Presentation on theme: "Global Private Bank Services to Affluent Asians"— Presentation transcript:
1 Global Private Bank Services to Affluent Asians AILENE M. LITONJUAChief RepresentativeHSBC Private Bank (Suisse) SAManila Representative Office
2 The Market Size Market Size Based on Total Assets By 2015, the Philippines will be one of the largest numbers of HNI – those with $1million or more investable assets in Asia.The Philippines belong to the Top 10 Asian Millionaire Nations by 201538000 Filipino millionaires by 2015 with total net worth of $164B (Julius Baer)Sources: Julius Baer, Swiss Private Banking Group, September 2011Asia Pacific Wealth Markets Database by Datamonitor, December 2011
3 The Market SizeSources: Julius Baer, Swiss Private Banking Group, September 2011Asia Pacific Wealth Markets Database by Datamonitor, December 2011
4 The Market Size Market Size Based on Liquid Assets Source: Asia Pacific Wealth Markets Database by Datamonitor, December 2011In terms of liquid assets, the USD3M+ band will grow from 23.9B (2011) to 35.6B (2015)In the Philippines, the number of individuals with liquid assets of USD 3 million and up is estimated to be around2,700. Liquid assets (or also called liquid wealth) are defined as direct holdings in the typical retail savings andinvestment classes, including deposits plus cash outside of banks, direct holdings in quoted stocks and shares,direct holdings in government and other bonds, mutual funds and other collective investment schemes
5 Market Segment Psychographics Core Values and BeliefsNeed State: Self-actualization, building a legacyOptimistic about the futureWant a holistic and well-balanced life so keeps on improving selfContented with lifeFamily and children are very importantEnjoy taking challengesFinancial ManagementWealth Goal: Legacy WealthType of Saver / Spender: Compulsive and Big Savers, Frugal SpendersAlways save moneyFinancial goals are long-termWilling to pay extra for qualitySource: Quantitative and Qualitative Profiling Study on HSBC’s Customer Segments, March 2009, Ipsos
6 Private Bank Players in the Philippines Local Banks offeringPrivate Banking ServicesBank of the Philippine IslandsBDO Private BankMetrobankChina BankForeign Banks offeringPrivate Banking ServicesUnion Bank of Switzerland(UBS)Credit SuisseJP Morgan ChaseBank of SingaporeMorgan StanleyCitibankHSBCSource: Bank Websites
8 Investment Services – Offering & Approach Investment services make available a wide range of investment vehicles from around the world, including bonds, equities, derivatives, structured products, mutual funds and hedge funds.OfferingClient-driven Investment ServicesDiscretionary Management by ManagersAlternative Investment ServicesApproachUnrestricted access to the world’s financial opportunities through in house research & open architectureSelection and validation of “best of breed” investments based on your individual needs and investment strategiesSharing of international expertise due to worldwide network of offices & institutional knowledge
11 Other Specialist Services & Wealth Solutions Addresses wealth-related personal and family situations to enhance opportunities for clients and their heirsHelp clients preserve wealth, avoid probate formalities, enhance privacy and manage tax and succession issuesTakes into account the international aspects of client’s lifeFamily Office AdvisoryCorporate Finance AdvisoryWealth and Tax AdvisorySpecialist Property AdvisoryAdvisory on other wealth management aspects such as Charities and FoundationsTrustsInsurance ServicesFoundations
12 Specialist Services: Family Office Advisory Clients with complex, international financial affairs require advice and service that is globally integratedThe Family Office team takes advantage of both the skills and the international reach to provide expertise in three core areas:Wealth preservationWealth managementSpecial client services
13 Critical Path Questions – Client Profiling What financial and non-financial assets do you own? In what countries?Who do you want to benefit from your estate, when and in what proportion?Who would you want to manage the distribution of your estate? Do they have the time or experience to handle this task?Who will care for your dependant children? What provisions do you need to make for educational and living expenses?What are your family’s liquidity needs?What is your anticipated estate tax liability? How will that liability be paid off?Do you have any philanthropic interests?
14 Family Office Advisory In order that the client’s needs are addressed in the best way possible, they will have access to an extensive range of products and services Tax advisers, lawyers and accountantsTrust and estate planningCorporate finance, mergers and acquisitionsCustodians, banks and investment managersService providers from school advisory to art professionalsInsurance providersReal estate advisers in both commercial and residentialPhilanthropic services
15 In SummaryAffluent / Hi- Networth Individuals need specialized platforms for their investment needs to diversify critical size of wealthFinancial Services companies need to cater to their special set and growing needsLegacy and succession planning are key to perpetuate family enterprises"Should you find yourself in a chronically leaking boat, energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks.“ Warren Buffet
16 DisclaimerThe information contained in this presentation may not be copied or reproduced without the prior consent from HSBC Private Bank (Suisse) SA (PBRS)This presentation contains only general information and is not meant to be exhaustive, comprehensive or authoritative. PBRS does not warrant its accuracy or completeness or accept any liability for any loss or damage arising from any reliance thereon.The scenarios mentioned in the presentation are based on certain assumptions and have no regard to the specific objectives, financial situation and particular needs of a person.This presentation is not, nor is it intended to be, nor construed as, advice or an offer or solicitation to buy or sell any investment or subscribe for, or to participate in, any services. PBRS is not recommending or soliciting any action based on it. The views expressed in the document are those of PBRS and may, from time to time, differ from the research views of other companies within the HSBC Group.PBRS has based this document on information obtained from sources it believes to be reliable but which it has not independently verified. PBRS and the HSBC Group make no guarantees, representations or warranties and accept no responsibility or liability as to its accuracy or completeness. The information stated and/or opinion(s) expressed herein constitute best judgment at the time of publication and are subject to change without notice.The information contained within this document has not been reviewed in the light of your personal circumstances. Please note that this information is neither intended to aid in decision making for legal, financial or other consulting questions, nor should it be the basis of any investment or other decisions.