Internship Report MTB
Internship Report MTB
Internship Report MTB
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31 March, 2016
Riyashad Ahmed
BRAC University
Dear Sir,
This is to inform you that I have completed the report on doing my internship in Mutual
Trust Bank. The internship report gives a whole picture of the banks general history, my
duties as an intern and the financial analysis.
Therefore, I fully ensured to follow your instructions while completing this report.
However, I will be glad to clarify any mistakes that may rise.
Thank you.
Anika Bushra
ID-12104111
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Acknowledgment:
First of all I would like to thank the Almighty because without him we couldnt even think
to proceed in my work. I, Anika Bushra would sincerely like to thank my supervisor and
also my mentor Riyashad Ahmed. His continuous guidance and support helped me a lot
to understand my task and he kept helping me throughout the report.
I have tried my level best to understand what areas I need to cover and also do a
complete analysis of Mutual Trust Bank while I was an intern there. The datas were
collected through both primary and secondary sources; I collected the financial reports
of the respective bank from my banks supervisor, Md. Eftakhar Nahin from
Mohammadpur branch, Dhaka where I did my internship.
From the collection of datas to finishing the term paper, I constantly tried to do my
report sincerely. So, I would again thank all the people who assisted me to complete
this report.
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Table of contents: page no.
Executive summery................................................................................................5
Chapter one: general history of Mutual Trust bank................................................6-11
Objective of the report, history....................................................................7
Slogan, types of banking business.............................................................8-11
Hierarchy of Mutual Trust Bank(mohammadpur branch)...........................11
Chapter two: My experience as an intern in Mutual Trust Bank............................12-16
My job in general banking section of MTB.................................................13
Specific responsibilities at general banking department............................13
Different aspects learned from internship..................................................14
Critical observations during internship at MTB..........................................14-15
Motivation & practical learning from internship at MTB.............................15-16
Chapter three: Financial report analysis of MTB..................................................17-22
1.Return on equity capital (ROE)..............................................................18
2.Return on assets (ROA).........................................................................19
3.Net interest margin.................................................................................19-20
4.Net noninterest margin...........................................................................20-21
5.Net operating margin..............................................................................21-22
6.Earning per share (EPS)........................................................................22
My future career plan based on my internship....................................................23
Conclusion..........................................................................................................23
Bibliography........................................................................................................24
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Executive Summary:
In this internship report, I have discussed about Mutual Trust Banks general information,
history, financial statements and their progress than the previous year. I have chosen to
analyse the financial statement of 2014 &2015. I have given full descriptions which I
collected from the banks Mohammadpur branch, Dhaka. Also I have focused on their
income statements and balance sheet to provide a full picture.
To explain the financial conditions, I have done the ratio analysis. Both the analyses are
very accurate and are comparing the present year with the previous year. First, I did
ratios of the individual years to measure how the banks overall performance was in a
complete year. Then in the next step, I have done a comparison between the two years
individual ratios and tried to figure out whether the bank have grown from the previous
year or have done loss.
Also, I have been doing ratios which give us information about the current ratio, acid
test, inventory ratio, profit margin etc. By these, I was able to make comparison
between these two years and trying to figure out which year the bank did the best and
when the profit was the highest.
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Chapter One: General History of
Mutual Trust Bank
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Objective of the report:
To understand how banks in Bangladesh operated its business;
To learn about private banking rules & regulations;
To learn more about customers services practically;
To work under pressure;
To learn about general banking of MTB;
To work in real corporate environment;
To learn to work under senior officers and to understand corporate ethics.
History of MTB:
Mutual Trust Bank Ltd. (MTBL, the 3rd generation bank) has started its journey as a
private commercial bank on 29 September, 1999, under the Companies Act 1994, with
an Authorized Share Capital of BDT 1,000,000,000 divided into 10,000,000 ordinary
shares of BDT 100 each. At present, the Authorized Share Capital of the company is
BDT 10,000,000,000 divided into 1,000,000,000 ordinary shares of BDT 10 each. Under
Bangladesh banking system, there are three development phases- Nationalization,
Privatization and Financial Sector Reform. MTB is incorporated in Dhaka and is a sister
concern of MTB group. The Banks head office is located at Gulshan 1, Dhaka and it
has 103 branches.
The mission of Mutual Trust Bank was to be a client oriented company equipped with
cutting-edge technology and dynamic work force (Bank Info BD, n.d.). Also its vision is
to be expressed by the initiators was to build a perfect world-class bank in performance
and by choice of the people.
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Total Market Capitalisation 6,247,595,000
Face Value 10
52 Weeks Range 15.2-21.4
Free Float Shares 29.63%
Figure: 1 (Source: DSE Website)
SLOGAN:
YOU CAN BANK ON US
Wholesale Banking
Retail Banking
Privilege Banking
SME Banking
NRB Banking
Card Services
Treasury Operations
SME Banking:
Financing small and medium enterprises is helping to develop the economy of
Bangladesh. MTB has started SME banking in 2007. Since then, it has become one of
the leading SME Banks in Bangladesh. Within a span of 7 years, MTB has secured two
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highly prestigious awards: Women Entrepreneur Friendly Bank of the Year 2014 and
SME Bank of the Year 2014 at the SME Financing Fair-2014 organized for the first time
by Bangladesh Bank and SME Foundation jointly. MTB won the award for its
outstanding contribution to development of SMEs in Bangladesh. This banking offers
products like-
SME Loan products: it includes MTB SBL, MTB Digoon, MTB Krishi, MTB
microfinance, MTB green energy load, MTB IT genius etc.
SME Deposit Products: it offers MTB Probaho & MTB Buniad
MTB Women Entrepreneur: MTB-Bhaggobati and MTB-Gunabati, the two
innovative financial products for Women Entrepreneurs have strong presence in
the countrys credit market for their unique features and easy access financing
as MTB only bank that offers interest rate of 9% to the Women Entrepreneur.
MTB Agro finance: MTB is a provider to agro-enterprises in the year 2015 with
more innovative products and surprising opportunities.
NRB Banking:
MTB offers an array of deposit products in local currency for the NRBs who are residing
abroad and want to save their hard-earned money to utilize in future and facilitate their
family maintenance.
NRB FDR
NRB DPS A/C
NRB savings A/C
Card Services:
MTB provides Visa card to meet your financial needs and increase your buying power. It
offers:
Debit Card
Credit Card
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Discount Partners
Promotional offers
Treasury operations:
MTB treasury offers sophisticated solutions supported by a large sales force and a state
of the art dealing room in Bangladesh. It offers services like- money market, corporate
sales, foreign exchange etc.
Manager (Branch-In-
charge)
Deputy Manager
Clearing Accounts
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Officer 1 Officer 2
Chapter two: My Experience as an
Intern in Mutual Trust Bank
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My job in General Banking section of MTB:
I got the opportunity to work at the general banking department of MTBs
Mohammadpur branch. It is the starting point of all the banking operations. This
department provides multiple services like-opening accounts, issue pay orders, bank
statements, delivering debit & credit cards etc. Also, customers are given full
information on any type of queries regarding banking and also they can check their A/C
balance and collect account statements from here as well.
During my internship period, I have not only worked in general banking department but
also whenever any other department needed some help with their works, they would
call me. I was never officially transferred to any other department but still I got the idea
of other departments simultaneously. Also, I was assigned to explain about different
accounts & other questions of customers. This way I got to serve the customers directly
as well. Also, whenever any customer faced any difficulty like-writing deposit slips,
cheques or any other helps, I was always there to serve them. My activities and
contribution in the general banking department are given below more specifically:
Management skill: This was the most important and difficult skill that I got to
learn on general banking. Customers from different backgrounds with different
attitude would come to a bank on a daily basis. Not all were educated or had
much idea of how to open account. So I had to develop the skills of appeasing,
persuading and building good relationship with them. Also, many customers did
not provide all the documents that were required to open an account. Therefore, I
had to analyze who would give the documents later & whos going to be late in
submission. Another important lesson that I learned was that people are diverse
in their behaviours. So I have to deal with them according to their demands &
requirements and also have to maintain professionalism.
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Punctuality is a must while working in a bank because you have to be at office
before 10am and have to finish giving customer service within 4pm every day.
Becoming more social as I have made a good relationship with other employees
and with some clients also.
Making mistakes allowed me to learn more and also I became more careful not
to make the same mistakes again.
Patience is a must while dealing with any client because it is my duty to answer
every query of clients.
I was very much motivated by the work and the people of MTB, Mohammadpur branch.
Previously I only had academic learning which only gave me theoretical ideas. But
practical learning from working as an intern was so surreal. Because reality is affected
by different external factors & also human behaviour is unpredictable. So, the decision
making process was more complex & difficult. While I was doing my BBA, I did courses
like: Corporate finance, International finance market & securities analysis and portfolio
management etc. These helped me to learn about finance more & to analyses different
financial reports. Later when I started to work in general banking section, I got to learn
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how these learning can be used practically. Also I understood a lot about customers
needs & how to fulfill them. I did my second major in marketing which actually helped
me to convince customers to open savings account, FDR with us even when the FDR
rate was 5.25% for 3 months. So, the academic learning had helped me to overcome
many challenges that I faced while doing my internship.
I was fortunate enough to work with so many talented people in MTB. Everyone at the
branch helped me through my internship & also looked after me. I worked under Tazlin
Akter & Khan Fatema Awatef, who were in charge of the general banking section. They
always guided me in the office & gave me enough knowledge about how to work in this
section. They keep pushing me to the next level & helped me to understand things from
a whole new perspective. Whenever I made any mistake or failed to understand, they
used to talk through me nicely & helped me so that I can improve myself. Overall,
without the support of my colleges, I could have never completed my internship so
successfully.
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Chapter Three: Financial Report Analysis of
MTB
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After working in Mutual Trust Bank for 3 months as an intern I collected the financial
reports of 2014 & 2015 of MTB to analyze the current financial statuses. Also I have
compared between these 2 years to figure out whether the bank has grown the profit or
not.
Interpretation: In 2015 the common shareholders have earned 15.28% for every
100TK investment in the bank. Compare to 2014, 7.91% more have been earned in
2015. Proportionate change in net profit was higher than proportionate change in total
common equity.
Time series analysis: In 2015 the MTBs performance is gradually increasing.
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2. Return on assets (ROA):
Interpretation: In 2015, every 100TK worth of total assets generated 0.937TK net profit.
Also, compare to 2014, 12.56% profit was generated more in 2015. Proportionate
change in net profit was higher than proportionate change in total asset.
Time series analysis: In 2015 the MTBs performance is gradually increasing.
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Interpretation: In 2015, MTBs has earned more money due to interest expenses than
was earned from investments. The bank has also grown 414.49times more in 2015 than
2014.
Interpretation: In 2015, MTBs has earned less money due to interest expenses than
was earned from investments. It could have paid off the debt from the interest income
rather than investing. That is why it has grown -0.253% less than 2014.
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6. Earning per share (EPS):
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My future career plan based on my internship:
I have done my major in finance & marketing. Therefore, banking sector always looked
a lucrative place for me. After working in MTB, Im planning to pursue my career in
banking sector as this sector immense opportunity. Not only I can know more about the
financial condition of our country but also it will give me a chance to work directly with
customers. There is also a work life balance which will give me enough flexibility to work.
The appreciation I got from my supervisor & co-workers encouraged me to work harder.
I am now more confident & motivated than I ever was. Thus it will be my pleasure to join
MTBL or any other renowned bank in future.
Conclusion:
I was fortunate enough to start my working experience in MTBL which is one of the
leading commercial banks in Bangladesh. The practical knowledge that I gathered from
here will always help me to move forward in my career. Now I realize that Internship
training is necessary to complete my theatrical knowledge & to learn about the real
working environment. So, I would once again thank BRAC University & MTBL for giving
me this huge opportunity of learning.
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Bibliography:
MTBL. MTB Annual Report . Dhaka: MTB, 2014.
Peter S.Rose, Sylvia C.Hudgins. Bank Management & Financial Services. New York:
Mc Graw Hill, n.d.
About Us: Mutual Trust Bank. (n.d) Retrieved from Mutual Trust Bank web
site: http://www.mutualtrustbank.com/about-us/mtb-profile/
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