US Markets

Cantor Fitzgerald will be a global 'sweet spot' thanks to better outlook for businesses: CEO

Cantor's Lutnick: Anshu Jain's hire is like getting Bono to join your rock band

Big banks aren't the only ones who will benefit from the incoming administration's vows to loosen regulations on businesses, Cantor Fitzgerald CEO Howard Lutnick told CNBC on Tuesday.

"It's going to be better business for banks, period," the CEO of the private financial services firm told "Squawk on the Street." Lutnick said rolling back parts of post-crisis regulation like Dodd-Frank will allow banks to make loans more easily, giving them a boost in business.

"All of that nonsense is going to go away so that if a bank's got the proper amount of money to put up to take the risk, they can go take the risk," Lutnick said.

Where smaller firms like Cantor Fitzgerald will fit is in the area of businesses that don't make the cut for loans with corporate giants like Goldman Sachs or Morgan Stanley, according to Lutnick.

"Banks are going to continue to re-examine who they're doing their business with. And the smaller firms who aren't institutionally important to the bank, [the bank is] just not going to put up the capital for them, and those firms are going to go look for another great firm to do business [with]," Lutnick said.

"That's going to continue to happen, and that's why Cantor Fitzgerald is going to be in a really sweet spot in the world," he said.

And as an American-based firm, Cantor Fitzgerald's global outlook is even sweeter, Lutnick said.

"With Donald Trump as the president, you know America is a great place to be in business these days. That's why the financials are doing great," the CEO said.

Lutnick said that there is plenty of room for the U.S. economy to grow relative to Europe, where he said the economic outlook isn't so sunny.

"Our economy is growing. Our interest rates are going to rise because we have an economy. You're not going to see interest rates going up in Europe," Lutnick said. "Europe's economy is in a tough spot, so I don't see Europe coming back."

Still, he said he would not discount Europe as a major center for economic activity.

"I think everyone would agree America's the No. 1 opportunity for growth in the big economies, then Asia's No. 2, Europe is No. 3," he said.

To that end, Anshu Jain, who was recently appointed as group president at Cantor Fitzgerald after his stint as co-CEO at Deutsche Bank, will serve as an international liaison of sorts aimed at strengthening Cantor's global operations, according to Lutnick.

Jain resigned from his top post at Deutsche Bank in June 2015 under pressure tied to a series of regulatory penalties and concerns surrounding the bank's financial stability.

"Anshu is a key international executive, so he's going to be maybe 40 percent in New York, 40 percent in London, 20 percent in Asia," Lutnick said. "You're going to see us build our Asian business dramatically [and] our European business will get much, much better."