Comparing TD Bank And CIBC

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Comparison of the TD Bank and CIBC. TD and CIBC are both banks that originate in Canada and are both private financial institutions that both are required to have an account in the Canadian central bank, the Bank of Canada, they both provide financial services to their customers, like giving loans, allowing customers to open demand and savings accounts, and allow customers to manage their wealth. But they have differences, size of assets, customer base, asset allocation and international exposure. According to (TD, 2024) TD provides financial services to over 27.5 million customers worldwide, compared to CIBC who according to (CIBC, 2024) has 14 million customers worldwide. According to (TD, 2023) as of 2023 TD Bank has $1,928 billion CAD in …show more content…

Then as shown in the above graph (Figure 2) during the year of 2023, the inflation rate in January of 2023 decreased by 0.4% from 6.3% in December of 2022 to 5.9%, then it further decreased down to 3.1% in November of 2023. Then by January 2024 the inflation rate decreased slightly by 0.1% down to 3%. These changes in inflation rates can be explained by their corresponding bank rates. The bank rate directly affects the inflation rate in an inverse manner, meaning that if the bank rate were to increase the inflation rate would decrease and vice versa. As shown in (Figure 2) the bank rate during January 2022 the bank rate was a staggering 0.5%, which resulted in the corresponding inflation rate, then the bank rate kept steadily increasing but only really influenced inflation once it surpassed 2% in August 0f 2022. Then as the bank rate rose the inflation rate started to plummet until reaching 3.1% with a bank rate of 5.25% in January of 2024. Using the above data, I can infer that the Bank of Canada handled the situation fairly well as they used their control over the bank rate, also known as the overnight rate in Canada. Well, they increased the rate which decreased the amount of things a Canadian citizen could rightly

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