hsbc most valuable bank brand

By International Adviser, 1 Feb 12

HSBC has displaced Bank of America as the worlds most valuable bank brand, according to the Brand Finance Banking 500 report, released today.

The annual study was first published in 2006 and incorporates data from listed companies globally, awarding ratings based on the strength, risk and future potential of brands relative to their competitors.

It also calculates “brand values”, which reflect the financial strength of brands.

This year’s report awarded a brand value of $27.59bn to HSBC, taking it ahead of Wells Fargo on $23.23bn and Bank of America, which fell two places to third, on $22.9bn (see table below).

A change in focus from developed to developing markets and a series of cost-cutting measures at HSBC leave it “well-prepared for the shift in economic power between the different regions of the world,” the study noted. “As a result its brand value could well grow over the next year.”

Despite HSBC’s strong performance, the report painted a bleak picture for European institutions more generally. Just five banks from the region appear in the top 20, compared with eight from North America, and seven from the Bric countries (Brazil, Russia, India and China) combined.

“2012 is set to be a landmark year politically with the US election in November and polls in Germany and France too,” said David Haigh, the chief executive officer of Brand Finance.

“In this context the eyes of the world will be examining the brand value of financial institutions, as an indicator of broader financial health of their respective nations.”

Rank 2012	Rank 2011	Bank	Country	Brand Value ($bn)	Brand Rating
1	3	HSBC	UK	27.59	AAA
2	2	Wells Fargo	US	23.23	AA+
3	1	Bank of America	US	22.9	AA+
4	4	Santander	Spain	19.97	AAA-
5	5	Chase	US	18.96	AA+
6	9	Citi	US	18.64	AA+
7	13	American Express	US	18.23	AAA-
8	12	BNP Paribas	France	16.8	AA+
9	6	Bradesco	Brazil	15.69	AAA-
10	10	China Construction Bank	China	15.46	AA
11	8	ICBC	China	15.16	AA+
12	7	Barclays	UK	13.55	AA+
13	11	Itaú	Brazil	13.17	AA
14	14	Deutsche Bank	Germany	12.9	AA+
15	17	Bank of China	China	12.86	AA-
16	18	JP Morgan	US	11.6	AA+
17	19	Sberbank	Russia	10.77	AA+
18	23	Agricultural Bank Of China	China	9.93	A+
19	16	Goldman Sachs	US	9.33	AA+
20	28	Royal Bank Of Canada	Canada	8.65	AA+