金融英语chapter three Retail Bank.ppt

Chapter Three Retail Bank Learning objective: Lead-in questions Lead-in questions Background knowledge Introduction to Retail Banking Glossary Glossary Glossary Phrases Phrases Phrases Phrases Phrases Phrases Phrases Phrases Special Terms Notes to the text Notes to the text Notes to the text Notes to the text Notes to the text Notes to the text Notes to the text Notes to the text Notes to the text Key to exercises Key to exercises Key to exercises Key to exercises Key to exercises Key to exercises Key to exercises Key to exercises Key to exercises 1. Questions on the text: 2) Why do banks prefer deposits from retail customers? Because firstly depending on short-term wholesale funding will force banks to pay higher interest rates, thus they will have lower credit ratings and are subject to closer scrutiny from regulators; secondly, compared to other sources of funding, deposits from retail customers are rather stable. 3) According to the text, what are the advantages that banks in emerging markets have over their rivals in the rich world? The banks in emerging markets can take advantage of the latest technological innovations to improve their efficiency and offer new services and they also enjoy large untapped domestic markets. 1. Questions on the text: 4) What are the main challenges for American retail banks? The first challenge is that two pieces of legislation will force big banks to cut the fees they can charge for overdrafts and debit-card transactions, which will reduce their profits; the second challenge is that the new regulations will probably cut the number of banks in America by about a third over the next few years, this will put pressure on small regional and community banks to merge; the third challenge is that new entrants are competing with American banks. 1. Questions on the text: 5) Who are the new entrants in America’s banking market? The new entrants include foreign banks, some retail firms and Internet companies that offer ba