All articles by Ilya Timofeyev
Ilya Timofeyev
Credit Suisse’s 3Q results hit by legal fees
Credit Suisses wealth management (WM) division reported a CHF34m ($38m) pre-tax loss in the third quarter The dramatic loss came after the bank set aside CHF478m to pay for its cross-border tax settlements with US and German authorities. The banks costincome ration has also spiked significantly.
Industry wants private banks ring fenced: Poll
More than half (59%) of industry participants agree that private banking should be firmly ring fenced from high-risk investment banking in the aftermath of the recent rogue trading scandal at UBS, a PBI interactive poll has found According to the results of the interactive poll, 33% of respondents strongly agreed and 26% agreed that private banking operations should be kept separate from investment banks.
Julius Baer hires ex-Goldman co-head in Asia
Bank Julius Baer has hired ex-Goldman Sachs private banking co-head Kaven Leung as chief executive for North Asia and deputy CEO for Asia. Leung will also assume the role of CEO at the banks Hong Kong branch in April 2012 subject to regulatory approvals, reporting directly to Asia CEO Thomas Meier.
New money drops at UBS in 3Q despite profits
UBSs wealth management units have buoyed the beleaguered Swiss banks third quarter results after it was forced to write-off CHF1.85bn in connection with the $2.3bn in unauthorised trades at its UK investment bank. UBSs wealth management division, which includes its Swiss and international wealth management businesses, reported pre-tax profit of CHF888m ($1bn) for the third quarter of 2011. Pre-tax profit at the banks wealth management arm was driven by the CHF433m profit from the sale of treasury-related investments at the wealth management and Swiss bank division.
Client demand drives Metro private bank launch
UK high street bank Metro Bank (Metro) is to launch private banking services to its high net worth (HNW) clients with investible assets of £0.5m ($0.78m) and above. The bank said the private banking proposition is a result of growing demand from its existing HNW clients.
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Global wealth to reach $345trn by 2016
Total global wealth has grown by 14% to $231trn in the past 18 months, with Asia Pacific accounting for 54% of the growth, new research has found. According to the annual Global Wealth Report by the Credit Suisse Research Institute, global wealth grew from $203trn in January 2010 to $231trn in June 2011. The study also forecast that global wealth is expected to rise by 50% to $345trn in the next five years.
EFG cuts staff, offices in major restructure
A major strategic review of EFG International (EFG) will see the Swiss private bank cut staff by 10-15% over the next 18 months, reduce its offices and booking centres internationally and publicly list EFG Financial Products. As a result of the business review, EFG, which had 660 client relationship managers (CRMs) at the end of June, has already cut staff numbers below 600 and expects further reductions during the next 18 months.
Asia-Pacific private wealth keeps growing – study
According to the 2011 Asia-Pacific Wealth Report by Merrill Lynch Global Wealth Management and Capgemini, Japan, China and Australia accounted for 74.4% of the HNW population and 68.2% of the wealth in Asia-Pacific.
Julius Baer continues to conquer Asia
In anticipation of spectacular growth of wealth in Asia, Julius Baer has entered a strategic partnership with Macquarie Group, allowing the Swiss bank to acquire its Australian counterparts private wealth business in the region.Macquarie Private Wealth Asia, which operates from offices in Singapore and Hong Kong, manages total client assets of around $1bn.
BofA names new head of international wealth arm
Bank of America Merrill Lynch (BofA) has confirmed the internal appointment of Dan Cummings as head of international wealth management (IWM) and head of global equity sales with an immediate effect. In September, BofA saw the departure of its head of global wealth and investment management (GWIM) division Sallie Krawcheck as a result of a major management restructure.