(January 20 – 12:40 ET) – Royal Bank of Canada has announced plans to launch a new business unit combining its payments,custody, trade finance and electronic cash management services with elements of the business it conducts with international banks and broker/dealers in Canada.
The new unit, known as Global Integrated Solutions, will become operational on February 1. It will bring under one umbrella organization most of the transaction-based businesses provided to Royal Bank’s business clients through its Personal and Commercial, Wealth Management and Corporate and Investment Banking units and will employ approximately 2,000 people.
“Global Integrated Solutions brings together specialized businesses that already have strong client relationships, well established franchises and leading market positions,” said John Cleghorn, Royal Bank chairman and chief executive officer.
“By bringing them together under common management, we will strengthen our competitive position and provide a more integrated approach to client service.” If Global Integrated Solutions had existed throughout 1999, it would have had revenues estimated at over $550 million and net income of approximately $100 million in that year. Marty Lippert, vice-chairman and chief information officer will be responsible for the new unit.
-IE Staff