Banking Finance

Wholesale banking is often defined as banking services which are provided between merchant banks and other financial institutions. Although, wholesale banking is also a term referred to the wide range of financial services that are provided by financial institutions to various businesses and corporations as well as the government. Retail banking and wholesale banking are two different things. Wholesale banking focuses more on corporate style entities and high-value transactions, while retail banking focuses on individual customers and sometimes small businesses. Sometimes a bank will engage in both wholesale and retail banking.

Wholesale banking provides the normal banking services such as checking and savings, certificates of deposit, safe deposit boxes, annuities, retirement funds and other investment opportunities. There are many packages to choose from at a wholesale banking company. Many people discount wholesale banking because they feel their money is not safe but their money is just as safe in the wholesale banking industry as it is in the regular banking industry.

Wholesale banking includes providing a large range of services to large, corporations, midsize companies and small businesses. These services are often offered at a discounted rate based on the number of services included in the package. This approach makes it more attractive for a company to place all their financial matters with a single institution rather than spreading them out into different banks and agencies for each banking service that the business needs in order to function.

Real estate developers and real estate agents in addition to market investors and others that operated by buying and selling properties or other forms of investments use wholesale banking. The advantage of the wholesale banking is in this application is the ease of access to the total financial portfolio, which makes transactions and transfers between accounts much easier. Wholesale banking also has features that allow for efficient transfers of funds, stock ownership and other financial instruments between financial institutions.

Wholesale banking packages that are extended to businesses and government entities can include a range of other financial services as well. Discounted interest rates are commonly included as part of the incentive package for entering into a wholesale financial arrangement. In addition to such valuable support services as consultation on investments, help with the details of major merger acquisitions and various underwriting services are also included in wholesale banking support.

Many of the larger banks are actually wholesale banks that deal with large corporations and governments but also deal with regular individuals. You might own a small business and want to deal with the wholesale banker, but don’t know where to find one. You can ask your real estate agent who helped you find your business location if he or she knows of a good wholesale bank or you can look in the local phone book or through the Internet and find several wholesale banks willing to deal with your small business. They do not discriminate on how small or how larger businesses if you want to put your money in their bank and bundle it with packages such as savings and IRAs and CDs that they will be happy to assist you.

Just a few years ago, bigger was better in the banking industry.  Big banks with scores of branches meant safety and stability – just like the Roman Empire.  But that empire has been tumbling down.  Large banks are on the edge of insolvency and the Federal Deposit Insurance Corporation (FDIC) is cracking down on the banking industry, making their enforcement actions public.

But are all banks the same? With the constant reporting of the unethical if not immoral behavior on Wall Street from the media, the banking industry, in general, has been getting a bad rap.  But ‘generalties’ have never faired man well.  The discerning individual, if he is to navigate the troubled economic waters of our present day must be able to filter out the good from the bad, have access to the rating systems of the banks and determine from his own research which bank will serve him the best – and moreover, who will be there when the deck of cards fall.  One has to know how to pervade through the “apparancy.”

Marc Gaspard, President of the Washington Financial League, told the Seattle Times that local community banks were just as appalled as the American people.  “Very few community banks made subprime-mortgage loans or invested in the subprime-mortgage-backed securities now being referred to as ‘toxic assets.’ “

Just as with any barrel of apples, a few bad apples can mess it up for the rest.  Community banks have been lumped in the banking crisis by the criminal and irresponsible actions of Wall Street.

The sleeping giant might just be the community banks, knighted by default with the responsibility of carrying the American banking system on their shoulders.  It appears today that community roots have more appeal than a decade ago.  In the rural region of Pasco County, Florida, one community bank withstood the scrutiny of BauerFinancial, a third-party rating system that reviews bank institutions’ 30-page report filed with government regulators each quarter.  No bank can fall off BauerFinancial’s radar, whether they’d like to or not.

BauerFinancial performs an independent analysis on the raw data supplemented with historical data in order to assign their ratings.  For several consecutive quarters, they rated First National Bank of Pasco as one of the safest banks in the nation.

FNB Pasco’s Board of Directors, veterans in the banking industry, apparently dug in their heels in regards to their financial strategies when Wall Street was living large.  “Conservative” was the prevailing theme.  According to them, sound financial principles are on the same order as natural laws, like gravity or inertia.  Bob Sumner, President of Florida Bancshares, Inc., said there’s no escaping these principles, evident in the Wall Street debacle.

Has anyone been listening or even paying attention to their community banks?  Even back in October of last year Newsweek reported Karen Tyson of the Independent Community Bankers of America stating that the majority of community banks were overall “sound, stable, well-capitalized and trustworthy.”

What can Americans do? It is not enough to merely believe the hype.  Look past the salted bank promotions containing slogans of trust, safety and security and actually get them to prove it.  Even though FDIC.gov is not a super user-friendly site, one can still learn their methods for rating banks if one searches enough.  There are helpful sites such as bauerfinancial.com that has a great FAQ page and bankrate.com that gives an easy way to do a cursory check on how one’s bank is doing.

Federal regulatory capital requirements vary among institutions and are dependent on many factors.  In general, institutions are required to maintain a tangible capital ratio of at least 4%, a tier 1 risk-based capital ratio of at least 4% and a total risk-based capital ratio of at least 8%. (bauerfinancial.com)

It is time for Americans to open up about their finances and find banks they can trust.  Three basic actions they can initially take are to:

Ask pointed questions about the safety of their institutions; Ask for their institution’s ratings; And most of all get them to prove it.  Get them to put in writing how they stand up to their federal regulatory requirements on a regular basis.

Today is the era of accountability.  No one is exempt.  As the saying goes, “put up or …”

Bangladesh is a developing country and from the date of birth, it is having financially strong state owned banks / public banks. But these banks are not updating themselves as time passes and for that reason the present human resources of these banks are becoming obsolete in comparison with modern days banking concept. Most of the senior bankers of these banks are not technology oriented persons and they do have lacking of having modern banking concepts as well. From my professional banking experience, I have found some problems -

Lack of coordination was there between several departments and lack of professionalism was there as well. Besides, all the employees are not professionally trained enough in the computer literacy part. For that reason, the EOP (Expected Organizational Performance) is always much below than the AOP (Actual Organizational Performance). So, the triggering effect always indicates to provide training upon basic computer literacy to each and every individual worker of the whole bank. Moreover, the modern HR practice is absent in the bank and the total HRM working is very much centralized in the head office.

Problems of Human Resources Management in the local public banks of Bangladesh in bullet form:

Competency level of the employee of these banks is poor than of some competent banks.
Organizational culture is not highly developed to cope with the changing environment and to face the new challenges.
Job rotation policy is not being followed properly in the branch level.
Transfer policy is not fair.
Organizational behavior is not satisfactory.
Recruitment policy especially in the lower level is not fairly maintained.
Promotional policy of the bank is not meeting the present strategies of the competitive banks.
Most of the employees of different branches are not cooperative in knowledge sharing.
Salary structure of the bank is poor than some of the leading banks.
Most of the employees are not expert in using modern technology and also they are not interested to learn it.
Till today many of the employees like manual system in banking activities.

Probable Recommendations to overcome present problems:

Overall:

Competence level of the employees should increase through training.
Organizational culture should improve by changing employees’ attitude as well as organization itself.
Job rotation policy should strictly follow in the branch level.
Transfer policy should be absolutely fair.
Organizational behavior should be changed through non financial motivation process with financial motivation process as well.
Employee recruitment in each and every level should be fair through open competition.
Promotional policy should be attractive and competitive in comparison with the leading banks.
Salary structure should be revised in comparison to the leading banks.
All the employees should bound to learn the uses of modern technology and if any of them are not interested to learn, there should be a choice of negative motivation.
Manual system should be resolved from the branches to meet the demand of faster customer services.

Specific

Do the job analysis again and do the segmentation part optimally according to the existing efficient available employees.
Do the job specification part very carefully and try to relate the computer literacy part according to different tasks.
The third and fourth class employees are not that much relevant to the profit oriented working of the bank and most of them are not serious about their jobs and even they are not always available during the working period, but they are getting all kids of legal and illegal facilities from the bank and they do not show any kind of respect to the superiors. So, in that case, third party recruitment is the best option and it is also known as cost reduction procedure. It will also cut down the problem of trade union.
The fringe and benefit part of the employees is not of that satisfactory level and that is why the turn over ratio of the skilled and experienced employees is very high,  so it should be changed with modern flavor.
The promotion is very much dependent upon the specific time duration, which is not encouraging to the skilled employees. It should be strictly related to the performance level.
The performance evaluation system is not updated. The organization should follow the 360 degree performance evaluation system. In this case, the superior executives will not be that much rude to the subordinates because the top level employees’ performance will also be evaluated by the subordinates. It will reduce the oiling concept also.
Each and every branch should have a Human Resources Manager who will conduct the Training Needs Analysis (TNA) and they will be headed Zonal Human Resources Managers and Zonal Human Resources Managers will be headed by Head of Human resources Management of the specified banks.

Conclusion

From the above discussion it is to be concluded that there are so many problems lies in the Human Resources for which we are facing difficulties in making ultimate financial growth of our public banks. If we can overcome these problems, then it is possible to be internationally competitive banks in the competitive globe. So, the Human Resources Division as well as the top strategic level management should find out underlying causes of weaknesses related to Human Resources of the banks and to be more supportive to eradicate the problems for achieving the highest position in this industry in the country at least.

Kazi Md. Faisal – About the Author:

MBA from North South University (Bangladesh).

Currently working in a local private commercial bank named - ‘National Credit and Commerce Bank Limited.’

Source: http://www.articlesbase.com/publishing-articles/overall-human-resources-management-hrm-scenario-in-the-local-public-banks-of-bangladesh-and-probable-recommendation-3323553.html

Many financial institutions at one point or another need to get bank marketing. Bank marketing can help give value for your customers while increasing the amount of your client base. Although you need to get new customers, you also want to retain all of them well into the future, and that is generally much easier said than done. At any time you acquire new customers, but your retention is simply not there, you may as well have not put the funds into the bank marketing from the start.

With bank marketing, it is possible to satisfy customers’ demands while ensuring their total satisfaction. One of the biggest things you should do is discover what areas happen to be successful today, and also what markets will continue to be profitable later on. You might want to take stock of your current practices and look into tips on how to improve efficiency as well as fulfill demand. By simply determining your goals in this manner, you could create a profitable technique which will take your financial institution quite a distance. Do not forget that you have to adapt to changing conditions in the banking marketplace, so if you’re on the cusp of all of the most up-to-date styles, in that case your bank will do quite nicely.

Take online banking services as an example. A lot of banks work with an outside company to complete almost all their online banking services. These types of services include such things as electronic document delivery. Lots of bank customers decide to not receive paper mail, which is the reason online document delivery is necessary. This benefit to customers builds a loyal client base, helping you eliminate paper waste and costs for your bank.

You are able to pick one business to assist you with all your online banking services necessities, and often these businesses have got various other services as well. Outside companies may offer your financial institution a lot with regards to check processing services, that you may not have considered before. Alongside online banking services pointed out before, these firms could process, print and also mail documents to banking institutions throughout the entire US. Regardless of whether that means financial notices, archives statements or various other documents, it could actually certainly help improve your shipping as well as research process. Various other check processing services may also help your bank aid the clearing of checks involving your institution and others’.

Running a financial business can get quite hard, and sooner or later, you have to do some investing in bank marketing. Most banking institutions do bank marketing, especially since it benefits both your financial institution and your customers. When using the appropriate marketing campaign, you could improve your customer base, and you can even take new and better processes to the current customers. Probably the most critical principles you need to bear in mind is there is no substitution for a excellent retention rate. If you generate a lot of new customers, then you want to retain the older and new clients.

For an successful bank marketing campaign, you’ll have to evaluate your customers’ needs and apply strategies to streamlining your processes. What this means is you ought to look at the current market to determine what exactly is working, and also give thought to just what exactly could continue to be worthwhile for banks in the long run. You can analyze your present procedures, and you can check out the demand you currently face. However, with all this in mind, you have to think about ways the industry might change to make certain that you’ll always be in the front of the marketplace.

As an example, the marketplace is shifting toward complete online banking services. If this is not a place you’re good in, you should look at selecting an outside provider to assist you. In terms of electronic record delivery, your customers can appreciate the advantage and it’ll help make your bank eco-friendly in addition to organized. Even so, online banking services are just one method by which a third party provider can help streamline your processes.

Other services which can help your bank marketing are check processing services, printing and also mailing your documents in addition to handling your financial notices. Concentrate on your customers to offer them the finest possible experience, and you’ll find your retention numbers will remain high. With financial notices and also other documents, what this means is you should look at having another company lead the workload for you. When they do your archive paperwork, you’ve got a opportunity to create a unique relationship with your clients in a totally new way. Marketing and advertising new ideas for your financial institution is not tough, but you will need to stay in front of the competition.

A bank account is very important for OFW since it will be the account where the money will be sent from abroad. Opening a new savings account can be hard since you do not know which bank is the best for your criteria. There are actually many banks in the Philippines so choosing one is not easy. In this posts, you can acquire information which bank to pick to remit money to the Philippines.

1. Banco de Oro

Banco de Oro or BDO placed the topmost in the Philippine banks for OFW. In 2009, BDO was named by the Central Bank of the Philippines as the No. 1 bank for OFW remittances. It has severalk services and products offer especially to OFW such as the Kabayan Savings account which can be applied by an OFW with P50 initial deposit and without maintaining balance. BDO has also other types of banking like Internet, telephone and ATM banking.

2. Bank of the Philippine Islands

Bank of the Philippine Islands (BPI) was named by Finance Asia the best cash management bank in the Philippines for 2009. I personally used BPI for my money transfer to the Philippines. I believe BPI is one of the advantageous in terms of customer service and quick in answering to client’s problems.

3. Metrobank Philippines

Metrobank is a famous bank in the Philippines and listed as a public enterprise in the Philippine Stock Exchange. Last year, it belongs to the top five remittance bank of OFW. It has a broad network of branches not only in the Philippines but also in other countries such as US, European nations, Korea and Middle East countries. Many OFW chooses Metrobank because of its good customer service and plenty of branches across the country.

4. Chinabank

Ranking as fourth biggest universal bank by market capitalization in the Philippines. Chinabank is emerging as one of the preferred banks of OFW and many Filipinos. With its broad banking services through its multitude branches and ATM machine across the country, Chinabank is going available nationwide. It has online, ATM and mobile banking which you should use to transfer cash to different banks with very low fee.

5. Union Bank of the Philippines

In the Philippines, Union Bank places seventh in the largest banks in regards of assets. It is a public compane listed in Philippine Stock Exchange. Union Bank is an an alliance among the companies and government institution in the country. With its broad range of services, many people and OFW find Union Bank a good option for saving and money transfer purposes. You can remit money to the Philippines using Union Bank by PayPal, through money transfer partners and by bank to bank wire transfer.

Selecting a bank for money transfer purposes depends on your needs. Almost all banks cater same products but you need to choose those which are customer-oriented and answers to client’s problems fast.

The US Banks

Some of the largest and most innovative banks in the whole world are found in the US. Banks in the US are watching one another, the rest of the banks in the world always seeking what to do next.

US banks provide financial support to the most developed economy worldwide, and so their importance has grown within the global financial market. They range of products and services they offer, is wide and varied, be it personal business or corporate, institutional banking or any other type. With the use of the most advanced internet services on the market, banks in the US can easily be accessed anywhere and at anytime.

Among other, here is a list of services US banks provide:

• Personal Banking Services of Banks in USA

Personal banking services have been created to cater to daily requirements of consumers, such as checking products, plus internet banking free of charge, ATM/debit card facilities, online bill payment, monthly statement, opening deposits, etc. Loan products available in the US banks come in the form of home equity loans, car loans, or personal loans. Among the most common forms of saving money are the certificates of deposit or passbook savings.

• Mortgage Services of US Banks

US banks also offer a range of mortgage services, carefully designed to take care of the various mortgage needs of customers. Together with standard mortgage services, banks also provide mortgage calculators for clients to easily calculate the payment schedules they will have as well as monthly payments, mortgage amounts, and many more. Besides online mortgage services are also available, making the process of mortgage even easier and hassle-free.

• Business Banking Services of Banks in the USA

US banks also offer business banking support for corporate clients. Checking business accounts or seeing to all other financial needs businesses, such as commercial loans or construction loans, offered for business operation, equipment, or commercial real estate purchases are just a few operations US banks deal with.

• Other Products and Services of Banks in USA

Other banking products the US banks offer include agricultural loans or checking accounts. There loans help investors purchase machinery, livestock, and even real estate. Besides being cheap, checking accounts are also easy to operate. Among the facilities offered by online banking there is checking balance, funds transfer, or bill payment anytime and anywhere.

The largest banks in the US by deposits, are Bank of America, JP Morgan Chase Bank, Wachovia Bank, Citibank, Washington Mutual Bank, SunTrust Bank, US Bank , Regions Bank, and so on.

Banks are one of important office for us, while saaving our money, giving money at interest. Every bank has its own rules for giving interested or other services they are giving. Some of banks are national bank, some are commercial bank. There are some banks also that donot have any physical location at worldmap. They are called high street bank. In middle east region there are lots of country are there and also have their national level based as well as international level also.

National Bank of Egypt: This is one of Egypt bank established at 1898 with 13,332 employees. It has 456 ATMs machine with 413 branches. It has merged with Monhandes Bank at 4 Oct 2005. The National Bank of Egypt offers commerical banking like deposits,  loan and credit cards, investment in real estate, risk management, private banking, asset management services and investment banking. NBE has been increased revenues by 25% and paid-by capital by 443% in 2006.

National Bank of Qatar: This is one of qatar bank, established at 1964 with 1581 employees. It has 130 ATMs machine with 57 branches. It provides commerical islamic banks activities like deposits, loans and credit & cards, assest management activites like wealth management, fund management and portfolio management. It has symbol of QNBK along with ID of QNBK.DSM.

National Bank of Dubai: This national bank of Dubai is established in 1963 providing islamic and conventional services. In oct 2007, it has merged with Emirates international bank and called later Emirates NBD. Now there is 6922 employees. It has 650 ATMs with 146 branches. It offers investing banking services like investment advisory, living and non- living things insurances. It has symbol of EMIRATESNBD with ID NBD.DFM.

National Bank of  Oman: this is one of Oman bank, established at 1973 with 1098 employees. It has 130 ATMs machine with 62 branches. It offers commerical services like depostis, loan and credit cards, investment banking investment advisory, fund and assest management and brokage services. It has symbol of NBOB with ID NBOB.MSM.

Visit website for UAE bank list, middle east bank list, Dubai financial institutions