Banking

Research Paper

Global banking assessment

The profits of banks have experienced a sharp decline since the financial crisis. When looking across global industries, banks consistently rank in the bottom-half of performers on Return on Equity. This global banking assessment examines the performance of 61 banks across 20 countries, analyzing their revenue streams to understand where they can improve to become best-performers. Modelling a 10bps increase to prices, Simon-Kucher finds that global banks have the potential to boost their top-line revenue by up to $2 billion. Further, by leveraging value communication, data-driven and digitally based strategies, banks can break the trap of low ROE and ultimately improve their top-line performance.