In recent years, we have seen the rich get even richer as banks consolidate through mergers and acquisitions. This has allowed them to become stronger institutions as they can better leverage their assets and equity. Here is a list of the top 10 richest banks in the USA in terms of assets.
10. PNC Financial Services Group – $299.71 billion
PNC Financial Services can trace its roots to the Pittsburgh Trust and Savings Company, which was established in Pittsburgh in 1852. In 1863, it became the first bank to receive a national charter under the National Banking Act. It changed its name to the First National Bank of Pittsburgh. After several mergers and acquisitions, it became known as the Pittsburgh National Bank under the Pittsburgh National Corporation. In 1982, it merged with the Provident National Corporation to become the PNC Financial Corporation. The bank has a presence in 19 states and employs almost 52,000 people.
9. HSBC North America Holdings – $317.48 billion
HSBC North America Holdings is the holding company for all of HSBC’s American and Canadian businesses. It serves more than 60 million clients in personal financial services, consumer finance, commercial banking, private banking and corporate investment banking. It is based in Prospect Heights in Illinois. It offers its financial products and services under the HSBC, HFC and Beneficial brands.
8. Bank of New York Mellon – $330.49 billion
The Bank of New York Mellon Corporation, or BNY Mellon, was established in 1784 as the Bank of New York, making it the oldest banking corporation in the United States. It employs more than 48,700 people, with over $1.4 trillion in assets under management and $27.69 trillion in assets under custody, making it the largest deposit bank in the world. Its services include advisory services, asset servicing, asset management, issuance services, broker-dealer, treasury services and wealth management. It was the first company ever traded on the New York Stock Exchange when it opened in 1792. It became BNY Mellon in 2006 after it merged with the Mellon Financial Corporation, making it the largest asset management and securities servicing company in the world.
7. U.S. Bancorp – $353.13 billion
The U.S. Bank was actually formed back in the 90s after the purchase of several major banks in the West and Midwest regions. The first time its name appeared, however, was way back in 1891 as the United States National Bank of Portland. It can also trace its roots from banks in St. Louis in 1850, Milwaukee in 1853, Cincinnati in 1863 and Minneapolis in 1864. It employs more than 63,000 people and serves over 15.8 million clients. It has 3,080 branches and 5,085 ATMs spread over 25 states. It offers consumer banking, wealth management, wholesale, trust and global payment services.
6. Morgan Stanley – $748.51 billion
Morgan Stanley started out in 1935 after the passing of the Glass-Steagall Act that required the separation of commercial and investment banking businesses. J.P. Morgan & Co. chose commercial banking, prompting some of its employees, namely Henry S. Morgan and Harold Stanley to form Morgan Stanley. It currently has a presence in 42 countries. It employs 60,000 people spread over 1,300 offices. Some of its services include investment banking, asset management, commercial banking, prime brokerage, investment management, commodities and retail brokerage.
5. Goldman Sachs Group – $948.98 billion
Marcus Goldman and Samuel Sachs established the Goldman Sachs Group in 1869. It employs more than 32,600 people and offers mergers and acquisitions advice, underwriting services, asset management, private equity and prime brokerage. Its clients include individuals, corporations and governments. Is considered as one of the top investment banks in the world, though it has gotten a lot of flak for controversial and improper practices during the height of the recent financial crisis that hit the world market.
4. Wells Fargo & Company – $1.33 trillion
Wells Fargo & Company was established in 1852 in New York City. It has more than 9,000 retail branches and 12,198 ATMs spread over 39 states and the District of Columbia. It employs more than 270,000 employees and serves over 70 million clients. The company was actually purchased in 1998 by the Norwest Corporation from Minneapolis, but the latter decided to keep the Wells Fargo name to take advantage of its long history and name. In 2008, the company also bought Wachovia from Charlotte. The company’s headquarters are located in San Francisco.
3. Citigroup – $1.91 trillion
The Citigroup came about after the merger of Citicorp and Travelers Group in 1998. It can trace its roots to 1812 when Citicorp was first established. It currently has a presence in 140 countries around the world with 16,000 offices. It employs around 260,000 people and serves over 200 million customer accounts. The group took a beating during the 2008 financial crisis, forcing it to seek a massive stimulus package from the US government. It was able to repay in full by 2010. It has since become one of the best capitalized financial institutions in the world.
2. Bank of America Corp. – $2.16 trillion
Bank of America came about after the purchase of BankAmerica by NationsBank of Charlotte in 1998. It was the largest bank acquisition at the time. It took the name of Bank of America to take advantage of its name and history, as it can trace its roots all the way back to 1904 as the Bank of Italy. After its 2008 purchase of Merrill Lynch, it became the largest wealth management corporation in the world and one of the major players in the field of investment banking. In 2009, it was estimated that Bank of America held 12.2 percent of all bank deposits in the US. It has an office in all 50 states and the District of Columbia, as well as in 40 other countries. It employs more than 272,600 people and serves 57 million clients.
1. J.P. Morgan Chase & Co. – $2.29 trillion
J.P. Morgan Chase came about after the merger of J.P. Morgan & Co. and Chase Manhattan Corporation in 2000. It then bought Bank One, Bear Stearns and Washington Mutual over the course of four years. J.P. Morgan is used for investment banking services, while Chase is used for commercial banking and credit card services. It has one of the largest hedge funds in the country. It employs almost 259,000 people and it is considered as the second largest public company in the world.