TOP 30 FINANCIAL INSTITUTIONS INDEX

This year’s Top 30 Financial Institutions Index sees the return of Mercedes-Benz Financial Services, claiming 23rd place. There were no other new additions to the Index this year. Last year there were three new additions.

The Top 30 have once again grown their total asset bases, this year by $44,266m from $557,606m in 2019 to $601,873m in 2020. This is a 7.9 per cent increase compared to the 4.0 per cent increase from 2018 to 2019.

Once again, the top bank is ANZ, holding assets of $169,416m which has increased by 6.5 per cent from its 2019 total asset value of $159,012m. ANZ sits comfortably at the top spot with a $60,304m gap in total asset values between first place and second place (BNZ). Furthermore, ANZ also outpaces all other banks in terms of profit and equity.

The second spot in the Index is BNZ for the second year in a row, with total assets of $109,112m. This is an increase of 9.1 per cent from total assets of $99,991m in the previous year.

Westpac and ASB are the next top financial institutions with $106,762m and $105,212m of total assets respectively. This year has seen them trade third and fourth places between themselves, with Westpac overtaking ASB in the current year, after reporting total assets of $96,656m and $98,467m in 2019 respectively.

All of the big four banks: ANZ, BNZ, Westpac and ASB have seen an increase in their total assets of 6.5 per cent, 9.1 per cent, 10.5 per cent and 6.9 per cent respectively.

Of the big four banks, ANZ and Westpac have the two highest return on assets ratios, both of 1.1, while BNZ and Westpac have the highest return on equity ratio of 13.3.

Kiwibank has retained its fifthplace spot with total assets of $25,510m. Kiwibank’s total assets have increased by 12.2 per cent from $22,734m in 2019.

Cumulative profits for the top 30 financial institutions have decreased by 7.5 per cent from $6503m in 2019 to $6014m in 2020.

Of the top four financial institutions, only Westpac has increased its profit year-on-year, increasing 1.1 per cent from $1117m to $1129m. ANZ reported a decrease in profit from $1953m to $1819m (-6.9 per cent), BNZ reported a decrease in profit from $1029m to $1022m (-0.7 per cent) and ASB has decreased profit from $1274m to $958m (-24.8 per cent). Cumulative equity has increased by 5.7 per cent from $47,263m in 2019 to $49,934m in 2020.

The top 10 financial institutions have remained the same 10 entities from 2019 to 2020.

HSBC has reclaimed eighth place after dropping to ninth in 2019. This is due to a 10.1 per cent increase in total assets. HSBC’s total assets have increased from $6030m in 2019 to $6642m in 2020.

MUFG Bank has claimed ninth place in 2020 (up from tenth in 2019), reporting an increase in total assets of 21.0 per cent from $5383m in 2019 to $6516m in 2020.

AMP life has increased total assets by 3.5 per cent to $6315m from $6100m in 2019 and is ranked tenth this year (down from eighth in 2019).

It is noted that certain financial institutions may have released unaudited earnings announcements that are not reflected in the indices or commentary above.