All articles by PBI Editorial
PBI Editorial
Swiss franc spike ups merger pressure
Swiss private banking, crushed by the strength of the Swiss franc, is being confronted increasingly by the need to consolidate and merge, to offset steadily rising currency-related costs The latest financial results from the Swiss banking industry showed a sobering, and familiar, story across all players, big and small a swingeing rise in costs linked to the soaring Swiss franc.
Sarasin names new head of institutional clients
Bank Sarasin has named former Falcon Private Bank chief executive Marius Dorfmeister as head of international institutional clients business. Dorfmeister will oversee Sarasins institutional and wholesale businesses in Benelux, Italy, Austria, Scandinavia and Central & Eastern Europe, as well as the Middle East and Asia business.
Wealth clients won’t be hit by fee: BNY Mellon
BNY Mellon said ultra high net worth clients with deposits of more than $50m would not be affected by a new holding fee proposed by the custodian bank BNY Mellon is to charge institutional clients with cash deposits of more than $50m a 13 basis point fee to hold their assets to counter a recent flood of funds into the custodian bank.
SBA neutral on rate cut impact for banks
The Swiss Bankers Association said its central banks surprise decision to cut interest rates and pump CHF50bn into the Swiss economy was a necessity but it remains neutral on the impact it will have on private banks. The Swiss National Bank (SNB) said it was cutting the target range for the three-month Libor from 0.000.75% to 0.00 0.25% and expand bank deposits at the SNB from CHF30bn-CHF80bn.
HSBC costs continue rise, flags Madoff claims
HSBC Private Bank reported positive gains in profit before tax, net new money and assets under management in the past six months but climbing costs and exposure to Madoff-related claims dampened the results.
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HK, Singapore or Switzerland?
PricewaterhouseCoopers (PwC) biennial Global Private Banking and Wealth Management Survey released last month has sparked industry debate about which financial centre will be top in the next three to five years. The survey of 275 institutions in 67 countries asked what would be the top-five most successful international financial centres in the next two years time, given the increased regulatory pressures on offshore centres.
Performance slide forces EFG leadership change
Howell is succeeded by John Williamson, head of EFG in the British Isles, who has a mandate to conduct a review of the banks future strategy, put a lid on expenses and pursue growth more objectively.
Kotak to cross $4.5bn AuM in 2012
Kotak Groups private wealth management arm aims to increase assets under management (AuM) in its Indian onshore business by 20-25% by March 2012. C Jayaram, Kotaks executive director in charge of private wealth management, said AuM currently sits at about INR16,000 crores ($3.6bn) Asset growth is expected to be split 50:50 between its existing client base and new client assets.
Mounting costs quicken tempo of wealth unit sell-offs
A large number of wealth management businesses have been put up for sale in the past month as private banks look to shed non-core operations due to tough trading conditions.
Asia continues rise up wealth rankings
World wealth has returned to pre-crisis levels as Asias high net worth individuals fuel a boom but wealth managers face an increasingly tough struggle to sustain margins The good news: the ranks of the worlds millionaires swelled by around 900,000 people in 2010 to 10.9m.