Overview of Banks in Luxembourg

Few might be aware that Luxembourg represents a leading global financial center reputed for its highly developed, stable, and diversified economy, with banking and financial services forming a key component of its macroeconomic structure. Therefore, it might be of some interest that consolidated banking assets exceed national GDP by no less than 15.60 times, which alone speaks volumes of the significance of banking to the country’s economy at large. To put things in a proper perspective, Luxembourg emerges as only the second largest investment fund center after none other than the U.S. itself.

Banking Segments:

Out of a total of 141 banks in Luxembourg by the year-end 2016, 137 have a universal bankingUniversal BankingUniversal banking, in contrast to traditional banking institutions, offers a wider range of banking and financial services, including insurance, development banking, investment banking, commercial banking, and other financial services.read morelicense, and four remaining banks in Luxembourg have a mortgage-bond banking license. One hundred twenty-five are foreign financial institutions comprising 79 subsidiaries and 46 branches of foreign banks. Only 20 of these 145 banks in Luxembourg are domestic, which should be enough to emphasize the significance of foreign banking and investment activities in the economy of Luxembourg. Furthermore, it would not be out of place to mention that the financial sectorFinancial SectorThe financial sector refers to businesses, firms, banks, and institutions providing financial services and supporting the economy. It encompasses several industries, including banking and investment, consumer finance, mortgage, money markets, real estate, insurance, retail, etc.read more makes up for no less than a quarter of the GDP.

Top Banks in Luxembourg

Let’s look at the top 10 banks in Luxembourg and know them in detail.

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#1 – Societe Generale Bank & Trust

This is one of the top banks in Luxembourg. Operating for nearly 120 years, it was originally set up as a branch of Société Générale Alsacienne de Banque. Earlier known as Luxe Banque Société Luxembourgeoise de Banque S.A., the bank was renamed as Société Générale Bank & Trust S.A. in 1995. This banking institution is reputed for its multi-specialist services, including securities services to institutional investors and private banking to high-net-worth individuals apart from corporate financing services in the E.U. countries and other parts of the world.

  • Balance Sheet Total (in EUR Million) as of year-end 2020: 168,179Annual Net Profit or Loss (EUR Million): 310.1

#2 – Banque de Luxembourg S.A.

Banque de Luxembourg S.A. offers a wide range of financial products and services. It has become one of the largest banks in Luxembourg, from professional banking services to asset managementAsset ManagementAsset management is a method of managing funds and investing in both traditional and specialized products in order to generate returns consistent with the investor’s risk tolerance. read more designed to meet customers’ specialized needs, both within Luxembourg and internationally. This bank in Luxembourg includes managing investment funds, stock market investments, portfolio management, and dealing in money marketMoney MarketThe money market is a financial market wherein short-term assets and open-ended funds are traded between institutions and traders.read more instruments, among other things. Banque de Luxembourg S.A. banks in Luxembourg also offer an entire range of wealth management services and private banking facilities. It is a subsidiary of Crédit Industriel et Commercial.

  • Balance Sheet Total (in EUR Million): 13,414.8Annual Net Profit (2016): 63.1 million

#3 – BGL BNP Paribas S.A.

Established in 1919 as Banque Générale du Luxembourg (BGL), it went on to become a subsidiary of BNP Paribas Fortis SA/NV in 2009. Banque Générale du Luxembourg (BGL) banks in Luxembourg offer a wide range of financial services to individuals, businesses, and institutional investorsInstitutional InvestorsInstitutional investors are entities that pool money from a variety of investors and individuals to create a large sum that is then handed to investment managers who invest it in a variety of assets, shares, and securities. Banks, NBFCs, mutual funds, pension funds, and hedge funds are all examples.read more, some of which include retail and corporate banking, wealth management, and corporate and institutional banking, along with an array of international financial services to meet diverse needs of their customers. This BGL BNP Paribas S.A.bank in Luxembourg boasts of Moody’s long-term credit rating of A1 (upper-medium grade), providing it a competitive edge as a global lender of repute.

  • Balance Sheet Total (in EUR Million): 33.933.3Annual net Profit (in EUR Million): 185.4

#4 – Banque et Caisse d’Epargne de l’Etat (BCEE)

Spuerkeess in Luxembourgish and Banque et Caisse d’Epargne de l’Etat (BCEE) in French, this wholly-owned subsidiaryWholly-owned SubsidiaryWhen a company’s almost all of the outstanding shares are owned by another company (parent) then it can be said that it is a wholly-owned subsidiary of that company and it is controlled by the parent company. For example, Walt Disney Entertainment owns 100% of Marvel Entertainment which produces movies.read more of the state of Luxembourg was founded way back in 1856. This banking institution is well-known for its retail banking and private banking services tailored to the customers’ individual needs. BCEE enjoys a long-term credit rating of Aa2 (high grade) as per Moody’s, showcasing the bank as a high-end lending institution.

  • Balance Sheet Total (in EUR Million): 43,444.7Annual net Profit (in EUR Million): 240.5

#5 – Banque Internationale à Luxembourg S.A. (BIL)

Founded in 1856, Banque Internationale à Luxembourg is the oldest private bankingPrivate BankingPrivate banking refers to a type of banking and financial service offered by certain banks only to high-net-worth individuals (HNWIs). Clients opting for this service are individually assigned a financial representative who personally takes care of their banking needs.read more group in the country, offering a variety of retail and corporate financial services and specialized private banking operations. Legend Holdings and the Luxembourg government own Banque Internationale à Luxembourg banks in Luxembourg with Moody’s long-term credit rating of A3 (upper-medium grade).

  • Balance Sheet Total (in EUR Million): 22,579.8Annual net Profit (in EUR Million): 129.8

#6 – Deutsche Bank Luxembourg S.A.

Deutsche Bank Luxembourg S.A. is a subsidiary of Deutsche Bank Aktiengesellschaft, founded as recently as 1970 and is a relatively new addition to the well-established banking industry of this country. They specialize in private wealth management, structured financeStructured FinanceStructured finance refers to the design and provision of financial products and services to satisfy complex financial requirements.read more, tailor-made lending solutions to businesses of various sizes, and assisting financial intermediariesFinancial IntermediariesA financial intermediary refers to a third-party, forming environment for conducting financial transactions between different parties.read more, investors, and issuers by fulfilling different financial roles.

  • Balance Sheet Total (in EUR Million): 51,787.4Annual net Profit (in EUR Million): 1.067.3

#7 – UniCredit Luxembourg

UniCredit Luxembourg S.A. was established in 1971 and offered an entire range of financial & credit solutions to small and medium-sized enterprises along with structured finance services. Other areas of focus include treasury and business services, providing asset management solutions, and developing specialized solutions for corporations, real estate clients, and equity funds. UniCredit Luxembourg is a subsidiary of UniCredit Bank AG.

  • Balance Sheet Total (in EUR Million): 20.271.7Annual net Profit (in EUR Million): 35.7

#8 – Intesa Sanpaolo Bank Luxembourg S.A.

Founded in Luxembourg as recently as 1976, Intesa Sanpaolo Bank Luxembourg S.A. banks in Luxembourg functions as a subsidiary of Intesa Sanpaolo Holding International S.A. The bank is well-known for offering personalized solutions in retail and commercial banking services. In addition, this bank also caters to varied needs of investment banking services for its clients. Earlier, the bank was known as Societe Europeenne de Banque S.A., and it was only in October 2015 the name was changed to Intesa Sanpaolo Bank Luxembourg S.A.

  • Balance Sheet Total (in EUR Million): 17.996Annual net Profit (in EUR Million): 122

#9 – NORD/LB Luxembourg S.A. Covered Bond Bank 

Founded in Luxembourg city in 1972, NORD/LB Luxembourg S.A. Covered Bond Bank offers an array of financial solutions, products and banking services in Luxembourg, Germany, Switzerland, the United States, and a number of European countries. It is focused on issuing covered bonds and offers the entire range of currency management services along with sales and loans, B2B client services, account and deposit management, among other things. Nord/L.B. Luxembourg S.A. Covered Bank functions as a subsidiary of NORD/LB Norddeutsche Landesbank Girozentrale and only changed its name to the current one in May 2015. It was earlier known as Norddeutsche Landesbank Luxembourg S.A.

  • Balance Sheet Total (in EUR Million): 15,936.2Annual net Profit (in EUR Million): 31.2

#10 – DZ Privatbank S.A.

A subsidiary of D.Z. Bank AG, DZ Privatbank S.A. was established in Luxembourg in 1977 and has earned a reputation for its robust banking services for private customers and corporations. In addition, it is involved in money market activities and foreign exchange transactions and offers a number of related services in keeping with the personalized needs of the customers. SZ Privatbank S.A. was previously known as D.Z. Bank International S.A. adopted the current name only in July 2010.

  • Balance Sheet Total (in EUR Million): 15.913.7Annual net Profit (in EUR Million): 11.3

We hope you liked this guide to top banks in Luxembourg. If you are looking forward to making a career in Banking, then you can check out some of the awesome resources –

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