Title: Building a Global Bank Some personal views
1Building a Global BankSome personal views
Simen Munter, Chief Executive Officer,
Kazakhstan BTA Conference 2008
2We have been Global since commencing business in
1865.
3BANKS ARE BECOMING BIGGER AND MORE INTERNATIONAL
Top 15 banks, combined market cap (source
McKinsey) USD billions
US
EU 7
35x
12x
Average market cap
6
75
2
90
Share of international revenues for the top 25
banks has increased from 28 in 1995 to 43 in
2005
4Mega Trends
- Globalisation is speeding up and Financial
Institutions will increasingly follow the lead
set by Industry. Significant growth in Cross
Border operations - Challenge of Benefits of Scale vs Cost of
Complexity - The Big Banks will continue to be getting Bigger,
but leverage will be coming down - Financial Service will become more complex
- Common solutions to Common Problems
5Key Successfactors for an Effective Globalisation
Strategy
6a) Building from a Solid Base in your Home Market
7b) Strong Leadership and Vision
8c) Unique capabilities and these can be
replicated across markets
9Communicate Communicate - Communicate
10Ability to see What others Dont
11d) Deals. Ability to (mostly) do the Right
Deals
12e) Building a Bench of Right Leaders(and
avoiding the Wrong Ones!)
13f) Successfully balancing Local vs Global
14Joining Up the Company
15g) Strong Risk Management
16Not a Strategy for Everybody
17Questions/Comments?
simen.munter_at_hsbc.com