As a general maxim, ‘better, faster and cheaper” wins in the marketplace. The broad rollout of faster payments in the US is set to test this idea. As widely communicated, the Federal Reserve launched its faster payments service, FedNow, in July 2023. Together with The Clearing House’s RTP and Nacha’s Same Day ACH, the US now has three world-class faster payment systems; will they be used?

The number of payment transactions in the US has grown by 5.1 percent per year, on average, over the past 20 years. Through recessions and a pandemic, the payments market has proven to be remarkably resilient, easily outpacing GDP growth. This point-of-view explores what’s powering this incredible payments engine.

Many credit card issuers have partnered with well-known brands, leveraging their customer lists and strong brand affinity, to attract new cardholders. We discuss a number of the most common pitfalls with co‑branded credit card programs and the steps that underperforming programs can employ to improve returns.

Credit card outstandings are rapidly approaching $1 trillion. While seemingly positive for issuer economics, this article points to emerging signs of financial strain among segments of the population and urges caution.

With the shock of recent bank collapses still fresh in everyone’s minds, now is the time to revisit an important investing principle: diversification. Additionally, we argue that payment company stocks have – and likely will – outperform bank stocks.