The use and importance of financial planning in the German private banking industry

Doctoral Thesis / Dissertation from the year 2006 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, COMENIUS UNIVERSITY, FACULTY OF MANAGEMENT, SK-BRATISLAVA, 74 entries in the bibliography, language: English, abstract: “The once so powerful financial institutions of the old "German Plc.", which in times of ...

Doctoral Thesis / Dissertation from the year 2006 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, COMENIUS UNIVERSITY, FACULTY OF MANAGEMENT, SK-BRATISLAVA, language: English, abstract: “The once so powerful financial institutions of the old "German Plc.", which in times of theeconomic miracle partly controlled the fortune of the large scale industry, are facing thegreatest test of its latest history."1 This quotation from the year 2002 of two economic expertsreflects the situation, which the German banking industry was in, in recent years, and still isin respectively. Even if many financial institutions are recovering, the reasons for the poorsituation are manifold.2 Questions about the banking model of the future are raised as well asquestions about the most successful business sectors. While investment banking is particularlyprofitable in times of stock market booms, mergers and IPO's, it however turned out, that therelatively stable business with private clients, especially with the wealthy ones, turns out to bea solid source of recurrent income. Banks like e.g. UBS, Credit Suisse or Deutsche Bank aremaking high profits, whose basis is more and more the private client business. That way, theUBS drew a record profit of CHF 14.1 billion (approx. 9 billion €) in 2005.