CFOs Navigate Economic Uncertainty: Talent and Technology Investments Key
In today's dynamic business environment, Chief Financial Officers (CFOs) are facing unprecedented economic shifts. A recent report highlights how they are adapting to persistent unpredictability by focusing on talent, technology, and disciplined risk management.
The New Normal: Uncertainty and CFO Confidence
According to Deloitte's Q3 2025 CFO Signals report, "Uncertainty has become the new norm." Steve Gallucci, global and U.S. leader of Deloitte’s CFO Program, emphasized the need for CFOs to develop strategies for managing this ongoing variability. The report indicated a slight increase in CFO confidence, with a score of 5.7 compared to 5.4 in the previous quarter. However, only 19% of North American CFOs believe the economy is currently strong, while 34% anticipate improvement within the next year.
Interest Rates and Economic Outlook
While some policy decisions remain uncertain, CFOs have gained a clearer understanding of key economic drivers, such as interest rates. The Federal Reserve implemented its first interest rate cut of 2025 in September, raising the possibility of further reductions before the year's end. Despite potential geopolitical shocks, most finance chiefs are optimistic about their own organizations' financial prospects, even amid caution regarding the broader macroeconomic landscape. In North America, 90% reported improved company financial prospects compared to three months prior, up from 48% in Q2.
Internal Risks: Talent Acquisition and Retention
CFOs identify talent as a primary internal risk, encompassing hiring, retention, and skill gaps. Upskilling and reskilling the workforce is essential for building strong tech capabilities. The finance industry is also facing a talent shortage due to retiring baby boomer accountants, creating a need to attract more Gen Z professionals, as reported by Fortune.
External Risks: Inflation, Interest Rates, and Cybersecurity
External risks such as inflation, interest rates, and cybersecurity remain top concerns for CFOs. With increasing investments in technologies like generative and agentic AI, cybersecurity vigilance is crucial. Cyber threats persist, and CFOs are maintaining a heightened focus on protecting their organizations.
M&A Trends and Market Valuations
Risk appetite among CFOs is generally subdued, with nearly two-thirds believing it is not an opportune time for increased risk-taking. The North American M&A outlook mirrors global trends, with deal volume decreasing but overall deal value remaining steady or increasing due to megadeals and strategic acquisitions. The survey also revealed a divided outlook on U.S. equity markets, with 46% of CFOs considering them overvalued, 34% undervalued, and 21% neutral.
New CFO Appointments
There have been some key CFO movements, including Venkat Ramanan being appointed CFO of Immatics N.V. (Nasdaq: IMTX). Also Bill Kayser was appointed president and CFO of Iterative Health.
Shutdown's Impact on the Market
Investors dumped U.S. assets in favor of gold, Bitcoin, and foreign stocks because the government shutdown leaves Wall Street “flying blind”. Key economic indicators such as the Bureau of Labor Statistics upcoming jobless claims report or the Consumer Price Index (inflation) will not be published.
Overheard
"The question is, how do we bring fun back to a routine? And that’s exactly why you need to evoke some emotion with the brand."
—Dollar Shave Club CEO Larry Bodner told Fortune in an interview following the ribbon-cutting ceremony at the company’s new headquarters in Durham, N.C., earlier this month.
