2022 Performance and Synergy Realization
Better performing YoY for most strategic fee products, except MF fee
Breakdown Strategic Non-NII Products
Bancassurance fee * (Included ttb broker)
THB million
tub
1,579
Mutual fund fee
433
TF and FX fee
+5% QoQ
+11% YoY
1,325
1,613
1,671
1,758
6,368 +9% YoY
5,847
2,448
-4% QoQ
-34% YoY
-47% YoY
1,299
393
322
299
286
-9% QoQ
-1% YoY
1,558
1,687 +8% YoY
404
448
400
440
400
LG fee
+2% QoQ
547
573
+9% YoY
139
138
136
148
151
Loan-related fee
+5% YoY
+66% YoY
-9% QoQ
336
+280% YoY
203
23
66
89
95
86
4Q21
1Q22
2Q22
3Q22
4Q22
2021
2022
■ 2022 strategic fee engines improved YoY, boosted by BA fee and other
strategic commercial fees.
•
However, MF fees remained a challenge and still suffered from weak
market sentiment and is the key reason of YoY drop in net fee income
while other fee engines showed recovery trend.
Retail fees: Bancassurance maintained good momentum on the
back of foundation upgrade, changing service model, offering
variety product mix. Auto-bancassurance also showed good
traction in 4Q22 during Motor Expo in November.
Commercial fees: Overall flagship commercial fees continued to
grow YoY. Growth in loan related fee was aligned with better
business volume following country reopening. TF and FX fee
increased from high customers' volume when compared to
previous year. However, with Thai Baht appreciation to its
strongest level in December 22, exporters started to delay hedging
activities. Moreover, Thailand's export and import volume dropped
from 3Q22. As a result, FX fee in December declined.
In 2023, the Bank plans to capture potential cross-selling opportunity
from Merged Bank's customer base and enhance alternatives fee
incomes from ecosystem's initiatives towards new digital sales and new
service model platform. Commercial fees would come from converting
acquired loans to fee income to improve fee-to-assets.
*TMBThanachart Broker (ttb broker), our fully owned subsidiary - operating non-life brokerage business, has become increasingly important to auto car insurance.
The plan is to move car insurance renewal to service at ttb broker and improve sale efficiency in branch staffs.
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