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Europe

EUROPEAN MARKET COMMENTARY Q4 2019

• Article by BRUIN Financial

EUROPEAN MARKET COMMENTARY Q4 2019

MARKET OVERVIEW

In Q4 we have seen the importance of our previous trips to Luxembourg, having been most busy in this location. The continuing growth of this new financial hub is creating constant opportunities across Governance areas, which does not seem to be slowing down anytime soon.

Large amounts of the Luxembourg candidate pool seem to travel into work from France, Germany and other locations. With this in mind more companies are seemingly more interested to provide flexible working to attract top talent. Workers in Luxembourg will see a 2.5% increase in earnings, as the rising cost of living is expected to trigger the indexation mechanism.

It seems the majority of Brexit hires have been made across Europe; all hiring now is to establish and grow these European hubs. Across Risk and Compliance, candidates with Trading experience are few and far between in Europe (outside of UK); meaning companies are trying to attract talent from London.

We have seen hiring across Finance in a few of our Banking clients in Paris. They have been looking to attract top talent from the Big 4 consulting firms, at varying levels, who are local to the Paris market and speak both fluent French and English. These hires have often been to strengthen teams, made up of large numbers of non-French employees, by bringing in candidates who know the Banking market in Paris and can communicate well with local regulators and other third parties.

If you are considering a move to Europe or would like some assistance recruiting a position, please do not hesitate to contact one of our consultants to discuss further.

 

ROLE PROFILES

Q4 has been busiest across Luxembourg with a constant flow of opportunities across the year, not slowing down at the end of the quarter. The main focus across the Luxembourg market has been the growth/establishment of Risk and Compliance teams. There has been hiring at all levels from Junior Analysts to Head of departments, which enforces the way businesses are positioning Luxembourg offices as a strong hold in their business plan.

 

Compliance:

Q4 in Europe saw Compliance to be the busiest area with hires of all levels across Europe in general. In Q4 Compliance professionals would have seen ample of opportunity across the buy side, as Asset Managers with a presence in Europe are looking for well rounded Compliance professionals to help develop their offices in Europe. The majority of roles have leaned towards a KYC/AML focus, what has really impressed hiring managers are candidates that possess that knowledge and have experience with Investment Compliance.

 

Risk:

Risk has also been an area of demand, particularly at the Senior level, with many notable Head of Risk (Conducting Officer) opportunities coming to market over the last quarter, especially in Amsterdam and Luxembourg. The desired profiles tend to be for candidates that are already incumbent in this role and can add value to the business. Risk Managers with experience in AIFM and Real Estate will have seen opportunities in Luxembourg across Asset Management. Whilst strong technical skills are an asset, the most important skills hiring managers are looking for in Risk professionals in Europe are the experience and relationships with local regulators.

 

Finance:

As the number of private equity funds in Luxembourg worth over 1 billion euros double since last year, the demand for high calibre, top tier talent will imminently follow suit during 2020.  The final quarter of 2019 saw an increase in various areas including operations, general finance, reporting and middle office within both Financial Services and in the Banking sector across Europe from Paris to Brussels, Frankfurt, Geneva and particularly in Luxembourg considering aforementioned industry activity and transformation.

These include, amongst others, opportunities in Relationship Management; Country Management (more specifically GAAP/IFRS specialists); Business Analysts and Fund Accountants.

 

PREDICTIONS

With a Conservative majority election triumph, the uncertainty of Brexit “should” be well on its way to be resolved. Thus far Brexit has put a fear factor into hiring plans with UK based companies wondering if they should be hiring more across UK or in their other plots across Europe. With all this in mind, it would make sense for multinational Asset Managers to extend their workforces across Europe.

It wouldn’t be a surprise to see hiring in Luxembourg, Switzerland and France within Governance related positions as to comply with regulators. In Luxembourg, Risk Managers with experience with the regulators seem to be more sought after than Risk Managers with strong technical acumen.

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For more information about the market or current opportunities please contact one of our Consultants.