week, two major Canadian banks – Bank of Montreal and Canadian Imperial Bank of Commerce – revealed that they had been contacted by cyberattackers claiming to have stolen the data of nearly 90,000 customers, in what was described as the first significant assault on financial institutions in the country.


PATIENCE URGED OF INSURERS WHO DON’T SEE VALUE IN THEIR EARLY AI INVESTMENTS

Canadian Underwriter) - Jason Contant (2018-06-06)

In fact, 85 per cent of more than 1,000 global carriers polled by McKinsey & Company reported being underwhelmed by the value of AI investments. Nick Milinkovich, leader of the insurance analytics practice (Canada) at McKinsey & Company, shared those findings about AI and advanced analytics last week at Insurance-Canada.ca’s first Technology in Action seminar.


HOW QR CODES ARE CHANGING E-COMMERCE

Mobile Payments Today - Jose Diaz (2018-06-06)

E-Commerce has long relied on the "card-not-present" payment method. At this point, online consumers can do the routine with their eyes closed: Enter their credit card number and billing address into the website form, flip their card around to key in the security code, and click "Purchase." The QR code – which has had a wild ride  – is going to both speed up the e-commerce payment experience and make it more secure.


ECONOMICAL LAUNCHES NEW POLICY ADMINISTRATION SYSTEM IN TWO PROVINCES

Insurance Business - Lyle Adriano (2018-06-05)

Economical Insurance has launched its new policy administration system for brokers – Vyne – in New Brunswick and Prince Edward Island.


LAGGING DIGITAL ADOPTION BY INSURERS AFFECTS CUSTOMER SATISFACTION

Insurance Journal - Kate McCaffrey (2018-06-04)

Insurance company executives know that digital solutions are needed to improve the customer experience and business operations. New survey data from research firms Capgemini and Efma, however, shows how much the industry is playing catch up: Only 26 per cent of Gen Y customers, and only 26.3 per cent of tech savvy customers in Canada say their insurance industry experience was a positive one.


VISA LAUNCHES $100 MILLION VENTURE FUND; INTRODUCES FAST TRACK PROGRAMME FOR STARTUPS

Finextra - Finextra (2018-06-04)

The focus of the fund will be on supporting start-up businesses that are innovating in the arena of open banking and those using emerging technologies that have the potential to create new secure, commerce experiences.


TECH SUPPRESSES BANKS’ APPETITE FOR MEGA-DEALS

FT - Sam Theodore (2018-06-04)

The finance industry has been waiting for large cross-border bank mergers since the EU voted for banking union five years ago. Unlike the wild-eyed years before the global financial crisis, such deals, the market believes, will be conducted with efficiency and transparency, governed by tougher regulations and, in the eurozone, closely supervised by the European Central Bank.


FSIM briefings and developments reports


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BIS: CRYPTOCURRENCIES ARE AN ENVIRONMENTAL DISASTER THAT COULD BREAK THE INTERNET

"To process the number of digital retail transactions currently handled by selected national retail payment systems, even under optimistic assumptions, the size of the ledger would swell well beyond the storage capacity of a typical smartphone in a matter of days, beyond that of a typical personal computer in a matter of weeks and beyond that of servers in a matter of months."


PRIVATE EQUITY-BACKED MICROFINANCE FUND TO LIST IN LONDON

A Bangladeshi-Dutch lender backed by private equity will become Europe’s first publicly-listed microfinance institution  next month, with a London IPO expected to value it at several hundred million pounds.
ASA International will announce its intention to float on the main market of the London Stock Exchange on Monday.  The company provides small loans to business-owners such as shopkeepers in less economically developed countries where it is difficult to gain access to credit from traditional banks, particularly for women. Shafiqual Haque Choudhury, ASA chairman, said its socially-responsible lending used “one of the world’s most efficient models of microfinance”, in addition to driving economic development in local communities. Dirk Brouwer, chief executive, said the group considered listing in Asia or Johannesburg but decided London was the “best fit” because investors in the UK were more familiar with companies that have operations across multiple emerging markets on different continents. 


PLACE YOUR BETS: FABULOUS FINTECH OR BORING BANKS?

From Berlin to Bangalore “fintechs” — the trendy financial technology companies that are promising to overhaul every aspect of traditional finance — have become investment darlings.
In Europe last week came neat proof that the odds of fabulous fintechs beating boring banks are narrowing by the day. After listing in Amsterdam on Thursday, shares in online payments specialist Adyen soared to what many described as bubble territory — so much so that this fast-growing niche business was deemed of equal value to one of Europe’s biggest banks. At Friday’s close, Adyen and Commerzbank had identical market capitalisations of a shade under €12bn. Can this possibly be justified? Consider the two groups from five perspectives.
Adyen’s net profit of €71m implies a price-earnings ratio of 164, more than double the number for Commerzbank. (Both multiples are clearly absurd but believers can explain them away — Adyen’s because this is a high-growth company and should be valued on revenues rather than profit; Commerzbank because ongoing restructuring efforts have held down profits for several years.) The easy conclusion is that Adyen is overvalued: fintechs are hyped and risk being swamped by competition or overtaken by the next trend. Doughty old Commerzbank on the other hand will surely rebound, once interest rates rise and its legacy troubles fade. There is an element of truth in that reactionary view, no doubt. But it will be an uphill task for any bank to complete the crucial evolution into a “digital technology company”. Fintechs are clearly the future. Place your bets.



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