What is Wholesale Banking – Definition, Products Portfolio

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Wholesale Banking Definition and Meaning, Products Portfolio – Wholesale Banking refers to doing banking business with industries and business entities like large scale corporates, international traders, mid size companies, institutional customers, corporations and prime public sector companies etc. Banks are involved in this type of business traditionally and it is also known as corporate banking / commercial banking. With competition open to even multinationals banks also, banks are vying with each other in providing a wide array of commercial, transactional and electronic banking products. The products offerings are suitably structured taking into account a client’s risk profile and specific needs.

Also Read : What is Retail Banking – Products Portfolio

Wholesale Banking – Products Portfolio

The products offered under wholesale banking can be classified into four groups –

  • Fund based Services
  • Non Fund based Services
  • Value added Services
  • Internet Banking Services
What is Wholesale Banking - Products Portfolio
What is Wholesale Banking – Products Portfolio

Fund based Services

  • Term Lending
  • Short Term Finance
  • Working Capital Finance
  • Bill Discounting
  • Structured Finance
  • Export Credit

Non Fund based Services

  • Bank Guarantees
  • Letter of Credit
  • Collection of Bills and Documents

Value added Services

  • Cash Management Services
  • Channel Financing
  • Vendor Financing
  • RTGS
  • Corporate Salary Accounts
  • Syndication Services
  • Forex Desk
  • Money Market Desk
  • Derivatives Desk
  • Employees Trusts
  • Tax Collection
  • Bankers to Right/Public Issue
  • NEFT (National Electronic Funds Transfer)
  • ECS (Electronic Clearing Service)

Internet Banking Services

  • Payment Gateway Services
  • Corporate Internet Banking
  • Supply Chain Management
  • Supply Chain Partners

Banks also offers products for other banks like – Clearing sub-membership, DD/cheques payable at par, RTGS – sub-membership, Cheque Collection, Fund Transfer, ATM tie-ups etc.

They also offers Cash Management Service(CMS) for financial institutions.

For Mutual Funds- they offers products like Collection Services, Payment Services, Custodial Services and Fund Transfer.

For Stock Brokers – Clearing Settlement Bankers, bank Guarantees etc.

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