The internet revolution is said to foster integration of the market for financial services, since consumers are able to shop around at all companies worldwide and firms can easily offer their services on the internet at a minimum of distribution cost. However, the European market for online brokerage displays a different picture. Prices paid for online brokerage differ substantially across European countries. Furthermore, almost no direct cross-border activities take place, i.e. online purchases of stocks are almost always done using a domestic direct broker. It turns out that one of the most important obstacles to integration seems to be the preferences of the consumers for domestic providers. The analysis is partially based on a survey among leading European online brokers.

The tough game among e-brokers is still going on and is becoming more and more ruthless. The challenges they are facing will determine who will survive and who will be squeezed out of the market. Money they receive from shareholders will not always flow in if they do not prove that they are capable of achieving their break-even point and that will have an impact on stock prices. Thus in the race to attract as many clients as possible they should stop to rethink their strategy. The purpose of this article is to give a few references on the subject of online brokerage in order to understand the financial players' strategies on the Internet. We explain the challenges and the brokerage value chain and analyses the problem of the break even point.

Looking back over the last decade it can be said with some justification that sig nificant progress has been achieved on the way towards fully integrated financial markets in Europe. The 1993 Internal Market initiative and the Euro introduction in 1999/2002 constitute important milestones. The integration process has further been intensified by market developments like the surge in mergers and acquisi tions and by technological innovations like internet based distribution. As a result, some market segments today do no longer have a national character. Nevertheless, this success should not obscure the fact that integration of financial services markets is still a long way from the level of integration that exists within national markets. Particularly for retail financial services national borders still constitute a considerable de facto barrier. The absence of frequent direct cross border links between financial service providers and retail consumers holds true despite the fact that the Euro has made product comparisons easier and that the internet has reduced information costs to a considerable extent.

The world of banking and financial services is in the midst of dramatic change, moving away from traditional "brick and mortar" branches and focusing on new delivery channels, to improve customer service and give 24-hours-a-day access to information and transactions. What are the threats and the opportunities of electronic banking? What new pricing strategies should banks develop? How to secure electronic financial transactions? What effects will online banking have on the financial world? How to market the new electronic services? Read the expert opinions from bankers, trendwatchers and financial consultants. Explore the new banking solutions through white papers and reports. This HOTT Guide reveals all the ins and outs of this new online phenomenon.

"This book discusses information technology and its underdeveloped use in financial institutions despite some efforts to improve and upgrade their systems with new systems"--Provided by publisher.

Inhaltsangabe:Einleitung: Entwicklungen in jüngerer Vergangenheit zeigen, dass deutsche Discount Broker ihre Produktpalette gezielt erweitern und ihren Kunden verstärkt Zugang zu Neuemissionen (IPOs) bieten, nicht zuletzt um ihre starke Marktposition in Europa zu wahren. So übernehmen die Broker Aufgaben im Neuemissionsgeschäft, sei es als Verkaufsagent oder als Mitglied in Übernahmekonsortien (Underwriter). Discount Broker betreten damit Neuland in einem Wirtschaftszweig, der bisher fast ausschließlich von Investmentbanken dominiert worden ist. Somit scheint sich eine neue Sorte von Investmentbanken zu entwickeln und die Vorherrschaft privilegierter Institutionen im Neuemissionsgeschäft aufzuweichen. Vor diesem Hintergrund möchte die vorliegende Arbeit auf das aufkommende Segment des Neuemissionsgeschäfts der führenden deutschen Discount Broker eingehen und objektiv beschreiben. Durchführung und Strategien im Neuemissionsgeschäft der Direct Broker werden im Detail betrachtet. Die Untersuchung beschränkt sich dabei auf die drei Marktführer im discount broking: ConSors Discount-Broker AG, Comdirect AG and Direkt Anlage Bank AG. Zwischen Anfang September und Ende November 2000 haben die drei Brokerhäuser ihren Einstieg ins Neuemissionsgeschäft offiziell angekündigt. ConSors entschied sich, eine eigene Investment Bank zu gründen ( do-it-yourself approach ) und Comdirect zieht Nutzen aus der Unterstützung durch die Mutter Commerzbank ( piggy-back approach ), aber erhebt Anspruch auf Führungsmandate bei Neuemissionen infolge des Aufbaus eines eigenen Geschäftsbereichs Investmentbanking. DAB beschloss hingegen strategische Partnerschaften einzugehen ( tie-up approach ), um die Chancen zu erhöhen, bei Neuemissionen berücksichtigt zu werden, ohne sich dabei jedoch selbst zur Investmentbank zu entwickeln. Die drei Discount Brokers treten üblicherweise als Verkaufsagenten auf, planen jedoch ehrgeizig in absehbarer Zeit Co-Underwriting- und Führungsmandate bei Neuemissionen zu erhalten; die Broker würden dann die Bezeichnung Investmentbank rechtfertigen. Ziel der Arbeit ist es, die Frage, ob zur Zeit tatsächlich eine neue Generation von Investmentbanken entsteht, hinreichend zu beantworten. Der Autor ist zuversichtlich, dass die Broker in Abhängigkeit von der jeweiligen Marktlage mittel- bis langfristig gute Chancen mit ihrem Neuemissionsgeschäft haben und sich als Nischen-Investmentbank etablieren [...]

The European Union has long sought to create a single financial area across Europe where consumers in one country benefit from financial markets and activities in other countries. With the emergence of the Internet as a platform for the provision of online banking services, the creation of a pan-European market for banking services appeared a realistic proposition. In practice, however, this has not happened. This book asks why and argues that the creation of banking markets via the Internet relies on both available technologies and appropriate laws and regulations. The institutional and legal framework for online banking services in the single European market are examined, as is the level of legal harmonization achieved in the UK, France and Germany under the influence of the EU Directives pertaining to online banking activities.

Technological developments in electronic finance have changed the nature and delivery of financial services in recent years, especially through the use of online banking, online trading and brokerage services. This report reviews the developments in e-finance and analyses the implications for consumers, financial service providers and governments. Issues discussed include: the impact on competition within the financial services industry; how financial sector policies in emerging markets are affected; public policy and regulatory requirements.

European Financial Systems in the Global Economy provides an overview of sources of finance, types of financial intermediation and financial systems in Europe and their relative importance in the world economy. It describes market mechanisms and prices and gives a broad introduction to the relevant regional financial and monetary issues (including those countries that will join the EU in the future) and makes an ideal primer for those new to the world of finance.