I am happy to announce that the 5th revised edition of Banking Business in Germany is now available. You can order it at „Fachverlag Moderne Wirtschaft“ (34,50 EUR). It is also available as an E-Book at ciando (28,50 EUR).
Banking Business in Germany, new 5th revised edition
“Banking Business in Germany” is again a joint project of the Association of Foreign Banks in Germany and PwC.
From the Preface, written by Thomas Schäfer, Minister of Finance of the State of Hessen:
Now in its fifth edition, „Banking Business in Germany“ presents the legal and economic frameworks for the banking sector in Germany.
In the recent past we have seen different new bank set-ups as well as license and product expansions for existing banks
There will be some questions which the banks have to have in mind. E.g. should all necessary functions, tasks and activities be done by the banks or could it be done by an external provider?
If a bank decides to outsource portions of the task, many companies offer such support. The scope extends from marketing and sales through call-center services and back office units for opening an account, deposit or loan business as well as IT operations, development and infrastructure.
We did it again: The 4th revised edition of “Banking Business in Germany” is now available.
Also the new edition was developed in close cooperation between the Association of Foreign Banks in Germany (Verband der Auslandsbanken in Deutschland e.V.) and PwC.
The book’s subtitle tries to explain its ambition in one short sentence:
“A practical guide for foreign banks establishing a subsidiary or a branch in Germany”
True. But actually the book covers much more: It presents a current overview of the economic, regulatory, legal and tax framework that applies to credit institutions and financial service institutions in Germany.
Nearly half a year went by since the Kapitalanlagengesetzbuch (German Investment Act; “KAGB”) entered into force in July 2013. Time for a first resume of the issues which crystallised in the due course of the license procedures for Alternative Investment Fund Managers (“AIFM”) since then.
Capital requirements and regulator’s usance in this area
While most of the draft applications complied with the general capital requirements pursuant to section 25 KAGB, it was sometimes necessary to remind of existing regulator’s usance in order to avoid otherwise predictable feedback by the regulator on this issue. Occasionally applicants omitted that the volumes requested by section 25 par. 1 and 4 KAGB are minimum requirements, which can be missed, especially in case of starting losses.
The German Automotive Market shows a downturn for the first six months of this year again, just as the European market as a whole does. The reasons are multilayered.
OEMs reinforced their activities by using a combination of offering car sales, after-sales services, mobility services and financial service out of one hand (one stop shop) to break this trend. This has been supported by OEM owned/captive financial services organizations. These banks offer traditional finance products like loans and leasing as well as insurance services.
One of the major questions on captive finance agenda is the issue of re-financing. An attractive option here is to use account deposits held by customers.
OEM owned banks can offer several products, like fixed-term deposits, restricted cash or savings deposits. With these products they increase customer loyalty and improve their own re-financing structure.
What chances and threats arise and what themes are currently to be considered are some of the key topics for our PwC Team. Don’t hesitate to contact us.
Besides successfully undergoing a licensing procedure, designing an efficient business model is the most crucial step when establishing a bank. In order to increase cost-effectiveness, most banks source out services such as securities settlement, management of accounts or credit processing to external providers.
On account of this trend, the market for banking service providers has grown in the recent years. Both providers with a very strong focus on certain services as well as ones that offer the whole range of banking services are entering the market.
I am proud to announce that the latest, the 3rd, edition of "Banking Business in Germany" is now available. Also the new edition was developed in close cooperation between the Association of Foreign Banks in Germany (Verband der Auslandsbanken in Deutschland e.V.) and PwC and, like the former editions, is endorsed by the State-Government of Hesse.
The book's subtitle tries to explain its ambition in one short sentence:
"A practical guide for foreign banks establishing a subsidiary or a branch in Germany"
As time goes by …
Time is relative. But from a regulatory perspective the last four years since 2007 brought close to epochal changes. In nearly all areas of the financial industry the measures taken to scope with the financial crisis led to fundamental amendments and new regulations which already transformed the industry sustainably and will further do so in future.
What you can look forward to