Banks and HNW customers
Banks and HNW customers
Agenda Inc says that the banking industry is beginning to evolve its business model from capturing, to managing client money, with various strategies aimed at putting the high-net worth consumer at the heart of the relationship. It cites a number of articles including one from The Guardian that reports that Citigroup has just reorganised its US wealth management group to focus on helping clients according to their net worth.
The unit will be split into four to reflect consumer segments: ultra-high net worth, high net worth clients, and “emerging affluent” clients.According to The Wall Street Journal, reports on a study from Northern Trust showing that in the US, young millionaires between 28 and 42 are better-diversified across all asset classes than older millionaires. It says the findings show young people are "at the forefront of adopting institutional approaches to asset management, an emerging trend among investors."
Meanwhile, Coutts, one of the UK's leading private banks has launched one of the most comprehensive studies into the spending habits of the wealthy in the UK (Coutts Wealth inflation Index). It reveals that in the past year, inflation for premium goods and services consumed by individuals in the UK reached 9.5%, four and a half times the 2.1% inflation rate indicated by the CPI over the same period.
Thursday, 13 March 2008 16:39