NEW YORK—A new study indicates New York once again has bragging rights as the world’s leading financial center, having reclaimed the title from London where Brexit continues to cast a shadow of uncertainty over the U.K. economy.
According to the latest Global Regulatory Outlook (GRO) survey of senior financial executives by advisor Duff & Phelps, 52% of the respondents view New York as the world’s financial center, a 10% increase from 2018. The survey found 36% continue to see London as the foremost global financial hub, a 17% decrease from last year, stated Insurance Journal in its analysis.
Looking ahead five years, respondents’ confidence in New York maintaining its place fell to 44% and only 21% of respondents said that London would be the world’s financial center. Instead, 12% of respondents said that Hong Kong would take the title by 2024, a significant increase from the 3% who held this opinion in 2018.
Most Pressing Issue
The survey also found that the most pressing issues facing the global financial community this year with respect to regulatory compliance continue to involve anti-money laundering and whistleblowing. Technology and budgeting have also emerged as factors affecting firms’ compliance functions, Insurance Journal noted.
“Whether located in traditional financial centers or not, the finance executives responsible for governance, risk management and compliance are grappling with significant threats arising from increasing obligations relating to the anti-money laundering programs, data protection and privacy, cybersecurity defenses, whistleblowers and ‘big data’ and technology,” said Ken Joseph, managing director and head of the Disputes Consulting practice at Duff & Phelps.