Americans always seem to think that we are the Center of the Universe. But, over the last several decades, we have realized that there are other countries and regions that have excelled, where we did not. “Soccer”, as Americans call “Football” as it is called, in many other countries is the Most Watched Sport in the World. The Tallest Building is no longer here. Health Care is certainly not an American Thing anymore. Now, perhaps America still grosses the most money in the Movie Business; however, when you look at the “quality” of them (or, lack thereof), that certainly is not anything to write home about.
Over the past five years, the “Great Recession” showed that the Financial Services Industry is quite suspect when it comes to: Undercapitalization; Misleading Practices and a Focus on Their Own Bottom Line–not Quality of Products/Service. Although these practices were mostly based in the U.S. and Western Europe, the Economic Impact has spread throughout the World.
Now, the latent impact is focusing on the role of the World’s Two Traditional Financial Capitals–New York City and London. I have written previous Posts on the reasons why each might claim the Top Billing; but, now even some in the Financial Services Industry are starting to question as to where the World Capital might be, say, ten years from now.
There is an interesting article in today’s NY Times, from Reuters, Asian Cities to Become Top Finance Centres by 2022-Survey, linked as follows, http://www.nytimes.com/reuters/2012/08/26/business/26reuters-financialcentres-survey.html?hp. One important thing is that the Poll was taken by questioning a number of U.K. Traders and Dealmakers; so, I believe that the results somewhat reflect their frustration–both with past Industry Transgressions (in The West) as well as actions by the Regulatory Authorities. But, as they say, “The Times, They are a Changing”.