银行、金融服务、保险行业招聘前景洞察（英文版）.pdf

1 RGF ASIAN INTELLIGENCE Banking, Financial Services and Insurance Outlook Industry movements and hiring trendsCONTENTS 04 16 11 22 Introduction Banking Insights Asset Management Insights Venture Capital and Private Equity Insights Insurance Insights Conclusion References & Methodology 03 04 11 16 22 28 29The banking, financial services and insurance industry is widely seen as a prosperous one. Though the sectors in this industry have high valuations globally, when looking at the sectors individually its easier to identify the opportunities and challenges facing each, especially in Asia Pacific. Mainland China has often been the focus of new pursuits in BFSI, as the market is vast, the economy emerging, and the rate of high networth individuals rising. But as Mainland China experiences an economic slowdown due to trade tensions with the United States, companies are looking to other emerging regions that are underbanked and underinsured, such as those in Southeast Asia, where digital is booming and startup unicorns are being created. Due to the diversity of the region and the preference for mobile options, the BFSI industry needs to adopt technologies that allow them to reach an audience via its preferred distribution channels smartphones as well as artificial intelligence, machine learning and natural language processing tools in order to best reach and serve customers. In this report, we have focused on talent trends in four key sectors of the BFSI industry: banking, asset management, venture capital and private equity, and insurance. We hope this report can be used as a helpful, educational resource for HR teams and business leaders that educates them about the opportunities and challenges that exist in Asias evolving BFSI industry. TOP SECTORS IN BFSI BY TALENT 3.3 million overall talent pool size as visible online All Eyes on Asia for the BFSI Industry INTRODUCTION 3 BANKING 58% (1.9 million) ASSET MANAGEMENT 16% (530,000) VENTURE CAPITAL AND PRIVATE EQUITY 2% (64,000) INSURANCE 26% (860,000)MONEY MATTERS BANKING 4 Banking remains big business, especially in Asia. Comprising diversified banking institutions which offer commercial banking services for retail and corporate customers and trust banking which are responsible for maintaining and growing clients assets to maximise profitability, the global banking industry was valued at US$141.3 trillion as of May 2019, according to The Economist Intelligence Unit. In Asia, corporate banking drives the industry and the region dominates the global banking sector, holding 42.7% of global banking assets, thanks to its higher share of private sector credit to GDP. Mainland China is the largest regional contributor, with its banks contributing nearly 30% of global credit to the private non- financial sector in 2017, and credit to the private non-financial sector across the region is growing thanks to business confidence in the region as well as fast-growing economies. Though credit cards are popular in Asia Pacifics developed markets, such as Japan and Singapore, there is low credit card penetration across the region as a whole. However, those who have credit cards use them frequently as Asia-Pacific accounts for over half (56.5%) of the total credit card transaction value of Committee on Payments and Market Infrastructures (CPMI) member markets, and Hong Kong recorded the highest average value per credit card transaction at US$134.70. As for trust banking, it is a growing market in Asia, where there are 6.2 million millionaires who have more than US$21 trillion in assets, and where the pace of growth from millionaire to billionaire is high. According to findings from Capgemini, Asias ultra high net-worth individuals are expected to own US$42 trillion in assets by 2025 1 . With strong financial outlooks across the region, even as economies slow, Asias banking industry remains strong.5 TOP PLAYERS FOR BANKING The rankings include total revenue of a companys other business beyond the subject sector 1 6 2 7 3 8 4 9 5 10 Industrial and Commercial Bank of China Limited China Construction Bank JP Morgan Chase & Co. Bank of Communications Limited Bank of America Corporation BNP Paribas S.A. Wells Fargo & Company Citigroup Inc. Banco Santander S.A. Bank of ChinaLike most industries, the trends in Asias banking sector are largely digital in nature thanks to the rise of digital banking and e-wallets across the region. These services allow more customers to make payments safely and access banking services more conveniently, and help banks to increase efficiency and save on operating costs. However, these services are perceived as a threat to the credit card industry, which is also growing in the region thanks to shoppers preferences for e-commerce. In order to compete, credit card companies are enhancing data security measures in order to protect customers and introducing contactless payment technology. Digital Banking Though digital banking has been on the rise globally, it is well-established in Asia Pacific, where adoption rates are as high as 99% (South Korea) and even the low-end sees over half the population using digital banking services (58% in Indonesia) 2 . To serve digital customers, banks are increasingly introducing artificial intelligence-based services, such as bots and cloud solutions, to increase efficiency and provide better, more personalised customer service. Aside from customer convenience, digital banking is also a boon for the banking sector, as it helps to cut costs the cost of signing up new customers for digital banking is 40%50% lower than for new customers at a bank branch, and the operating costs for digital banking are nearly 70% lower than that of traditional banking services. Whats more, digital customers are able to generate twice as much revenue thanks to increased usage banking via digital channels occurs 16 times more frequently than face-to-face interactions at a bank branch. 3 THE TRENDS IN ASIAS BANKING SECTOR ARE LARGELY DIGITAL IN NATURE THANKS TO THE RISE OF DIGITAL BANKING AND E-WALLETS ACROSS THE REGION. “ INDUSTRY TRENDS 6Influx of E-Wallets With the popularity of digital banking across the region, there is little surprise that e-wallets have also been embraced by Asia Pacific especially in areas underserved by traditional banks, such as Vietnam. Wallet services, often provided by tech behemoths such as Alibaba, Apple and Google, can be used to replace bank cards due to their high levels of security and payment protection, especially for e-commerce, which is hugely popular in Asia. Market research company Research and Markets found the global e-wallet industry to be valued at US$880 million in 2017, and forecasted to grow at a CAGR of 30%, leading to a valuation of US$9.4 trillion by 2026. e-Commerce Driving Credit Card Usage Thanks to the fast-growing e-commerce market across Asia, credit card companies have seen increased use of credit cards in the region. However, the popularity of credit cards is threatened by the rise of e-wallets, which are expected to surpass credit cards in usage to become the most popular payment method for online shopping Asia by 2021, according to Worldplay, a payment processing company. In an effort to prevent credit cards from suffering a loss of market share, credit card companies are looking to increase customer trust and combat the idea that credit cards are an unsafe or risky payment method. By beefing up measures for data security in order to protect sensitive customer data and integrating contactless payment technology, credit card companies are hoping to maintain their customer base and remain a go-to payment type for customers in Asia. 7HIRING TRENDS Perceived as a secure field with high salaries, banking is often a sought after industry, especially for those entering the job market in Asia or switching industries. Indeed, our “Talent in Asia” report found that 73% of job seekers in this industry look for market competitive compensation and nearly 83% expect a pay rise when changing job roles. However, hiring managers cite a talent shortage, as well as a need for disciplined talent with industry knowledge an opportunity for talent who meet these requirements. TOTAL LABOUR POPULATION BY MARKET *AS VISIBLE ONLINE ON NETWORKING SITES 1.1 MILLION INDIA 299,500 INDONESIA 103,100 PHILIPPINES 85,400 82,300 81,600 52,800 34,200 20,700 20,300 JAPAN THAILAND HONG KONG, CHINA MAINLAND CHINA VIETNAM TAIWAN, CHINA MALAYSIA SINGAPORE 84,000 LABOUR DISTRIBUTION BY LEVEL 2% 11% 18% 68% C-SUITE, PRESIDENT, OWNER MANAGER, MID-TIER VICE-PRESIDENT, DIRECTOR, SENIOR MANAGER EXPERT, SPECIALIST, STAFF TALENT IN THE INDUSTRY WHO CHANGED JOBS IN THE LAST ONE YEAR (BY LABOUR POPULATION) TALENT IN THE INDUSTRY WHO ARE ACTIVELY LOOKING FOR A JOB CHANGE (BY LABOUR POPULATION) INDIA INDONESIA MAINLAND CHINA SINGAPORE HONG KONG INDIA MAINLAND CHINA INDONESIA SINGAPORE PHILIPPINES 40,400 69,007 9,944 17,991 9,272 17,129 6,557 11,881 5,178 7,7929 E-WALLETS BRING NEW OPPORTUNITIES FOR BANKS VINAY KUMAR Vice-President, BFSI RGF Professional Recruitment, India The emergence of payment systems designed to function seamlessly with mobile devices, in-app methods or browsers has prompted wide- ranging innovation from banks, digital giants and fintech firms. The volume of digital payments is soaring, and by 2020 is likely to approach $5 trillion worldwide 4 . That growth brings new opportunities, but also risks for retail banks: those that fail to keep pace with market leaders in digital payments will lose share to other financial organisations. To combat this threat, banks need to redesign and personalise the payment experience, collaborate strategically to keep up with disruption, and substantially improve their approach to protecting and monetizing data. All banks and broking firms plan to build large digital banking and financial research teams, which has increased hiring in related areas. Though a few layoffs will likely happen with the MNC players, payment banks are likely to get an unexpected boost, and e-wallet and fintech are forecasted to see up to a five-fold business growth. Overall, the BFSI sector is stepping up recruitment of highly talented IT professionals, especially those with an understanding of finance. Competition for this talent is fierce, though, which is pitting BFSI companies desperate to invest in IT and keep pace with the digital revolution against fintech firms. “ “10 ASSET MANAGEMENT A FOCUS ON ASIAS ASSETS A specific arm of the financial services industry, asset management includes companies that invest and manage clients capital in stocks, bonds, real estate, private equity and other assets for a fee. Its a lucrative field, as the volume of investable assets is set to rise, increasing from approximately US$65 trillion to US$102 trillion by 2020, according to PWC 5 . And assets in fast-growing economies, including Asia as well as South America, Africa and the Middle East, are set to grow even faster thanks to the increase in high net-worth individuals, governments shifting to individual retirement plans and the growth of sovereign wealth funds. According to EYs Wealth Management Outlook 2018, Asia Pacific is among the regions forecasted to see one of the highest growth rates of investable assets by the high net-worth individual segment between 2016 - 2021, at a CAGR of 6%, alongside the Middle East and Latin America. Mainland China itself is forecast to grow at just over 9%, meaning Chinese customers, as well as those from the region, will likely be a target for asset management companies. TOP PLAYERS FOR ASSET MANAGEMENT The rankings include total revenue of a companys other business beyond the subject sector 1 6 2 7 3 8 4 9 5 10 JP Morgan Chase & Co. Bank of America Corporation Wells Fargo & Company BlackRock, Inc. HSBC Holdings PLC Royal Bank of Canada Allianz SE Goldman Sachs Group, Inc. Morgan Stanley Citigroup Inc.A FOCUS ON ASIAS ASSETS GOVERNMENTS ARE WORKING TO CREATE BETTER RETIREMENT PLANS, OFTEN BASED ON CONTRIBUTION MODELS THAT ENCOURAGE PEOPLE TO SAVE FOR RETIREMENT ACTIVELY AND FROM A YOUNG AGE. “ Asset management today is evolving to not only suit customer demand, but to transform the industry. Beyond changes in investment strategy preferences and the reasons why people choose or are required to invest, the asset management sector is embracing high-tech tools like artificial intelligence and machine learning to become faster, better and more accessible for a variety of clients. Retirement Planning With people living longer, thanks to better global healthcare and increased awareness about and prevention of certain cancers and other once- fatal diseases, retirement planning has become increasingly important so that people are not just able to see more years, but to enjoy them comfortably. To do this, governments are working to create better retirement plans, often based on contribution models that encourage people to save for retirement actively and from a young age. This is especially true for markets like Japan, Mainland China and Singapore, as well as Hong Kong and Thailand. Passive Investment Strategies Though active management is the investment strategy most often associated with asset management, passive strategies are gaining prominence. PWC found that passive asset management which aims to maximise returns by limiting frequent trading is expected to grow at a rate of 25% in 2025, up from 17% in 2016, while active management is expected to decline to 60% by 2025. INDUSTRY TRENDS 1112 In 2017, passive investment strategies saw net inflows of US$692 billion in the United States. One reason for this is attributed to the fees associated with asset management, which is also often associated with the rise in self-managed accounts, which are based on passive management strategies. To this end, The Boston Consulting Group conducted research into the role of asset managers in 2018, and found that profit margins are expected to contract to around 34% in 2021, down from 38% in 2017 6 . Big Data and AI The asset management world is embracing sophisticated tech tools including artificial intelligence (AI), machine learning, natural language processing, robotic automation and big data in order to transform the industry, making it more efficient for everyone from customers to asset managers. Through the use of machine learning, asset managers would be able to make better use of the large volume of customer data they have access which could lead to faster and possibly more prudent decision-making when it comes to investment planning. One way asset management firms are looking to introduce AI is through the use of virtual assist