The AJC Monthly Ledger: February 2025 Insights
Welcome to the third issue of The AJC Monthly Ledger. This month, we focus on the future of AI and security innovations, as well as the implications of current M&A activity. We also help financial institutions navigate recruitment with up-to-date hiring and executive salary trends.
Continue reading to stay ahead of the curve as the finance sector continues to evolve.
News Around the Banking World
Banks Step Up the Fight Against Stolen Credentials
Did you know 87% of financial institutions received more reports of stolen or falsified credentials this past year? Fraud is on the rise, and a new PYMNTS Intelligence report shows large banks are leading the adoption of innovative authentication tools to combat the trend.
Tap-to-authenticate metal cards and passwordless passkeys are growing in popularity among consumers and bank leaders alike. For financial institutions, it’s clear that passwords alone are an outdated security measure. Strengthening authentication will be crucial to maintaining customer trust and mitigating risk.
Capital One, Discover shareholders approve merger
Shareholders recently approved Capital One’s proposal to acquire Discover for $35.3 billion. This transaction could make Capital One the largest credit card issuer in the nation, above JPMorgan Chase.
The merger won’t be finalized without significant challenges. The financial institutions still need approval from the Federal Reserve and the Office of the Comptroller of the Currency, and lawsuits from consumer advocates threaten to block the deal.
Regardless of the outcome, this transaction highlights the continued shift toward industry dominance and streamlined operations. Bank and credit union M&A deals are accelerating—and may do so at a faster pace if deregulation in this arena occurs.
A Look Inside AJC
The latest resources from AJC:
Bank & Credit Union Executives Most in Demand
Macrotrends in the financial sector, from technological disruption to shifting regulations, underscore the importance of building a dynamic executive team. Six leadership positions in particular are proving critical to growth for banks and credit unions. Meeting the compensation expectations of top candidates will be key to securing a high-performing C-suite that capitalizes on strategic opportunities.
Preparing for AI Compliance in the Banking Industry
As artificial intelligence becomes a top investment priority, banks face mounting pressure to balance innovation with compliance. Regulations are incoming, and proactively establishing an ethical framework for AI utilization is crucial to leveraging the technology in a sustainable manner. Financial executives will pave the path for effective compliance, risk management, and transformation initiatives amid growing complexity.
AJC Places Top Risk and Compliance Leader Casey Jenkins at Hatch Bank
Rising regulatory scrutiny has prompted financial institutions nationwide to prioritize the recruitment of experienced compliance leaders. For Hatch Bank, which operates in the complex fintech sponsorship banking space, finding this specialized candidate proved to be a challenge. This is where AJC stepped in. Leveraging our exclusive network, we successfully placed an accomplished financial regulatory attorney into their Head of Risk and Compliance role.
Thanks for reading the second issue of The AJC Monthly Ledger. We hope you gained valuable insights to inform your strategies and guide you through challenges. Stay tuned for more industry updates and success stories from around the banking world. Whether you want to stay up to date on market trends or need executive recruitment support, AJ Consultants is here to support your journey in finance and banking.