WG-REQ-1670 FIS Horizons 2025 STAGE 1 AH - copy - Flipbook - Page 2
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Hogan Lovells
Welcome and
Introduction
We are delighted to welcome you to Financial Institutions Horizons 2025. As in previous years,
our report examines key developments that will define the sector and offers insights into
how financial institutions can adapt to emerging risks and opportunities.
The four chapters of this report cover our key
themes. The first of these looks at Riding the wave of
geopolitical and economic turbulence. As geopolitical
tensions, inflationary pressures, and market volatility
continue to challenge financial stability, institutions
must remain agile in mitigating cross-border risks,
ensuring sanctions compliance, and managing supply
chain disruptions, all while responding to evolving
trade, monetary and fiscal policies.
Our second chapter focuses on Accelerating change
and innovation, with regulatory frameworks in mind.
Globally, leaders are contemplating where regulation
is serving its purpose and where frameworks may
require reform to encourage growth. The only
certainty here is change, and the regulatory landscape
looks set to remain complex, particularly for those
conducting business across borders.
Meanwhile, financial services are undergoing
deep transformation at every level through digital
technologies such as AI, blockchain, and digital
assets. Institutions must balance innovation with
regulatory compliance, ensuring robust cybersecurity
measures and data privacy protections in line with
new rulebooks and outsourcing requirements.
Our Digital transformation section explores key
considerations for leveraging digitalization while
mitigating risks.
Sustainability also remains at the forefront, with
financial institutions playing a pivotal role in
financing the transition to a low-carbon economy.
Our chapter on Energy transition and sustainable
finance examines the increasing regulatory scrutiny
of greenwashing, climate-related risk disclosures, and
sustainable finance initiatives—trends that are likely
to intensify throughout 2025, requiring proactive
adaptation.
By addressing these critical areas, financial
institutions can navigate uncertainty while seizing
opportunities for growth and resilience in 2025 and
beyond. We hope you find this edition of Horizons
both informative and stimulating, and we invite you
to contact us with any questions or challenges you
may be facing.
