With high-net-worth individuals (HNWIs) and ultra-high-net worth individuals (UHNWIs) across Asian developed nations already under the umbrella of multiple banks, global and regional financial institutions are shifting resources towards banking the emerging wealthy class across Southeast Asia, the next multi-trillion dollar goldmine.
Southeast Asia presents unique opportunities for private banks and other wealth focused financial institutions. First of all, Southeast Asia has an emerging demographic trend indicating growth potential, in addition to a rising class of family businesses that dominate local industries that are in need of higher level wealth management services, especially in Thailand, Indonesia, Malaysia, the Philippines and Vietnam.
As growth opportunities globally become narrower, Southeast Asia with its mix of mature, emerging and frontier markets could be of interest to global private banks and wealth managers. It will be imperative for wealth managers to augment their business models through innovation to take into account the shifts expected in this region, to achieve sustainable growth and to position for market leadership.
The 2018 survey covered key areas around HNWI investment behaviour including asset allocation, fee models and investment preferences across Southeast Asia. The survey measured current HNWI investment behavioural patterns of global HNWIs, including their asset allocation preferences as well as the geographic allocations of their investments. The survey also covered various fee models, and HNWIs comfort and concerns with fees. In addition, the survey focused on understanding the customer interactions (through wealth manager or digital channels) with the firms.
This report looks into the market shares of various financial institutions in each key country. The report also dives into the strategies of key players in the market, the products they are offering and the demand they are seeing for them, and also potential threats from other banks, fintech firms, insurance companies and other financial institutions in the region. The report also looks into potential opportunities for banks in key Southeast Asian countries and the future of various wealth management markets in the region.
The report also benchmarks the best and worst private banks (And wealth management departments) in each key Southeast Asian nation, and ranks them in order from best performing to worse performing based on our interviews in the market with regulators, banks, other financial institutions along with certain high-net-worth individuals.
The methodology of the report:
The research was conducted from October 2017 to December 2017 in conducting private client and professional advisor interviews in the wealth management industry across Southeast Asia. The Dragon Banker’s researchers spoke with over 50 banks, 10 insurance companies and multiple other institutions and governments operating in Southeast Asia.
Key institutions mentioned in the report are:
UBS Wealth Management, Citi Private Bank, Credit Suisse Private Banking, HSBC, Deutsche Asset & Wealth Management, J.P. Morgan Private Bank, Morgan Stanley Private Wealth Management, BNP Paribas Wealth Management, DBS, Private Bank, Julius Bär, Standard Chartered Private Bank, Bank of Singapore, Goldman Sachs Private Wealth Management , Barclays, LGT, ABN Amro Private Banking, J. Safra Sarasin, RBC Wealth Management, Union Bancaire Privée, Coutts, OCBC, UOB Bank, DBS, OCBC, UOB, Maybank, Alliance Bank, AmBank, CIMB, Public Bank, Hong Leong Bank, Affin Bank, Bangkok Bank, Krungthai Bank, TMB Bank, Siam Commercial Bank, Kasikorn Bank, Bank Rakyat Indonesia, Bank Mandiri, Bank Central Asia, Manulife, AIA, AXA, and many more.
Table of contents
The overall competitive landscape for HNWIs and UHNWIs in Southeast Asia
Benchmarking and competitive landscape in Thailand
Benchmarking and competitive landscape in Vietnam
Benchmarking and competitive landscape in Malaysia
Benchmarking and competitive landscape in the Philippines
Benchmarking and competitive landscape in Indonesia
Benchmarking and competitive landscape in Cambodia
Benchmarking and competitive landscape in Laos
Benchmarking and competitive landscape in Myanmar
Key regulations and potential regulations to shake up Southeast Asia’s wealth management industry
Investment preferences of HNWIs and UHNWIs across Southeast Asia
Forecasted preferences of HNWIs and UHNWIs across Southeast Asia
Asset allocation preferences across Southeast Asia
fee models, and HNWIs comfort and concerns with fees in Southeast Asia
Disruption in Southeast Asia’s wealth management industry