Best Practice in Wealth Management - Asia Pacific

TABLE OF CONTENTS

CHAPTER 1 EXECUTIVE SUMMARY

• Introduction
• Who is the target reader?
• Setting the scene
• Why is best practice important?
• The basic measures of success
• The key qualifying criterion for best practice
• Key finding
• Customer orientation
• Key findings
• Expansion
• Key findings
• Use of service channel
• Key findings

CHAPTER 2 INTRODUCTION

• Who is the target reader?
• How to use this report
• Report Methodology

CHAPTER 3 SETTING THE SCENE

• Why is best practice important?
• The increasing focus on best practice
• The opacity of the market makes best practice difficult to determine
• Despite this wealth managers still strive for industry excellence
• How can best practice be measured?
• The basic measures of success
• The key qualifying criterion for best practice

CHAPTER 4 CUSTOMER ORIENTATION

• Customer involvement
• Citigoup has been investing in relationships
• The co-investment concept has been offered by CPB to its clients
• Targeted seminars are also offered to selected client groups
• Citibank NRI is sponsoring key events
• The verdict
• ICICI has been focusing on domestic clients
• ICICIs regional seminar circuit
• The verdict
• Service focus
• Sand Aire keeping it in the family
• The verdict
• Customer segmentation
• Coutts multi-criteria segmentation strategy
• How does this compare to other offerings?
• The verdict
• Data

CHAPTER 5 EXPANSION

• Domestic expansion
• Coutts has looked to the provinces for clientele
• 2003 marked the turnaround in strategy...
• ...and the West Midlands was the first area to be expanded...
• ...followed by the North-West
• ...then Cumbria in the North-East and Oxford in 2004
• 2005 has already seen growth in the South-East and North East
• The fruits of expansion
• And what about the future?
• The verdict
• Barclays takes on the UK market
• Organizational structure was a hindrance
• The first move was to make an acquisition
• Then came the restructure
• The verdict
• International expansion
• UBS taking over the world
• Starting with organic European growth
• Then European acquisition
• The results in Europe
• Reflecting on success
• Expansion outside of Europe
• The verdict
• DBS has become a regional private banking force
• The Hong Kong/Singapore advantage
• Scoping out opportunities
• Leveraging group resources
• Partnerships
• Verdict

CHAPTER 6 USE OF SERVICE CHANNEL

• Branch-based services
• The Singaporean domestic banks have recognized the power of premier branches
• UOB was a slow starter
• DBS is gaining ground
• And OCBC is ambitious
• Competition has been a driver of innovation
• Singapore is ahead of other countries
• The verdict
• Technology propositions
• Credit Suisse Private Banks cutting edge technology
• Its all about enabling your clients
• What about the future?
• How does this compare to other offerings?
• The verdict
• Direct interaction
• St. George has shown progressiveness in front line service
• Through use of relationship teams
• By switching from fees to commission
• And by reviewing staff remuneration
• The verdict

CHAPTER 7 APPENDIX

• Definitions
• AAGR
• CAGR
• Gini index
• Liquid assets
• Liquid asset bands
• Research methodology
• The Global Wealth Model
• The UK sub model
• Asia-Pacific sub model
• Forecasting methodology
• Datamonitors wealth numbers compared with others numbers
• Bespoke Wealth Market Sizing
• Further reading
• Datamonitor Asia-Pacific Wealth Reports
• Datamonitor Asia-Pacific Insight Reports
• Asia-Pacific contacts

List of Tables

• Table 1: The motivations for setting up a family office differ greatly by family office model
• Table 2: Key indicators of success for the global private banks
• Table 3: Premier banking branches in Singapore
• Table 4: Wealth markets that have been modeled using the Global Wealth Model
• List of Figures
• Figure 1: Methodology diagram and report structure
• Figure 2: Compared to its peers, Citigroup Private Bank has performed well over the last few years, both in client acquisition and revenue growth
• Figure 3: Citigroup Private Banks regional advertising highlights commitment to relationships in the Asia-Pacific region
• Figure 4: Coutts segmentation strategy allows the bank to cater for almost any client
• Figure 5: Coutts regional office network in England and Wales
• Figure 6: The problems facing Barclays were of disparity and service gaps
• Figure 7: The Barclays model is now much more comprehensive and allows for the easy feed-through of clients
• Figure 8: UBS Wealth Management offices in Europe, March 2005
• Figure 9: UBS acquisition strategy over the last two years has seen a significant inflow of client assets for its European Wealth Management business
• Figure 10: Almost every international private client brand has a presence in Hong Kong and Singapore
• Figure 11: UOBs Wealth Management Centres have lounge style seating and private meeting rooms
• Figure 12: Singapore is one of the most competitive premier markets in the world, with just 19,000 potential clients per competitive offering
• Figure 13: Credit Suisses wealth management business model
• Figure 14: Credit Suisse Private Banking Website
• Figure 15: Credit Suisse Private Bank has improved revenues and profits since the market downturn, but it is far from being the best performing wealth manager
• Figure 16: There are several different ways in which wealth managers are choosing to manage their clients