SWOT Analysis Opportunities The Canadian Imperial Bank is placed extremely well with a significant and assured customer base from the level of the government and the public sector business. Many government parties will do business with CIBC because they know that the profits of the Bank belong to the people of the country and are used for the country’s development. Business with the bank is seen to create value and opportunity within the communities economy. The availability of modern telecommunication systems and technology will facilitate the improvement and strengthening of the Bank’s international business and ATM services, and the development of new services, such as telephone banking. The increased access to computers by customers will allow the bank to reach more target groups through electronic communication.
to regulate and make the standards of bank control operations more realistic, increasing the banks financial positions has increased the interest of banks boards of directors and made appropriate financial decisions , banks capital more effective in the control , because of the agreed style of components and elements of financial institutions , everyone has the ability to create a quick idea . criteria for obtaining a safety degree are applied to reduce risk , disadvantages , not to control , bring workers animate experience weak , the presence of tension and conflict because of participating with others , lack of production due to differences vision in teamwork , as for the disadvantages first than , The balance between risk and return leads to an increase in the price of securities and reduces the cost of capital . second , Leads to greater variation in the distribution of incomes and wealth. third , The emergence of continuous economic fluctuations . fourth , Use the exorbitant money to advertise and advertise in order to promote goods and they actually do not express the truth .
The other classification, reinvestment risk means “the returns on funds to be reinvested will fall below the cost of funds” (Cornett, Lange & Saunders 2013). As discussed above about expansion to the investment banking business, Wellfleet can orchestrate syndicated loans and leveraged loans through its investment banking businesses, so that several banks together have the ability to take larger loans for profits with more currency than that of only one financial institution. But interests of the loans are possible to be lower than the funds reborrowed by Wellfleet, in which condition would lose money and this operation would be failed. Proposal Assumptions: • Counterparty: Gatwick Gold Corporation (GGC) – a large gold producer • The counterparty is rated 5B by Wellfleet’s internal rating model and credit committee. This translates to (Probability of Default) PD = 0.39% • Product Type: syndication.