Authors: D.BHUVANESWARI

Abstract

A banking system in which bank provides wide variety of financial services including both commercial and investment activities subject to compliance of statutory and other requirements prescribed by respective authorities. Universal Banking can be compared with the concept of Library where the target is reader instead of books of library. If one is comparing Universal Banking activities of Indian Banks with Foreign Banks, one can find out whether Universal Banking is helping to increase the profitability of these banks. The Universal Banking was implemented in the year 2001 in India on the recommendation of R H Khan Committee. Notable examples of Universal banking include BNP Paribus of France, HSBC, Standard Chartered and RBS of United Kingdom, Deutsche Bank of Germany, ING Bank of Netherland, Bank of America, Citigroup, JM Morgan Chase and Wells Fargo of the United States, and Credit Suisse of Switzerland. The present study will be useful to the bankers as well as customers; Bankers will be in a position to earn more profits by diversifying their risk and optimum utilisation of resources. This study will be suggesting a banker how a Universal Banking can be a tool to earn a profit. Universal Banking is beneficial to the customers as they need not go to other places to search for financial products. It will be available from their bankers so it will be helpful in saving of time as well as some costs. Universal Banking can also be known as Financial Mall owned by a Bank.

Keywords: Financial services, Universal banking

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