Boston Consulting Group (BCG)

Middle East's AuM declines in 2015, says BCG study

According to the annual benchmark report of the Boston Consulting Group (BCG), the global growth of asset management stalled in 2015 as the industry recorded its worst year since the 2008 financial crisis. Growth in assets under management (AuM) stalled — or in the case of the Middle East declined 10%. Flows of assets, revenue growth and revenue margins all dipped lower in 2015. AuM decreased in North America and the Middle East but rose elsewhere. Growth was modest in Europe and strong in Latin America and Asia, excluding Japan and Australia. The 10% growth of AuM in Asia, excluding Japan and Australia, was relatively robust. BCG reports that the global value of AuM rose just 1% in 2015, to $71.4 trillion from $70.5 trillion in 2014, after growing 8% that year. Asset managers will have to shift from outdated product strategies and develop disruptive investment capabilities.

GCC corporate banking on recovery track, says The Boston Consulting Group

The latest report by the Boston Consulting Group (BCG) shows that GCC corporate banking profitability is on its way to recovering from the turmoil of the financial crisis.
Altough, as Loan Loss Provisions (LLPs) culminated in 2009 and corporate banking profitability consequently declined to levels below those of 2007, LLPs began to decrease in 2010 and have continued to decrease in the first half 2011.
Saudi Arabia has been at the center of this upward profit trend with the greatest annual increase in corporate banking profitability at 45% per year since 2009. Other GCC countries have shown a flat trend in profitability with the exception of Bahrain.

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