V - Retail Interview Questions and Answers

Banks can explore alternate revenue models such as fee-based services, digital banking, cross-selling, and partnerships.

• Offering fee-based services like wealth management, insurance, and advisory services can generate additional income.

• Emphasizing on digital banking services can attract more customers and increase revenue through transaction fees and service charges.

• Cross-selling products and services to existing customers can boost income, for example, offering loans to cust...read more

Internal risk rating is determined by the organization itself, while external risk rating is provided by external agencies or experts.

• Internal risk rating is based on the organization's own assessment of risks and vulnerabilities.

• External risk rating is provided by third-party agencies or experts who evaluate the organization's risk profile.

• Internal risk rating considers factors specific to the organization, such as its internal controls, processes, and historical data.

• Extern...read more

A K-shaped recovery refers to an economic recovery where different sectors or groups experience diverging trajectories.

• In a K-shaped recovery, some sectors or groups of people experience rapid growth and recovery, while others continue to struggle or decline.

• This divergence can be seen in the stock market, where certain industries like technology and e-commerce thrive while others like travel and hospitality suffer.

• The K-shaped recovery also highlights the growing wealth and ...read more

High average system liquidity level indicates ample availability of funds for financial transactions.

• High liquidity level means more funds are available for financial transactions

• It indicates a healthy financial system

• It can lead to lower borrowing costs for banks and businesses

• It can also indicate a low risk of default on loans

• Examples of factors that can affect liquidity levels include government policies, economic conditions, and market trends

Yes, a large forex reserve is good for our country.

• A large forex reserve provides stability to the economy

• It helps in managing the balance of payments

• It can be used to support the currency in case of a crisis

• It can attract foreign investment

• Examples of countries with large forex reserves are China and Japan

Internal and external ratings may differ due to different methodologies, data sources, and subjective judgments.

• Internal ratings are based on the bank's own assessment of creditworthiness, while external ratings are provided by independent rating agencies.

• Internal ratings may be more conservative or optimistic than external ratings, depending on the bank's risk appetite and credit culture.

• External ratings may be influenced by market perceptions, issuer relationships, and conf...read more