Financial Services of Private Bank

FINANCIAL SERVICES
Financial Services are the economic services provided by the finance industry,
which encompasses a broad range of organizations that manage money, including
credit unions, banks, Credit card Companies, insurance companies, consumer
finance Companies, stock brokerages, investment funds and some government
sponsored enterprises. As of 2004, the financial services industry represented
20% of the market capitalization of the S&P 500 in the United States.
The term financial services became more prevalent in the United States partly
as a result of the Gramm-Leach-Bliley Act of the late 1990s, which enabled
different types of companies operating in the U.S. financial services industry at
that time to merge.
Companies usually have two distinct approaches to this new type of business.
One approach would be a bank which simply buys an insurance company or an
investment bank, keeps the original brands of the acquired firit, and adds the
acquisition to its holding company simply to diversify its earnings. Outside the
U.S. (e.g., in Japan), non-financial services conpanies are perTInitted within the
holding
company. In this scenario, each company still looks independent, and has its own
Customers, etc. In the other style, a bank Would simply create its OWT
brokerage
division or insurance division and attempt to sell those products to its own
existing
customers, with incentives for combining all things with One COITpany.

Financial Services of Private Bank

COMPANY PROFILE OF YES BANK

Financial Services of Private Bank

YES BANK
YES BANK has been recognized amongst the Top and Fastest
Growing Banks in various Indian Banking League Tables by
prestigious media houses and Global Advisory Firms, and has
received several national and international honours for our
various Businesses including Corporate Investment Banking,
Treasury, Transaction Banking, and Sustainable practices
through Responsible Banking. YES BANK is steadily evolving as
the Professionals Bank of India with the long term mission of
Building the Finest Quality Bank of the World in India by 2020.

OVERVIEW
YES BANK, Indias fifth largest private sector Bank, is an
outcome of the professional entrepreneurship of its Founder
Rana Kapoor and his highly competent top management team,
to establish a high quality, customer centric, service driven,
bank catering to the Sunrise Sector of India. YES BANK is the
only Greenfield Bank license awarded by the RBI in the last two
decades, associated with the finest pedigree investors. YES
BANK, a "Full Service Commercial Bank, has steadily built a
Corporate, Retail & SME Banking franchise, with a
comprehensive product suite of Financial Markets, Investment
Banking, Corporate Finance, Branch Banking, Business and
Transaction Banking, and Wealth Management business lines
across the country.
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BRAND VISION AND MISSION

Brand Ethos
YES BANK has pursued a differentiated branding strategy in line
with its objective of building the Finest Quality Bank in India. The
foundation of this strategy lies in the name YES, which
underlines the twin ethos of service and trust and the promise to
deliver a truly delightful and unprecedented Banking experience
to all customers.
Vision
To be the Finest Quality Bank in India by 2020
Mission
To establish a high quality, customer centric, service driven,
private Indian Bank catering to the Future Businesses of India.

BRAND PILLARS
The YES BANK brand is built around key Brand Pillars, which epitomize the
growing strengths of the Bank. All communication and advertising has been
created around these key brand pillars.
Growth
YES BANK's core promise is growth for its internal and external stakeholders
symbolized in Say YES to Growth!
Trust
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Financial Services of Private Bank

YES BANK's Promoters, Investors, and Top Management team are all of the
highest pedigree with a demonstrated track record, thus inspiring and establishing
a Trust Mark Say YES to Trust!
Human Capital
YES BANK has adopted a knowledge-driven, entrepreneurial management
approach and offers financial solutions beyond the traditional realm of banking.
YES BANK's top quality Human Capital represents the finest talent in Indian
banking, chosen from India and abroad.
Innovation & Technology
YES BANK is establishing the highest standards in customer service by adopting
cutting-edge, innovative Technology. The only thing constant about technology
used at YES BANK is Evolution.
Transparency
YES BANK considers Transparency and Accountability to be of utmost
importance. YES BANK has established one of the most stringent Corporate
Governance norms.
Responsible Banking
YES BANK has a vision to be the Benchmark Financial Institution for
Inclusivity and Sustainability. YES BANKs mission is to link CSR and
Sustainable Development with stakeholder value creation through innovative
solutions and services & weave sustainability principles into its core business
strategy and processes.

Financial Services of Private Bank

MILESTONES
2003
November
Incorporation of YES BANK Limited

2004
August
First branch at Mumbai & inclusion in second schedule of the RBI Act
Launch of Corporate & Business Banking
May
Capital infusion by promoters and key investors
March
Capital infusion by promoters and key

2005
November
Rana Kapoor, Founder, MD & CEO adjudged Start-up Entrepreneur of the Year
at the E&Y Entrepreneur Awards 2005
June
Maiden public offering of equity shares by the Bank

Financial Services of Private Bank

February
ISO 9001:2000 certification for back office operations

2006
December
Launch of YES SAMPANN INDIA, our Financial Inclusion Initiative, in
partnership with ACCION International, USA
October
Raised INR 1.8 billion of long-term subordinated Tier II debt
April
YES BANK's Investment Banking Group was ranked #1 in M&A 'Outbound
Cross Border Transactions' in the Bloomberg League Tables
March
FY2006-First full year of commercial operations; Profit of INR 553 million,
ROA 2%

2007
September
Selected as a Founding Member of the Community of Global Growth Companies
at the World Economic Forum, Geneva
August
Launch of YES-International Banking
February
Raised 1.98 billion of Upper Tier II capital
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2008
June
Raised 3,640 million (USD 85 million) in a combination of Upper Tier II
Subordinated Debt and Hybrid Tier I Capital from Rabobank
YES BANK won the prestigious Emerging Markets Sustainable Bank of the Year
Award at the Financial Times/IFC, Washington Sustainable Banking Awards held
in London
2009
December
Received the Fastest Growing Bank award (balance sheet < 30,000 cr) at the
Business World Best Bank Awards 2009
July
Launched the Business Today - YES BANK SME Survey & Awards
March
Raised Hybrid Tier I Capital of 1,540 million

2010
December
Ranked as India's #1 Mid-Sized Bank (balancesheet < 50,000 cr) at the Business
Today-KPMG Best Bank Survey & Awards
April
Announcement of Maiden Dividend at 15%
Launch of Version 2.0 - YES BANKs NextPhase of Growth
January
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Financial Services of Private Bank

Raised USD 65 million of Subordinated Lower Tier II Debt

Raised USD 225 million through a QIP

2011
December
Hiked Savings Deposit Rate to 7%p.a. and NRE Fixed Deposit Rates to a peak of
9.6%p.a.
November
Launched the 1st FT-YES BANK International Banking Summit 2011 taking
Indian Banking to the World
June
Received the prestigious Sustainable Bank of the Year (Asia/Pacific) Award at
FT/IFC Sustainable Finance Awards 2011, London

2012
December
Rated as Best Mid-Sized Bank , 2012 Business Today KPMG Best Banks
Survey and Awards, and the Best Mid-Sized Bank, 2012 by Business World PwC
Best Banks Survey
August
Raised USD 155 million & EUR 50 million by way of Dual Currency Syndicated
Loan Facility
June
Received the prestigious Sustainable Bank of the Year (Asia/Pacific) Award FT/IFC Sustainable Finance Awards 2012, London second year in
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Financial Services of Private Bank

a row

2013
August
Recommends Dividend for FY 13 at 60%
June
Retail Banking footprint expands to 500 branches covering all 28 states and 7
Union Territories across India
March
Awarded the Best Managed Bank in India (2011-2013)by The Asian Banker

2014
December
Raised USD 200 mn Unsecured Loan from Asian Development Bank for
financing working capital & investment loans targeted towards small farm
households & rural women in SHGs
September
First Indian Bank to receive the Global Performance Excellence Award-2014 in
the Services Category by APQO, Chicago, USA
Received the 'Best Transaction Bank for Payments' by The Banker's Transaction
Banking Awards, London
May
Raised USD 500 million through a global QIP
March
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Financial Services of Private Bank

Raised USD 500 Million in Longer Tenure FCY Loan and FCNR Funds in FY
2013-14
FIRST bank in India to receive the Business Excellence trophy at the prestigious
IMC Ramkrishna Bajaj National Quality Awards

2015
April
YES BANK launched its first International representative office in Abu Dhabi,
UAE
March
YES BANK was added to NIFTY 50, the benchmark index of the National Stock
Exchange
February
Raised Indias FIRST Green Infrastructure Bonds for an amount of 1000 Crores
(USD 160 million)

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COMPANY PROFILE OF HDFC BANK

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Financial Services of Private Bank

BACKGROUND
The Housing Development Finance Corporation Limited (HDFC) was amongst
the first to receive an in principle approval from the Reserve Bank of India
(RBI) to set up a bank in the private sector, as part of RBIs liberalisation of the
Indian Banking Industry in 1994. The bank was incorporated in August 1994 in
the name of 'HDFC Bank Limited', with its registered office in Mumbai, India.
HDFC Bank commenced operations as a Scheduled Commercial Bank in January
1995.

PROMOTER
HDFC is Indias premier housing finance company and enjoys an impeccable
track record in India as well as in international markets. Since its inception in
1977, the Corporation has maintained a consistent and healthy growth in its
operations to remain the market leader in mortgages. Its outstanding loan
portfolio covers well over a million dwelling units. HDFC has developed
significant expertise in retail mortgage loans to different market segments and
also has a large corporate client base for its housing related credit facilities. With
its experience in the financial markets, strong market reputation, large
shareholder base and unique consumer franchise, HDFC was ideally positioned
to promote a bank in the Indian environment.

BUSINESS FOCUS
HDFC Banks mission is to be a World Class Indian Bank. The objective is to
build sound customer franchises across distinct businesses so as to be the
preferred provider of banking services for target retail and wholesale customer
segments, and to achieve healthy growth in profitability, consistent with the
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banks risk appetite. The bank is committed to maintain the highest level of
ethical standards, professional integrity, corporate governance and regulatory
compliance. HDFC Banks business philosophy is based on five core values:
Operational Excellence, Customer Focus, Product Leadership, People and
Sustainability.

CAPITAL STRUCTURE
As on 31st March, 2015 the authorized share capital of the Bank is Rs. 550 crore.
The paid-up share capital of the Bank as on the said date is Rs501,29,90,634/- (
2506495317 ) equity shares of Rs. 2/- each). The HDFC Group holds 21.67 % of
the Bank's equity and about 18.87 % of the equity is held by the ADS / GDR
Depositories (in respect of the bank's American Depository Shares (ADS) and
Global Depository Receipts (GDR) Issues). 32.57 % of the equity is held by
Foreign Institutional Investors (FIIs) and the Bank has 4,41,457 shareholders.
The shares are listed on the Bombay Stock Exchange Limited and The National
Stock Exchange of India Limited. The Bank's American Depository Shares
(ADS) are listed on the New York Stock Exchange (NYSE) under the symbol
'HDB' and the Bank's Global Depository Receipts (GDRs) are listed on
Luxembourg Stock Exchange under ISIN No US40415F2002.

DISTRIBUTION NETWORK
HDFC Bank is headquartered in Mumbai. As of March 31, 2015, the Banks
distribution network was at 4,014 branches in 2,464 cities. All branches are
linked on an online real-time basis. Customers across India are also serviced
through multiple delivery channels such as Phone Banking, Net Banking, Mobile
Banking and SMS based banking. The Banks expansion plans take into account
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Financial Services of Private Bank

the need to have a presence in all major industrial and commercial centres, where
its corporate customers are located, as well as the need to build a strong retail
customer base for both deposits and loan products. Being a clearing / settlement
bank to various leading stock exchanges, the Bank has branches in centres where
the NSE / BSE have a strong and active member base.
The Bank also has a network of 11,766 ATMs across India. HDFC Banks ATM
network can be accessed by all domestic and international Visa / MasterCard,
Visa Electron / Maestro, Plus / Cirrus and American Express Credit / Charge
cardholders.

MANAGEMENT
Mrs. Shyamala Gopinath holds a Masters Degree in Commerce and is a CAIIB.
Mrs. Gopinath has 39 years of experience in financial sector policy formulation
in different capacities at RBI. As Deputy Governor of RBI for seven years and
member of the Board. Mrs. Gopinath had been guiding and influencing the
national policies in the diverse areas of financial sector regulation and
supervision, development and regulation of financial markets, capital account
management, management of government borrowings, forex reserves
management and payment and settlement systems.
The Managing Director, Mr. Aditya Puri, has been a professional banker for over
25 years and before joining HDFC Bank in 1994 was heading Citibank's
operations in Malaysia.
The Bank's Board of Directors is composed of eminent individuals with a wealth
of experience in public policy, administration, industry and commercial banking.
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Financial Services of Private Bank

Senior executives representing HDFC are also on the Board.

Senior banking professionals with substantial experience in India and abroad
head various businesses and functions and report to the Managing Director.
Given the professional expertise of the management team and the overall focus
on recruiting and retaining the best talent in the industry, the bank believes that
its people are a significant competitive strength.

TECHNOLOGY
HDFC Bank operates in a highly automated environment in terms of information
technology and communication systems. All the banks branches have online
connectivity, which enables the bank to offer speedy funds transfer facilities to its
customers. Multi-branch access is also provided to retail customers through the
branch network and Automated Teller Machines (ATMs).
The Bank has made substantial efforts and investments in acquiring the best
technology available internationally, to build the infrastructure for a world class
bank. In terms of core banking software, the Corporate Banking business is
supported by Flexcube, while the Retail Banking business by Finware, both from
i-flex Solutions Ltd. The systems are open, scaleable and web-enabled.
The Bank has prioritised its engagement in technology and the internet as one of
its key goals and has already made significant progress in web-enabling its core
businesses. In each of its businesses, the Bank has succeeded in leveraging its
market position, expertise and technology to create a competitive advantage and
build market share.

BUSINESS PROFILE
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Financial Services of Private Bank

HDFC Bank caters to a wide range of banking services covering commercial and
investment banking on the wholesale side and transactional / branch banking on
the retail side. The bank has three key business segments:
Wholesale Banking
The Banks target market is primarily large, blue-chip manufacturing companies
in the Indian corporate sector and to a lesser extent, small & mid-sized corporates
and agri-based businesses. For these customers, the Bank provides a wide range
of commercial and transactional banking services, including working capital
finance, trade services, transactional services, cash management, etc. The bank is
also a leading provider of structured solutions, which combine cash management
services with vendor and distributor finance for facilitating superior supply chain
management for its corporate customers. Based on its superior product delivery /
service levels and strong customer orientation, the Bank has made significant
inroads into the banking consortia of a number of leading Indian corporates
including multinationals, companies from the domestic business houses and
prime public sector companies. It is recognised as a leading provider of cash
management and transactional banking solutions to corporate customers, mutual
funds, stock exchange members and banks.
Treasury
Within this business, the bank has three main product areas - Foreign Exchange
and Derivatives, Local Currency Money Market & Debt Securities, and Equities.
With the liberalisation of the financial markets in India, corporates need more
sophisticated risk management information, advice and product structures. These
and fine pricing on various treasury products are provided through the banks
Treasury team. To comply with statutory reserve requirements, the bank is
required to hold 25% of its deposits in government securities. The Treasury
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business is responsible for managing the returns and market risk on this
investment portfolio.
Retail Banking
The objective of the Retail Bank is to provide its target market customers a full
range of financial products and banking services, giving the customer a one-stop
window for all his/her banking requirements. The products are backed by worldclass service and delivered to customers through the growing branch network, as
well as through alternative delivery channels like ATMs, Phone Banking,
NetBanking and Mobile Banking.
The HDFC Bank Preferred program for high net worth individuals, the HDFC
Bank Plus and the Investment Advisory Services programs have been designed
keeping in mind needs of customers who seek distinct financial solutions,
information and advice on various investment avenues. The Bank also has a wide
array of retail loan products including Auto Loans, Loans against marketable
securities, Personal Loans and Loans for Two-wheelers. It is also a leading
provider of Depository Participant (DP) services for retail customers, providing
customers the facility to hold their investments in electronic form.
HDFC Bank was the first bank in India to launch an International Debit Card in
association with VISA (VISA Electron) and issues the MasterCard Maestro debit
card as well. The Bank launched its credit card business in late 2001. By March
2015, the bank had a total card base (debit and credit cards) of over 25 million.
The Bank is also one of the leading players in the merchant acquiring business
with over 235,000 Point-of-sale (POS) terminals for debit / credit cards
acceptance at merchant establishments. The Bank is well positioned as a leader in
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various net based B2C opportunities including a wide range of internet banking
services for Fixed Deposits, Loans, Bill Payments, etc.

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