Global Banking 6 Mar 24 – INDUSTRY SNAPSHOTS
BNN Breaking - BNP Paribas Embarks on €1.055 Billion Share Buyback Programme, Receives ECB Nod -
For the complete story, see:
Bloomberg - Goldman, JPMorgan Cut DEI Efforts Over Lawsuit Threats -
Goldman Sachs Group Inc. has made a surprising change to its "Possibilities Summit" for Black college students.
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Bloomberg - Bonus Season: From Stellantis to Goldman Sachs, It's a Good to Be the Boss -
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Other Stories
Nikkei Asia -
Reuters -
Reuters -
Central Banking - PBoC pledges to improve visitors' payment experience -
Yahoo Finance - China Banks Approve
Bloomberg - HSBC, StanChart Explore 'Transition' Credits for Coal Client -
Reuters -
Reuters -
Reuters - Wells Fargo is sued over response to fake accounts scandal -
Les Echos - Crédit Mutuel Arkéa sees its 2023 result fall by more than 30% -
BNN Breaking - China Construction Bank Boosts Rural Revitalization with Financial Services, Aids Agriculture in Hanyin and Qixia -
Media Releases
Bank of America Corporation (NYSE: BAC) - Bank of America Announces Redemption of
Morgan Stanley (NYSE: MS) - Morgan Stanley Opens Office in
Citigroup Inc. (NYSE: C) - Citi Supports First Covered Call ETFs in
JPMorgan Chase & Co. (NYSE: JPM) - JPMorgan Chase RUN 2024 celebrates its 11th edition in
Barclays plc (LSE: BARC) - The currency of convenience: 80 per cent of 85-95-year-olds now pay with contactless -
Social Media as a Bank Run Catalyst - By
Industry Overview
The Global Banking Industry - 2022 Global Outlook for Banking and Financial Markets
Overviews of Leading Companies
Bank of America Corp
Barclays
BayerischeLandesbank (
Citigroup Inc.
Commerzbank
Goldman Sachs Group Inc.
HSBC Holdings
JPMorgan Chase & Co.
Morgan Stanley
Société Générale (
Associate :
News and Commentary
BNN Breaking - BNP Paribas Embarks on €1.055 Billion Share Buyback Programme, Receives ECB Nod -
For the complete story, see:
Bloomberg - Goldman, JPMorgan Cut DEI Efforts Over Lawsuit Threats -
Goldman Sachs Group Inc. has made a surprising change to its "Possibilities Summit" for Black college students.
For the complete story, see:
Bloomberg - Bonus Season: From Stellantis to Goldman Sachs, It's a Good to Be the Boss -
For the complete story, see:
For the French language, see:
Nikkei Asia -
For the complete story, see:
Reuters -
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Reuters -
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Central Banking - PBoC pledges to improve visitors' payment experience -
PBoC has instructed banks and payment platforms to improve payment services for foreign visitors.
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Yahoo Finance - China Banks Approve
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Bloomberg - HSBC, StanChart Explore 'Transition' Credits for Coal Client -
HSBC Holdings Plc and
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Reuters -
Environmental and human rights groups have filed a complaint, opens new tab with a British government mediation body against
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Reuters -
Barclays' former CEO
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Reuters - Wells Fargo is sued over response to fake accounts scandal -
Wells Fargo, opens new tab, which has spent years trying to extricate itself from its fake accounts scandal, was sued on Thursday for allegedly not doing enough to help customers who were harmed.
For the complete story, see:
https://www.reuters.com/legal/wells-fargo-is-sued-over-response-fake-accounts-scandal-2024-02-29/
Les Echos - Crédit Mutuel Arkéa sees its 2023 result fall by more than 30% -
For the French language, see:
BNN Breaking - China Construction Bank Boosts Rural Revitalization with Financial Services, Aids Agriculture in Hanyin and Qixia -
The bank's initiative in Zhongping village represents a broader commitment to deepening financial inclusion in rural
For the complete story, see:
Media Releases
Bank of America Corporation (NYSE: BAC) - Bank of America Announces Redemption of
The Notes were issued under the
Payment of the redemption price for the Notes will be made in accordance with the applicable procedures of
Morgan Stanley (NYSE: MS) - Morgan Stanley Opens Office in
Morgan Stanley today announced the opening of an office in
Commenting on the new Office,
The office opening in ADGM coincides with
Patrick Delivanis, Regional Co-Head of MENA at Morgan Stanley commented, "We have a highly sophisticated investor base in the MENA region, and opening an office in
https://www.morganstanley.com/press-releases/morgan-stanley-opens-office-in-abu-dhabi
Citigroup Inc. (NYSE: C) - Citi Supports First Covered Call ETFs in
Citi will provide complete trustee, custody, fund accounting and ETF servicing for these ETFs. The presence of options in the ETF basket presents additional servicing requirements that Citi is already geared up to provide through ACES[1] - the bank's global proprietary technology that automates the entire ETF process.
"
"Our launch of
Citi Securities Services continues to expand its ETF service proposition globally with the addition of new capabilities. Most recently, Citi launched Financial Information eXchange (FIX) connectivity in the US, enabling automation across the ETF order process. Citi now also supports dual-access funds in
Since 2014, Citi's ETF Services business has grown exponentially in scale, covering 12 markets globally, and close to
Citi Securities Services has approximately
Businesses continued their positive start to the new year,
These findings broadly echo the renewed optimism reported by businesses in recent weeks, highlighting an increased level of confidence in their prospective outputs over the next 12 months.
Business Confidence
Overall business confidence dipped marginally in February to 42% - down from 44% in January - but remains strong in relation to previous figures. Contextually, the long-term average for business confidence currently sits at 28% and with this month's figures standing significantly above that, there are still strong signs of positive sentiment from businesses.
Similar results were reported in relation to trading prospects and the broader economy. Although confidence in trading prospects slipped two points to 49%, falling from January's 51%, this is still the second-highest level since
Meanwhile, more than half (54%) of businesses reported higher levels of optimism compared to the proportion of businesses who felt pessimistic about the economy which was unchanged at 20%. These results leave the net balance down three points at 34% - still in positive territory.
Some businesses continued to express concerns about inflation and interest rates, although these concerns have eased significantly in recent months. February's survey data was collected in the aftermath of the attacks on
Employment Insights
Almost half (49%) of businesses surveyed said they expect to take on more employees in the year ahead. Conversely, only 13% expected to reduce headcount over the same period - the lowest reported figure since 2017. Respondents also tentatively signalled that labour shortages may have reduced in recent months, suggesting increased capacity to accommodate stronger demand. As a result, the net balance has increased by 3 points to 36%, which means expected staffing levels have risen to the highest level since
The Barometer also found that pay growth is falling gradually, although the pace of this fall appears to be gradual rather than swift. Indicators of pay growth within the Business Barometer survey have been elevated since the end of the furlough scheme in 2021. However, there are now signs of stabilisation at the higher thresholds.
Looking at the sectors, there is a mixed picture. There was a slight fall in confidence reported in the manufacturing and construction sectors, while retail and services stood their ground - remaining unchanged compared to January's figures. But despite the manufacturing and construction fall, businesses are still showing high levels of confidence.
"The split across the regions also provides reason to view the dip in confidence at the broader
Pricing Insights
In a sign that inflationary pressures have not entirely diminished, businesses pricing expectations increased after falling in the previous two months. This comes despite businesses' concerns about inflation easing. 61% (up from 60%) plan to increase their prices over the coming year, while only 3% (down from 4%) expect to charge less.
Sector Insights
There was a mixed picture for sectors this month. Confidence fell in manufacturing (nine points to 40%) and construction (seven points to 38%) respectively, although results remain higher than the same time last year. In contrast, the dominant services sector was unchanged compared to January at 45%, exceeding all months of 2023 except for November. Retail confidence was broadly steady, dipping one point to 41%.
"It's also very encouraging to see that businesses are keen to hire more staff - great news for the
"This level of confidence is encouraging and suggests businesses are open to investing in their future, and we have a team of experts on hand to offer support and guidance so we can help them, and
Regional insights
This month the most upbeat businesses can be found in
New
An impersonation scam is where a fraudster convinces their victim to make a payment, or give personal or financial details, by pretending to be someone else.
Scammers frequently impersonate police officers, bank staff and HMRC, although they may also pretend to be from a large company like Amazon.
Sometimes, criminals will impersonate a friend or family member, inventing reasons to ask for money, such as being stranded with a broken phone or urgently needing to pay a debt, rent or a bill.
These scams often begin with a phone call, text message or email. They may also get in touch via social media.
In 2023 victims of impersonation scams lost, on average, over £3,000, compared to over £3,400 during the previous year.
Impersonating police or bank staff
Taking advantage of their victim's trust, fraudsters carrying out bank impersonation scams claim the victim's bank account is at risk and ask them to move their money to a 'safe account'. They may ask their victim to download an app to help move the money safely, but the victim is actually handing account access to a criminal.
When masquerading as a police officer, the fraudster will usually tell their victim they need their help with a police investigation involving their bank, then similarly ask for money to be moved to another account, to help 'catch' a criminal.
While cases have risen, data shows the average amount lost in police and bank impersonation scams has decreased 31% over the past year, with victims losing on average £5,318, compared to over £7,700 in the previous year.
CEO fraud
A less common impersonation scam, 'CEO fraud' is nonetheless one to watch out for, as it has the highest average amount lost of any impersonation scam.
The average amount lost by victims of CEO fraud in 2023 was £10,918, more than double the amount lost by those tricked by police or bank staff impersonation scams (£5,318).
CEO fraud is a type of impersonation scam where the fraudster pretends to be a senior member of staff at a company and contacts the victim (typically a member of staff at the same company) and asks them to make an urgent payment. This could be an invoice they claim needs paying, but they're unable to make themselves. Or, they might ask the victim to purchase multiple gift cards for other staff members, under the guise of a 'bonus' or 'treat.'
Other impersonation scams
On average, victims of other types of impersonation scams lost over £1,870 last year. This includes those involving the impersonation of a friend or family member on Whatsapp.
One common tactic for scammers is pretending to be retail giant Amazon, in the knowledge that many consumers regularly shop at this online store. Victims will be contacted and told there is a problem with their account, or perhaps that they're due a refund, then asked to fill in a form, click a link or download some software - ultimately all ways to gain access to the victim's personal data.
But scammers are becoming more creative with their impersonations and are not just relying on impersonating big well-known brands. During 2023,
"While your bank is always working hard to keep your money safe, it's important people take steps to protect themselves and be really wary of unexpected calls or out of the blue requests for help. If something doesn't seem right, take a step back and verify who you are actually speaking to. Remember, a genuine family member, friend or colleague wouldn't mind you taking steps to stay safe and your bank will never ask you to move money to a 'safe account'."
JPMorgan Chase & Co. (NYSE: JPM) - JPMorgan Chase RUN 2024 celebrates its 11th edition in
"Each year, the JPMC Run gets bigger and more energetic. The event offers shared experiences, memories driven by a common sense of purpose for all of us. Apart from pursuing our impact initiatives for children's education, welfare, and sustainability, this annual celebration of team camaraderie unifies us in the spirit of healthy living, supporting our personal and collective goals," said
This year, participants from four cities had the option of participating in a 5K or 10K format, with additional categories, less commonly found in such events such as 45+ years of age and non-binary gender - underlying the spirit of inclusion. The event brings together first-timers, amateurs, and expert runners.
"We are raising the bar every year, celebrating teamwork, wellness and community impact and creating a space where every employee is welcome to experience their runner's high," said
The event was also a platform to celebrate human connections with employees pledging their support for causes and champion themes at display covering disability, LGBTQ+, veterans, women and intergenerational inclusion, sustainability, wellness, camaraderie, and community impact.
The RUN is supporting child welfare and education, health and nutrition kits, hygiene kits, school supplies and other material are donated to children from the underserved communities, particularly those who are HIV+ or suffer from terminally ill diseases.
Volunteers worked together to make this a zero-waste event, by adopting a strategy to reduce the plastic usage, and food wastage at the event, reuse unconsumed food items and personal athletic wear instead of single use event t-shirts and recycle the waste collected by segregating it at source.
(
HSBC received Market Leader in
"Our
"This recognition further solidifies HSBC's standing as the leading international bank in trade finance, supporting clients with an expansive global network that connects East to West," said
In addition to our recognition at a Regional level, five HSBC markets won prestigious country awards.
Barclays plc (LSE: BARC) - The currency of convenience: 80 per cent of 85-95-year-olds now pay with contactless -
New Consumer Spend data from Barclays' annual contactless trends report has revealed that 2023 was another record-breaking year for 'touch and pay', further cementing it as the
Across the population as a whole, a record 93.4 per cent of all in-store card transactions up to £100 were made using contactless in 2023, and in total there were 7.8 per cent more 'touch and go' transactions than in 2022. On an individual level, the average user made more transactions (up from 220 to 231), on more expensive items (the average purchase cost £15.69 - up 3.8 per cent), meaning that they spent more overall (£3,623 - up 8.9 per cent).
For the second year running, the Friday just before Christmas (
Silver Spenders tap into convenience
While contactless is still more popular among younger consumers, the gap between older and younger audiences continues to narrow. In 2023, the percentage of active users among 85-95-year-olds (80.1 per cent) crossed 80 per cent for the first time. More broadly, for the third year in a row, over-65s were the fastest growing segment for contactless usage , up 4.1 per cent year-on-year.
However, there is still a division among contactless users when it comes to preferences for making contactless payments using a mobile wallet versus a physical card. Research from Barclays shows just 3 per cent of over-75s prefer a mobile payment over using a physical card, whereas a quarter (25 per cent) of 18-34-year-olds say they prefer to use their phone.
Wallets optional: younger consumers embrace mobile payments
The increasing popularity of mobile payments; which have no contactless upper limit via two-factor authentication; means some younger shoppers now opt to go cardless when leaving home. More than one in five (22 per cent) of those aged 18-34 regularly leave their wallet behind when out shopping in favour of paying with their smartphone, in comparison to just 1 per cent of over 75s.
As a consequence for increased 'touch and go' mobile spending, nearly one fifth (18 per cent) of Brits admit they also have trouble remembering their PIN when prompted. Fortunately, many banks, including Barclays, allow customers to check their PIN securely by logging in through their mobile banking app.
Table tech
When dining out, restaurant-goers continued to embrace contactless and digital payments in 2023. While overall restaurant spending was down -6.7 per cent due to cost-of-living pressures, contactless spending fell only -2.9 per cent; demonstrating the shift towards speed and convenience at the point of payment. In addition, 15 per cent of those aged 18-34 now say they prefer to order and pay by scanning a QR code using their phone when the option is available, to avoid having to wait for the bill or card machine at the end of a meal.
A win for Chip and PIN
When it comes to buying items over £100, pre-contactless technologies remain the most popular way to pay. Four in five (78 per cent) say that Chip and PIN is one of their top two choices, while one in four (23 per cent) opts for cash. Contactless payments over £100 are possible using a mobile wallet - the limit of £100 applies to physical cards; mobile wallets while growing in usage, placed third chosen by one in five (19 per cent).
"In 2024, we expect to see a greater shift to payments using mobile wallets, as more bricks-and-mortar business integrate the technology into their customer experience. Many of our hospitality & leisure clients are finding success by giving customers the ability to order and pay from their table by scanning a QR code. Customers like it because they don't have to wait for the bill, meaning they can squeeze in an extra round of drinks or a dessert before they need to leave, and the business frees up more capacity for waitstaff, boosting productivity."
https://home.barclays/news/press-releases/2024/02/80-pc-of-85-6o-95-year-olds-now-pay-with-contactless/
Social Media as a Bank Run Catalyst
Abstract
After the run on
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4422754
The Industry
Financial Stability Report
A stable financial system, when hit by adverse events, or "shocks," continues to meet the demands of households and businesses for financial services, such as credit provision and payment services. By contrast, in an unstable system, these same shocks are likely to have much larger effects, disrupting the flow of credit and leading to declines in employment and economic activity.
Consistent with this view of financial stability, the
Elevated valuation pressures are signaled by asset prices that are high relative to economic fundamentals or historical norms and are often driven by an increased willingness of investors to take on risk. As such, elevated valuation pressures imply a greater possibility of outsized drops in asset prices (see Section 1, Asset Valuations).
Excessive borrowing by businesses and households leaves them vulnerable to distress if their incomes decline or the assets they own fall in value. In the event of such shocks, businesses and households with high debt burdens may need to cut back spending sharply, affecting the overall level of economic activity. Moreover, when businesses and households cannot make payments on their loans, financial institutions and investors incur losses (see Section 2, Borrowing by Businesses and Households).
Excessive leverage within the financial sector increases the risk that financial institutions will not have the ability to absorb even modest losses when hit by adverse shocks. In those situations, institutions will be forced to cut back lending, sell their assets, or, in extreme cases, shut down. Such responses can substantially impair credit access for households and businesses (see Section 3, Leverage in the Financial Sector).
Funding risks expose the financial system to the possibility that investors will "run" by withdrawing their funds from a particular institution or sector. Many financial institutions raise funds from the public with a commitment to return their investors' money on short notice, but those institutions then invest much of the funds in illiquid assets that are hard to sell quickly or in assets that have a long maturity. This liquidity and maturity transformation can create an incentive for investors to withdraw funds quickly in adverse situations. Facing a run, financial institutions may need to sell assets quickly at "fire sale" prices, thereby incurring substantial losses and potentially even becoming insolvent. Historians and economists often refer to widespread investor runs as "financial panics" (see Section 4, Funding Risks).
Source:
https://www.federalreserve.gov/publications/files/financial-stability-report-20220509.pdf
FEDERAL RESERVE SYSTEM
conducts the nation's monetary policy to promote maximum employment, stable prices, and moderate long-term interest rates in the
promotes the stability of the financial system and seeks to minimize and contain systemic risks through active monitoring and engagement in the
promotes the safety and soundness of individual financial institutions and monitors their impact on the financial system as a whole;
fosters payment and settlement system safety and efficiency through services to the banking industry and the
promotes consumer protection and community development through consumer-focused supervision and examination, research and analysis of emerging consumer issues and trends, community economic development activities, and the administration of consumer laws and regulations.
https://www.federalreserve.gov/aboutthefed.htm
https://www.federalreserve.gov/default.htm
Supervision and Regulation Report (
Summary
The banking system remains strong overall, with robust capital and liquidity and improved asset quality. Supervisors continue to focus on firms' management of capital and liquidity, as well as cybersecurity. While supervisors continue to focus on these core areas, the
This report focuses on developments in three areas:
Banking System Conditions provides an overview of current financial conditions in the banking sector. In the second half of 2021, banking conditions continued to be strong. Risk monitoring will continue for potential impacts from the pandemic and new geopolitical risks.
Regulatory Developments provides an overview of the
Supervisory Developments provides an overview of the
Source:
https://www.federalreserve.gov/publications/files/202205-supervision-and-regulation-report.pdf
What is the
The
Who is on the Board of Directors? When do they meet?
The FDIC Board of Directors is comprised of a chairman, vice chairman and
Who runs the
The Organization Directory and Office Contacts contains the names, positions, and phone numbers for
What is the
The
https://www.fdic.gov/about/affaq.html
2022 Risk Review
Introduction
The
The Risk Review presents key risks to banks in four broad categories—credit risk, market risk, operational risk, and climate-related financial risk. The credit risk areas discussed are agriculture, commercial real estate, consumer debt, energy, housing, leveraged lending and corporate debt, nonbank lending, and small business lending. The market risk areas discussed are interest rate risk and net interest margin, and liquidity and deposits.
The 2022 Risk Review expands coverage of risks from prior reports by examining operational risk to banks from cyber threats and illicit activity and climate-related financial risks to banking organizations. Monitoring these risks is among the
Section I is an executive summary. Section II is an overview of economic, financial market, and banking industry conditions. Section III is an analysis of the key credit, market, operational, and climate-related financial risks facing banks.1
Source:
https://www.fdic.gov/analysis/risk-review/2022-risk-review/2022-risk-review-full.pdf
Leading Companies
Company Overview
The predecessor of the Bank was
Since the late 1970s, the Bank has evolved from a state-owned specialized bank to a wholly state-owned commercial bank and subsequently a state-controlled commercial bank. The Bank was restructured into a joint stock limited liability company in
http://www.abchina.com/en/AboutUs/AboutAabc/Overview/
Interim Results Announcement for the Six Months Ended
Discussion and Analysis
Situation and Prospects
In the first half of the year,
Looking forward into the second half of the year, as
We will improve our financial services for the real economy, provide more support to manufacturing industry and technological innovation, and continuously consolidate the development foundation of inclusive finance. We will facilitate the green and low-carbon transformation of the economy and society, increase the granting of green credit, and promote ESG concept to deeply integrate into our business operations. We will make great efforts on customer base construction and services to enhance customer sense of gain and satisfaction. We will accelerate the implementation and application of key digital transformation projects, enhance the capabilities of online and offline integrated operations so as to empower the foundation-level branch outlets and the business. We will fully apply a holistic approach to national security, effectively prevent and defuse credit risk in key areas such as real estate, and strive to enhance our market risk management capabilities.
Net Interest
Income Net interest income was the largest component of our operating income, accounting for 79.4% of the operating income in the first half of 2023. Our net interest income was
Interest Income
We achieved interest income of
Interest Income from Debt Securities Investments
Interest income from debt securities investments was the second largest component of interest income. In the first half of 2023, interest income from debt securities investments increased by
Interest Income from Balances with Central Banks
Interest income from balances with central banks increased by
Interest Income from Amounts Due from Banks and Other Financial Institutions
Interest income from amounts due from banks and other financial institutions increased by
Interest Expense
Interest expense increased by
Interest Expense on Deposits from Customers
Interest expense on deposits from customers increased by
Assets
At
For full release:
The parent company of the international
https://www.aozorabank.co.jp/english/about/corporate/overview/group/
Originally established as the
https://www.aozorabank.co.jp/english/faq/shousai_001.html
Company name :
Date of establishment:
Head Office : 6-1-1 Kojimachi, Chiyoda-ku,
Phone : 03-6752-1111
Branch network : Domestic 21 offices
: Overseas 3 representative offices
Capital stock : ¥100.0 billion
Total assets : ¥5,299.8 billion
Consolidated capital
adequacy ratio: 10.29% (Basel III, Domestic standard) (Preliminary)
Rating : JCR A :
: R&I A-
: S&P BBB+ （As of
https://www.aozorabank.co.jp/english/about/corporate/overview/
Summary of the Financial Statements for FY2021
For the full release, see:
https://ssl4.eir-parts.net/doc/8304/tdnet/2126583/00.pdf
Bradesco is one of
https://banco.bradesco/html/classic/index.shtm
Bradesco - Bradesco 1Q23 - Earnings Presentation -
Earnings Presentation
For the Portuguese language see:
Bank of America Corp
Regarded as one of the world's leading financial institutions, Bank of America serves individual consumers, small and middle-market businesses, and large corporations with a full range of banking, investing, asset management, and other financial and risk management products and services.
Our decade-long focus on Responsible Growth allows us to be a source of stability for our customers and clients during challenging times, to continue supporting the communities in which we work and live, and deliver more consistent results for our shareholders throughout a well-understood risk framework. Our focus on ESG leadership has provided us with unique opportunities to deepen client relationships and create shared success with communities in which we operate.
https://investor.bankofamerica.com/profile
Q4-21 Financial Highlights1
Net income rose 28% to
Revenue, net of interest expense, increased 10% to
Provision for credit losses improved by
Noninterest expense rose 6% to
Average deposits up
Average Global Liquidity Sources rose
Common equity tier 1 (CET1) ratio 10.6% (Standardized)(F); returned
From Chairman and CEO
"Our fourth-quarter results were driven by strong organic growth, record levels of digital engagement, and an improving economy. We grew loans by
"We earned a record
"We also continued to support our communities, helping them address some of society's biggest challenges, including the environment, the pandemic, racial equality and economic opportunity. I want to thank our talented teammates across the globe for all their work over the past year."
Q4-21 Business Segment Highlights1,2(A)
Consumer Banking
Net income of
Deposit balances up 16% to more than
Consumer investment assets up
Organic Client Growth
Added ~901,000 net new Consumer checking accounts and ~525,000 new Consumer investment accounts in 2021, up 64% and 24%, respectively, compared to 2019
Global Wealth and Investment Management
Net income of
Record client balances of
Deposits up 18% to
Pretax margin of 30%
Organic Client Growth
Record AUM balances of
Average loan and lease balances up 10% to
Merrill Lynch Wealth Management added ~6,700 net new households;
Global Banking
Net income of
Record total investment banking fees (excl. self-led) of
No. 3 in investment banking fees with 6.6% market share, up 50bps3
Deposits up 18% to
Organic Client Growth
Debt underwriting fees rose 37% to
Raised
Global Markets
Net income of
Sales and trading revenue down 2% to
Excluding net DVA, (G) sales and trading revenue down 4% to
Organic Client Growth
Average assets increased
From Chief Financial Officer
"We ended the year on a strong note. Revenue rose faster than expenses, producing our second straight quarter of year-over-year positive operating leverage. Also, we significantly grew loans and deposits, which allowed us to increase net interest income by
For the full release, see:
As
http://www.boc.cn/en/aboutboc/ab1/200809/t20080901_1601737.html
2023 Interim Results Announcement
Business Overview
Since the beginning of 2023, amid a complex and challenging external environment, the Bank has faithfully implemented the decisions and plans of the CPC Central Committee, pressed ahead with reform and prioritised high-quality development, and devoted substantial efforts to serving the real economy, preventing and mitigating risks, and advancing reform and innovation. As a result, it made fresh progress in business development and improved its financial performance.
Improving development quality and efficiency while gaining ground in financial performance
The Bank continued to pursue growth while ensuring stability and worked consistently to improve its development quality and efficiency. Its assets and liabilities continuously grew, financial performance steadily improved, and key financial indicators were kept within a reasonable range. As at
Proactively aligning with the strategies and priorities of the country and making new breakthroughs in serving high-quality development
Upholding the political and people-centred nature of financial work, the Bank focused on serving the real economy and strengthened support to the key areas and weak links of economy. It fully supported the construction of a modern industrial system, increasing its loans to strategic emerging industries and medium and long-term loans to manufacturing sector by 45.46% and 22.56% respectively from the prior year-end. Its balance of green loans exceeded
Further consolidating the customer base, making new progress in both quality and quantity
The Bank devoted full efforts to serving its customers and strived to improve the compatibility, comprehensiveness and convenience of its financial services. In this way, it enhanced both the quality and quantity of its customer base. Giving full play to finance's pivotal role in resource allocation, the Bank provided targeted and effective customer services to meet the diverse needs of different industries and customer groups, thereby continually elevating customer satisfaction. It guided relationship managers to uphold a "product neutral" approach and ensured comprehensive product promotion coverage. In terms of corporate banking, it attached equal importance to micro, small, medium and large-sized customers and promoted coordinated expansion of customer accounts. In personal banking, the Bank focused on activating new customers, nurturing regular customers and retaining existing customers so as to consolidate its customer base and accelerate the onboarding of new customers. To meet customer needs, it promoted product innovation, process optimisation and scenario integration in a coordinated manner while increasing financial support to the clothing, food, housing, transportation, shopping, recreation, education and health sectors, thus making its financial services more convenient. As at
Reinforcing its characteristic advantages and driving new progress in globalised and integrated operations
The Bank strengthened its advantages in globalised operations and expanded its market share in domestic foreign-currency corporate deposits and loans, international trade settlement and overseas institutional deposits. The Bank ranked first in the market in terms of global underwriting volumes for HKD-denominated bonds. It further consolidated its leading position in featured businesses such as
Adhering to the guiding role of technology and making new progress in innovation and digital transformation
The Bank focused on key and core technologies, advanced digital transformation in all aspects and supported the modernisation of the industrial system. It expedited the building of its enterprise-level architectures and successfully completed the nationwide implementation of new-generation debit card and credit card systems. It re-engineered and upgraded the Group's integrated anti-money laundering (AML) system, and rolled out a total of 23 related application components. The Bank further reinforced its technological foundations, introduced its new multicentre basic platform in four initial locations, and migrated 23 thousand servers to a cloud-based system. It achieved promising early results in the application of its enterprise-level technological platform, with its distributed structure handling more than 2 billion transactions per day. The Bank continued to advance outlet transformation and data governance, establishing over 5,000 featured outlets for key businesses.
Strengthening comprehensive risk control and improving risk management capability
The Bank refined its risk management system, accelerated the building of intelligent risk control system, and integrated non-traditional risks into its comprehensive risk management system, such as internet and data security risks and employee and production safety risks. It effectively managed credit risk and intensified customer credit risk identification and potential risk resolution, thus steadily advancing the disposal of non-performing assets. As at
Management Discussion and Analysis
FINANCIAL REVIEW
Economic and Financial Environment
In the first half of 2023, the global economy outperformed expectations although the economic outlook is now skewed towards downside risks. The gradual recovery of the global supply chain eased inflationary pressures in some economies. The US economy maintained moderate growth, albeit with clear divergence between the services and manufacturing sectors.
International financial markets experienced a volatile adjustment period. Major economies continued to tighten their monetary policies, albeit at a slower pace. Market interest rates crept up, putting pressure on global liquidity. The US dollar index remained strong, while the currencies of some emerging economies faced greater depreciation pressures. Global stock markets witnessed divergent performance, amid sluggish growth and tight money supply. Government bond yields soared worldwide, with the inversion of long and short-end US treasury yields deepening further.
The Chinese government promoted high-quality economic development and put in place macro policies designed to ensure stability while seeking progress through coordinated efforts. Production demand steadily improved, employment and commodity prices were generally stable, and economic operations continued to recover. In the first half of 2023,
The PBOC implemented a sound monetary policy in a targeted and effective manner and stood firm in contributing to the overall recovery of the economy.
Income Statement Analysis
The Bank adhered to the principle of pursuing progress while ensuring stability, thus making steady progress in business performance. In the first half of 2023, the Group achieved a profit for the period of
For full release:
https://pic.bankofchina.com/bocappd/report/202308/P020230830558737508487.pdf
About the Bank
- Organized and effective corporate governance system. The Bank has committed to high-level corporate governance, and established the corporate governance mechanism with Chinese characteristics. The Bank adheres to "Party Committee's core leadership, strategic decisions of the Board of Directors, supervision of the
- Profound history background and strong comprehensive capabilities. This is the 110th anniversary of the Bank in 2018. As an existing national financial brand with the longest history,
- Mega bank with spirit of reformation. The Bank has always been a pioneer of reformation in banking sector since reorganization, which provides the advantage in reformation and innovation. The Bank is the first national joint-stock commercial bank in
- Constant enhancement of global service ability. The Bank was committed to becoming a first-class international bank with remarkable advantages in international businesses and delivering of global financial services. The Bank is one of the most internationalized domestic banks in
- Continuous improvement of integrated financial service. The Bank was committed to becoming a integrated financial service group focusing on banking industry to serve the real economy through multiple channels and across the regions. Currently, the Bank ranked first-class in integration among all commercial banks. Besides the commercial banking businesses, the Bank extends its business to many areas such as trust, financial leasing, fund management, insurance, securities and debt-to-equity conversion, etc. The wholly-owned subsidiaries of the Bank include
- Progressive wealth management characteristics. The Bank initiated the concept of wealth management services among the banks in the industry at a earlier period of time. The brand and characteristics of wealth management become more and more prominent by continuous development of the wealth management service system. A tiered customer service brand system covering both high-end and mid-end customers and ordinary customers has been established in personal banking business. The core service brand "Win to Fortune" for high-end and mid-end customers reflected increasing market reputation. As at the end of the Reporting Period, asset under management ("AUM") amounted to
- Established all-rounded "Full service" structure. The Bank is among the earliest banks that developed strategy oriented objective of enhancing services, and committed to "being the best bank in the finance industry" in 2013. The Bank persists in focusing on serving the real economy and constantly enhancing the ability and standard to serve the real economy. As at the end of the Reporting Period, the balance of loan of the Group reached
- Fully embraced financial technology development trend. The Bank takes a serious view on financial innovation. The Bank set up
- Sound and effective comprehensive risk management system. The Bank has always adhered to the principle of steady operation, and fully implemented each requirement of comprehensive risk management system by the Central Committee. We have always upheld steady and cautious risk preference through operating management, and continuously improved the comprehensive risk management system of "full coverage, whole process, accountability and risk management culture". During the Reporting Period, the Bank continued to reinforce risk management in key areas. Total high risk loans disposed or with additional credit risk instigation during the year amounted to
- Fruitful strategic cooperation with HSBC. In 2004, the Bank entered into a strategic cooperation agreement with HSBC. Over the past decades,
http://www.bankcomm.com/BankCommSite/shtml/zonghang/en/3182/3204/list.shtml?channelId=3204
2023 INTERIM RESULTS ANNOUNCEMENT
MANAGEMENT DISCUSSION AND ANALYSIS
Financial Statement Analysis In the first half of 2023, the Group strictly carried out the decisions and arrangements by the CPC Central Committee and continuously executed the three major financial tasks to improve the accuracy and effectiveness of financial services, keep and consolidate "the development status of maintaining stability with progress made and quality improved" while increasing efforts in serving the real economy.
Operating efficiency remains stable. During the Reporting Period, the Group's net profit (attributable to shareholders of the Bank) amounted to 46.039 billion, representing a yearon-year increase of 4.51%. the Group's net operating income amounted to 137.307 billion representing a year-on-year increase of 4.74%.
The business scale has steadily increased. As at the end of the Reporting Period, the total assets of the Group increased by 6.33% over the end of the previous year to 13.81 trillion, of which, the balance of the Group's loans and advances to customers increased by 500.740 billion or 6.86% over the end of the previous year to 7.80 trillion; the balance of deposits from customers increased by 630.526 billion or 7.93% over the end of the previous year to 8.58 trillion.
Asset quality continues to consolidate. As at the end of the Reporting Period, nonperforming loan ratio of the Group was 1.35%, which was flat from the end of the previous year. Provision coverage ratio was 192.85%, representing an increase of 12.17 percentage points over the end of the previous year.
For full release:
http://www.bankcomm.com/BankCommSite/fileDownload.do?fileId=409505bd9d35430d89ef0282abf936f3
https://www.bnymellon.com/emea/en/who-we-are/our-story/index.jsp#companyprofile
BNY MELLON REPORTS FOURTH QUARTER 2021 EARNINGS OF
Fourth Quarter Results
Total revenue of
Fee revenue increased 4%; or 8% excluding money market fee waivers (c)
Net interest revenue decreased slightly
Provision for credit losses was a benefit of
Total noninterest expense of
AUC/A of
AUM of
Securities Services
Total revenue increased 5%
Income before taxes increased 63%; or 24% excluding notable items (c)
Pre-tax operating margin of 19%
Market and Wealth Services
Total revenue increased 1%
Income before taxes increased 4%
Pre-tax operating margin of 43%
Investment and Wealth Management
Total revenue increased 3%
Income before taxes decreased 11%
Pre-tax operating margin of 27%; adjusted pre-tax operating margin - Non-GAAP of 29% (c)
CEO Commentary
"2021 was in many regards a remarkable year for
"The pace of innovation across the firm, including in areas such as digital assets, real-time payments, the Future of Collateral and Pershing X - to name just a few - gives me great confidence in our growth prospects. As we look to 2022 and beyond, we expect double-digit EPS growth as we are determined to continue delivering consistent organic growth which, together with the current expectation for higher rates, should allow us to generate positive operating leverage, while at the same time continue investing in the growth and efficiency of our businesses,"
Total revenue increased 4%, or 3% excluding notable items (a) primarily reflecting:
Fee revenue increased 4% primarily reflecting the positive impact of higher market values and client volumes, partially offset by higher money market fee waivers. Excluding money market fee waivers, fee revenue increased 8% (a).
Investment and other revenue increased primarily reflecting the 4Q20 losses on business sales.
Net interest revenue decreased slightly primarily reflecting lower interest rates on interest-earning assets and the impact of hedging activities (primarily offset in fee and other revenue). This was partially offset by the benefit of lower funding and deposits rates and larger deposit and loan balances.
Provision for credit losses was a benefit of
Noninterest expense increased 1% primarily reflecting higher investments in growth, infrastructure and efficiency initiatives and higher revenue-related expenses, partially offset by lower litigation reserves, severance expense and real estate charges recorded in 4Q20. Excluding the notable items, noninterest expense increased 6% (a).
Effective tax rate of 18.4%.
Assets under custody and/or administration ("AUC/A") and Assets under management ("AUM")
AUC/A of
AUM of
Capital and liquidity
Repurchased 22 million common shares for
Common Equity Tier 1 ("CET1") ratio - 11.1%.
Tier 1 leverage ratio - 5.5%.
Average liquidity coverage ratio ("LCR") - 109%.
Total Loss Absorbing Capacity ("TLAC") ratios exceed minimum requirements.
For the full release, see:
Barclays plc (LSE: BARC)
Overview
Barclays is a transatlantic consumer and wholesale bank offering products and services across personal, corporate and investment banking, credit cards and wealth management, with a strong presence in our two home markets of the
With over 325 years of history and expertise in banking, Barclays operates in over 40 countries and employs approximately 83,500 people. Barclays moves, lends, invests and protects money for customers and clients worldwide
Strategy
Two clearly defined businesses,
Focused on improving our return on tangible equity on a sustainable basis, whilst also delivering attractive capital returns to shareholders
Source: About Barclay's fact sheet
https://home.barclays/investor-relations/
Barclays PLC Results Announcement
Performance Highlights
Barclays delivered improved returns and increased distributions to shareholders, with Group earnings per share of 24.4p and a return on tangible equity of 9.0% (both excluding litigation and conduct), and a total dividend of 9.0p
Group return on tangible equity (RoTE) improved year-on-year to 9.0%1 (2018: 8.5%), in line with the 2019 target. This represents the third consecutive year of improved year-on-year RoTE performance for the Group
The Group continues to target >10% RoTE1. However, given global macroeconomic uncertainty and the current low interest rate environment, it has become more challenging to achieve this in 2020. Notwithstanding these headwinds, the Group believes it can achieve a meaningful improvement in returns in 2020
Group statutory profit before tax was £4.4bn (2018: £3.5bn) and, excluding litigation and conduct, was £6.2bn (2018: £5.7bn). Statutory earnings per share (EPS) were 14.3p (2018: 9.4p) and, excluding litigation and conduct were 24.4p (2018: 21.9p)
Common equity tier 1 (CET1) ratio was 13.8%, with the Group target remaining c.13.5%
Delivering attractive capital returns to shareholders remains a key priority, whilst also continuing to improve RoTE on a sustainable basis and investing in business growth
Group profit before tax was £4.4bn (2018: £3.5bn), including an additional provision for
Barclays
Tangible net asset value (TNAV) per share was 262p (
Group performance
RoTE, excluding litigation and conduct, increased to 9.0% (2018: 8.5%), in line with the 2019 target. EPS, excluding litigation and conduct, increased to 24.4p (2018: 21.9p). Statutory EPS was 14.3p (2018: 9.4p)
Profit before tax was £4,357m (2018: £3,494m), including an additional provision for PPI of £1,400m (2018: £400m). Excluding litigation and conduct, profit before tax was £6,206m (2018: £5,701m), with higher income and lower operating expenses partially offset by increased year-on-year credit impairment charges. The 4% appreciation of average USD against GBP positively impacted income and profits and adversely impacted credit impairment charges and operating expenses
Total income increased 2% to £21,632m. Barclays
Credit impairment charges increased to £1,912m (2018: £1,468m). The 2019 charge includes the impact of• macroeconomic scenario updates and an overall reduction in unsecured gross exposures. Prior year comparatives included the impact of favourable macroeconomic scenario updates and a £150m charge regarding the anticipated economic uncertainty in the
Operating expenses decreased to £13,585m (2018: £13,896m) in line with 2019 guidance, as cost efficiencies were partially offset by continued investment.
Total operating expenses of £15,434m (2018: £16,243m) included litigation and conduct charges of £1,849m (2018: £2,207m)
The effective tax rate was 23.0% (2018: 26.1%). Excluding litigation and conduct, the effective tax rate was 18.0% (2018: 17.2%). The Group's effective tax rate for future periods is expected to remain around 20%, excluding litigation and conduct
Attributable profit was £2,461m (2018: £1,597m). Excluding litigation and conduct, attributable profit was £4,194m (2018: £3,733m), generating an RoTE of 9.0% (2018: 8.5%) and EPS of 24.4p (2018: 21.9p)
Group capital and leverage
The CET1 ratio increased to 13.8% (
- CET1 capital decreased by £0.3bn to £40.8bn. This was driven by underlying profit generation of £5.0bn offset by dividends paid and foreseen of £2.4bn, the additional provision for PPI of £1.4bn, pension deficit reduction contribution payments of £0.5bn, a decrease in the currency translation reserve of £0.5bn, mainly driven by the depreciation of period end USD against GBP, and a loss on the redemption of Additional Tier 1 (AT1) securities of £0.4bn
- Risk Weighted Assets (RWAs) decreased by £16.8bn to £295.1bn primarily driven by the reduction in the Group's operational risk RWAs, as well as the depreciation of period end USD against GBP
The average
Group funding and liquidity
The liquidity pool, at £211bn (
Wholesale funding outstanding, excluding repurchase agreements, was £147.1bn (
Other matters
As at
The latest triennial actuarial valuation of the
Dividends / capital returns
A half year dividend of 3.0p was paid on
The Group's existing capital returns policy as set out in the FY18 results announcement remains unchanged: "Barclays understands the importance of delivering attractive cash returns to shareholders. Barclays is therefore committed to maintaining an appropriate balance between total cash returns to shareholders, investment in the business and maintaining a strong capital position. Going forward, Barclays intends to pay a progressive ordinary dividend, taking into account these objectives and the earnings outlook of the Group. It is also the Board's intention to supplement the ordinary dividends with additional cash returns, including share buybacks, to shareholders as and when appropriate"
Outlook and guidance
The Group continues to target >10% RoTE1. However, given global macroeconomic uncertainty and the current low interest rate environment, it has become more challenging to achieve this in 2020. Notwithstanding these headwinds, the Group believes it can achieve a meaningful improvement in returns in 2020
Results by Business
Barclays PLC 9 The income environment in 2019 was challenging for Barclays
2019 compared to 2018
Income statement
Profit before tax, excluding litigation and conduct, increased 7% to £2,604m and RoTE increased to 17.5% (2018: 16.7%) reflecting the resilience of the business in a challenging income environment. Including litigation and conduct charges of £1,582m (2018: £483m), profit before tax was £1,022m (2018: £1,956m)
Total income was stable at £7,353m (2018: £7,383m). A 2% reduction in net interest income to £5,888m (resulting in a lower net interest margin (NIM) of 3.09% (2018: 3.23%)) reflected higher refinancing activity by mortgage customers, lower interest earning lending (IEL) balances in
- Personal Banking income was stable at £4,009m (2018: £4,006m), reflecting ongoing mortgage margin pressure, offset by mortgage and deposit balance growth, improved deposit margins and treasury operations
- Barclaycard Consumer
- Business banking income increased 6% to £1,352m driven by deposit growth, with improved deposit margins, and the non-recurrence of client remediation in 2018
Credit impairment charges decreased 14% to £712m reflecting the non-recurrence of a £100m specific charge in Q418 relating to the impact of anticipated economic uncertainty in the
Operating expenses decreased 2% to £4,037m as cost efficiencies were partially offset by planned investment and inflation. The cost: income ratio, excluding litigation and conduct, was 55% (2018: 56%)
Balance sheet
Loans and advances to customers at amortised cost increased 3% to £193.7bn reflecting £6.4bn of mortgage growth
Customer deposits at amortised cost increased 4% to £205.5bn demonstrating franchise strength across both Personal and Business Banking
RWAs were stable at £74.9bn (2018: £75.2bn) as a reduction in
https://home.barclays/content/dam/home-barclays/documents/investor-relations/
Brief Profile
The Bavarian bank for the German economy
Financing growth and innovation for companies in
Closely integrated in the Sparkassen-Finanzgruppe
For decades, around 350 savings banks in
Right there for our customers
America:
German Centre:
Our shareholders
Free
Liquidity & funding
Balanced funding mix of secured and unsecured bonds with a focus on euro
Diversified funding sources, particularly via the savings banks, institutional investors, retail customers and the international debt issuance programme
High retail funding via the savings banks (B custody accounts, 2018: approx.
The Bank ensures access to capital markets by regularly issuing benchmark secured bonds
Liquidity Coverage Ratio (LCR): 143 % as at
We have a good market position
Corporates & Mittelstand
Strong market position with 34 % customer share among large corporates
60 % main bank customers share in large Mittelstand - targeted and successful expansion in the regions
Real estate: approx.
No. 1 partner to the Bavarian savings banks
Market leading position in the foreign notes & coins / precious metals business
DKB
Around 4.0 m retail customers - second largest online bank in
Leading position in the renewable energy sector (
Financial Markets
Top position in covered bonds and Schuldschein note loans
Supplier of interest and currency management products
Broad market access to institutional investors
https://www.bayernlb.com/internet/en/blb/resp/about_us/who_we_are/kurzportrait_2/kurzportrait_1.jsp
Operating performance in line with expectations, with 540 m in net interest and net commission income
Earnings impacted by cumulative
Capital base remains solid: CET1 ratio at 16.6 percent
"We've got off to a pretty good start this year, with our operating earnings holding steady in comparison with the previous year. The other good news is that all the operating business segments helped boost earnings even with the bank levy, deposit guarantee contribution and extended risk provisioning weighing down on us", said
Financial data for the first quarter of 2022
Net interest income for the
For the first quarter the
Gains or losses on fair value measurement came in at
Despite DKB's strategic growth initiatives and the related expenses, the
Expenses for the bank levy and deposit guarantee scheme dropped to
The Group continues to enjoy a solid capital base, with a CET1 ratio of 16.6 percent (
The cost/income ratio (CIR) was 69.5 percent (Q1 2021: 58.7 percent). Return on equity (RoE) stood at 1.1 percent (Q1 2021: 6.4 percent). The year-before figures were enhanced not least by the
Earnings in the customer-serving operating segments
Profit before taxes in the
The Corporates & Markets segment posted an operating performance on par with the previous-year period. Its profit before taxes was weighed down by the provisions set aside as coverage for the potential risks from the Russo-Ukrainian war, shrinking to
The DKB segment, too, saw an operating performance resembling that of the year-before period. The number of DKB's retail customers rose to over 5.1 million (Q1 2021: approx. 4.7 million), with DKB's lending volume also growing further. Profit before taxes stood at
Outlook for full-year 2022
As announced at the annual results press briefing late last March, the Group expects a profit before taxes of between
https://www.bayernlb.com/internet/en/blb/resp/bayernlb_2/news_291649.jsp
The parent company of the global
The bank for a changing world
With strong roots anchored in
Key figures for the Group (
198,816 employees
71 countries & locations
https://group.bnpparibas/en/group
Our integrated and diversified business model
Our integrated and diversified business model is based on cooperation among the Group's businesses and diversification of risks. This model provides the Group with the necessary stability to adapt to change and to offer clients innovative solutions. The Group serves nearly 33 million clients worlwide in its retail-banking networks and
With our global reach, our coordinated business lines and proven expertise, the Group provides a full range of innovative solutions adapted to client needs. These include payments, cash management, traditional and specialised financing, savings, protection insurance, wealth and asset management as well as real-estate services.
In the area of corporate and institutional banking, the Group offers clients bespoke solutions to the capital markets, securities services, financing, treasury and financial advisory. With a presence in 72 countries,
https://group.bnpparibas/en/group/activities
https://group.bnpparibas/en/
2021 FULL YEAR RESULTS
A ROBUST PERFORMANCE AND VALUE CREATION
The Group's diversification and ability to accompany clients and the economy in a comprehensive way sustained the increase in revenues compared to 2020 (+4.4%) and 2019 (+3.7%). The development of platforms at marginal cost and ongoing efficiency measures allowed the Group to invest while delivering a positive jaws effects on the year, despite the increased contribution to the SRF. With a Common Equity Tier 1 ratio of 12.9%2 as at
All in all, revenues, at
In the operating divisions, revenues rose by 2.4% at historical scope and exchange rates and by 3.7% at constant scope and exchange rates. They were up sharply by 5.2% at Domestic Markets2 , driven by the increase in the networks3 , in particular in
The Group's operating expenses, at
For 2021, Group operating expenses are impacted by a
In the operating divisions, operating expenses increased by 2.7% compared to 2020. They rose by 2.0% compared to 2020 at Domestic Markets2 , due particularly to support for growth in the specialised businesses and the rebound of activity in the networks3, they were contained by costsavings measures. The jaws effect was very positive (+3.1 points). At
The Group's gross operating income thus came to
The cost of risk, at
The Group's operating income thus amounted to
https://invest.bnpparibas/document/4q21-pr
Citigroup Inc.
Citi, the leading global bank, has approximately 200 million customer accounts and does business in more than 160 countries and jurisdictions. Citi provides consumers, corporations, governments and institutions with a broad range of financial products and services, including consumer banking and credit, corporate and investment banking, securities brokerage, transaction services, and wealth management.
https://www.citigroup.com/citi/about/
Fourth Quarter and Full Year 2021 Results and Key Metrics -
HIGHLIGHTS
Returned
Book Value per Share of
Tangible Book Value per Share of
Revenues increased 1% from the prior-year period, primarily driven by strong growth in Investment Banking in the
Net income of
Earnings per share of
For the full year 2021, Citigroup reported net income of
"We had a decent end to 2021 driving net income for the year up to
Percentage comparisons throughout this press release are calculated for the fourth quarter 2021 versus the fourth quarter 2020, unless otherwise specified.
Fourth Quarter Financial Results
Citigroup revenues of
Citigroup operating expenses of
Citigroup cost of credit of
Citigroup net income of
Citigroup's allowance for credit losses on loans was
Citigroup's end-of-period loans of
Citigroup's end-of-period deposits were
Citigroup's book value per share of
https://www.citigroup.com/citi/news/2022/fourth-quarter-2021-earnings.htm
Commerzbank is a leading international commercial bank. For Private and Small Business Customers as well as Corporate Clients, the Bank offers a comprehensive portfolio of financial services. It has one of the densest branch networks among German private banks and is is leading in financing for corporate clients in
https://www.commerzbank.com/en/hauptnavigation/konzern/konzern.html
Commerzbank achieves operating result of €570m in first half year - transformation making good progress
Revenues in first half year of €4.35bn (H1 2020: €4.12bn) reflect robust customer business
Low risk result of minus €235m in H1 2021 (H1 2020: minus €795m)
H1 operating result at €570m (H1 2020: minus €74m)
Net result of minus €394m (H1 2020: minus €107m) includes restructuring charges in the amount of €976m for "Strategy 2024"
Strong Common Equity Tier 1 ratio of 13.4%
In the second quarter, Commerzbank again generated a positive operating result and achieved a solid operating profit of €570 million in the first half of the year. The Bank benefited from a robust customer business and a low risk result. This contrasted with high one-time charges in the second quarter. Despite these exceptional effects and the booking of a further €511 million restructuring expenses in the second quarter, the Common Equity Tier 1 ratio (CET 1 ratio) remained strong at 13.4% and is even more significantly above the regulatory requirement (MDA).
On the journey to a sustainably more profitable bank, Commerzbank reached further milestones. The business model of the digital advisory bank is beginning to gather pace with the initiated launch of the remote advisory centres and the accelerated adjustment of the branch network. Furthermore, the selection process for the future second management level was concluded on schedule, and the voluntary programme for personnel reduction announced this spring got underway successfully. In line with the requirements of the
The Bank made further progress on digitalisation. Customers of Commerzbank are now able to conclude securities savings plans in the banking app directly with their smartphone alongside with the purchase and sale of traditional securities. Since the second quarter, foreign currency transactions have also been possible in the Cash Management App, the mobile assistant for Corporate Clients and Small-Business Customers.
The high level of customer orientation of the Bank is reflected in the sustained good customer feedback. All customer groups are very satisfied with the advisory services and the banking apps provided by the Bank.
The Bank is proceeding at pace in relation to its sustainability targets. The planned increase in the volume for sustainable financial products to €300 billion by 2025 at the latest has made good progress. The volume already increased to €141 billion in the first six months. The Bank has further set ambitious targets for its operating segments. The Corporate Clients segment is projected to contribute €200 billion and to thereby support the transformation of its customers. The Private and Small-Business Customers segment will deliver €100 billion in the form of sustainable product offerings.
"We have achieved a solid operating result in the first half of the year. The implementation of the strategy is right on track. We are driving all strategic initiatives forward and we are also ready to make tough decisions if necessary," said
In the second quarter of the year, Commerzbank generated revenues of €1,862 million (Q2 2020: €2,273 million). The year-on-year increase in underlying net commission income by more than 7% to €852 million (Q2 2020: €792 million) had a positive effect. Underlying net interest income remained nearly unchanged at €1,139 million compared with the first quarter thanks not least to the increased volume of priced deposits. The high one-time effects had an impact on revenues in the second quarter. CommerzVentures, the venture-capital fund of Commerzbank, delivered a positive contribution of around €100 million. A further €42 million came from Targeted Longer-Term Refinancing Operations (TLTRO) of the
The risk result was minus €87 million and is therefore significantly lower year-on-year (Q2 2020: minus €469 million). The loan portfolio remained stable despite the ongoing coronavirus pandemic. This is also illustrated by the continuing low ratio of the non-performing exposure (NPE ratio) at 0.8% (end of
Total costs in the first six months amounted to €3,548 million (H1 2020: €3,403 million). While compulsory contributions at €375 million remained virtually unchanged, the Bank was able to reduce operating costs by €56 million in the first half year. As announced, an exceptional write-off for ending the outsourcing project for securities settlement amounted to €200 million.
Total operating profit in the second quarter amounted to €32 million (Q2 2020: €205 million). Excluding one-off effects, the underlying operating profit was at €208 million. The consolidated profit attributable to Commerzbank shareholders amounted to minus €527 million (Q2 2020: €183 million). Without the booked restructuring expenses of €511 million, Commerzbank would have achieved a virtually balanced net result.
The CET 1 ratio recorded at the end of
"In the second quarter, we have kept our Common Equity Tier 1 ratio stable despite the high one-time write-off and restructuring expenses. This again proves that we have a very strong basis for the transformation, and it demonstrates that we are also able to deal with exceptional charges on our way to a sustainably profitable future," said
Development of the segments
The Private and Small-Business Customers segment continued its growth trajectory with loans and securities. The year-on-year volume in
In the Corporate Clients segment underlying revenues slightly decreased to €758 million compared to the second quarter of last year which was defined by a strong capital market business (Q2 2020: €793 million). The Mittelstand division benefited from a slight increase in loan volumes. The International Corporates and Institutionals divisions reflect normalised capital market business and the strategic focus on capital-efficient business. Overall, the segment generated an operating profit of €244 million (Q2 2020: minus €91 million). In addition to lower costs, the main driver for this result was the positive risk result of plus €13 million (Q2 2020: minus €290 million).
Outlook
Given the strong H1 results, revenues in 2021 should slightly exceed the previous years. With the further progress of the transformation, the Bank targets operational costs of around €6.5 billion. Additional is the one-time write-off of €200 million. While uncertainty about the further development of the coronavirus pandemic remains, the Bank is now anticipating a risk result of less than
€1 billion based on current observations. Overall, the Bank expects a positive operating result. On the basis of the first half year results, a CET 1 ratio of around 13% is likely - well above the targeted buffer of 200 to 250 basis points above the MDA. The expectations are based on the assumption that there is no fundamental change affecting the Swiss francs loan portfolio at mBank.
The
FDIC-Insured Institutions Reported Net Income of
Net Income Continued to Increase Year Over Year
Net Interest Margin Rose Modestly from
Quarterly Loan Growth Continued
Asset Quality Continued to Improve
Community Banks Reported an Increase in Quarterly Net Income from a Year Ago
"With strong capital and liquidity levels to support lending and protect against potential losses, the banking industry continued to support the country's needs for financial services while navigating the challenges presented by the pandemic."
—
WASHINGTON— Reports from the 4,914 commercial banks and savings institutions insured by the
1
This increase was driven by further economic growth and improved credit conditions, which led to a third consecutive quarter of aggregate negative provision expense. These and other financial results for third quarter 2021 are included in the
"The banking industry reported strong earnings in third quarter 2021, supported by continued economic growth and further improvements in credit quality," McWilliams said.
Highlights from the Third Quarter 2021 Quarterly Banking Profile
Net Income Continued to Increase Year Over Year: Quarterly net income totaled
The banking industry reported an aggregate return on average assets ratio of 1.21 percent, up 24 basis points from a year ago but down 3 basis points from second quarter 2021.
Net Interest Margin Rose Modestly from
The yield on earning assets rose 5 points from the previous quarter's record low to 2.73 percent while average funding costs declined 1 basis point from the previous quarter to a new record low of 0.17 percent. Improvements in net interest income were widespread, as nearly three-quarters of banks (72.1 percent) reported higher net interest income compared with a year ago.
Community Banks Reported a 19.6 Percent Increase in Quarterly Net Income Year Over Year: Community banks reported annual net income growth of
The net interest margin for community banks expanded 3 basis points from the year-ago quarter to 3.31 percent, as the continued reduction in average funding costs outpaced the decline in earning asset yields. Nearly two-thirds (65.8 percent) of the 4,450
Loan Balances Increased from the
Annually, total loan and lease balances increased
Community banks reported a 0.2 percent decline in loan balances from the previous quarter, and a 1.1 percent decline from the prior year. Declines in C&I loan balances resulting from payoffs and forgiveness of PPP loans drove the change.
Credit Quality Continued to Improve: Loans 90 days or more past due or in nonaccrual status (i.e., noncurrent loans) continued to decline (down
The Reserve Ratio for the Deposit Insurance Fund Remained Stable at 1.27 Percent:
Three New Banks Opened During the Quarter: Three new banks opened, 39 institutions merged with other
1
The number of
https://www.fdic.gov/news/press-releases/2021/pr21098.html
Goldman Sachs Group Inc.
The Goldman Sachs Group, Inc. is a leading global financial institution that delivers a broad range of financial services across investment banking, securities, investment management and consumer banking to a large and diversified client base that includes corporations, financial institutions, governments and individuals.
Founded in 1869, the firm is headquartered in
https://www.goldmansachs.com/about-us/index.html
Full Year and Fourth Quarter 2021 Earnings Results
Goldman Sachs Reports Record Earnings Per Common Share of
Fourth Quarter Earnings Per Common Share was
Diluted earnings per common share (EPS) was
Return on average common shareholders' equity (ROE)1 was 23.0% for 2021 and annualized ROE was 15.6% for the fourth quarter of 2021. Return on average tangible common shareholders' equity (ROTE)1 was 24.3% for 2021 and annualized ROTE was 16.4% for the fourth quarter of 2021.
Annual Highlights.
During the year, the firm generated record net revenues of
Investment Banking generated record net revenues of
The firm ranked #1 in worldwide announced and completed mergers and acquisitions, and in worldwide equity and equity- related offerings, common stock offerings and initial public offerings for the year.2
Global Markets generated net revenues of
Asset Management generated record net revenues of
Consumer & Wealth Management generated record net revenues of
Firmwide assets under supervision3,4 increased
Book value per common share increased by 20.4% during the year to
https://www.goldmansachs.com/media-relations/press-releases/current/pdfs/2021-q4-results.pdf
HSBC Holdings plc (LSE: HSBA, NYSE: HSBC)
Founded in 1865, HSBC is one of the world's largest banking and financial services organisations.
https://www.hsbc.com/who-we-are
HSBC Holdings plc 3Q 2021 Earnings Release -
Noel
"We had a good third-quarter performance, with strong growth in profits supported by additional credit provision releases. Our strategy remains on track, with good delivery in all areas. This was reflected in more consistent top-line growth, robust lending pipelines across our businesses, and rising trade and mortgage balances.
While we retain a cautious outlook on the external risk environment, we believe that the lows of recent quarters are behind us. This confidence, together with our strong capital position, enables us to announce a share buyback of up to
Financial performance (vs. 3Q20)
Reported profit after tax up
All regions profitable in 3Q21, demonstrating continued earnings diversity.
Reported revenue up 1% to
Net interest margin ('NIM') of 1.19% was broadly stable compared with 3Q20 and 2Q21.
Reported ECL were a net release of
Reported and adjusted operating expenses were broadly unchanged as increases, including growth in technology investment, were offset by the impact of our cost-saving initiatives.
Reported customer lending balances down
Common equity tier 1 ('CET1') capital ratio of 15.9%, up 30 basis points ('bps') from 2Q21, reflecting a reduction in risk-weighted assets ('RWAs'), partly offset by a decrease in CET1 capital, net of foreseeable dividends.
Financial performance (vs. 9M20)
Reported profit after tax up
Reported revenue down 3% to
Reported ECL were a net release of
Reported operating expenses up 2% as a higher performance-related pay accrual and increased investment in technology were in part mitigated by the impact of our cost-saving initiatives.
Return on average tangible equity ('RoTE') (annualised) of 9.1%, up 5.6 percentage points from 9M20.
Outlook
We continue to make progress on our environmental, social and governance ('ESG') agenda, including our climate commitments announced in
The revenue outlook is becoming more positive, with fee growth across many of our businesses and a stabilisation of net interest income, which we expect to begin to increase in the coming quarters from lending growth and earlier than anticipated policy rate rises.
Given current consensus economics and default experience, we expect a net release of ECL for 2021, with the potential for a further small net release of ECL in 4Q21, dependent on offsetting levels of stage 3 charges. We now have around
We continued to demonstrate strong cost control over the course of the year. Given inflationary pressures, continued investment and the impact and timing of recently announced acquisitions and disposals, we now expect adjusted costs of approximately
We remain well placed to fund growth and step up capital returns, and now intend to normalise our CET1 position to be within our 14% to 14.5% target operating range by the end of 2022. We intend to achieve this through a combination of growth and capital returns, as well as from an expected
https://www.hsbc.com/news-and-media/media-releases/2021/hsbc-holdings-plc-3q-2021-earnings-release
JPMorgan Chase & Co.
JPMorgan Chase & Co. (NYSE: JPM) is a leading financial services firm based in
www.jpmorganchase.com
.
https://www.jpmorgan.com/country/US/EN/about
4Q21 Earnings Press Release
We are a financial services group focused on retail and commercial customers - with millions of customers in the
It is our role to help businesses and individuals, while making a positive contribution to the communities in which we operate.
https://www.lloydsbankinggroup.com/who-we-are.html
Q3 2021 Interim Management Statement
RESULTS FOR THE NINE MONTHS ENDED
"I am delighted to be introducing my first set of results as CEO of
Building on the strengths of the Group and its achievements in recent years, there are clearly significant opportunities for
HIGHLIGHTS FOR THE NINE MONTHS ENDED
Strong progress on Strategic Review 2021 priorities, including an all-channel net promoter score and mobile app net promoter score above 2021 targets, improved capabilities in Markets products and a 12 per cent increase in new clients using the Group's improved merchant services proposition
Statutory profit before tax of £5.9 billion (£2.0 billion in the quarter) and underlying profit of £6.3 billion (£2.2 billion in the quarter), both up significantly compared to the first nine months of 2020
Solid net income of £11.6 billion, up 8 per cent (up 20 per cent compared to the third quarter of 2020), benefiting from increased average interest-earning assets of £443.0 billion, a banking net interest margin of 2.52 per cent and other income of £3.8 billion, alongside a reduction in operating lease depreciation
Sustained cost discipline with operating costs of £5.6 billion, up 1 per cent compared to the first nine months of 2020, including the impact of rebuilding variable pay. Remediation charge of £100 million in the third quarter
Asset quality remains strong. Net impairment credit of £740 million, including a net credit of £84 million in the third quarter, based upon improvements to the macroeconomic outlook for the
Balance sheet and capital strength further enhanced
Loans and advances at £450.5 billion, up £10.3 billion (£2.8 billion in the third quarter), driven by strong growth of £15.3 billion in the open mortgage book (£2.7 billion in the third quarter)
Customer deposits of £479.1 billion, up £28.4 billion (£4.7 billion in the quarter), with continued inflows to the Group's trusted brands, including Retail current accounts up £12.2 billion. Resulting loan to deposit ratio of 94 per cent provides a strong liquidity position and significant potential to lend into recovery
Strong capital build of 159 basis points. CET1 ratio of 17.2 per cent after dividend accrual, significantly ahead of the ongoing target of c.12.5 per cent, plus a c.1 per cent management buffer and regulatory requirement of c.11 per cent
Outlook
Given our solid financial performance and the improved
Net interest margin now expected to be modestly above 250 basis points
Operating costs expected to be c.£7.6 billion
Impairment now expected to be a net credit for the year
Return on tangible equity now expected to be over 10 per cent, excluding the c.2.5 percentage point benefit from tax rate changes
Risk-weighted assets in 2021 expected to be below £200 billion
The parent company of the international
The principal subsidiaries are:
https://www.bk.mufg.jp/global/
https://www.tr.mufg.jp/english/index.html
https://www.hd.sc.mufg.jp/english/index.html
https://www.mufg.jp/english/profile/biz_and_network/index.html
We reorganized the segmentation of the business groups and implement a system for integrated group operation to be facilitated by the Bank,
(R&C) Having positioned individual customers and SMEs as targeted customer segments, we provide residential mortgage loans, lending, wealth management and settlement services as well as business and asset succession solutions to meet diverse needs.
(JCIB) We strive to help major Japanese corporations enhance corporate value via global expansion and, to this end, provide loan, settlement, forex and other services. Simultaneously, we offer optimal solutions that fully employ the strength of each Group entity in their field of specialty associated with M&A and real estate.
(GCIB) We provide non-Japanese large corporate and financial institution customers with a comprehensive set of solutions that meet their financing needs, including transaction banking and various advisory services.
(GCB) We provide financial services with local SMEs and individual customers in countries overseas through our existing investees, such as
Entities managed by the
(AM/
We serve our customers through sales & trading (S&T) operations associated with interest rates, bonds, forex and equities in addition to engaging in treasury operations.
Including ALM (which is the integrated management of liquidity risk and interest rate risk inherent in assets (loans, etc.) and liabilities (deposits, etc.)), global investment and other related operations
https://www.mufg.jp/english/profile/index.html
https://www.mufg.jp/english/profile/biz_and_network/index.html
Consolidated Summary Report <under Japanese GAAP> for the six months ended
For the full release, see:
https://www.mufg.jp/dam/ir/fs/2021/pdf/summary2109_en.pdf
Morgan Stanley
Since our founding in 1935, Morgan Stanley has consistently delivered first-class business in a first-class way. Underpinning all that we do are five core values.
http://www.morganstanley.com/about-us/giving-back/global-volunteer-month
Morgan Stanley Fourth Quarter and Full Year 2021 Earnings Results -
Morgan Stanley Reports Fourth Quarter Net Revenues of
Full year net revenues were
Financial Summary2,3,4
Firm ($MM, except per share data)
4Q 2021
4Q 2020
FY 2021
FY 2020
Net revenues
Provision for credit losses
Compensation expense
Non-compensation expenses
Pre-tax income9
Net income app. to MS
Expense efficiency ratio7
66%
67%
67%
69%
Earnings per diluted share
Book value per share
Tangible book value per share
Return on equity
14.7%
14.7%
15.0%
13.1%
Return on tangible equity5
19.8%
17.7%
19.8%
15.2%
Net revenues
Investment Banking
Equity
Fixed Income
Wealth Management
Net revenues
Fee-based client assets ($Bn)10
Fee-based asset flows ($Bn)11
Net new assets ($Bn)12
Loans ($Bn)
Investment Management
Net revenues
AUM ($Bn)13
Long-term net flows ($Bn)14
Full Year Highlights
The Firm's full year results reflect both record net revenues of
The Firm delivered full year ROTCE of 19.8%.5,6
The full year Firm expense efficiency ratio was 67%.6,7
Common Equity Tier 1 capital standardized ratio was 16.0%.
Wealth Management delivered a full year pre-tax margin of 25.5% or 26.9% excluding integration- related expenses.6,8 The business added net new assets of
Investment Management reported full year net revenues above
https://www.morganstanley.com/content/dam/msdotcom/en/about-us-ir/shareholder/4q2021.pdf
Société Générale (
Our Group draws on our European roots to develop our activities internationally. Our unique geographic positioning enables us to connect
The Group combines financial strength, proven expertise in innovation and a sustainable growth strategy with the objective of creating value for all our stakeholders. We seek to be a trusted partner in the projects of those building tomorrow's world today.
This engagement informs our mission: to protect and manage assets and savings, finance projects, protect clients in their both their day-to-day lives and in their professional activities, ensure secure transactions and offer the best technological solutions.
https://www.societegenerale.com/en/societe-generale-group/identity/identity
Financial results - Q3 2021 Financial Results -
Q3 21: EXCELLENT QUARTER, UNDERLYING GROUP NET INCOME OF
Revenues up +14.9% vs. Q3 20 (+15.0%*) driven by growth in all the businesses, in particular a very strong momentum in Financial Services and Financing & Advisory, a very good performance by Global Markets, and continued growth in Retail Banking
Underlying gross operating income:
Still low cost of risk: 15 basis points in Q3 21, with no significant provision write-back
Profitability (ROTE): 10.9% (1) on an underlying basis and 12.7% on a reported basis in Q3 21
9M 21: UNDERLYING GROUP NET INCOME OF
Underlying gross operating income:
Cost of risk: 16 basis points
Profitability (ROTE): 10.4% (1) on an underlying basis and 10.0% on a reported basis in 9M 21
SOLID CAPITAL POSITION
Solid CET 1 ratio: 13.4% (2) at
Organic capital generation: 61 basis points in the first 9 months of 2021
Attractive shareholder return
Launch of the share buyback programme, for an amount of around
Provision for distribution per share of
SUCCESSFUL EXECUTION OF OUR STRATEGIC PROJECTS
Detailed presentation of the new French Retail Banking operation (a full merger project progressing as scheduled)
Very satisfactory implementation of the strategy in Global Banking &
"The
1. GROUP CONSOLIDATED RESULTS
In EURm
Q3 21
Q3 20
Change
9M 21
9M 20
Change
Net banking income
6,672
5,809
+14.9%
+15.0%*
(12,363)
+17.8%
+20.0%*
Operating expenses
(4,170)
(3,825)
+9.0%
+9.0%*
(13,025)
+5.4%
+6.6%*
Underlying operating expenses (1)
(4,272)
(4,002)
+6.8%
+6.7%*
3,912
+3.3%
+4.6%*
Gross operating income
2,502
1,984
+26.1%
+26.7%*
6,153
+57.3%
+63.4%*
Underlying gross operating income (1)
2,400
1,807
+32.8%
+33.5%*
6,584
4,089
+61.0%
+67.0%*
Net cost of risk
(196)
(518)
-62.2%
-62.4%*
(614)
(2,617)
-76.5%
-76.0%*
Operating income
2,306
1,466
+57.3%
+58.7%*
5,539
1,295
x 4.3
x 4.6*
Underlying operating income (1)
2,204
1,289
+70.9%
+72.7%*
5,970
1,472
x 4.1
x 4.3*
Net profits or losses from other assets
175
(2)
n/s
n/s
186
82
x 2.3
x 2.3*
Impairment losses on goodwill
-
-
n/s
n/s
-
(684)
n/s
n/s
Income tax
(699)
(467)
+49.7%
+50.9%*
(1,386)
(1,079)
+28.4%
+31.4%*
Net income
1,781
992
+79.5%
+80.9%*
4,343
(386)
n/s
n/s
O.w. non-controlling interests
(180)
(130)
+38.5%
+38.7%*
(489)
(342)
+43.0%
+43.5%*
1,601
862
+85.7%
+87.3%*
3,854
(728)
n/s
n/s
1,391
742
+87.4%
+89.3%*
4,038
803
x 5.0
x 5.5*
ROE
11.1%
5.7%
8.7%
-3.0%
ROTE
12.7%
6.5%
10.0%
-1.4%
Underlying ROTE (1)
10.9%
5.5%
10.4%
1.0%
(1) Adjusted for exceptional items and linearisation of IFRIC 21
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