Banking and capital markets

Helping banks to build and maintain a strong financial system that is fit for New Zealand's future.

Banking and capital markets are entering a period of massive change.

Shifting regulations, new technologies and FinTech start-ups are all reshaping the sector. What’s more, the need for banks to build and maintain trust with customers has never been greater. Thriving in this changing world means understanding the market, knowing your risk profile and finding new opportunities to deliver customer value.   

The outlook for established banks

Changing regulations, the arrival of FinTechs and the digital disruption of banking are all having a profound effect on the landscape for established banks. Responding to these changes will take new thinking, grounded in a deep knowledge of the transformational forces that are reshaping the sector, as well as an effective strategy for managing risks. It’s a big challenge, but established firms now have an opportunity to reinvent their service offering, internal processes and governance structures to match the demands of the 21st century banking sector.

How FinTechs are changing the game

The explosion in FinTechs and the emergence of new banking models over the last few years has been transformative for the banking sector. Rather than offering an end-to-end banking solution, these start-ups have succeeded by targeting specific niches within the industry and offering a superior customer experience that is driven by technology. The challenge for these companies now is to widen their client base, potentially by partnering with existing firms, while also meeting the regulatory and compliance requirements that come with working in the finance sector.

The big opportunities for banking: Digital disruption

Digital disruption in banking is certainly one of the biggest trends that the industry is facing. Both technology-enabled FinTechs and established firms are looking to realise the benefits that technology can offer in order to become more transparent, more efficient and offer a better customer experience.

Regulation has become a key driver for change in the banking sector, while cyber security has also emerged as a key operational risk. For both established banks and FinTechs, regulation and cyber security in the banking sector is posing a key challenge.

Those organisations that are succeeding in this landscape are those that are going above and beyond and treating compliance and cyber security as a way to stand out in a crowded market and build trust with customers, rather than simply a box to tick.

Banks now have access to a greater wealth of data than they ever have. The challenge is no longer around gathering data though, instead the focus has shifted to how analytics tools can help companies within the banking industry to find valuable insights within the huge amounts of data they now have access to.

Technology companies have redefined what it means to be customer-centred in recent years, and banking is now facing the challenge of keeping up with the demands of a tech-savvy and tech-enabled customer base. In many cases, it is FinTechs that are taking the lead in developing innovative, customer-centric products, either in collaboration with established banks or independently. 

How PwC can help

Our team of Banking and Capital Markets experts have the skills to help you navigate the increasingly complex future of the industry. Whether you’re a start-up in the FinTech space or an established bank looking to prepare for the future, our team can help.

Specifically, our Banking and Capital Markets teams can assist with:

  • Developing and emerging technology and innovation strategy
  • Managing your financial, operational and reputational risks
  • Finding merger and acquisition opportunities
  • Managing regulatory requirements and financial reporting 

Insights and publications

Contact us

Sam Shuttleworth

Partner, Auckland, PwC New Zealand

+64 21 976 949


Graeme Horne

Partner, Financial Services, Auckland, PwC New Zealand

+64 21 648 756


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