Six commercial banks operate on the Romanian market of depository services for investment funds. BRD-SocGen, BCR, Raiffeisen Bank, UniCredit Tiriac, Bancpost and Libra Internet Bank provided depository services for assets worth RON39.07 billion lei (EUR8.8 billion) in late June, according to information published by the Financial Supervisory Authority (ASF).
BRD is the largest player on the depository services market, with assets worth RON18.8 billion in late June, the equivalent of a 48% market share.
Banks levy investment funds an average fee of around 0.03% per month of the value of assets for which depository services are provided, according to ZF estimates. Taking into account this estimative fee against the value of assets under depository services in June 30, 2014, the six banks got revenue worth around RON140 million from the depository services provided to investment funds during a year.
The calculations have an estimative nature and do not take into account assets from private pension funds.
Most often, the depository bank also provides custody services for investment funds’ assets. In the case of such services, fees range between 0.1% and 0.5% per annum. Taking into account a 0.3% average, revenue revolves around RON120 million.
Overall, the six banks generate annual estimative revenue worth RON260 million, in the context where Romania’s entire banking system (40 banks) raked in profit worth RON223 million in the first half of this year.
(English version by Catalina Apostoiu)