BPCE - 2018 Registration document
NON-FINANCIAL PERFORMANCE REPORT Sustainable development built on our cooperative identity
MAIN CHALLENGES
OUR STRENGTHS
2
US stance on multilateral trade agreements and protectionist measures against major economic powers, during a slowdown in global economic growth In Europe, Brexit and the combination of security and immigration concerns bringing risks to bear on the stability of the EU and the euro Political instability and/or budget imbalances in certain regions, particularly in France and Italy Populist governments taking over in some European countries ; tension on sovereigns
A decentralized and united cooperative group with strong brands operating directly in the regions A dynamic, diversified group that has shown it is capable of adapting and transforming Consistently robust financial strength, ensuring the Group’s financial stability
A conservative risk policy with a moderate risk profile
Net slowdown in euro zone GDP growth
Diversifying Group revenues and developing growth drivers: expanding the bancassurance model, becoming a pure player in payments Developing business lines that are less dependent on interest rates and fees Building revenue synergies between business lines and exploring new growth drivers
Persistently moderate inflation
Central bank monetary policies as accommodative as ever (especially ECB policy)
Ultra-low interest rate environment: risk weighing on retail banking activities, especially in France
Increase in the number and complexity of regulations in all areas:
Proactive measures allowing us to achieve regulatory solvency and liquidity targets ahead of schedule A policy of maintaining high capital adequacy recognized by the rating agencies, allowing us to develop our business lines on favorable terms while offering our stakeholders a high level of protection, as confirmed by ESG rating agencies
Banking regulations (structural reforms: French Banking Act, deposit guarantee fund, etc.) and prudential regulations (CRR/CRD, BRRD, TLAC, finalization of Basel III, etc.) Compliance and Security Customer and investor protection (MiFID, GDPR, Sapin 2 Act, etc.) CSR, sustainable finance
A Code of Conduct and Ethics further strengthening the bonds of trust between Groupe BPCE and its customers
Uncertainty about future developments
Unfair competition: regional differences, unregulated players
Accelerating the digital transformation by creating leading digital services to enhance customer satisfaction (user friendliness, simplicity, personalization) Data centric companies to provide more personalized customer services: we have huge quantities of data at our disposal, teaching us what our customers really want
Emergence of fintechs, technological innovation (blockchain, AI, chatbots, etc.)
Technological developments linked to growing data usage and sharing
Increasing digitization of the economy and changing customer practices and needs (real time, fast response, simplicity, transparency, etc.)
Cooperation with fintechs: support, investment, partnerships
Enhancing operational efficiency: customer self-service, process optimization and simplification, integrated business platforms and pooled functions
Rapid pace of technological change, creating big expectations in terms of cybersecurity and data protection
New operating models (automation, digitization)
Steering deposits and savings towards a more responsible economy
Establishing transparent sector policies and incorporating ESG criteria into lending, financing and investment decisions Helping customers address climate risk and gear up for the energy transition
Energy transition
Developing brokerage of green or social bonds
Inclusion of vulnerable persons amid growing insecurity
Reducing the Group’s carbon footprint
Increase and greater intensity in climate disasters
Supporting vulnerable customers
37
Registration document 2018
Made with FlippingBook flipbook maker