The article discusses transfer pricing in financial institutions, focusing on what it is, how it is used, and how it is set. It explores integrating transfer prices with organizational structure and attitudes to risk. Specific transfer prices are examined, such as those based on operating expenses and the costs of funds. The strategic perspective is also considered, including optimal bank modeling for transfer pricing and management information strategy. Key findings include the importance of risk-adjusted performance measures in determining transfer prices and the strategic implications of transfer pricing in financial organizations.