Allfinanz,bancassurance and the future of banking

The purpose with this paper is first to analyse the strategies of Allfinanz (Bancassurance) in Germany and then to investigate if the German banks have become more efficient during the period since Allfinanz was introduced. Two methods are used to analyse efficiency: ‘financial ratio analysis’ (FRA) and ‘data envelopment analysis’ (DEA). FRA is useful in studying the change in productivity. DEA generates, efficiency scores and alternative and more efficient combinations of banks.