In the United States, financial institutions are classified according to their SIC codes. For example, Bank of America Corporation has SIC code 6021, while state banks and life insurance companies have SIC codes ranging from 6022 to 6311. The United States Securities and Exchange Commission publishes a standard list of codes that financial institutions use for business reporting.
The SIC code is a four-digit numerical code that identifies companies by their types of business. It was developed in 1937 to classify business activities and standardize government statistical data. In the United States, it is used by banks and marketing companies to create targeted marketing campaigns. It is also used by startup companies to determine their competition and improve their competitiveness.
The Standard Industrial Classification system (SIC) code system was developed to make business data more comparable and easier to analyze. Its system begins with general characteristics of a business and narrows down to more specific characteristics. The first two digits of the SIC code show the business’ primary industry group, while the third and fourth digits show the broader industry group. The final digit indicates the sector within the industry.
Foreign bank branches and agencies are typically classified under Industry Group 602 because they engage in trade finance. They fund their operations by accepting large denomination interbank and smaller retail deposits. These agencies are typically not federally regulated and may only accept retail deposits of less than $100,000.