Big Five banks
From Wikipedia, the free encyclopedia
In Canada, the term Big Five Banks is frequently used to refer to the five biggest banks that dominate the banking industry in Canada. The Big Five Banks are all classified as Schedule I banks that are domestic banks operating in Canada under government charter. Widely used and trusted[1], their services form an important part of the Canadian economy. The banks' shares are broadly owned with no single shareholder controlling any [2].
The Big Five banks, listed in order of market capitalization (largest to smallest) with their current corporate brand names, are:
- Royal Bank of Canada (RBC Financial Group)
- Bank of Nova Scotia (Scotiabank)
- Toronto-Dominion Bank (TD Bank Financial Group)
- Bank of Montreal (BMO Financial Group)
- Canadian Imperial Bank of Commerce (CIBC)
The term Big Six Banks is frequently used as well. The "Big Six" also includes the National Bank of Canada. The Big Six chartered banks participate in the Large Value Transfer System (LVTS) together with 8 other banks (including the Bank of Canada).
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[edit] Quick facts
| Royal Bank of Canada | |
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Chief Executive Officer: Gordon Nixon | FY 2006 Statistics: Net income: $4.7 billion CAD ( |
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| Major brands by financial service | |
| Master: RBC | Financial group: RBC Financial Group | Canadian banking: RBC Royal Bank | U.S. banking: RBC Centura | International banking: Royal Bank of Canada Global Private Banking | Canadian mutual funds: RBC Funds | U.S. mutual funds: Tamarack Funds | Canadian brokerage: RBC Direct Investing and RBC Dominion Securities | U.S. brokerage: RBC Dain Rauscher | Canadian insurance: RBC Insurance | U.S. insurance: RBC Insurance | Capital markets: RBC Capital Markets | Custodial: RBC Dexia |
| Bank of Nova Scotia | |
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Chief Executive Officer: Richard E. Waugh | FY 2005 Statistics: Net income: $3.2 billion CAD ( |
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| Major brands by financial service | |
| Master: Scotia | Financial group: Scotiabank Group | Canadian banking: Scotiabank | International banking: Scotiabank International | Canadian mutual funds: Scotia Mutual Funds | Canadian brokerage: ScotiaMcLeod | Canadian insurance: Scotia Insurance | Capital markets: Scotia Capital |
| Toronto-Dominion Bank | |
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Chief Executive Officer: W. Edmund Clark | FY 2005 Statistics: Net income: $2.2 billion CAD ( |
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| Major brands by financial service | |
| Master: TD | Financial group: TD Bank Financial Group | Canadian banking: TD Canada Trust | U.S. banking: TD Banknorth | Canadian mutual funds: TD Mutual Funds | Canadian brokerage: TD Waterhouse | U.S. brokerage: TD Ameritrade | Canadian insurance: TD Insurance | Capital markets: TD Securities |
| Bank of Montreal | |
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Chief Executive Officer: Tony Comper | FY 2005 Statistics: Net income: $2.4 billion CAD ( |
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| Major brands by financial service | |
| Master: BMO | Financial group: BMO Financial Group | Canadian banking: BMO Bank of Montreal | U.S. banking: Harris | Canadian mutual funds: BMO Mutual Funds | Canadian brokerage: BMO InvestorLine and BMO Nesbitt Burns | U.S. brokerage: BMO Harris Investor Services | Canadian insurance: BMO Life | Capital markets: BMO Capital Markets |
| Canadian Imperial Bank of Commerce | |
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Chief Executive Officer: Gerald T. McCaughey | FY 2005 Statistics: Net income: $0.0 billion CAD ( |
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| Major brands by financial service | |
| Master: CIBC | Financial group: CIBC | Canadian banking: CIBC | Canadian mutual funds: CIBC Mutual Funds | Canadian brokerage: CIBC Investor's Edge and CIBC Wood Gundy | Canadian insurance: CIBC Insurance | Capital markets: CIBC World Markets | Custodial: CIBC Mellon |
[edit] Proposed Mergers
In 1998, the Bank of Montreal proposed a merger with Royal Bank around the same time that CIBC proposed a merger with the Toronto-Dominion Bank. This would have left Canada with only three major national banks. Thus, the mergers were reviewed by the Competition Bureau of Canada. The Competition Bureau declared that negative effects (such as higher user fees and local branch closures) from the mergers would far outweigh the benefits of allowing the mergers. Ultimately, it was then Finance Minister Paul Martin who rejected both proposed mergers. [1]
[edit] See also
[edit] References
- ^ Canada Deposit Insurance Corporation Act - Deposit Insurance.
- ^ Bank Act - Part VII: Ownership of Banks.
