Banking & Financial Institutions

Finance sector expects profits and regulatory headaches in 2013

{mosads}Eighty-three percent of institutions expect their costs for complying with new rules, many stemming from the Dodd-Frank financial reform law, will climb, compared to just two percent who expect them to fall.

On the policy front, new increased capital and liquidity requirements were identified as the single biggest issue facing institutions, as nearly 28 percent singled them out. Coming up in a close second was the new Consumer Financial Protection Bureau, as 26 percent of those surveyed identified it as the biggest hurdle.

Big banks and other financial institutions are looking to 2013 to boost their bottom line, but that does not mean they are expecting a major jump in hiring as well. Only 38 percent of those surveyed expect to increase hiring in the coming year, while roughly one-quarter plan on actually trimming staff.