Tochterbanken

Tochterbanken, also known as subsidiary banks or daughter banks, are financial institutions that are owned by a larger bank or financial group. They operate under the umbrella of the parent bank, sharing its brand, resources, and sometimes even its regulatory oversight. Tochterbanken are established to expand the parent bank's market reach, enter new markets, or diversify its product offerings. They can be located in the same country as the parent bank or in different countries, facilitating international expansion. Tochterbanken can operate as separate legal entities or be integrated into the parent bank's operations. They often share the parent bank's risk management and compliance frameworks, but may also have their own management teams and operational structures. The relationship between a parent bank and its Tochterbanken can vary, ranging from close collaboration to more autonomous operations.