Wholesale Banking

AAA

DEFINITION of 'Wholesale Banking'

Banking services between merchant banks and other financial institutions. Wholesale banking deals with larger institutions, where as retail banking would focus more on the individual or smaller business. Some services might include currency conversion, working capital financing and large trade transactions.

INVESTOPEDIA EXPLAINS 'Wholesale Banking'

This type of banking will provide services to other banks or large corporations. Some retail banking covers business transactions but not in the same scale as wholesale banking. think of it like the discount superstore that deals in such large amounts that they can offer special prices or reduced fees, on a per dollar basis.

RELATED TERMS
  1. Investment Bank - IB

    A financial intermediary that performs a variety of services. ...
  2. Wholesale Life Insurance

    A type of employer-sponsored protection against the loss of income ...
  3. Wholesaling

    The sale and distribution of goods to users other than end consumers. ...
  4. Branch Banking

    Engaging in banking activities such as accepting deposits or ...
  5. Branch Automation

    Form of banking automation that connects the customer service ...
  6. Merchant Bank

    A bank that deals mostly in (but is not limited to) international ...
Related Articles
  1. Online Banks: Lower Costs And Little ...
    Savings

    Online Banks: Lower Costs And Little ...

  2. Using Economic Capital To Determine ...
    Personal Finance

    Using Economic Capital To Determine ...

  3. Automating Your Bill Payments
    Options & Futures

    Automating Your Bill Payments

  4. Demystification Of Bank Accounts
    Options & Futures

    Demystification Of Bank Accounts

comments powered by Disqus
Hot Definitions
  1. Market Segmentation

    A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will ...
  2. Effective Annual Interest Rate

    An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following: ...
  3. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  4. Odious Debt

    Money borrowed by one country from another country and then misappropriated by national rulers. A nation's debt becomes odious ...
  5. Takeover

    A corporate action where an acquiring company makes a bid for an acquiree. If the target company is publicly traded, the ...
  6. Harvest Strategy

    A strategy in which investment in a particular line of business is reduced or eliminated because the revenue brought in by ...
Trading Center