My first Publication ocbc_ar17_fullreport_english | Page 140

MANAGEMENT DISCUSSION AND ANALYSIS
(OCBC Group – As at 31 December 2017)
NON-INTEREST INCOME
Fees and commissions
Brokerage
Wealth management
Fund management
Credit card
Loan-related
Trade-related and remittances
Guarantees
Investment banking
Service charges
Others
Sub-total
Dividends
Rental income
Profit from life assurance
Premium income from general insurance
2017
S$ million 2016
S$ million
+/(-)
%
72
852
108
161
292
217
19
94
101
37
1,953 65
588
99
159
304
209
20
63
95
36
1,638 11
45
10
1
(4)
4
(4)
50
5
1
19
76
83
877
150 101
91
499
150 (25)
(8)
76
–
Other income
Net trading income
Net gain from investment securities
Net gain/(loss) from disposal of subsidiaries and associates
Net gain from disposal of properties
Others
Sub-total 515
431
33
57
38
1,074 529
198
(18)
161
88
958 (3)
118
279
(65)
(57)
12
Total non-interest income 4,213 3,437 23
Fees and commissions to total income ratio
Non-interest income to total income ratio 20.3%
43.7% 19.3%
40.5%
Non-interest income was 23% higher at S$4.21 billion for 2017 as compared with S$3.44 billion a year ago.
Fee and commission income rose 19% to S$1.95 billion. This was largely driven by a 45% increase in wealth management fee
income. Investment banking, fund management and trade-related fees were also higher year-on-year. Net trading income, primarily
treasury-related income from customer flows, was S$515 million, a decline of 3% from S$529 million. Net realised gains from the sale
of investment securities were S$431 million as compared to S$198 million a year ago, while net gains from the sale of properties of
S$57 million were lower from S$161 million in 2016. Profit from life assurance was 76% higher at S$877 million as compared to
S$499 million, achieved through Great Eastern Holdings’ strong underlying business growth and higher investment income from
realised gains due to favourable market conditions.
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OCBC ANNUAL REPORT 2017