Global Private Banking Awards 2015: Winners’ Profiles – Best Service Offerings

Best Private Bank for Customer Service       

Citi Private Bank

One of the key selling points of Citi Private Bank is that the institution is truly global, housing staff in 49 offices across 15 countries, meaning that if a European client wishes to invest in Asia or an Asian customer in Europe, this can generally be arranged internally. A Global Clients Programme caters for customers with multi-jurisdictional needs.

The bank strives to keep a low ratio of clients per relationship manager, one of the key metrics for management and customer service in the ultra high-net worth space. Clients are promised a choice of daily, weekly or monthly contact with a dedicated banker.

“This is very much a people business, in the $50m (€44m) to $100m bracket,” says Peter Charrington, global head of Citi Private Bank. “This is the most intimate of financial networks you can have. It is their money and they make it – the personal wealth of entrepreneurs. It is not just about managing their money, it is beyond that, it is about managing their legacy.”

Machines will never replace private bankers, he believes, but technology must be utilised to help make clients interaction as smooth as possible.

According to Aite Group’s Alois Pirker, who sits on PWM’s judging panel and has conducted research into innovative private banks, Citi launched an initiative in 2011, to position itself for growth, reflecting changing trends in client expectations and behaviours, dismissing the old stereotypes associated with private banking.

Its vision for a “new century private bank” set out to combine new technology with a transformation of the business to suit the next, increasingly mobile, global and tech-savvy generation of private clients.

The institution boasts bankers dedicated to specific client segments, including private equity, real estate, oil and gas and the media/entertainment sector.

Citi claims to have one of the most comprehensive menus in the business, with strategies spanning capital markets, managed investments, trust and estate, loans and mortgages, aircraft finance and sports advisory.

While net new money slumped by 43 per cent during 2014, $19bn of inflows still managed to nudge asset towards the $290bn mark, with profits up 8 per cent to $1.1bn. Management say they have hugely improved efficiency during the last five years, streamlining support staff and moving them to cheaper locations.  YB

Best Private Bank for Growth Strategy        

Bank Julius Baer

Julius Baer’s ambitious takeover of Merrill Lynch’s non-US business, announced three years ago, appears to be paying off.  With the transfer of the ML’s International Wealth Management SF6bn (€5.5bn) business in India in September, the Swiss bank has now completed the integration process in all locations, adding SF60bn in total to its AuM, which had reached SF284bn at the end of June.

The Merrill deal seems to have protected Baer against the fallout from the shock decision by the Swiss National Bank in January to let the franc strengthen, putting pressure on the profits of all Swiss banks.

Before the takeover and the “realisation of IWM synergies”, Julius Baer had roughly 75 per cent of its costs in Swiss francs, but only 17 per cent of the assets from which it earned revenues denominated in the currency.

At the end of 2014, the bank’s cost base in local currency had dropped to 60 per cent and the share of assets under management in Swiss francs had fallen to 13 per cent. However, in 2015 the bank implemented some drastic “cost measures”, including job cutting, to offset the appreciation of the local currency. As a result, cost income ratio is at 64.7 per cent today.

Since the end of 2008, when the bank’s AuM were almost half of what they are today (SF155bn), around 50 per cent of the asset increase has been due to acquisitions, while net new money has accounted for almost 40 per cent of growth.

The remaining growth is explained by market performance, which “largely offsets” negative cumulative impact from the strengthening of the Swiss franc.

“Our focus to generate growth is twofold, organic growth and selective acquisition when the right opportunity arises,” says Boris Collardi, CEO at Bank Julius Baer. A client-centric culture, a true open-architecture and innovation culture are key differentiating factors, he believes.

The Swiss bank has now a presence in more than 25 countries and more than 50 locations. Around 25 per cent of its total assets are booked in Asia, a region which has benefited from “improved client activities, continued inflows from local clients as well as from the integration and subsequent rightsizing of the IWM business in Singapore and Hong Kong,” says Mr Collardi. “Based on our rather cautious approach on the risk side, the recent turbulences on the financial markets have no meaningful impact on our Asian franchise,” he states.

Asia is expected to generate the most growth for the bank in the future, as it continues building its “second home” there, with particular focus on Greater China (mainland China, Hong Kong and Taiwan), Indonesia and India.

In the Middle East, Baer is gaining “significant” market share, while Russia and CEE have produced “solid” inflows.

The European franchise network of on-shore advisory locations are also expected to add to the asset base. Last year, Switzerland, where the bank acquired Bank Leumi, and Germany were the countries that contributed the most to the bank’s net new money, which increased by €12.7bn globally.

The integration of IWM businesses strengthened Baer’s position in the UK and Monaco and established first-time presence in Madrid, Luxembourg, Amsterdam and Dublin.

In Latin America, the bank increased its stake in GPS - the largest independent wealth manager in Brazil- to 80 per cent, from the 30 per cent acquired in 2011.

Moreover, Baer is in the process of acquiring a 40 per cent stake in NSC Asesores in Mexico, the largest independent financial advisory firm in Mexico, with $2.8bn in AuM. ET

Best Private Bank for Innovation

DBS Bank

It has been a busy time for DBS, integrating the Asian wealth management franchise of French bank Société Générale into the Singapore-headquartered operation.

Spreading of large fixed costs across a much larger client base means a significant reduction in cost/income ratios, improving efficiency and boosting profits by 28 per cent during 2014. This is coupled with “continuous automation” of all internal processes, including a desire to lift the quality of all digital
capabilities.

Whereas the private banking business lacked scale back in 2010, it is now attracting high quality recruits and building a reputation for technological innovation and customer service, under wealth management boss Su Shan Tan.

Not seen as a serious employer before the 2008 financial crisis compared to foreign banks, DBS’ part state ownership – 29 per cent is owned by the state’s financial arm Temasek – has since proved an advantage and it has become a destination of choice for private bankers, both on the investment and business side. Earlier this year Simeon Fowler, head of recruitment consultancy Fowler Fox and a Singapore-based judge for the PWM awards, told our parent publication, the FT: “Su Shan has hired people who would have previously never dreamt of going there.”

The word on the street is that Ms Tan has thrown off her local “celebrity banker” status and made her name as a leader of the fast-growing private banking unit, active in the mass affluent, high net worth and ultra wealthy spaces, augmented by a team of capable lieutenants specialising in investments and technology.

Net new money more than doubled during 2014 to $17bn (€15bn), with a remarkable ratio of just 17 clients to each relationship manager. Digital transformation has been at the core of this growth, although commentators claim that the innovative iWealth Advisor system for relationship managers, powered by IBM Watsons and watched avidly by rival banks, has yet to prove itself. So far it has been available to Singapore-based bankers only, but the plan is to roll it out through other jurisdictions next year.

This service aims to provide a “Big Data” solution, allowing relationship managers to not only improve quality of advice but to spend more time with the clients they are advising.

In 2014, a new digital banking unit, led by Olivier Crespin, was initiated to manage the transformation, with SG$200m (€125m) so far invested in this ongoing project.

Ms Tan has previously identified the likes of Alibaba, Ten Cent and Chinese search engine provider Baidu as the wild cards to watch in Asian private banking and it is her aim to anticipate their threat by improving private banking service levels to match those provided by the non-financial sector. YB

Best Private Bank for Digital Communication

BBVA Banca Privada

Spanish banking faced a near-death experience following the global financial crisis, with 53 banks reduced to just 14 over the past five years, following closures and consolidations.

Banks with poor operations and accounting practices were the first to go, with a handful of serious, surviving institutions turning a new page, especially in the area of technology.

Consultants active in the Spanish marketplace see BBVA as the undoubted front-runner in the tech transformation race, opting to offer a broad menu of digital services five years ago and soon followed by rivals including La Caixa and Santander.

The bank says its growth drivers, leading to $7bn (€6.2bn) of net new money flowing in during 2014, included a recovering Spanish economy and improving investor confidence, coupled with tightening regulatory pressure.

Income from fees also rose 19 per cent during the year, as the bank took a more selective approach to customers, deciding to focus predominantly on the high net worth segment, while offering a flexible pricing model.

Investment in technology has transformed the front office in particular, with new software improving customer service.

Tax-efficient, Ucits-compliant mutual funds have been a bestseller during 2014, although structured products are also back on the agenda and low interest rates have fuelled appetites for a recovering Spanish property market.

“A 3 to 5 per cent yield has proved quite attractive for our investors,” says Alberto Calvo, head of Spanish Private Banking at BBVA, with both retail and commercial property featuring in portfolios.

Online tools have been developed to help gauge customers’ risk appetites and the bank has also been a leader in establishing digital communities and evaluating portfolios.

“These services are very expensive, but they provide a clear benefit for us,” says Mr Calvo, with further investment in tools and software promised from group level. “Information has to be available for 24 hours, seven days a week. This offer is now part of our DNA.”

While BBVA clearly has international ambitions, with operations in several jurisdictions in Latin America, any talk of a high-tech cross-border network is played down by Mr Calvo. “We have co-operation between different units, but it is not easy for a client from Latin America to have a position in Spain or vice versa, although we help offer services when this situation occurs.” YB

Best Private Bank for Use of Technology

Best Global Brand in Private Banking

UBS Wealth Management

Client assets were up 9 per cent to slightly more than $2tn (€1.8tn) at UBS Wealth Management in 2014, despite a 19 per cent fall in net new money to $46bn.

Looking at these figures it quickly becomes clear what a colossus its managerial team is dealing with and how constant innovation and re-invention is needed to maintain flows and profits.

The Asia Pacific region, where 25 per cent of the bank’s private client assets are sourced, is currently showing the strongest inflows, followed by Switzerland and then the emerging economies.

The latest strategy for the offering, under Jürg Zeltner in Zurich, is to further streamline the wealth management business model, significantly reducing complexity on costs, focusing on core markets, increasing standardisation of products and consolidation of booking centres and IT platforms.

These broad strategies will work in tandem with a shift of traditional advisory assets into mandates, combined with a big push to serve affluent clients, in addition to the mainstays of high net worth and ultra wealthy clients.

The digital transformation at the bank seems even more focused, with a complete review of client communications and the introduction of a simple, human and clear tone of voice, teaming up with a mobile-compatible, freshened-up brand look and feel.

New initiatives are handled through Innovation Labs, currently being developed for Zurich, Singapore and London. Since 2013, digital systematic portfolio monitoring has been at the heart of the UBS Advice
service, presently monitoring the overseers of $21bn in client assets. Portfolios are checked every night for six criteria, in return for a flat fee.

Mr Zeltner agrees that one of his key priorities is moving today’s business model onto a “digital footing”.

While he believes fintech start-ups have totally different approaches to wealth management, banks must embrace the differences and learn how to adapt, rather than worrying that they will be replaced by robots. “If you have wealth, you want it in a safe place, in a regulated bank,” he says.  YB

Best Initiative of the Year in Relationship Management Technology

RBC Wealth Management

The initiatives taken by RBC Wealth Management last year aimed at improving adviser productivity and enhancing client service, which are crucial in an increasingly competitive environment.

The Canadian bank developed and launched a new client relationship management system called ClientView, which helps private bankers build their practices, keep all of their client information in one place, prioritise contacts and manage relationships.

Also, the institution, which manages more than $100bn (€88bn) in client assets, is rolling out ‘myGPS’, a web-based, integrated and interactive tool that helps its North American wealth advisers provide goals-based advice. “The myGPS service takes relationship management to a new level, helping advisers to anticipate client needs. It defines, guides and reports on goals, all in one tool,” claims Doug Guzman, recently appointed group head, Wealth Management and Insurance at RBC. “Digital capabilities are increasingly critical to the client experience.” 

The bank also expanded its credit capability across all market segments, from affluent to ultra high net worth clients. Moreover, it has continued to offer new investment opportunities and build wealth solutions catering to solving HNW clients’ retirement, estate, and tax planning needs. This is also achieved through partnerships. The one between RBC Capital Markets’ global equity-linked product team and RBC Dominion Securities has generated a new product line to address the needs of Canadian clients wishing to invest in the US equity market.

In association with the not-for-profit Business Families Foundation, the bank provides family businesses with a “robust suite of support tools” to help with business transition planning.

The partnership, which includes a $1.65m financial commitment from RBC over five years, will help produce an online education programme for business owners and their families.

“Many clients are seeking more, and frankly expecting more, from their adviser and their firm, and we see this trend across different demographics,” says Mr Guzman. “Ageing clients are entering or planning for retirement, while younger generations are accumulating wealth, often as owners of a business, and have complex wealth management needs.”

RBC’s ability to provide comprehensive wealth management advice – on retirement, business succession, philanthropy, estate planning, tax planning and more – is a “distinct competitive advantage,” he claims. ET

Best Initiative of the Year in Client-facing Technology

Credit Suisse

Credit Suisse’s client-facing technology initiative is a perfect example of how private banks, in order to remain competitive, are having to transform their service models. The bank says it has empowered clients with round-the-clock access to account information, market insights, and intelligence personalised to their portfolios, while giving them the ability to trade.

In early 2015, the global bank launched its digital private banking platform first in Asia Pacific, its largest private banking business outside Switzerland, followed by the introduction of a private banking app in its home market.

This was the first step of a multi-year global rollout, which will cover the US and Europe from late 2016.

“For us it is important to create a consistent user experience across all regions, hence our architectural thrust to create a digital platform that can be adopted across different booking centres around the globe,” says Marco Abele, managing director and head of Digital Private Banking.

Having launched an app to help relationship managers give better advice in client meetings, the bank is planning to create a new dedicated “RM Ecosystem” based on the new digital platform, aimed at connecting daily activities, improving productivity and providing advisers with timely information to deepen client engagement.

Change management, talent transformation and client awareness are key factors for a successful digital transformation, says Mr Abele.

“We can build the most beautiful application, but if it is not used it is worthless,” he states. “A transformation effort means a behavioural change of all participants.” To facilitate that change, it is important to involve the participants early in the design process, he says.

“Impatience is the biggest challenge. Digital transformation is a marathon, not a sprint,” warns Mr Abele.

The bank also won awards for best private bank in Russia and in the Middle East, for the third and second year running, respectively.

In the Middle East, the bank was able for the first time to provide lending and custody against local GCC (Gulf Cooperation Council) shares to clients.

“This key differentiating capability is important for our growth and is enabled by our integrated bank approach, combining private banking, investment banking and asset management capabilities,” says Bruno Daher, Mena CEO. UHNW clients are of strategic importance to the Middle East region and account for most of the bank’s business.

“With an appetite for global solutions, and an affinity for emerging markets, they are a sophisticated client and the key decision makers in financial institutions, public sector and corporates.” Despite the geopolitical situation and resulting economic turbulence having a significant impact on clients and their businesses, the bank still foresees a high degree of opportunity and growth for the region. “The key to managing challenges is to remain close to clients,” he says.

In Russia, where the bank claims an  onshore footprint since the opening of its Moscow office in 1993, wealth is gradually becoming more global. “UHNWIs are increasingly investing both directly and indirectly into international companies and markets,” observes Dmitri Kushaev, Credit Suisse CEO Private Banking Russia. “Our relationship managers and specialists are locally and culturally anchored in Russia and understand the needs and requirements of Russian clients.”

Entrepreneurs, mainly in the first generation of wealth, are a key client segment for the bank and particularly benefit from Credit Suisse’s “one bank” model and “dedicated investment offering”.  ET

Best Private Banking Boutique

Banque Syz SA

The recent acquisition of the Swiss private banking arm of RBC, with around SF10bn (€9bn) in assets under management, enabled Bank Syz to expand its international footprint to new markets, and almost doubled its AuM to SF24bn. Including the asset management arm, the Syz Group manages nearly SF40bn in assets.

Syz sees itself as a ‘consolidator’ in the Swiss market and has plans to grow further, both organically and through targeted acquisitions, and outside the country too.

 “Being a boutique is a question of state of mind, not a question of size,” says Eric Syz, Syz Group CEO, hinting to possible expansion plans in the US. “There is no limit to expansion as long as you can keep your DNA.” Sharing values and vision is the most difficult criterion to meet, when looking to acquire, he states.

Clients, he argues, want to be part of an entrepreneurial owner-led bank. “I truly believe that if you invest with conviction and with rigorous processes, you can generate performance, because there are always excellent investment opportunities in the world.”

The entrepreneurial spirit, also underlined by the performance fee system implemented at the bank, is particularly crucial to meet the needs of the many wealthy entrepreneurs in the African and Latin American markets opened by the acquisition.

 “The challenge is to remain efficient and profitable and also innovate constantly, as regulatory costs increase and profit margins are under pressure,” he acknowledges, explaining the bank is investing “a lot of resources” in fintech.

“I have a long-term vision, I am not concerned with short-term results,” says Mr Syz, who last year took control of almost all the shares of the group’s holding company, following the decision of the two other founding partners, Alfredo Piacentini and Paolo Luban, to exit the firm.

The bank, which was founded in 1996, does not have any legacy issues, states Mr Syz. Since inception the group has been “clearly geared towards tax-compliant asset management,” in particular by diversifying into institutional asset management and investment fund activities.

In private banking, the Swiss institution has focused on onshore development, in Italy and Spain, while an SEC-registered (US Security and Exchange Commission) asset management company caters to US tax-compliant private clients. ET

Best Performing Private Bank           

BMO Private Banking

The Canadian bank emerged as the best performing at global level, in terms of delta in performance measures between 2014 and 2013. The result was based on the quantitative analysis of business growth and efficiency carried out by wealth management consultancy Scorpio Partnership, as part of the firm’s annual global Benchmark study on private banking.

A client-centric model, focus on wealth planning and strong internal partnerships are the three key factors behind the bank’s achievement, states David Heatherly, chief operating officer at BMO Private Banking. Last year, net new money surged by more than 70 per cent, to Cad2.3bn (€1.6bn), AUM rose 18 per cent to Cad28.7bn, while operating profits also increased by 14 per cent.

One of the key building blocks of the revitalised BMO brand is ‘one bank’, a concept often unsuccessfully implemented in private banking, generally because of the inability to create collaborative environments which encourage and reward cross-divisional referrals. “We apply a single lens when it comes to our customers, cross-business, cross-border and cross-channel,” states Mr Heatherly, explaining that great customer service cannot be achieved without strong partnerships across the enterprise.

 “The One Bank approach is fully supported at senior levels and performance is measured against this,” he insists. Many clients have an existing relationship with other parts of BMO, such as retail as commercial, and even with wealth partners such as Nesbitt Burns and online trading and investment platform InvestorLine, he explains. Each client has a dedicated team of professionals from banking, investment management and trust, coordinated through a single point of contact.

Last year, the bank expanded its wealth planning team, with all locations now having at least a dedicated wealth planner. “Wealth planning is at the heart of everything we do,” says Mr Heatherly.

Improved process transformation and better client insights, obtained through an analytics tool which helps front-line teams identify client needs, also contributed to attract and retain clients, who grew by 7 per cent in 2014.

The bank has developed solutions and trained teams of professionals focused on the need of specific attractive client segments in the country, including business owners, physicians and those aged 55 and older, expected to grow the fastest of all age groups. Women are a large and growing part of the HNW population, while the UHNW segment is also the fastest growing and the most underserved wealth segment in the country. New Canadians are also a key source of wealth.

Investment decisions are guided by a framework of principles developed by BMO Private Investment Counsel, (BPIC) the largest counselling firm in Canada in terms of AuM ($22.8bn). BPIC has 17 sub-advisory firms on the bank’s platform, providing management on 38 building block strategies. “Capital preservation is one of the primary objectives for the majority of our clients,” says Mr Heatherly.   ET

Best Private Bank for Philanthropy Services

Lombard Odier & Cie

Lombard Odier’s key strength, when it comes to philanthropy, is its ability to offer bespoke services. The Swiss bank’s credibility in this space is also closely linked to the sustained philanthropic engagements of the bank’s current and former partners.

“We offer truly tailor-made, bespoke research and advice,” states Karin Jestin, head of philanthropy at Lombard Odier for the past seven years, and previously a McKinsey consultant. “This is suited to clients’ aspirations and values, and delivered by a dedicated team which combines strategic consulting skills with a deep knowledge of, and passion for the social sector.”

At the bank, the journey towards giving starts from defining the donor profile, their motivations, expectations and ambitions, preferred style of engagement and level of personal involvement required. “Philanthropy is a way to deepen relationship with clients, and very intimate,” she believes.

Developing the giving strategy involves a great deal of secondary research. Structuring the giving vehicle and investment approach may lead to the creation of an independent foundation or trust. As this may not always be the ideal solution, clients can donate though existing umbrella structures, such as Fondation Philanthropia, which was set up by Lombard Odier in 2008 to facilitate clients’ philanthropic engagements.

Unlike some competitors, the philanthropy team of three at Lombard Odier is not constrained in its activity by any short-term financial goals. “Philanthropy advisers should have financial targets, if any, linked to the social impact delivered and/or the level of satisfaction of donors,” she argues.

Clients are however billed for the philanthropy advice they receive and to use the bank’s foundation.

The team is responsible for the monitoring of the project and reporting to donors, while field visits, when needed, help to design projects.

Looking forward, in order to enhance philanthropy offering at the bank, Ms Jestin advocates there should be “renewed commitment at the top”, continued training of relationship managers, so that they can be more at ease to breach the subject with clients, and enhanced awareness-raising opportunities.

 “Creating a greater understanding of the impact philanthropy can have, making it palatable, telling stories of impact are key factors that can contribute to the growth of philanthropy,” she says. “Being a force for good is something few can resist.”

It is also important to facilitate giving through more quality intermediation. “In the end, what’s needed is a shared realisation that without relevant philanthropy, we won’t be able to address the many social challenges the world is confronted with.”

Lombard Odier has developed a range of social impact investment opportunities, which aim to reconcile two worlds: one driven by results and the other concerned with ‘doing good’. Impact investing and philanthropy are two complementary approaches and concepts, believes Ms Jestin. “For issues amenable to market forces philanthropy can help identify and demonstrate workable solutions, which impact investing can grow to scale.”   ET

Best Private Bank for Socially Responsible Investing

BNP Paribas Wealth Management

With global client assets nudging $340bn (€300bn) and profits up 9 per cent to more than €920m during 2014, BNP Paribas is proving difficult to challenge. Its private banking operations in the eurozone are now making significant inroads into Italy, Luxembourg, Switzerland, Germany, the UK and Turkey, among others, in addition to leading positions in France and Belgium.

The judges also recognised the French bank’s increasing footprint in Asia and in Hong Kong in particular.

“Being European is a great asset to us,” says Vincent Lecomte, co-chief executive at BNP Paribas Wealth Management. “The Chinese are coming to us to help them invest in Europe, which is becoming much more attractive to them and they have a strong belief in the potential upside.”

The bank has been a significant promoter of philanthropy and opened entrepreneurial hubs across Europe, facilitated by educational programmes including a one-week course for female entrepreneurs held in California.

Its sponsorship of the prestigious Roland Garros annual tennis tournament in Paris has been a particularly efficient springboard for private banking business, helping facilitate meetings with global clients, often on the back of coaching clinics with tennis champions.

BNP Paribas has also stepped up its presence in New York, not just to encourage US flows, but to monitor global compliance with US regulations.

But the most prolific rise in the bank’s business has been in its suite of SRI strategies, aided by expertise in this area developed in the asset management division. Private client assets in SRI have burst through the $6bn barrier at BNP Paribas, currently rising 50 per cent each year and spanning strategies including microfinance, water treatment, energy efficiency and social entrepreneurship. YB

Best Private Bank for Succession Planning

Northern Trust

Family offices are an increasing focus for sourcing assets at Northern Trust, which looks after $224bn (€199bn) for wealthy private clients, 5 per cent up on the previous year.

This gradual shift in focus is combined with expanding wealth planning and advisory services to those selling their businesses, for typically $20m to $30m, increasingly prioritising the need for succession planning.

There is a “direct correlation” in the amount of advice needed and the number of clients selling businesses, believes Dave Fox, head of global family office at Northern Trust.

“Clients get laser-focused on the things we do when they are coming up to a liquidity event,” suggests Mr Fox, who believes the relationship in fact needs to be cemented at an earlier stage.

An increasing internationalisation of families has also led to more complex wealth planning requirements.

“A lot of our clients are having to grapple with the fundamental globalisation of their families, spreading out across different jurisdictions, which affects everything they do in terms of estate planning.”

Succession planning also includes identifying outlets for philanthropic activities, says Mr Fox. “We spend a lot of time with clients around foundations,” he says. “This is a huge business for us.”

Most of Northern Trust’s clients already have philanthropic interests, but their aim now is to get their children involved too. This often means drafting a mission statement, containing references to shared values. Many families also increasingly organise vacations, particularly to developing countries, around their philanthropic goals.

“Philanthropy is more than just giving away money,” says Mr Fox. “It is about the mindset. It is critical for the children to realise what they have been born into and what the family values are.”  YB

Best Private Bank for Islamic Services

Maybank

With a presence in all 10 Asean countries, Maybank established a Private Wealth Centre of Excellence in Singapore in late 2013, headed by group head of Private Wealth, Alvin Lee. 

The goal is to serve both local and offshore clients wanting to bank in the city-state, targeting those with at least RM3m (€600,000) in investable assets.

The Premier Wealth team serves mass affluent clients, with minimum RM250,000 in investable assets. “The streamlining of Maybank’s brand and service platform with the introduction of Private Wealth and Premier Wealth was a key achievement for the bank in strengthening our regional presence and brand identity,” says Datuk Lim Hong Tat, head, Group Community Financial Services and CEO Maybank Singapore.

The Malaysian institution grew its assets under management by 13 per cent last year to RG82bn, partly due to enhancement of its portfolio management.

Malaysian HNWIs currently invest more than half their overseas portfolios in the Asia-Pacific region, and the bank has strengthened its regional offering to meet this demand.

Two new core funds launched by Maybank Asset Management under the Asean passporting scheme contributed to growing client assets, as they combine portfolio stability with flexibility of reacting to market conditions.

The number of clients and net new money also increased in double digit figures in 2014.

“The private banking space offers immense growth potential not only within Malaysia but also within the region,” states Mr Lim. “We see great promise within our key markets, particularly Singapore and Indonesia.”

The rise of wealth within Asean countries, along with the coming together of the Asean Economic Community, are key growth factors.

At the bank, Islamic assets under management rose almost 40 per cent over the last year, driven by clients’ robust demand for Sharia-compliant credit and capital market products. Maybank’s “Islamic first” policy offers clients access to a suite of wealth management solutions.

The bank remains one of the top three underwriters in the Bloomberg Global Islamic Bonds League Table. “Our wealthy clientele last year had access to deals such as the Exim Bank $1bn Multi-Currency Sukuk issuance programme and Maybank Islamic Bank Subordinated Sukuk,” says Mr Lim. ET

Best Leader in Private Banking          

Peter Flavel - Deputy CEO  - JP Morgan Private Bank Asia

Peter Flavel is a veteran private banking leader having a wealth of experience across the globe running international banking businesses for over two decades.

Previously, Mr Flavel was the group head of Standard Chartered Private Bank, the private banking division of Standard Chartered PLC. He joined Standard Chartered in February 2003 as global head of sales, marketing and distribution, based in Singapore. He subsequently took on the role of head of consumer banking, Singapore, where he was the driving force behind the success of the innovative online account e$aver, which has set a new benchmark in the financial services industry for deposits.

In 2007, he led the successful launch of Standard Chartered Private Bank in 11 locations across India, China, the UK, the UAE, Singapore, Hong Kong and Korea in just five weeks. In late 2007, Mr Flavel led the successful due diligence and acquisition of the private bank division of American Express Bank.

His current role is as deputy chief executive officer of JP Morgan Private Wealth Management based in Singapore. Mr Flavel has spearheaded JP Morgan’s offering for HNW clients in Asia, focusing on clients with investable assets of $10-$30m (€8.7m-€26m). He has helped JP Morgan re-define what HNW clients expect from their private banking relationships. Mr Flavel has advocated the unique JP Morgan model where the client has access to an investment team as well as the private bankers.

He sits on the Private Bank Industry Group set up to help advise the Monetary Authority of Singapore on industry matters and within that Group chairs a subcommittee overseeing the implementation of the new mandatory continuing professional development (CPD) standards. Mr Flavel has degrees in law and commerce/economics and attended the Advanced Management Programme at Harvard University in 1999.

At the forefront in developing and championing the JP Morgan brand and through his unique style and dynamic influence, Mr Flavel has been able to attract and retain some top senior talent in the region. He has done this by passionately promoting JPM’s value proposition, but perhaps more importantly, by using the reputation he has rightfully gained. SF