summer placement presentation - citibank

8/10/2019 Summer Placement Presentation - Citibank

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Summer Placement Presentation


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GLOBALITY

BREADTHINNOVATION


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Our Footprint

1.7 million credit card customers and 1.2 million retail customers

Over 51,500 Corporate Clients (including SME / MME/Citi Business)

111 year old legacy in India

Represents one of the largest foreign direct investmentsin financial services in India ($3 Billion + of Capital)

42 Citibank branches in 27 cities across India; approval to open3 more branches; 600+ ATMs across the country

Over 1,500 large local corporate and multinational clients

Employer of choice to 9,200+ employees, 2,700 + employees engagedwith centers of excellence (COEs) supporting global businesses

Citi helped clients raise $15.6 billion of equity and debt capital in 2013

Citi moves ~5.1% of Indias payment flows, ~14% of FX flows and

~8.7% of trade flows

Indore

Jaipur

Hyderabad

Lucknow

Noida

Kolkata

Ahmedabad

Baroda

VapiSurat

Bhopal

Akola

Pune

Nasik

Nanded

Ludhiana

Chandigarh

Kurnool

Bangalore

Coimbatore

Kochi

Chennai

Mumbai

Bhubaneswar

DelhiGurgaon

USA

UK

Singapore

Australia

Canada

Kenya

Dubai

Bahrain

New York

London

Citibank Branch

Citi Back Offices

Citi Front Offices

Centres of Excellence

Citi Non Resident Indian Offices1

Korea Desk

Citi India Desks

Japan Desk

1. NRI Offices in Canada and Kenya are proposed to be shut (will be covered by US and Bahrain Offices resp.); Australia Centre is proposed to be absorbed by the local Consumer franchise.


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Client Profile

Corporate Business (Total ~51,500 Clients)

Global Banking client base represents ~75% of target market

Top bank for Indian local champions in supportingglobal expansion

Lead bank for multinational corporations

Mid market business focused in top 8 cities

Consumer Business (Total ~2.6 million Customers)

Focused on affluent and emerging affluent segments intop 14 cities

1.7 million card clients representing 12% of total cards issued,18% of spends

Leading non resident Indian business with presence in8 geographies, representing ~300,000 clients

~ 1,300 corporate relationships, representing ~580,000salary accounts

One Citi Linkages

Non resident Indian deposits fund corporate asset growth

Citibanking accounts across corporate client segments

Payment product synergies: Cards and TTS

1. Revenue bucket applies to local corporates.2. As per Citis addressable market. 3. Addressable market is defined as the 30 cities in which we operate.

Consumer(Net Investible Surplus)(~2.6 million Customers)

Corporate(Revenue Bucket)(~51,500 Clients) Key Client Segments

Emerging Affluentand Mass Market($4,00060,000)(Citibanking, 0.95 million)(Cards/Asset Customers,1.5 million)

Affluent($60,0001 million)(Citigold, 85,000)(Cards/Asset Customers, 68,000)

Ultra High Net Worth(>$25 million)(Citi Private Bank, 300) Global Banking

(>$500 million)1

(Local Corporates, 577)(Global Subsidiaries Group, 990)

Private Enterprises($50250 million)(MME ~400)

Small Businesses($1050 million)(SME ~3,000)

High Net Worth($125 million)(Citigold Private Client, 5,000)(Cards/Asset Customers, 5000)

9,000

120,0002,100

1.4 million 4,200

61,0002

155,0002

Citibusiness($210 million)(~47,000)

Values inside Pyramid representcustomers in addressable3 target market

Values inside Pyramid representcorporates in target market

26 million


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INSTITUTIONAL CLIENTS GROUP


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How is Banking Typically Structured?

Corporate Banking Investment Banking Capital Markets

Coverage Large Corporates Mid Size Corporates

Global Corporates

Large Corporates Global Corporates

Manages capital marketfinancing products Transaction Origination /

execution

What we do Client Coverage

Loans

Treasury

Trade Services

Sector and Client Coverage

Mergers and Acquisitions

Capital Markets

Equity Offerings

Debt Offerings

Syndicated Loans

Banking business is typically integrated across coverage and execution with product specialists across the corebusiness units.


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Create multiple revenue streamsfrom single deal by servicing capitalat each stage of lifecycle

Differentiate service capabilitiesfrom competitors by utilizing internalsynergies

Structuring

Documentation

Administration

Working Capital

Uses

Global

Banking TTS

Value to Clients and Citi

Source

Client

Cit

i

SFS

Advisory

Closing

Post-Closing

CapitalManagement

Provide seamless access to globalmarkets for raising and managingcapital

Reduce operational inefficienciesand risks resulting from multipletransaction providers

Use

Complete Balance Sheet Solutions for Institutions


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Citi Market Advocacy EffortsKey Influencer

30%Share of FII trade

volumes

50%Custodian to 50% of

Indian asset managers

17%No. 1 in USD / INR

FX flows

12Top-rated by Global

Custodian for 12 years

50%Share of QFI flows (new

route)

Securities & Fund Services in India

Citi India SFS Overview

Citi is the leading provider of custodial services in India

Market Leadership

Dominant market share across FII, QFI & local mutual funds

Comprehensive suite of servicesCustody, QDP, SLB, FX,Futures Clearing (Equity, Interest, FX), Fund Admin, Escrow

Largest team of 200 people split across two cities

Client Focused Innovation

Most flexible funding and margining solutionsfirst to enablemargin netting and non-cash collateral for equities

First-to-market FX benchmarking, netting & 3rdparty FX

First custodian QDP to enable QFI

First & only custodian providing a program based securities lending

solution (OpenLend)

Awards & Recognition

Awarded Best Direct Custody Bank for India byAsian InvestorMagazine for three consecutive years (2010-12)

Top rated by Global Custodian for twelve years

100%Settlement Rate

>99%STP Rate

70%Capacity kept below 70%

2Live processing from two cities

110AUC (USD Billion)

850,000Transactions per year

Citi SFS by numbers

FICCICapitalMarkets

Committee

SEBIsForeign

InvestmentCommittee

PASLA andRegulators on

SecuritiesLending

NSDL(central

depository)executivecommittee

Advisorycommittee ofNSCCL (NSE

ClearingCorporation)

SEBIs Core

Committee ofMarket

Intermediaries

Securities & Fund Services in India


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Specialized, but highly linked product set integrated into client solutions

Investor

Services

Intermediary

Services

Issuer Services

Wealth

Management

Services

Pensions/SWF

Asset Managers HFs, FoF, PE Insurance Cos. Central Banks

Broker-Dealers MTFs/Infra HFT/ Algo Trader Global Custodian

Corporate Governments Financial Institutions

Private Banks Family Offices RIAs Private Client Services

Clients Products Value Proposition

Middle Office

Fund Services/ TA Agent Sec. Lending Global Custody

Direct Custody Clearing

Conventional Debt Structured Finance Specialized Paying Agent Depository Receipts

Open Wealth Open SMA Alternative Wealth

Solutions orientation, tailored service,

bestof-breed platform Open architecture, with modular

approach Global Presence

Local presence in 57 markets Deep market expertise & influence Widest network

Expertise in solution engineering forcomplex transactions

Supporting cross-jurisdiction ECM/DCMtransactions

Next-gen wealth management servicefor FAs at RIAs, Private Bank

Integrated product suite enabling tailoredportfolios to desired outcomes which aretax optimized at unified household level

SFS: Client and Solution Set

S


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Key Client Value Proposition:

Seamless global platform enabledby proprietary network in 90+countries

Enable end-to-end visibility andcontrol

Optimize working capital, resultingin enhanced EPS

Increase efficiency and mitigateoperational and execution risk

Value-added asset services tomaximize top and bottom linereturns

Treasury and Trade Solutions

Treasury Flows

Trade Flows

Capital Markets &

Investment Flows

Large scale global provider

of high value-added

transaction services

Serves approximately 60,000

clients in 140+ countries,

including:

99% of the Fortune 100,94% of the Fortune Global500

Central governments in~120 countries

400+ of the top 500 banks

200 of the top 300 assetmanagers

Provider of multi-product,

multi-region solutions

through long-term client

relationships

We Bring Global Local and Takes

Local Global

TTS Cli t d S l ti S t


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Receivables

Liquidity &

Investments

Payments

Commercial Cards

Information Services

Cash Management

Trade Services

Trade / Supply Chain

Finance

Export and Agency

Finance

Treasury and Trade Solutions (TTS)

TTS: Client and Solution Set

Corporates,

Public

Sector,FIs

Asia | EMEA | Latin America | North America

Trade

Corporates,Public

Sector,FIs


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GLOBAL CONSUMER BANKING

Gl b l C B ki


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No 1 Foreign Bank in terms of Revenue, Earnings and Assets

Significant focus on re-engineering :$65MM re-engineering saves from 2012-2014

#1 distributor of mutual funds

Leadership in Cards :17% spends and 25% e-commerce market share

Leader in NRI Banking: raised > $1.7Bn deposits in the past 5 months

Awarded the best digital bank in India for the past five years

Iconic brand: 99% Brand Awareness and 50% Brand Preference

NPS- Ranked 4 across segments. High Absolute score with low detractors

De-risked the franchise significantly

Consumer Business Highlights

No.1 Consumer Bank amongst Foreign Banks. Strong business momentum across all key businesses with continued focus on clientexcellence, compliance and controls

Global Consumer Banking

6 Key Enablers of The Business


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Creating meaningful differentiation through best in class segmentpropositions for every product.

Ensure the proposition is market leading through a rigorousprocess of benchmarking.

Best-in-Class Value

Propositions

Perceptual Scale

Create a single global platform to achieveClient Centricity, Speed & Simplicity, Digital,Economical and Trusted Simplified client experience across channels

Sustainable product and platform consistency Rapid global deployment to ensure time to market

Technology

Value Based Culture to deliver exceptional customer Service

Full implementation of the NPS system top down and bottom up

Fostering a strong culture of accountability top to bottomClient Excellence

Universal Sales Model

Citibank owned and controlled

Technology enabled and real time triggered

Moving to client based incentives metrics

Sales Model

Hot Spots Distribution POS Sales Force Value Added Communications

Control & Compliance Upgrade control environment to reduce/eliminate compliance andfraud risk

6 Key Enablers of The Business

Building a Truly Differentiated Model
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Building a Truly Differentiated Model

Embracing

RetailBehavior

High Street Retail Distribution

Simplified, Customized Products

Intelligent Technology

Service as the Human Enabler

Memory +Seamless

connectivity

TODAY: Leverage Innovation to Drive Experience


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TODAY: Leverage Innovation to Drive Experience

Every Day Experience

Speed , Simplic i ty & Transparency

Everywhere Experience

Global

Integrated On-the-Go Experience

Mobile & 360

Emerging / Affluent Experience

Instantone stoprelationshipopening

Mobile Walletp2pand merchant payments

Real time need basedmarketing using digitalchannels

Click to call / Click toChat

360ATM / VideoInteraction

Single Underwritingmultiple products

Bringing Private Bank/ Institutional

Products to RetailCustomers

Cross Border Account

openingin 31 markets

Cross Border Instant

Rewards Redemption


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OPERATIONS & TECHNOLOGY

Operating Model


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India Footprint Scale of Operations

Citibank NA

Citibank NA and TCS

Strategic Focus and Initiatives

Legacy Infrastructure

Evolving Regulatory Environment

Payments transformation

High level of outsourcing

Technology resiliency

Talent development and retention

42 Branches, 600+ ATMs and 480+

Correspondent Bank locations

Business Customer Base

CB 3 M

LCB 4 MBranch Banking/CG/CGS 180 M

Citi@Work 819 M

Cards 1,699 M

PL and Mortgage 115 M

CWA 7 M

NR 27 M

Total 2,854 M

Product Volumes Growth %

TTS Cash 137 MM 25%

TTS Trade 1.3 MM 19%

SFS 1.6 MM 15%

FXLM 1.3 MM 20%

CGM 207 MM 311%

Consumer 632 MM 7%

Total 980 MM

In addition, 3 new branches currently being setup:

Nagpur, MaharashtraICG and GCG Branch

Thane, MaharashtraGCG Branch

Serilingampally, Andhra PradeshGCG Branch

Operating Model

O&T: Vital Component of the Product Delivery Model


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O&T: Vital Component of the Product Delivery Model

Product

Development

Product teams

Legal

Compliance

Credit

Technology

Operations

Finance

Marketing/

Sales

Sales teams

Relationship teams

CreditFinance

Enhancement/

Innovation

Product teams

Operations

TechnologyCredit

Finance

Legal/ Compliance

Service

Customer Service

Operations

Product TeamsRelationship teams

Delivery

Operations

Technology

CreditControl/ QA

Legal

Operational Coverage


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Consumer OperationsICG Operations

Card Operations

Paymentscustomer and merchant

Settlement

interchange and chargeback Maintenancebackend processing and collection operations

Card dispatch and statement rendition

Liabilities Operations

Account opening and maintenance

Salary and ATM operations

Insurance and Investment

Ready credit

Asset Operations

Loans Mortgage and Personal loans

Share finance and Demat

Securitization and Microfinance

eBiz and Collections

NR Operations

Account opening and transaction processing

Governance of outsourced activities

Query resolution for NRI clients

Statement and advise dispatch

Client Operations

PaymentsDrafts, RTGS, NEFT, LCY Transfers, Deposits

Collections

Cheque collections and Clearing TradeExports, Imports, Guarantees, Local Trade

FTUFCY Remittances and Collections

DASAccount opening and maintenances

SFS Operations

Fund Accounting

Direct Clearing and Custody

FICC Operations

Foreign Exchange (FX)

Derivatives (FX, Rates, Commodity & Credit)

Fixed Income

Funding & Gapping, Debt Capital Markets

Broker Finance, Agency & Trust and Collateralized lending

CGM Operations

EquitiesExecution and Clearing

Exchange Traded Futures and Options

Investment banking

Primary Market Offerings IPOs, QIPs

Operational Coverage

Impressions Summer Internship Program


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Impressions Summer Internship Program

Overview

8-week program designed to expose you to the vibrancy and challenges of the corporate world

Real time & challenging assignments

Guidance from senior bankers

Strong PPI/ PPO policy- About 60% of 2013 MA batch is through summer internship

Benefits

StipendINR 70,000 p.m.

OthersTo & fro airfare from Inst. to project location and back

Projects our interns have worked on


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Projects our interns have worked on

Consumer OpsCommunication Rationalization for Consumer Ops - Review all communications being triggered to retail bank

customers for mode ( Email , Physical, SMS) being used and rationalize

TechnologyCentral Bank Reporting - Engaging with various stakeholders on the reporting formats & help in preparing the

reports for automation

E Biz1) Identify the market for various payments and segregate them into existing method of payments (E.g P2P/ P2E/

BillPay/International Outward/ International Inward/Mobile Comm / Digital collections) etc.2) Identify key customer gap and willingness for conversion to online

Client Excellence1) Critically evaluate feedback received from 2013 NPS Top Down survey and 2014 year to date NPS Bottoms Up

survey for improvement areas2) Drive and deliver on the initiatives identified by CE as improvement areas for 2014

TTSOpportunity Sizing for Priority Sector Lending under the new RBI guidelines - Identifying the opportunity for TTS

Trade in terms of eligible structures and clients

SFS 1) Identifying key product and service differentiators for SFS2) Review our Issuers (A&T and DR) sales pitch and our key differentiators vis--vis competition


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summer placement presentation - citibank

Documents