Corporate Banking in Italy

RAROC profiles and pricing benchmarks for 2 Italy banks, sourced from Pillar 3 disclosures.

Overview

OpenRAROC tracks 2 banks headquartered in Italy with a combined corporate credit exposure of EUR 321bn. The average Italy bank in our dataset has a cost-to-income ratio of 40.1% and an average corporate probability of default of 4.32%. On a representative BBB+ EUR 25M 5-year term loan, these banks generate an average RAROC of 6.72%.

Cheapest vs most expensive in Italy

On the standard sample deal, Intesa Sanpaolo is the cheapest lender in Italy, requiring just 269bp to hit a 12% RAROC hurdle. The most expensive is UniCredit at 269bp — a difference of 0bp on the same deal. For a EUR 25M facility, that's EUR 256 per year in interest expense.

All 2 banks ranked by RAROC

RAROC computed on a representative BBB+ rated, 5-year, EUR 25M term loan at 150bp spread. Click any bank for its full profile.

#	Bank	C/I	Avg PD	LGD	EAD	RAROC	Min spread
1	Intesa Sanpaolo	42.2%	4.13%	39.3%	EUR 138bn	6.76%	269bp
2	UniCredit	38.0%	4.52%	32.1%	EUR 183bn	6.68%	269bp

Other countries