At each banking institution, the specifics of work is to accumulate and manage large amounts of cash. If we talk about such banks as VTB or Sberbank, it is even difficult for an ordinary person to imagine how much money is in each's assets (about 12 and 25 trillion rubles, respectively).
Now imagine what money volumes the largest banks in the world possess, if domestic institutions did not even get on the list of “top 10”. It is scary to think about the amounts accumulated in the accounts of these structures.
In this article, we will consider the largest banks in terms of assets in the world and briefly describe them. To make readers more interested, we will write this article in the form of a rating.
It should be emphasized that we take into account two factors - the total “value” of the bank (its assets), as well as the volume of capitalization (in fact, an indicator of market influence). Also, a number of other factors influence how “large” a bank is - the structure of its shareholders, the number of offices, country of origin, and more. Let's try to evaluate so as to take into account each of them.
10. Mitsubishi UFJ Financial Group (MUFG)
On the last line, our ranking of world banks placed the Japanese structure, whose total assets are about $ 2653 billion (or about 162 trillion rubles). The capitalization of the group reaches 85.7 billion dollars.
More precisely, this is not only a banking institution, but also a whole financial group, which includes the Mitsubishi concern. It can be assumed that his activities serve this entity.
MUFG Headquarters is located in Osaka; and last year, according to unofficial data, the group earned about 11.9 billion dollars in net profit. Therefore, we attribute this structure to the rating “The largest banks in the world”.
9. BNP Paribas
The penultimate line in our ranking of Banks of the World is BNP Paribas. She is allowed to take this position with a total assets of about 2704 billion (about 165 trillion rubles). As for capitalization, it is equal to 71.3 billion (which classifies it as the “largest banks in the world”).
The Bank was formed relatively recently - in 2000, after the Bank Nationale de Paris (this name forms the abbreviation BNP) merged with the financial group Paribas.
Today, the bank operates in countries located in Asia, USA, Europe. The widest customer base allows you to constantly increase momentum in all areas of banking services. It is also represented in the CIS countries - at least the group buys banks operating in the post-Soviet space.
8. Citibank
The American group Citibank is a leading securities operator in the United States, which already makes it a fairly influential player in the world of finance. In addition, the company also has substantial capital - with assets of only 1862 billion (a total of 114 trillion rubles), its market value reaches 143 billion. The company also takes this position for the reason that it operates in 139 countries, serving more than 200 million people.
7. Wells Fargo
Wells Fargo Bank, an institution founded in 1998, is next in the list. Now it has a “modest” volume of assets in the amount of $ 1,423 billion, but its presence on the market corrects this situation - capitalization equals the amount of 201 billion.
The financial group has more than 7 thousand offices, which serve 48 million Americans.
6. Bank of China
The next in terms of capital and degree of influence is Bank of China. It is something like Sberbank, since 70% of the institution’s shares are controlled by the Chinese government. Previously, the bank represented the country at the international level and conducted operations with foreign counterparties.
Today it has a total market value of about $ 2.03 trillion; and capitalization is 131 billion.
The bank has a fairly high profit compared to other institutions on our list - over the past year it earned 22 billion.
5. Agricultural Bank of China
The second bank from the Middle Kingdom, which is included in our rating, is Agricultural Bank of China. It was founded in the last century by the ruler Mao Zedong, and the main goal of the institution was to specialize in agriculture and help farmers.
The need for this has disappeared, and today the bank has about 2.1 trillion dollars with a capitalization of 103 billion.
We placed the bank on the 5th line for the reason that in China it has more than 24 thousand offices, which cannot be compared with any American or European bank.
4. HSBC Holdings plc
This bank is officially the largest in Europe. Although he began his activities in 1865 in Hong Kong. Today, his office is located in London - and yes, this is the same bank. In the world they know about him as British due to the fact that the group absorbed the Midland bank, which operates in the UK.
The total assets amount to 2.68 trillion dollars, and the capitalization is almost 203 billion.
3. JP Morgan Chase
The honorable three of our rating “Big banks of the world” closes JP Morgan Chase. This is an American bank operating worldwide. It is also recognized as the oldest for the reason that it opened back in 1799. Probably even those who are not at all experts in such an area as the world of banks have heard about him.
This institution managed to give out loans for its term of work a lot, because its assets are estimated at 2.3 trillion dollars (140 trillion rubles), and capitalization - at 191.4 billion.
The Bank is a very authoritative structure of the financial world.
2. China Construction Bank
You won’t believe it, but in our ranking we have again a Chinese bank. This time, China Construction Bank, whose capitalization is $ 202 billion, and the total assets - 2.24 trillion.
Now the bank is fully commercial and owned by private entities; and earlier (in 1954, when it was created) his profile belonged to purely state interests. The Bank allowed operations to the government of China to provide services to the public. And the name of the institution until 1996 sounded like People’s Construction Bank of China.
1. Industrial and Commercial Bank of China
You will not be surprised if you find out that Chinese bankers have taken first place in our rating. And all due to the incredible industrial leap in China, which allowed the industrial bank to find simply fabulous assets worth $ 2.8 trillion.
Moreover, the capitalization of the structure is estimated at 237 billion, which makes it the undisputed leader of our list. The bank was founded relatively recently - only in 1984. He provides a wide variety of banking services, which allowed him to increase his market influence at such a rapid pace.
General conclusions
So, you looked at our rating, almost half consisting of Chinese institutions, and wondered why there is no single “ladder” of capital? Why do banks with smaller assets take a higher position than similar structures?
As noted above, the role in which place one or another bank in the world should be placed in the rating is played not only by the volume of assets. Indeed, in fact, it is practically impossible to calculate what financial instruments, property, securities and other things a whole bank has. All information is obtained formally from the institutions themselves (depending on how much they consider it necessary to disclose such information). Therefore, capitalization in the market of one or another structure, as well as profit volume, were also taken into account. We specify that in the rating, where the figures of the bank’s “net” income are given, they mean indicators before the tax was deducted from profit (after all, in different countries of the world the tax rate may differ). Thus, our rating was obtained.
Let's hope that in the future, our, domestic banks will enter the top banks in the world and will have a tremendous impact on the global financial market.
