Strong economy boosted trust funds held by banks

Funds held by trust departments of universal and commercial banks grew at a double-digit pace in the first semester, according to the Bangko Sentral ng Pilipinas. PHOTO BY RICK ALBERTO

MANILA, Philippines—Funds held by trust departments of universal and commercial banks grew at a double-digit pace in the first semester, as the expanding economy prompted more people to engage in portfolio investments.

Data from the Bangko Sentral ng Pilipinas showed that funds placed in and managed by trust departments of large banks amounted to P2.94 trillion by the end of the first semester, up by nearly 18 percent from P2.5 trillion as of the same period last year.

Officials said the rise in the amount of money placed in trust departments indicated rising incomes within the economy, as well as sustained confidence of the public in the country’s banking sector.

Universal and commercial banks registered a total net income of P55.15 billion in the first half, up by nearly 19 percent from P46.47 billion in the same period last year.