Tuesday, September 30, 2008
Retail Banking Sector
The Finance sector has consolidated significantly. Now with Wachovia being bought by Citigroup (though it appears that Citigroup is going to fold their retail banking business under Wachovia) there are only a handful of players. JPMorganChase (which has eaten up Bank One and WaMu), Bank of America (Countrywide, though it was basically a thrift without much of a deposit base), Citgroup, and Wells Fargo. Nat City is surely going to fail and maybe Fifth Third as well. WalMart has been flirting with the idea of opening up a commercial banking practice for years but has been stymied. I wonder if regulators will be more receptive to WalMart's entrance into the industry now that there are so few players.