Banking & Finance Market Research Reports, Analysis & Trends
Bank is a financial institution that that serves a financial intermediately and finance is a study of fund management by various financial firms. Banking and Financial services industry is supporting every other transaction made in our day-to-day life, with regards to money management.
Banks are the main facilitators of funding through the provision of credit, although private equity, mutual funds, hedge funds, and other organizations have become important as they invest in various forms of debt. Any financial firm managing money can be banks, credit unions, credit card companies, insurance suppliers, consumer finance, brokerage houses and investment banks. Finance is used by individuals (personal finance), by governments (public finance), by businesses (corporate finance) and by a wide variety of other organizations, including schools and non-profit organizations.
In corporate finance, a company's capital structure is the total mix of financing methods it uses to raise funds. One method is debt financing, which includes bank loans and bond sales. Another method is also the equity financing - the sale of stock by a company to investors, the original shareholders of a share. Ownership of a share gives the shareholder certain contractual rights and powers, which typically include the right to receive declared dividends and to vote the proxy on important matters (e.g., board elections). The owners of both bonds and stock, may be institutional investors - financial institutions such as investment banks and pension funds - or private individuals, called private investors or retail investors.
The services offered in within global financial services and banking industry include automotive financing, loans, credit card, debit cards, financial planning, mutual fund investments, smart cards, insurance, e-commerce, online investing, internet banking and real estate. Difference channels in finance industry include ATM’s (Automated Teller Machine), branch banking, call center, mobile banking, online banking, relationship managers, telephone banking and video banking.
The market research reports available in this Banking and Finance category MarketResearchReports.in will help you get information on specific topics or organizations operating in this industry. Our collection of market research reports provides insights into financial instruments and market trends, current & future opportunities, projections, sales and marketing strategies. Specifics on current players, industry size, market share, segmentation, growth by country, payment options like credit cards, debit cards, mobile banking and electronic money. Insurance a part of this category has sub divisions like automobile insurance, general insurance, health insurance, life insurance, Reinsurance, technology insurance, travel insurance, property and casualty insurance and much more.
Banking & Finance Industry Current Trends
Total assets of global banking and finance industry is over about hundred trillion in US $. Banking and insurance industry was affected badly by financial crisis of 2008. The crisis began with the collapse of Lehman Brothers in the US and quickly spread across the world resulting in a great economic recession after post war era. The liquidity situation and credit crunch worsened further the market resulting to volatile market condition. BRIC nations offer great potential to insurance industry due to their huge population.
Banks are susceptible to many forms of risks which have triggered occasional systematic crisis. Banking crises have developed many times in history, when one or more risks have materialized for this sector. Prominent examples include Bank Run that occurred during the Great Depression, the U.S savings and loan crisis during 1980’s and 1990’s, the Japanese banking crises during the 1990’s and the sub-prime mortgage crisis in 2000’s.
The banking sector is quiet susceptible to turbulence of economy. Very few countries have actually been able to maintain resilience without much impacting the growth process. Growth in the banking sector has been favored by factors such as lo defaulter ratio, strong economic growth, central bank’s regular intervention and pre-emptive adjustment of monetary policy. India has the potential to become the third largest banking sector by 2050 after China and US, according to a PricewaterhouseCoopers (PwC) report titled “Banking In 2050”. The report states that India has particularly strong long-term growth potential.
Assets of the largest 1,000 banks in the world grew by 6.8% since 2009 financial year to a record $96.4 trillion while profits declined by 85% to $115bn. Growth in assets in adverse market conditions was largely a result of recapitalization. EU banks held the largest share of the total, 56% since 2009, down from 61% in the previous year. Asian banks' share increased from 12% to 14% during the year, while the share of US banks increased from 11% to 13%. Fee revenue generated by global investment banking totaled $66.3bn in 2009, up 12% on the previous year.
The five top issues in banking industry are globalization and consolidation where spurred with cross-border investment barriers, banks would expand abroad, by acquiring or merging with banks and financial institutions across other countries. Secondly, reconnect with customers, where slow growth in existing markets will push banks to re-connect with customers through a combination of state-of-art technology and personal service. Thirdly, promote compliance in an increasingly strict, regulatory environment, banks must adopt a principles-driven approach to policies, standards and systems to ensure compliance. Fourthly, better risk management when banks view operational and reputational risks to be greater concerns than market, credit and liquidity risk. Last but not the least adaptation to demographic risks- this is due to the aging population will continue to drive the development of banking products and service, targeted to the older customers.
Major Banking and Finance Industry Players
The major players in banking and financial services industry are Citigroup, Bank of America, HSBC, JP Morgan Chase (NYSE), UBS Bank (VTX), Royal Bank Of Scotland (LSE), BNP Paribas (Paris), Deutsche Bank (NYSE), Credit Agricole (Paris), Sumitomo Mitsui Banking Corporation Group and Bank of America are some of the players that have always been in the forefront.