Global Private Banking Awards 2020: Winners’ Profiles – National Winners (Asia)

Best Private Bank in Australia
Private Wealth – Westpac Group

Over the past year, Private Wealth has introduced new enhanced digital banking capabilities to make banking “more secure, simpler, easier and faster”, and expanded its Global Investment Services offering for self-directed, sophisticated clients.

“Clients can select from a wide range of high conviction and often hard to access investment opportunities which leverage the bank’s thematic approach,” says Ashley Stewart, managing director at Private Wealth.

Clients have shown interest in several existing investment themes that have been further validated by the pandemic, such as modern healthcare, real estate assets and critical logistics addressing the faster shift towards e-commerce, he adds.

A dedicated portal, offering investment insights and visibility of their holdings, across both traditional and alternative assets is now available for clients.

The bank has also continued to invest in its people, with a focus on developing personal resilience, collaboration and techniques to manage challenges. “I am immensely proud of how our people have innovated, adapted and overcome challenges this year to support our clients when they have needed us most,” boasts Mr Stewart.

Bankers have been able to react quickly and often support their clients in new ways, for instance by introducing alternative investment solutions, or through complete portfolio restructuring.

Private Wealth is well positioned to take advantage of the growth in high net worth Australians seeking to be in control of their wealth generation and creation, says Mr Stewart. The main challenge is that private banking services are not as widely used in Australia as in other parts of world. “Raising awareness and educating the market on how we can help to create an enduring, sustainable advantage is a challenge, but a good one to have.”  ET

Best private bank in China
China Merchants Bank

China’s technology sector and vibrant start-up economy has been identified as a key source for new customer acquisition by China Merchants Bank (CMB). The bank’s wealthy clients, overseen from 140 very well-staffed private banking centres, are especially concentrated in the cities of Beijing, Shanghai, Shenzhen, Guangzhou and Wuhan.

Significant growth in this customer base has been facilitated by the acceleration of online communications and transactions, with Covid-19 providing a robust testing ground for online systems, which have negotiated the pandemic with “good” results, according to the bank.

Managed assets grew from $289bn in 2018 to $316bn in 2019, with an even steeper growth in client numbers.

The emphasis at CMB has always been on asset management, which the bank sees as the essence of private banking. The belief in CMB’s Shenzhen headquarters is that portfolio returns can be directly attributed to conversations with clients about risk taking, themes and asset allocation, making this a particularly attractive and vibrant activity for them to be involved in.

“The advantage of institutional investors over individual investors has been rapidly increased during the past five years,” says a CMB spokesman. “In this respect, the asset management results of private banks will become one of the most important criteria for customers to judge whether they should choose us.”

While strong competitors such as ICBC and Industrial Bank of China have caught up fast, CMB still has first-mover status among the country’s wealth managers, with sharp focus on maintaining client families’ long-term prosperity. The bank puts its investment strength down to several factors, including a “leading multi-asset allocation capability” and an open product platform with “full market coverage of investing strategies in China”. YB

Best Private Bank in Hong Kong; Best Private Bank in the UK
HSBC Private Banking

HSBC is seen by many in Hong Kong as a domestic bank. Its iconic building is one of the mainstays on the territory’s skyline. The bank is a natural “go-to” institution for many wealthy local families.

“Over the past three years, we have invested heavily in our capabilities, recruited significantly to expand our teams and delivered a refreshed UHNW client proposition to enhance our bespoke offerings,” says Siew Meng Tan, regional head for Asia-Pacific, HSBC Global Private Banking.

One of the challenges for the bank has long been how to replicate this fame and brand-recognition in Hong Kong, with a similar penetration in surrounding countries. “Our ambition is to become the leading wealth manager in Asia,” says Ms Tan. Her plan is to provide a more distinctive experience for wealthy clients, particularly in the Asean region, by building up greater expertise in Singapore.

“As a key global booking centre for HSBC, Singapore will also be integral to our growth, especially as we continue to extend our capabilities and reach to serve international clients across Asean and the rest of the region where fast-rising wealth is boosting awareness and demand for private banking,” she says.

In Asia, as in Europe, the bank is striving to improve its connectivity between different pockets of expertise, something HSBC has sometimes struggled with in the past, despite promoting an international mindset.

“Many clients have interests all around the world and so need a bank that can operate in many different jurisdictions and can look after them worldwide,” says Charles Boulton, CEO of HSBC Private Bank, UK.

More than ever since the advent of Covid, HSBC understands the importance which clients are attaching to investment performance and management of risks. During the crisis, it reshaped its approach to private equity, working closer with experts at HSBC Global Asset Management. It is also stepping up efforts to work more closely with clients in the spheres of real estate and structured products. YB

Best Private Bank in India
Kotak Mahindra Bank Limited 

With a presence in more than 17 cities in India, Kotak Mahindra Bank offers wealth management services through its wealth management and priority banking divisions, providing customised financial solutions to its UHNW and HNW clients.

Kotak was one of the first private banking businesses in India to offer family office services – today it manages wealth for 50 per cent of India’s top 100 richest families.

One of the key developments of 2019 was the transition to an annuity business model. “This places greater emphasis on transparency and ensuring that the interest of clients and the bank are aligned, and we believe this will further accelerate our growth,” says Oisharya Das, CEO at Kotak Wealth Management.

Also last year, the bank launched Kotak Optimus, a discretionary asset allocation platform, designed for investors with a moderate to aggressive risk profile. Other initiatives included the expansion of its alternative investment offering, and the introduction of client engagement initiatives such as ‘NexGen Connect’ and ‘Leading Ladies’, exclusively targeted at millennial and female clients.

The disruption caused by the Covid pandemic is likely to have a long-lasting impact on the sector, according to Ms Das. “Through this turbulent period, our focus has remained on our clients and we have increased our engagement with them,” she explains.

This included putting in place a business continuity plan to ensure services were not disrupted, while at the same time encouraging clients to adopt a range of digital solutions to safely being able to bank from home.

“We expect to the next few years to be very different from what we’ve witnessed in the past. We see this as an opportunity for us to consolidate and grow our leadership position,” Ms Das adds. PG

Best Private Bank in Korea
Hana Bank 

Based on its management principle ‘Next 2030’, the objective of Hana Financial Group is to continue to pursue the profitable and sustainable growth of its business and accelerate its digital transformation.

The group was the first to introduce a private banking division in Korea, back in 1995. Today the private bank offers a wide range of wealth management services and customised investment solutions to clients, ranging from ultra-high net worth individuals to millennials.

Increasing digitalisation has been a priority for the business and efforts have been made to optimise and integrate the use of technology into its services and processes. The Hana private banking system, a platform that gives private bankers real time access to markets, investment products and client information, was upgraded in 2019 to include new functionalities.

“Above all things, we pursue to offer a digital banking service that is based on having the deepest relationship with clients as a priority,” says Wonki Chung, managing director, wealth management business group.

The coronavirus outbreak has accelerated the use of non-contact digital channels such as virtual video consultation, giving clients the opportunity to get advice from the bank’s in-house advisory experts on issues related to taxation or real estate investments, as well as legal and product management concerns.

Recently the bank launched a new subscription channel focused on clients’ wellbeing, offering information on healthcare, disease prevention, nutrition and healthy lifestyles.

“As a leader in the private banking business industry, we take pride in creating new trends through consistent innovation and effort,” Mr Chung adds. PG

Best Private Bank in Malaysia;
Best Private Bank for Islamic Services
Maybank

Client-centricity is deeply entrenched in Maybank’s mission and strategic plans. The bank, Malaysia’s largest by market capitalisation, views its private banking arm as more than just an investment solutions provider, but also a wealth partner for clients across the region.

A strong brand name and good reputation have been key contributing factors to the bank’s growth in 2019, as more private banking customers see the firm as a trusted partner to manage their wealth aspirations.

According to Carolyn Leng, head of Maybank Private Malaysia, another crucial driver of growth has been the bank’s ability to deliver “new innovative products, investment opportunities and differentiating propositions” to their clients. As an example, the bank granted clients exclusive access to investments in IPO financing through Lombard.

The launch of new products has also contributed to the rise in assets under management. Maybank Islamic, for instance, launched the Maybank Global Mixed Asset-I Fund in 2019.

The Covid-19 pandemic has changed the way the bank engages with clients and has also accelerated the adoption of technology, with advisers quickly switching to videoconferencing to keep in touch clients. “The new restrictions did not stop them from continuously engaging with our clients, to update them on the market, as well as to discuss investment portfolio strategies, which is key during this time of market volatility,” she says.

Looking forward, Maybank Islamic will continue to aspire to be the leading bank in the Islamic wealth management space in the Asean region.

“We will continue our product innovation to provide a full suite of Islamic wealth solutions offering and improve our infrastructure, especially on Islamic wealth digital banking. As for Maybank Private, we look to offer more access to sukuk and Islamic offerings, as well as improve our Islamic wealth solutions,” Ms Leng adds. PG

Best Private Bank in New Zealand
ANZ New Zealand Private Bank

Focus on client service and strong investment returns contributed to AuM growth and substantial net new money inflows at ANZ New Zealand Private Bank last year.

Investment portfolios across all risk profiles “significantly exceeded” their performance objectives and the ability to meet client needs was reflected in high client satisfaction scores. Ninety-one per cent of the bank’s clients are very satisfied with the service and nine out of 10 would recommend the institution to others.

A continued focus on staff development, knowledge sharing platforms and a new digital learning platform also helped deliver “an excellent service to clients”, explains Craig Mulholland, managing director of wealth and private bank.

The new professional development fund offers external development opportunities such as university study, resilience and women’s leadership. Bankers are now also equipped with large screen iPad Pros, so they can present up to date information and scenarios when meeting with clients.

The enhancement of digital capabilities and the strength of the business model allowed the bank to deliver uninterrupted service during the lockdown period. “The pandemic has been a reminder of the importance of regular testing of business continuity plans, and of ensuring staff have the infrastructure and hardware to quickly adapt to working from home,” states Mr Mulholland.

“We regularly test our systems and this was evident in the fact we were operational within 24 hours.”

The decision to remove sales targets for all ANZ private staff, including those in management roles, ensures staff are “focused solely on the best outcomes for our clients”.

The bank has developed a new climate change framework as part of its responsible investment approach. This ensures client portfolios are both resilient to the risks of climate change and are also positioned to take advantage of new opportunities in the transition to a lower-carbon world.  ET

Best Private Bank in Singapore
DBS Bank

DBS has launched several new initiatives aimed at deepening client engagement, strengthening its wealth planning proposition, while continuing to build on training and digital capabilities. These all helped generate 16 per cent growth in wealth income last year, while overall wealth management AuM grew 11 per cent to SGD245bn ($181bn).

To meet rising client demand, in 2019 DBS established a dedicated family office unit. “Singapore’s attraction as a family office hub is deepening,” says Joseph Poon, group head of DBS Private Bank. “Families both in and beyond Asia see Singapore as a lighthouse from which to view and engage in long-term opportunities in Asia. And DBS, with our deep understanding of the region’s domestic and cross-border business dynamics, regulations and cultural nuances, is well-placed to help them to navigate these markets.”

The bank has continued to innovate and invest in strengthening its digital capabilities across the front, middle and back-end. The RM Mobility platform, enabling relationship managers to track clients’ portfolios, perform reviews and provide advisory while working remotely, has proved key during the pandemic. DBS iWealth, which allows clients to monitor and manage their portfolios digitally, anywhere and anytime, has experienced a 23 per cent growth in usage versus 2019.

Believing in ESG investments’ potential to outperform in the long-term, the bank has increased its offerings in ESG products, including mutual funds and discretionary portfolios.

“ESG is here to stay, and we’re committed to leading that agenda in Asia,” says Mr Poon. The bank set a target for ESG investments to reach 10 per cent of its wealth assets under management in five years.

Since September 2019, DBS has been collaborating with its onshore business in Thailand to provide Thai HNW individuals access to private banking offering in Singapore, aiming to double its wealth AuM in Thailand to SGD8bn by 2023. It is also looking at tapping into the onshore HNW individuals’ increasing investment appetite in the Philippines. “While Singapore continues to be a core market for DBS, Asean is starting to shine brighter,” says Mr Poon. ET

Best Private Bank in Taiwan
Taipei Fubon Commercial Bank Co., Ltd.

Two years ago, the board of Taipei Fubon Bank approved the creation of the exclusive banking group, a client-centric service model catering to top-tier clients, under the brand ‘Fu Yu Heng Chuan’, or ‘prosperity across generations’.

Thanks to its collaboration with Lombard Odier, the bank became the first in Taiwan to forge an international alliance withing the private banking sector. This combination of overseas and local resources has allowed the bank to expand its client base, while providing the best possible private banking services.

The business can draw on the Fubon Group’s wide-ranging subsidiaries, such as Fubon Life, Fubon Securities and Fubon Investment Trust Securities to create exclusive, tailor-made products and services for clients.

“In response to the diverse financial needs of high net worth clients, we have combined the insurance, investment and trust departments to provide them with customised investment allocation strategies that can meet their financial expectations and goals,” a spokesperson for the bank says.

The bank has recently created an exclusive client service model called ‘diamond team’. The model, run by senior bankers and supported by investment and family office advisers, transactors and client service providers, aims to deliver one-stop, customer-friendly solutions to meet clients’ wealth management and succession objectives.

In addition, private banking clients can benefit from access to many sectors beyond financial services where the Fubon Group has a presence, such as telecommunications and media, the arts and entertainment, luxury property development, and charitable endeavours. PG

Best Private Bank in Thailand
KASIKORNBANK PCL.

Kasikornbank’s approach to private banking is based on the concept of ‘Perfect Wealth’, or wealth that comes from the “the happiness of a worry-free life”. As such, its products and services are designed to free clients from any financial burdens.

A strategic alliance with Switzerland’s Lombard Odier allows Kasikornbank to provide a blend of local best practices and global expertise. Today, the bank offers Thai clients a wide range of services and investment solutions in line with international practices, including risk-based asset allocation, open architecture, family wealth planning, and others.

Although the digital transformation of Thailand’s private banking sector is remarkable, Thai clients still rely heavily on personal services provided by staff. Kasikornbank has focused efforts on delivering a smooth transition into the digital world for its clients, without losing sight of the level of service and human interaction they expect.

“A perfect blend between the traditional and digital worlds, as well as the integration of international standards and Thai-style service is the real uniqueness of Kasikornbank,” explains Jirawat Supornpaibul, private banking group head.

As a result of Covid-19, the bank has revised its advice, products and services, including the integration of its digital channels to support the way it connects with clients, and the constant monitoring of market movements, adjusting investment recommendations accordingly. “All in all, we would like clients to feel that we are here and always keep an eye on every change and trend,” he says. PG