New ANZ CEO Faces Tough Issues in the Banking & Finance Industry

Regulatory probes, Suncorp integration and the competition in the banks and finance are among the challenges awaiting new ANZ CEO Nuno Matos when he takes office in July.

ANZ Group Holdings Ltd. will soon commence a new leadership step as Nuno Matos, a former HSBC wealth head, will take the seat of CEO in July. Matos stands in a complex scenario to inherit, as the second lender for assets at Australia, challenges concerning regulatory probes to integrating the largest-ever acquisition that the bank has made, Suncorp Bank.

In fact, given the transformed environment in the banking and finance industry in Australia with increased competition and commoditization of the lending market which has pressured profit margins, UBS analysts find it interesting that Matos indeed will have a fresh set of eyes regarding ANZ and this may well result in restructuring the operations of banking and finance towards better stakeholder outcomes that would drive performance.

Matos's international roles have included overseeing HSBC's regional moves further such moves toward Asia. It shall be that Matos will concentrate on integrating Suncorp into the banking institution, thereby ignoring the increasing non-finance risks consistent with the increased scrutiny under which they are working.

Despite technological innovations that are pursued by ANZ, such as ANZ Plus and significant acquisition strategies, it becomes evident that the banking & finance sectors still suffer competition, and the differentiated products offered by large banks have increased difficulty in realizing profit maintenance.

Matos will be expected to strengthen ANZ's retail and institutional banking & finance services, commander salaries including: A$2.5 million base plus performance bonuses. The appointment suggests a very testing time for the organization as it shuffles the banking & finance landscape while facing operational and regulatory challenges.