Money Talk: Fed launches Facebook page

FEDERAL RESERVE LAUNCHES FACEBOOK PAGE
The Federal Reserve Board has launched a Facebook page with the aim of increasing the accessibility and availability of Federal Reserve Board news and educational content. Posts will include press releases, speeches, testimony, reports, educational materials, frequently asked questions, photos, and videos. With the launch of its Facebook page, the Board now shares information on five platforms including Twitter, YouTube, Flickr, and LinkedIn.

FOREIGN COMPANIES SEE OPPORTUNITIES IN U.S. TRADE
Global companies are positive about plans for future trade activity with the U.S., according to new research conducted by the Economist Intelligence Unit on behalf of American Express. The research found that two-thirds of survey respondents (66%) anticipate that their company’s trade with the U.S. will increase over the next five years and more than four-in-ten (43%) expect an increase of more than 10%. The research, entitled “Terms of Trade: Understanding Trade Dynamics in the U.S.,” is a survey of 531 executives at companies worldwide examining global trading relationships, looking at how companies trade, the challenges they face and how they expect international trade with the U.S. to change based on recent trends.

While opportunities for trade abound, international trade is not without difficulties. Companies trading with the U.S. face a number of challenges to navigate. Exchange-rate volatility presents the largest issue for companies, with more than four-in-ten respondents (41%) citing this as a concern. Nearly one-third of respondents cite transport costs and delays, trade-related infrastructure and making payments as their top challenges (32%, each).

FICO: MILLENNIALS MORE LIKELY TO SWITCH BANKS, CITE HIGH FEES AS MAIN REASON
FICO’s latest consumer research on why people switch banks found that Millennials (25-34 years-old), a group at the peak of financial services usage, are 2 to 3 times more likely to close all accounts with their primary financial institution than people in other age groups. The same demographic said they are twice as likely to close all accounts and switch banks this year than they were last year.

When it came to reasons for switching, 45% of Millennials aged 25-34 cited high fees as a key reason for leaving their bank. For younger Millennials aged 18-24, the number was also high at 36%. A negative experience when they missed a payment was the second biggest reason for 25-34 year-olds to switch banks. Inconvenient branch locations and too few ATMs were tied for third.

In addition to these reasons, younger Millennials said they switched banks because they had a negative fraud-related experience. FICO conducted an online survey of about 1,000 U.S. consumers over the age of 17, in October and November 2015. Data was weighted by age and region to reflect U.S. Census data. To learn more, click here.

––––––––––––––––

Editor’s note: Each Monday, Talk Business & Politics provides “Money Talk,” a wrap-up of banking and financial news.