In its interim statement for the first quarter of 2017, Asia and emerging markets focused Standard Chartered reported an almost doubling of first-quarter profits. So is Chief Executive Bill Winters the savior?
The London listed bank saw growth in its Retail Banking and Private Banking units which was driven by strong Hong Kong performance and continued momentum in Wealth Management and Deposits.
This in turn offset margin compression and seasonally lower balances in Credit Cards and Personal Loans.
Private Banking income of $117 million was 2 percent higher year-on-year and 6 percent higher compared to the fourth quarter of 2016.
The bank also said that there had been early momentum in 2017 with $0.9 billion of net new money added in the first quarter.
Intense Competition
Increases in Deposit margins and higher sales of treasury products in Wealth Management in the first quarter offset lower lending balances and margins following actions taken to improve the risk profile of the segment during 2016.
In Corporate & Institutional Banking, improvement in financial markets and higher cash management margins were offset by lower income from Corporate Finance.
«We are making good progress improving the performance of the Group. Competition in our markets remains intense but our investments in the business and focus on our clients is making us more competitive,» said Bill Winters, Group Chief Executive.
