- October 15, 2009 - Overseas Banks In London Back G20 Bonus Moves
The UK subsidiaries and branches of major overseas banks have agreed to support the implementation of reforms to bank pay agreed by the G20 in Pittsburgh, the UK government announced.
Bank of America, Merrill Lynch, Citigroup, Credit Suisse, Goldman Sachs International, JP Morgan Securities, Morgan Stanley, Nomura and UBS have all confirmed their commitment to the financial regulator’s rule and supporting code on remuneration practices, which was published in August and comes into force on 1 January 2010, and their full support for the G20 agreement, which sets global standards for . .
- October 13, 2009 - Austrian Insurer To Sell Stake Of Liechtensteiner Private Bank
Vienna Insurance Group has confirmed media reports about the firm's plan to sell its 25 per cent stake in Bank Frick, the Liechtenstein-based private bank.
A spokesperson at Vienna Insurance Group, one of the biggest insurance companies in Austria as well as Eastern Europe, told WealthBriefing that these media reports were accurate and the bank is indeed planning to sell its stake in the private bank.
Reuters reported that Bank Frick had net profits of SFr6.
- October 12, 2009 - Pictet Urges Investors To Think In Themes
Pictet Asset Management is a firm on a mission – it wants to take what it regards as an established model of investment beyond its domestic Swiss marketplace and ensure it catches hold in countries that have traditionally stuck to different approaches, such as the UK.
The model is what is known as “thematic investing” – identifying broad global issues such as population ageing, water shortages, security, the growth of an emerging market middle class – and building investment ideas on the back of these concepts. For example, the water shortage theme means construction firms.
- October 12, 2009 - Structured Products Market - A Year After The Lehman Crisis
As equity and other markets have recovered this year, some of the world’s biggest providers of structured products have launched or re-issued dozens of new products, suggesting this battered sector is on the mend.
The UK market currently holds 120 structured products, listed on the London Stock Exchange, from 43 firms. Among the most notable providers to high net worth customers are Barclays Wealth and Investec - which offer nine types of product a-piece - and Morgan Stanley, which offers seven.
- October 9, 2009 - Regulatory Costs, Client Demands Conspire To Push Up Costs - Report
Private clients' demands for more far-reaching risk monitoring and control procedures are driving up costs, according to bankers at the Reuters Wealth Management Summit in Geneva.
Several high-level figures in private banking have commented on the rising toll of giving clients extra time with their advisors and higher levels of reporting.
"It comes back to the issue of trust that needs to be rebuilt… There are much more probing questions coming from clients, there is less discretion being given to wealth managers than before, [clients] want to sign o.
- October 9, 2009 - Swiss Regulator Warns Over UBS Profits, Morgan Stanley Cuts Estimates - Report
UBS is no longer in "intensive care," but won't be considered out the woods until it returns to profitability, Switzerland's financial regulator said yesterday, according to a Dow Jones report. Meanwhile, Morgan Stanley analysts have cut their share price estimate for the Swiss bank, a Bloomberg report said.
"They must return to profitability in their investment bank, and not simply rely on their private bank for profits," Daniel Zuberbuehler was quoted as saying by the news agency.
- October 7, 2009 - Morgan Stanley Eyes Wealth Management Expansion Outside US - Report
Morgan Stanley aims for double-digit growth at its non-US wealth management operations over a five year period, and would consider acquisitions to achieve its target, a senior executive said, according to Reuters.
"Certainly, in the international space, growing assets, revenues, banker headcount at double-digit growth would be part of our aspirations," Alexander Classen, head of Private Wealth Management EMEA for Morgan Stanley told the Reuters Wealth Management Summit in Geneva.
This would be over a full five-year economic cycle, he said.
- October 6, 2009 - Merrill Set To Gain 20-25 Per Cent New Client Assets In India - Report
While client movement between firms has accelerated off the back of the financial crisis, Merrill Lynch’s Indian wealth management arm would seem to have been almost unaffected – and is instead positioning for growth - according to comments made by the firm’s head of global wealth management, Reuters reports.
Speaking to the Reuters Global Wealth Management Summit, Pradeep Dokania reportedly told attendees thatMerrill Lynch has retained "99 per cent" of its Indian private clients. “We have not lost clients,” he said.
- October 6, 2009 - Citi's Wealth Advisors To End Commissions In Major Overhaul
Citi has moved to change how it operates its financial advisory services, scrapping commissions-based advice and instead moving to charge clients a set fee.
The Wall Street banking and wealth management firm, which has moved to spin off its Smith Barney wealth brokerage operations in a joint venture with Morgan Stanley, will charge clients a fee of about 1 per cent of invested assets. Citi’s wealth management business manages about $30 billion on behalf of customers.
- October 5, 2009 - People Moves: September 2009
North
America
Sallie Krawcheck,
the incoming wealth management head at Bank of America,
unveiled her new leadership team.
The line-up includes eight executives from the
former Merrill Lynch,
two from BoA and a new hire
from Citigroup as
her direct reports.
Ms Krawcheck put former Merrill executive Lyle
LaMothe in charge of the bank’s US brokerage force.
