Targeting Entrepreneurs in Wealth Management 2008: Western Europe and Asia-Pacific

Table of Contents

• Overview
  • Catalyst
  • Summary
  • Methodology
• Executive summary
  • Entrepreneurs offer substantial potential for wealth managers who take time to understand their evolving needs and deliver service above and beyond investment advice
    • Business owners and entrepreneurs represent a core business segment for wealth managers
    • Entrepreneurs demand convenience and integrated services
• Table of Contents
• Table of figures
• Table of tables
• Market context
  • Business owners and entrepreneurs represent a core business segment for wealth managers
    • Business owners and entrepreneurs offer strong revenue potential both today and over the next five years
    • There were nearly 9 million entrepreneurs across Europe in 2007
    • Norway, Greece and Ireland will see the fastest-growing entrepreneur populations to 2012
      • Norway' s entrepreneurial population will grow by 8.3%compounded annually to 2012
      • Ireland has the highest rate of early stage entrepreneurial activity in Western Europe
      • The conflicting motivations of Greece' s population mean moderate growth of entrepreneurs
      • Italy and Portugal will see small declines in their entrepreneur populations
    • The Asia Pacific entrepreneur market is particularly attractive
      • Wealth Management service response: Private banks are creating dedicated units to serve this lucrative segment
• The demands of business owners and entrepreneurs
  • Entrepreneurs demand convenience and integrated services
    • Business owners' risk appetite may be overstated;business risk appetite does not equate to investment risk appetite
      • Wealth Management service response: Providers need to devote time to gaining their clients' trust before recommending investment strategies
    • Entrepreneurs are time-poor
      • Wealth Management service response: Investment advice is being complemented by convenience services
    • Clients in the regions expect service closer to home
      • Wealth Management service response: Private banks are moving closer to important regional business hubs
    • Entrepreneurs in both regions want frequent communication
    • European entrepreneurs want more active control of their investments than APAC entrepreneurs
    • Both European and APAC entrepreneurs require online functionality
      • Wealth Management service response: Providing dedicated communication channels and improving online functionality and access to portfolio information will allow entrepreneurs to make the most of their time
    • Entrepreneurs and business owners expect their investment banking needs to be addressed
      • Entrepreneurs are extremely receptive to innovative products and exhibit strong demand for some institutional products in particular
      • Wealth Management service response: Wealth managers are addressing clients' demand for more sophisticated investment structures and financing solutions through closely integrated investment banking and private banking operations
      • Wealth Management service response: The entrepreneurial customer group also offers wealth managers the chance to seamlessly integrate wealth management and business banking
    • Entrepreneurs in both Europe and Asia have a high demand for estate planning services
      • Wealth Management service response: Wealth managers can add value and deepen relationships by enhancing succession planning services
    • Increasing legal complexity drives the high demand among entrepreneurs for tax planning services
      • Wealth Management service response: Providers are meeting the demand for tax advice through specialist services and educational events
    • Entrepreneurs' demonstrate high demand for offshore and overseas investments
      • Wealth Management service response: Wealth managers are providing a broad range of international services
• Appendix
  • Data
  • Methodology
  • Bibliography
  • Further reading
  • Ask the analyst
  • Datamonitor consulting
  • Disclaimer
• List of Tables
  • Table 1: Number of self-employed individuals between 15 and 74 years old with employment status of ' employers' by European country, 2003-7
  • Table 2: Forecast number of self-employed individuals between 15 and 74 years old with employment status of ' employers' by European country, 2012
  • Table 3: Please rate the business owners/entrepreneurs client segment on its potential for revenues
  • Table 4: Around what proportion of your high net worth client base accumulated their wealth through the following sources?
  • Table 5: Please rate the business owners/entrepreneurs client segment on its attractiveness as an area to focus on.
  • Table 6: Please indicate if there is "a lot of demand" for value-added services from business owners /entrepreneurs.
  • Table 7: How would you rate business owners /entrepreneurs on their demand for frequent communication/interaction with their wealth manager, on average?
  • Table 8: How would you rate business owners and entrepreneurs on their desire to take an active role in their own portfolio management/investment decisions, on average?
  • Table 9: How would you rate business owners /entrepreneurs on their demand for online functionality from their wealth manager, on average?
  • Table 10: How would you rate each of the following segments on their demand for lending products, on average?
  • Table 11: How would you rate business owners /entrepreneurs on their receptiveness to innovative products, on average?
  • Table 12: For which of the following products is there' a lot of demand' from business owners and entrepreneurs?
  • Table 13: How would you rate business owners /entrepreneurs on their demand for estate planning/trust services, on average?
  • Table 14: How would you rate business owners /entrepreneurs on their demand for tax advice, on average?
  • Table 15: How would you rate business owners /entrepreneurs on their demand for strong international services such as offshore investments or overseas property investment/management, etc, on average?
• List of Figures
  • Figure 1: Please rate the business owners/entrepreneurs client segment on its potential for revenues
  • Figure 2: Which client types will offer the greatest potential in your country in the next five years?
  • Figure 3: Germany accounted for more than a fifth off all entrepreneurs in Western Europe in 2007
  • Figure 4: Number of entrepreneurs, 2007 and 2012
  • Figure 5: Around what proportion of your high net worth client base accumulated their wealth through the following sources?
  • Figure 6: Please rate the business owners/entrepreneurs client segment on its attractiveness as an area to focus on.
  • Figure 7: Please indicate if there is "a lot of demand" for value-added services from business owners /entrepreneurs.
  • Figure 8: How would you rate business owners /entrepreneurs on their demand for frequent communication/interaction with their wealth manager, on average?
  • Figure 9: How would you rate business owners and entrepreneurs on their desire to take an active role in their own portfolio management/investment decisions, on average?
  • Figure 10: How would you rate business owners /entrepreneurs on their demand for online functionality from their wealth manager, on average?
  • Figure 11: How would you rate each of the following segments on their demand for lending products, on average?
  • Figure 12: How would you rate business owners /entrepreneurs on their receptiveness to innovative products, on average?
  • Figure 13: For which of the following products is there ' a lot of demand' from business owners and entrepreneurs?
  • Figure 14: How would you rate business owners /entrepreneurs on their demand for estate planning/trust services, on average?
  • Figure 15: How would you rate business owners /entrepreneurs on their demand for tax advice, on average?
  • Figure 16: How would you rate business owners /entrepreneurs on their demand for strong international services such asoffshore investments or overseas property investment/management, etc, on average?