Wholesale banking is a concept relative to retail banking. Western banks into the banking retail banking and wholesale banking business. Wholesale banking business, the main target customers are large enterprises, institutions and social organizations, the general large amount of money involved.
Wholesale banking business is in the money market and capital market intermediaries in the wholesale funding of financial activities, the object is large industrial and commercial enterprises and organizations, large amount of single business. Major financial institutions engaged in the wholesale business is the wholesale banking. Since different countries and different historical periods different modes of financial regulation, the development of wholesale banking and financial structure in the position and organization are not the same.
In Western banking, wholesale banking, wholesale financing, wholesale lending wholesale banking, etc. are often used concept.
United States, Japan, Britain and other countries in the 1930s after the implementation of the investment banks and commercial banks separate operation mode. The commercial banks in the wholesale banking and wholesale business, wholesale banking and securities industry, the wholesale business were all restricted in their business sphere.
Before 1933, the U.S. banking group set of powerful banks and investment banks and commercial general insurance functions in a category. 1933 America's "Glass - Steagall Act," the commercial banks and investment banking separate, prohibited commercial banks underwriting stocks and corporate bonds (but may participate in the federal and municipal bond underwriting), prohibited banks as securities broker. Mainly engaged in wholesale commercial banking business of wholesale banks JP Morgan and Bankers Trust, etc., to provide full-service commercial bank wholesale / retail banks, Citibank, Bank of America, Chase Manhattan Bank. Morgan's focus on blue-chip company business objects and governments, and organizations, large credit, issuance of securities, trading foreign exchange and other financial instruments. U.S. wholesale business mainly engaged in wholesale securities banks Morgan Stanley, Goldman Sachs, Lehman Brothers, Merrill Lynch, First Boston Corporation.
