Share Price Analysis of a CoRPORATE ACCOUNTING Company

Running head: CORPORATE ACCOUNTING
Corporate Accounting
Name of the Student:
Name of the University:
Author’s Note

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CORPORATE ACCOUNTING
Table of Contents
1. Description of the Company:.......................................................................................................2
2. Identifying the company in terms of ownership-governance structure:......................................2
3. Providing graphs with description of the results:........................................................................3
4. Identifying any significance factors that influences share price of the organisation:..................5
5. Performing scenario analysis:......................................................................................................5
6. Providing the letter of recommendation:.....................................................................................6
References and Bibliography:..........................................................................................................8

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CORPORATE ACCOUNTING
1. Description of the Company:
Commonwealth Bank is considered to be one of the major financial institutions in
Australia, where the company provides services such as Global wealth management, Private
equity, Mortgages, Corporate banking, Investment banking, Investment management, Credit
cards, Finance Consumer banking and Insurance. The operations of Commonwealth Bank reach
countries like Australia, New Zealand, Asia, the United States and the United Kingdom, where
all the relevant financial services are provided to the customers. The company was mainly
formed in 1911 as a government bank, where during 1991 it was changed to public company and
was listed in the capital market of Australia. the headquarters of Commonwealth Bank is in
Darling Harbour, Sydney, Australia from where it monitors different subsidiaries such as
Sovereign Limited, Commonwealth Securities, CommInsure, Bankwest, ASB Bank, and
Colonial First State Banks for delivering the financial services to different customers
(Commbank.com.au, 2019). The organisation has been the main promoters of financial service in
Australia, where they maintain different divisions such as Retail Banking Services, International
Financial Services, Business Banking, Private Banking, Institutional Banking, and Wealth
Management.
2. Identifying the company in terms of ownership-governance structure:
The analysis of the annual report has mainly indicated that only HSBC Custody
Nominees has a substantial shareholding of 22.38% in Commonwealth bank, while no other
companies or individuals own a shareholding pattern of more than 20%. The analysis has also
indicated that the no family member of the organisation holds any shares, as the company was
owned by government and then listed as public company. The organisations like J P Morgan
Nominees Australia and Citicorp Nominees Pty Limited owns shares of Commonwealth Bank

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CORPORATE ACCOUNTING
for more than 5% of the total outstanding shares, which makes it a non-family company
(Commbank.com.au, 2019).
The board combination of Commonwealth bank does not comprise of family member,
which is depicted as follows.
 Executive Director (Matt Comyn)
 Independent Non-Executive Director (Professor Genevieve Bell)
 Independent Non-Executive Director (Paul O'Malley)
 Independent Non-Executive Director (Wendy Stops)
 Independent Non-Executive Director (Rob Whitfield)
 Independent Non-Executive Director (Chairman) (Catherine Livingstone AO)
 Independent Non-Executive Director (Shirish Apte)
 Independent Non-Executive Director (Sir David Higgins)
 Independent Non-Executive Director (Mary Padbury)
 Independent Non-Executive Director (Anne Templeman-Jones)