U.S. Large-Cap Banks: Jason Goldberg's Bank Brief | Volume 23, Issue 90 | 5.20.26

Research evidence excerpt

U.S. Large-Cap Banks: Jason Goldberg's Bank Brief | Volume 23, Issue 90 | 5.20.26

ng revenue] to several billion dollars in enterprise software is hard. That’s where

larger software companies become valuable acquirers over time. It’s just very early days.”

Global synchronization in corporate bonds. Article from the NY Fed yesterday titled “The

Global Credit Cycle in Corporate Bond Returns” saying the global corporate nonfinancial bond

market is both a large investment asset class and a vital source of funding for nonfinancial

firms. Yet, in 37% of months between 1998 and 2024, more than 80% of bonds in the ICE

Global Bond Indices moved in the same direction, suggesting a large degree of

synchronization. The paper introduces the global credit factor, which creates a global

credit cycle in bond risk premia and generates predictable co-movement in bond prices.

Capital Conundrum / Regulatory Round-up

Executive Order directs regulators to provide guidance on identifying suspicious activity,

potentially strengthen due diligence requirements. Yesterday afternoon, President Donald

Trump issued an Executive Order titled "Restoring Integrity To America’s Financial System".

Under the order: a) The Treasury secretary must issue a formal advisory to financial

institutions identifying red flags and suspicious activity patterns tied to illegal

immigration and bad actors; b) Regulators must propose changes to BSA regulations to

strengthen customer due diligence requirements and the authority to obtain additional

information when warranted. It also calls on regulators to consider changes to customer

identification program requirements, “including accounting for the risks that foreign consular

identification cards pose to the U.S. financial system.”; c) The CFPB must consider modifying