Have European Banks Written This Year Off?

The transcript discusses the ongoing risks in trading and capital markets, highlighting a decline in trading and investment banking revenue. It explores the impact of negative interest rates on European banks, particularly on the retail side, and how banks are strategizing to cope with these challenges. The discussion also touches on the short-term pain banks are willing to endure for long-term gains, with a focus on restructuring and planning for 2017. Finally, there is speculation about potential leadership changes at UniCredit.

What is the main concern discussed regarding trading and capital markets?

• Increase in trading revenue

• Stability in investment banking

• Decline in trading and investment banking revenue

• Growth in capital markets

How are banks in Europe responding to negative interest rates?

• By increasing interest rates

• By expanding into new markets

• By closing branches

• By passing costs to customers

What is the general strategy of European banks for the current year?

• Expanding operations

• Restructuring and taking short-term pain

• Focusing on customer acquisition

• Maximizing profits

What is the expected outcome for European banks after their restructuring efforts?

• Immediate profit increase

• Increased market share in 2016

• Closure of several branches

• A cleaner and more stable 2017

What is the current situation with UniCredit as mentioned in the transcript?

• Their future plans are unclear

• They are merging with another bank

• They have clear future plans

• They are expanding rapidly