In 2013, the Group’s net fee and commission income increased by 11.52% to 104,283 million. The ratio of net fee and commission income to operating income increased by 0.18 percentage points to 20.40%.

Figure 2.9 - Fee and commission income of China Construction Bank

Bank card fees grew by 28.04% to 25,783 million. In this amount, fees from credit cards increased by nearly 50%, mainly because the Group seized the opportunities of personal customer consumption upgrading and changes in the way of payment to actively expand high-quality customer base and launch various innovative products. Fees from debit cards and settlement services through ATM maintained a double-digit increase.

Consultancy and advisory fees increased by 7.14% to 21,130 million. The growth rate dropped from 2012, mainly due to the decrease in income from routine financial advisory services. Income from new financial advisory services and cost advisory service maintained steady growth.

Settlement and clearing fees increased by 8.75% to 12,422 million. In this amount, income from corporate settlements increased by over 10%, due to the rapid growth of new settlement products such as all-in-one corporate account, corporate settlement card and domestic letter of credit.

Agency service fees decreased by 2.95% to 12,395 million. This was mainly because the income from trust agency service dropped. Agency fund sales gradually bottomed out and income from the business increased by over 20%.

Wealth management service fees increased by 13.85% to 10,680 million. It was mainly because the Group constantly launched innovative products and improved customer experience in conformity with the diversified needs of different customers and from different channels, leading to the scale expansion of wealth management products.Commission on trust and fiduciary activities was 9,135 million, up 9.01%. In this amount, income from custodial services for securities investment funds, insurance assets, pension and equity investment funds grew steadily.

Electronic banking service fees grew by 20.59% to 5,740 million. This was mainly due to the continuous enhancement of product convenience and safety as well as the steady growth of customer base and trading volume of online banking, mobile phone banking and SMS financial service.

Going forward, the Group will strengthen the analysis and research on market and customer needs, and make active efforts in refined marketing and management. Meanwhile, it will continuously enhance customers’ experience by innovating products, optimising procedures and upgrading services, and maintain the market competitiveness of fee-based business products for the steady growth of income on the whole.

There are two common measures of the income banks generate from sources other than interest: the non-interest income level and the fee income level. Different banks have very different sources of income. This in turn means they have different profit drivers.

Interest income is influenced by both the economic cycle and the level of interest rates. Fee income is cyclical. Non-interest income other than fees (primarily bank charges) is comparatively defensive.

Other net non-interest income of the Group increased by 1,489 million, or 9.41% over last year, to 17,313 million (Table 2.14). In this amount, net trading gain increased by 1,229 million, or 65.97%, over 2012 to 3,092 million.

Table 2.14 - Other net non-interest income of China Construction Bank

Indicators	2012	2013	Changes
Net trading gain	1,863	3,092	65.97
Dividend income	239	446	86.61
Net gain arising from investment securities	3,536	1,395	(60.55)
Other operating income, net	10,186	12,380	21.54
Total other net non-interest income	15,824	17,313	9.41

Net gain arising from investment securities dropped by RMB 2,141 million, or 60.55%, over 2012 to RMB1,395 million.