While competition has increased the number of firms offering financial products and services, the removal of interstate branching restrictions in the U.S. has dramatically reduced the number of independently operated banks but increased the number of banking offices, primarily branches. Consolidation, in turn, has sighificantly increased the proportion of banking assets controlled by the largest banks. Not surprisingly, the same trends appear globally.

The United States currently has several banks that operate in all 50 states and many locales outside the U.S. The largest foreign banks have significant operations in the U.S. and throughout the world. In fact, you might not know if your bank is headquartered outside the U.S.! Different financial institutions seem to announce acquisitions of other financial companies (not always banks) on a regular basis, and frequently these institutions are headquartered in different countries. These factors as well as many others demonstrate that the banking environment is continually changing.

Part 1 Overview Of The Banking Industry And Regulation
Part 2 Evaluating Bank Performance
Part 3 Managing Interest Rate Risk
Part 4 Managing The Cost Of Funds, Bank Captital, And Liquidity
Part 5 Extending Credit To Business And Individuals