In spite of loses incurred during the recent global financial crisis of 2008, Citigroup continues to grow – revenue in excess of 76 Billion USD, with over 200 million customers and 16,000 offices & locations in 190 countries worldwide it’s rather easy to see why this banking giant might be a wise binary options investment.

In its initial form, Citigroup can be traced back to the earliest days of New York City itself, where it was initially called “City bank of New York”, and was established in 1812; by 1895 it had become the largest US bank and became one of the very first banks to contribute to the new Federal Reserve when it was formed.

The bank invested heavily in some foreign economies, mostly those with interests in plantations, such as the Cuban sugar industry, but only opened its first foreign branch in Argentina a century after being established, in 1913.

By 1918 it had surpassed 1 Billion USD in holdings or assets, becoming the first US bank to do so, continued purchases and further expansion aided it in becoming the largest commercial bank in the world by 1929, Throughout the years, the bank made innovations to the services it offers, including some that we take for granted these days – Interest on savings accounts, unsecured personal loans and certificate of deposits, to name but a few.

In the 50’s and 60’s Citibank (which did not really get that name until 1976) continued its expansion, its certificates of US dollars being the first new instrument introduced to the London market since 1888, later introducing the world to what we now know as the credit card, initially known as the “everything card” or “charge card”, it would later become Mastercard, which, by the 70’s and 80’s would enable Citibank to become the largest issuer of credit and charge cards in the world.

But to get from Citibank to Citigroup we also need to include the company formerly known as “travelers group” – a financial services group which included a few insurance firms, real estate holdings broker firms and other financial interests.

The two companies merged in what can only be described as a complex financial marriage in April 1998, the end result was a financial colossus, with over 700 billion dollars in assets.

The new group had to navigate some rough waters early on, as regulations from the great depression era prevented banks from merging with companies offering other financial services such as insurance, the joint CEOs of the group expressed their “belief” that those regulations may soon change, and in a stunning “coincidence” that happened in in November 1999, officially opening the door to the newly formed giant.

In 2008 Citigroup felt its world crumbling around itself, as did most banks and financial companies in the US and the world, Citigroup’s downfall was mostly due to the fact that a great deal of its 90 Billion dollars a year mortgage business was defective to varying degrees.

When the crisis hit, Citigroup was forced to make extensive cuts to jobs and holdings, cutting over 23,000 jobs initially, but when 25 billion in government aid failed to “jump start” the bank, a further 50,000 jobs were cut, and eventually the staff cuts reached over 100,000 employees, roughly 35% of the company total at that time, with stock prices plummeting and the company’s worth shrinking with each passing day (from 244 billion to 20.4 billion at the lowest point) and shares being traded below $1, Citigroup was accepted a financial aid package worth over 300 billion dollars to help it avoid bankruptcy, the nearly unthinkable had happened – the financial giant was on its proverbial knees, begging for help, which it got.

Along with that help though came a series of limitations on anything from bank holdings and credit lines to employee salaries, all meant to aid in bringing the bank back to profitability.

While Citibank’s tale is quite real and far from legend, it does have a happy ending for owners, investors and customers, as the bank has been in a state of economic resurgence in recent years, managing to accumulate over 400 billion dollars in surplus cash and securities, in an aim to never again go through such a crisis.

As you may predict, with such a financial giant in play, trading in Citigroup binary options can be somewhat complex, due to the companies diverse assets and sources of income, any number of US and global economic events is very likely to impact it – housing prices, interest rates, employment rates and foreign trade all impact Citigroup to a certain degree, so they should all be considered when trading these binary options.

But if you invest properly you should avoid many pitfalls and your profits could surely be as diverse as Citigroup’s many investments.

citigroup