Great disturbance in the banking Force

"DO. Or do not. There is no try." Take it from Yoda when it comes to online banking, with a McKinsey analysis suggesting that the disruption from digitisation can destroy - or create - up to 50 per cent of total profits for traditional lenders in Asia.

The consultancy sees multi-pronged threats for banks. About 15 per cent of profits could be shaved because of margin erosion. Ten per cent more could be lost from overall competition, McKinsey said.

Still, opportunities abound, though less broad-based, for banks, with the bulk of potential gains - at about 30 per cent of profits - from cost savings, McKinsey said. This comes after taking in the price of operational risk from running online banking operations, with consumers more wary of fraudulent activities.