Magazine : Archives : 2nd Quarter 2006

Growing the Bank

If the purpose of a publicly owned company is to provide a satisfactory return to its shareholders—and if the report card for management and the board of directors is the company's stock price—then wouldn't it be great if you could isolate the one key factor that helps shareholder value grow the most? In a consolidating industry that seems to place great importance on both scale and diversification, you might think that size or an unusually high percentage of fee income would be fertile drivers. Or perhaps, in a business that has become highly competitive and increasingly commoditized, being a low-cost...