Guide to Private Banking by Richard Cayne

Private banking refers to a group of tailor made services which are meant for private customers and feature highly tailored services and products in comparison of the services being offered to the retail customers. It can be very suitable for certain high net worth individuals who require more than just the traditional solutions.

Many banks offer the private banking solutions to their affluent customers along with securities safekeeping, mutual fund and hedge funds as well as structured products and leveraging capabilities. According to certified financial consultant Richard Cayne, the private banking relationship is characterized by personalized service. The wealthiest customers are provided with a dedicated financial manager or advisor who looks after and manages the portfolio of the client either on a discretionary basis meaning where the banker has full authority over the account or non discretionary where they need the clients consent on each trade.

Private Banking Solutions Catering to Various Needs

Private banking solutions may be suitable for individuals with certain level of wealth. They may be families, professionals, entrepreneurs, private investors or public sport or media figures who desire that extra level of confidentiality and discreetness which such wealth management solutions may offer. After achieving a certain level or wealth, some individuals may require professional, experienced and useful financial advice from someone who has extensive experience in the financial sector, says Richard Cayne Meyer International in Thailand. The private banking solutions cater to different types of needs.  These services also help you to manage your international portfolio wherein you have assets in different global locations and you need expert and genuine financial advice. Private banking platforms may also offer the ability to help you leverage your portfolio using your existing assets without the need to liquidate them in order to invest in other areas.

In most cases, private banking is offered to the customers who possess a net worth of more than US$5 million.  This minimum level is targeted so that the banker may have ample flexibility to customize and tailoring suitable financial solutions and appropriately diversified investment choices.  Private banking is certainly a competitive space these days and in Asia the fastest growing region would be in Singapore as all the 1st tier and many 2nd tier banks have representation there.

Catering to The Demand Of Clients

European private banks in Asia need to create more products catering to the specific needs of their Asia based clients.  Various reports and studies have indicated that Asian based clients are more likely to be looking for higher growth and performing investments over European clients who are more interested in preservation of value rather than really trying to grow it.  Richard Cayne who worked in Tokyo Japan for 15 years and at Meyer Asset Management Ltd says that his experience with Japanese clients suggests that Japanese contrary to popular belief as being very conservative and happy to accept a near zero yield in bank deposits are actually quite aggressive when it comes to the high net worth clients.  Japan based clients seem to have a healthy appetite to alternative investments into hedge funds and structured products.  Having many relationships in Japan who see this as an opportune time to change their Yen which is currently at the top end of its trading range and very strong to US$ opens the world of investment choice as the majority of global investment opportunities are in US$.

Whether one is looking to preserve wealth or grow it significantly private baking platforms may offer the tools to achieve your goals.

Richard Cayne is currently Managing Director of Meyer International Ltd in Bangkok Thailand and like Meyer Asset Management Ltd having relationship with over 200 global financial institutions is also part of Asia Wealth Group Holdings Ltd which is listed on the PLUS stock exchange in London UK.

Understanding Private Banking

Providing wealth management and private banking solutions to high profile clients has, now-a-days, become one of the most coveted businesses of banks. Private banking involves focusing upon the client’s portfolio including assets like traditional equity and bond investments, real estate holdings etc. All these assets are managed by personal financial advisors.

The advisors possess a wide knowledge base of finance and relevant financial matters and aid their clients in issues like tax, financial planning, retirement etc by providing helpful and precious advice. But as far as the high net worth clients are concerned, they need something more than just the conventional solutions and this is possible through private banking solutions only.   

What is Private Banking?

Private banking can be defined as a set of customized services tailored for private high net worth customers. These services reflect a higher quality in comparison of services offered to other customers. Private banking services are often extended to customers who have got liquid assets of more than $250,000 but typically US$5,000,000 or more.   

There is a logical and convincing reason behind why these services are provided to high net worth individuals. For these high net worth clients  more tailored and bespoke solutions are created to provide better options, flexibility and this in turn, permits the banker to tailor make certain financial solutions which involve a far more diverse universe over which clients can make money from.  Clearly as private banking high net worth clients have higher sums to invest a higher level of service is offered to them.

Role of Financial Consultants

Financial consultant like Richard Cayne is expert on identifying private banking solutions and their expertise can be seen as they make direct comparisons on private banking solutions offered by some of  the major global players.

These experts consult on highly personalized private banking solutions and their established, reputed and worldwide network helps their clients gain access to such a diverse range of information.
The high profile clients can also get the assistance through personalized services in which a financial manager/expert is personally assigned to take care of the management of client’s portfolio.  

Conventional Banks & Private Banking

A vast array of products is offered by the banks to its customers so that their financial requirements can be met up easily and satisfactorily. Such products may include the ability for the investor to create his/her own portfolio of investments but wants a professional to manage / administer it.   Stockbroking, loan, Mutual fund, hedge fund access services and structured product sercives are but a few of the services one can expect to be able to receive.

Private banking solutions provide a blend of financial products to their clients and these financial products are especially customized as per the requirement of such wealthy and eminent clients. According to Richard Cayne Meyer Asset Management Ltd, these financial products may include investment portfolio management over different currencies and various types of investment products.