Citigroup’s oldest business, Citi Services, is finally getting the attention it deserves. This division has been responsible for moving money globally for companies and safeguarding the assets of major investors for many years, accounting for half of Citi’s total profit. Despite its importance, this division has often been overshadowed by other parts of Citi’s vast portfolio such as credit cards and trading activities.
To give more visibility to Citi Services, the bank recently hosted investors for a full day of presentations. Investors had the opportunity to learn about the different functions of Citi Services, including liquidity management and payments, international trade services, and securities services. This division serves some of the world’s largest multinational companies and investment managers with a focus on companies with operations globally.
Analysts believe that Citi Services is a key value driver for Citigroup, estimating the division to be worth billions of dollars. Despite challenges faced by Citi in the past, Citi Services has remained stable and continues to deepen its connections with the global economy. As part of CEO Jane Fraser’s recovery plan, Citi is looking to expand its customer base within Citi Services and provide more advisory services to clients.
Investors and analysts have been impressed by the performance of Citi Services, with annual revenue growth and high returns compared to Citi’s overall performance. Many were unaware of the division’s achievements such as increasing deposits during the 2008 financial crisis. As Citi continues to focus on digital payments and global supply chain shifts,
