Barclays 2013 Annual Report Download - page 37

Balanced Scorecard
Helping people
achieve their
ambitions in the
right way
Customer and client
Becoming the ‘Go To’ partner for our clients is about building strong
and deep relationships which enable us to support them in achieving
their ambitions. To attain this aim we are focused on:
 Building strategic relationships with our clients by providing
long-term solutions
 Providing a world-class client experience through the calibre of
our people
 Offering seamless and efficient execution of transactions
 Developing the highest standards of client conduct through an
enhanced product suitability framework
In 2013, we were named the best Flow House in Western Europe, the
Best Flow House in North America and the best UK investment Bank
by Euromoney.
The Investment Bank is a leading provider of advice,
financing and risk management solutions to companies,
governments and institutions around the world.
Market and operating environment
Market conditions and the wider operating environment have remained
challenging in 2013. While equity markets, advisory and underwriting
all saw gains, continued macroeconomic uncertainty over the future of
central bank bond buying programmes led to reduced volumes in Fixed
Income markets. At the same time, the implementation of Basel III and
new leverage ratios is increasing the constraints on capital allocation
across the industry, thereby limiting opportunities for business growth.
Business Model risks
A rapidly evolving regulatory environment combined with a subdued
macroeconomic environment has impacted the profitability of capital
intensive business lines.
To help mitigate this impact we have been actively rebalancing our
business model through growth in Equities and Investment Banking
and further intensifying focus on capital management, leverage and
the reduction of our Exit Quadrant assets. We continue to keep our
business model under review.
The Investment Bank still faces litigation risk and we continue to invest
time and resources in strengthening our control environment, evolving
our culture and simplifying and de-risking products.
Our business relies on the quality of our people, and so we also
continue to reinforce our employee value proposition through a focus
on learning and development and, in light of global compensation
legislation, reiterating our commitment to pay for performance.
Contributing to income by
We generate revenue in many different
ways, depending on the services we
provide to a client. We may charge for our
knowledge and expertise, our platform,
our capital, or a combination of the above.
That can include fees for our advice,
commission for underwriting financing
transactions, interest on loans to
corporates or other banks, or the price
spread on client trades, amongst other
things.
Sustaining business by
We seek to build long-term sustainable
relationships with our clients by working
with them as a strategic partner. We
provide solutions that are in their best
interests over the longer term.
We continue to evolve our products and
services in line with changing client
expectations, changing regulation and
technological advances to ensure we
continue to meet and exceed the needs
of all our stakeholders in a continuously
changing environment.
Contributing to strategy
The Investment Bank aims to be the ‘Go-To’ partner for corporate, institutional and sovereign clients, by combining
expert insight, advice and market leading execution capabilities to deliver the products and services they need to
invest, grow and manage risk.
Through our client focused flow business model we provide diversity of income and diversity of risk to Barclays, and
are able to deliver market execution services for retail, wealth, institutional and corporate customers.
Bring diverse benefits…
 Holistic solutions to meet clients’ global
needs
 Efficient execution and pricing
 Expert insight and knowledge
 High quality, streamlined client experience
 Reduced variability of income and risk
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