In recent years, this triumvirate has served the bank pretty well. In Q1 2004, SG CIB generated E329m net income (up 14.6% on Q4 2003) and a return on equity (ROE) of 36.3% (up from 31.7% in Q4 last year). Its contribution to group profit has risen from 36% in 1999 to 43% last year, while its share of group risk weighted assets has declined from 41% to 30% over the same period.
Jean-Pierre Mustier, CEO of SG CIB since January 2003, says that this has been achieved through the firm’s focus on specific products and geographies. But while SG CIB is not trying to be all things to all people and though many see it as a derivatives specialist – largely based on its dominance of the equity derivatives business and its structuring expertise – SG CIB is more than a derivatives house. It has built a business on three core areas: euro capital markets, derivatives and structured finance.
