Thursday, October 31, 2019
Global Banking Operations and Strategy Essay Example | Topics and Well Written Essays - 250 words
Global Banking Operations and Strategy - Essay Example The bank lost its resilience and resistance capabilities (The Telegraph, 2014). Credit was one of the failed segments of RBS. RBS consistently relied on credit trading, which due to high economic crises build up, brought more damage to RBSââ¬â¢s existence. The bank needed to sideline the credit segment, which had lesser opportunity and more market risk (Treanor & Bowers, 2011). The weakness lied in RBS operations, which consistently failed to manage the net returns of the bank. The leakage of cash due to poor banking operations, RBS was unable to stabilize its cash growth (Risk Business International, 2011). RBS always had low capitals in its financial cupboard. The bank due to small capital resource was never able to put hand on major market segments. This made bank rely on small segments such as credit trading or bonds investment, which had more risk and lesser income return (BBC News, 2013). RTT News, 2014. European Markets Decline, RBS Drops On Results. [Online] Viewed at: [Accessed 17 March 2014]. The Telegraph, 2014. RBS report: the main points. [Online] Viewed at: [Accessed 17 March 2014]. Treanor, J. & Bowers, S., 2011. RBS failure caused by multiple poor decisions. [Online] Viewed at: [Accessed 17 March
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