Product Code: WI0025FR
In an uncertain economic and political environment banks are no longer prioritizing rapid expansion strategies to achieve growth. Banks are divesting and exiting non-core markets, with some targeting emerging markets with increasing HNWI populations. The main objective for providers is to focus on domestic markets, remain profitable and achieve sustainable steady growth in their core markets.
On the same time tightening regulations and a weak macroeconomic environment have impacted the profitability of wealth management firms, encouraging them to re-examine their strategies. To maximize returns, wealth management firms are now focused on reviving their firms' brand values, and product and service offerings.
Both Banks and Wealth Management firms are approaching HNWIs with a wide variety of products and services to capture a greater share of the market. In the post-financial crisis environment they have also been observed to be building lending solutions to cater to the strong HNWI demand for credit and access to liquidity.
Furthermore, fearing the disruption that alternative digital platforms can bring, the automated advice space has been entered by traditional financial service providers. By including a digital advice option, providers can appeal to a broader range of clients and meet investors' needs through their lifetimes.
With wealthy clients, and especially UHNWIs, behaving like institutional clients, banks are using cross-selling opportunities between investment and private banking, and it has become common for private banking divisions to be positioned with investment banking and asset management. As regulatory requirements pose ever greater challenges, private bankers and wealth managers are likely to experience further changes to their business models, products and services.
The key findings that emerged from GlobalData's study on HNWI Asset Allocations; are presented below:
- The global HNWI population was estimated at nearly 15 million in 2015, with a total wealth of US$60 trillion.
- HNWI wealth is projected to grow by CAGR6.7% over 2016-2020 to reach US$82.1 trillion by 2020.
- In the post-financial-crisis environment, private banks and wealth managers are building lending solutions to meet strong HNWI demand for credit and access to liquidity.
- Wealth managers are focused on providing higher customization by targeting specific client segments such as females, entrepreneurs and young HNWIs.
- Increased focus is being observed on relationship-based pricing to encourage brand loyalty.
- Wealth management firms are utilizing synergies by leveraging cross-selling opportunities between retail, private and investment banking.
Companies Mentioned: Bank of America, HSBC, Lloyds, UBP, Coutts, Credit Agricole, Indosuez Wealth Management, deVere, Ellevest, Deutsche Bank, BNP Paribas, Societe Generale, Lombard International Assurance, Julius Baer, RBC, BlackRock, FutureAdvisor, RBS, JP Morgan Chase, OCBC, DBS, ABN AMRO, Leumi Private Bank, Fransad Gestion, Merrill Lynch, Kairos, Goldman Sachs, GPS Investimentos, Financeiros e Participacoes, BTG Pactual, BSI, Generali, UBS, Bethmann Bank, LGT Bank Deutschland, Vontobel, Finter Bank Zurich, Credit Suisse, Citi Private Bank, Macquarie Group, The Henley Group, St. James's Place, Barclays, US Trust, Northern Trust, Well Fargo, Altamount Capital Management, Itau Private Bank, Acumen Partners, Banque Neuflize OBC, Babyloan, Yes Bank, Berenberg Bank, Monument Wealth Management, Oracle Capital Group, Morgan Stanley Smith Barnet, Bessemer Trust, BNY Mellon, Kotak Mahindra Private Banking, WaterStreet Family Offices, ICICI, MoneyZen, Female Wealth Management and Wealthcare for Women, HoyleCohen, the Zinn-Ray and Svatora group, Metro Bank, SunTrust, ING Group, OECD, Bank of Montreal, Zafin Asset Management, Fidelity investments, The Mulligan Group, Baoshang Bank, NatWest
Table of Contents
TABLE OF CONTENTS
LIST OF TABLES
LIST OF FIGURES
- 1.1. What is this Report About?
- 1.2. Methodology
- 1.3. Definitions
2. HNWI Wealth and Population Market Sizing, Demographics and Economic Outlook
- 2.1. HNWIs Market Sizing and Forecast
- 2.2. Trends in Age Demographic
- 2.3. Trends in Gender Demographic
- 2.4. Trends in HNWI Volume and Value Segmented by Wealth Band
- 2.5. Review of the Global Economy
3. HNWI Asset Allocation 2011-2020
- 3.1. HNWI Asset Allocation in International Markets
- 3.2. Trends in Alternative Assets
- 3.3. Trends in Real Estate Investments
- 3.4. Trends in Cash and Deposits
- 3.5. Trends in Fixed-Income Products
- 3.6. Trends in Equities
- 3.7. Trends in Business Interests
- 3.8. Asset Allocation Distribution by Country
- 3.9. Asset allocation Distribution by Geography
4. Competitor Strategy, Products and Services
- 4.1. Current and Future Outlook
- 4.2. M&A and International Strategy
- 4.3. Customers and Services
- 4.4. Channels and Synergies
- 4.5. Investment Products
- 4.6. Regulation
- 4.7. Innovation
- 4.8. Pricing Strategy
6. About WealthInsight
List of Tables
- Table 1: HNWI Wealth Band and Group Definitions
- Table 2: Macroeconomic Indicators: GDP Per Capita, GDP Growth and Interest rate by Country, 2015
- Table 4: Total Investment in Foreign Markets, 2011-2020F, in US$ Billions
- Table 6: Global HNWIs - Foreign Investment Allocation Breakdown (%), 2011-2020F
- Table 7: Wealth Management - Current Dynamics and Outlook, 2016
- Table 8: Competitor Strategy Summary Examples
- Table 9: Key Trends and Outlook in Client Segments
- Table 10: Philanthropic Wealth Management Services in Developed Economies, 2016
- Table 11: Philanthropic Wealth Management Services in Emerging Economies, 2016
- Table 12: Selected Wealth Management Services for Entrepreneurs, 2016
- Table 13: Wealth Management Workshops and Conferences for Young HNWIs, 2016
- Table 14: Wealth Management Needs of Female HNWIs
- Table 16: Wealth Management Services on Collectables-Related Investments, 2016
- Table 17: Emerging Pricing Strategies in Wealth Management
- Table 18: Global HNWI Populations, 2011-2020F
- Table 19: Global HNWI Wealth, 2011-2020F, US$ Billion
- Table 20: HNWI Population and Wealth by Country, 2015
- Table 21: Americas HNWIs - Assets Allocations (%), 2011-2020F
- Table 22: Americas HNWIs - Holdings Growth (%), 2011-2020F
- Table 23: Europe HNWIs - Assets Allocations (%), 2011-2020F
- Table 24: Europe HNWIs - Holdings Growth (%), 2011-2020F
- Table 25: Asia-Pacific HNWIs - Assets Allocations (%), 2011-2020F
- Table 26: Asia-Pacific HNWIs - Holdings Growth (%), 2011-2020F
- Table 27: Middle East and Africa HNWIs - Assets Allocations (%), 2011-2020F
- Table 28: Middle East and Africa HNWIs - Holdings Growth (%), 2011-2020F
- Table 29: Global HNWIs - Alternative Asset Composition (%), 2011-2020F
- Table 30: Global HNWIs - Investment Trend in Alternative Assets (%), 2011-2020F
- Table 31: Global Trends in 'Art, Wine and Wheels', 2011-2015
List of Figures
- Figure 1: Global HNWI Population, 2011-2020F
- Figure 2: Global HNWI Wealth, 2011-2020F
- Figure 3: Global HNWI Population By Region and Age Group, 2015
- Figure 4: Global HNWI Population by Gender, 2015
- Figure 5: Global HNWI Population by Region and Wealth Band, 2015
- Figure 6: Global HNWI Wealth by Region and Wealth Band, 2015
- Figure 7: Asset Allocation in International Markets by Region, 2011-2020F
- Figure 12: Global - Trends in Alternative Assets by Region (US$ Billion), 2011-2020F
- Figure 13: Global Trends in 'Art, Wine and Wheels', 2011-2015
- Figure 14: Breakdown of HNWI Assets in the Americas by Asset Class, 2015
- Figure 15: Breakdown of HNWIs Assets in Europe by Asset Class, 2015
- Figure 16: Breakdown of HNWI Assets in Asia-Pacific by Asset Class, 2015
- Figure 17: Breakdown of HNWIs Assets in the Middle East and Africa by Asset Class, 2015
- Figure 18: The Americas - Asset Allocation by Geography, 2015
- Figure 19: Europe - Asset Allocation By Geography, 2015
- Figure 20: Asia-Pacific - Asset Allocation By Geography, 2015
- Figure 21: The Middle East and Africa-Asset Allocation By Geography, 2015