Discussion Paper

Income Evolution at BHCs: How Big BHCs Differ

Abstract: As noted in the introduction to this series, over the past two decades financial intermediation has evolved from a traditional, bank-centered system to one where nonbanks play an increasing role. For my contribution to the series, I document how the sources of bank holding companies? (BHC) income have evolved. I find that the largest BHCs have changed the most; they?ve shifted their mix of income toward providing new financial services and are earning an increasing share of income outside of their commercial bank subsidiaries. In this post, I summarize my study?s key findings.

Keywords: bank holding company; banking;

JEL Classification: G2;

Bibliographic Information

Provider: Federal Reserve Bank of New York

Part of Series: Liberty Street Economics

Publication Date: 2012-07-23

Number: 20120723a