Rahul Malhotra Jpmorgan Private Bank Traditional Values with an Innovative Business Model

Issue 4, 2016

Rahul Malhotra JPMorgan Private Bank Traditional values with an innovative business model

MIDDLE EAST INSIGHTS UBP’S ASIA VISION THE DIGITAL FUTURE EMIRATES NBD EVENT HIGHLIGHTS Developing wealth and How to turn conviction How and why private Driving transformation China, Taiwan and asset management into reality banks must catch up in wealth advice Digital Wealth Enjoy your moment in the Sun

We all dream of financial freedom and security. And we’ve been helping our customers achieve this since 1890. Across the seven markets in Asia where we operate, we are ready to help you and your family achieve your financial goals. No matter where you are in your life journey, wake up to a brighter day with Sun Life.

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Life’s brighter under the sun Foreword Enjoy your moment

in the Sun This is the latest edition of our Quarterly publication covering Asian wealth management. We all dream of financial freedom and security. And we’ve This is being produced at a time which The blurring of the lines between the been helping our customers achieve this since 1890. is probably the most difficult ever for various types of organisations operating Across the seven markets in Asia where we operate, the wealth management and private in this space also brings with it areas of banking industry in Asia. overlap and commonality. we are ready to help you and your family achieve your financial goals. The last 12 months have been particu- To cater to this, the publication covers larly tough, and the challenges that firms Private Banking, Retail Banking, Indepen- No matter where you are in your life journey, wake up to face are mounting. dent Wealth Management, Family Offices, a brighter day with Sun Life. Insurance, Asset Management, Technol- From the economic environment, tax ogy, and also Professional Services. Visit us at sunlife.com amnesty and regulatory scrutiny, to the debate over onshore versus offshore, Asian Wealth Management is created and the continued hunt for both talent in conjunction with – and for – senior and growth – chief executives are re- management, product gatekeepers, considering their business models, along business heads across compliance, op- with the strategic choices they need to erations, technology, advisory and sales, make, in order to remain relevant. and other key stakeholders from the top international, regional and domes- The content in this issue should be rel- tic organisations across the community evant to anyone who is serious about with which Hubbis has worked hard building a sustainable and profitable over the past six years to build relation- wealth management business in Asia. ships and enhance connectivity.

ANDREW CROOKE EDITORIAL AND CONTENT DIRECTOR HUBBIS

Life’s brighter under the sun Contents

Cover Story

18 SAFETY, SECURITY, CONFIDENTIALITY THE JPMORGAN WAY Rahul Malhotra explains why traditional values combined with an innovative business model will ensure a profitable future for JPMorgan Private Bank in Asia.

Thought-Leadership

06 RE-POSITIONING IN A NEW WORLD OF ASIAN PRIVATE BANKING Asia’s competitive and challenging private banking environment urgently re quires senior management to re-define operating models and create the right infrastructure to stay in the game, according to a roundtable co-hosted with Synpulse in Hong Kong.

22 THE FUTURE OF DIGITISATION IN ASIAN PRIVATE BANKING A new White Paper explores how current digitisation trends and priorities will shape the future of the private banking industry. It explores how and why institutions must catch up across their entire value chain despite the challenging environment.

50 HOW TO DEVELOP WEALTH MANAGEMENT IN THE MIDDLE EAST Wealth management in the Middle East has much potential to mature, if the industry can achieve key goals such as fostering more dialogue with the regulator, finding and keeping competent people, implementing robust risk controls and selling solutions not products.

54 HOW TO INCREASE FUND PENETRATION IN THE MIDDLE EAST Fund penetration in the Middle East can only increase with greater understanding among clients about the value of diversification, as well as efforts to package funds into outcome-focused investments and overall portfolio solutions.

Profiles

12 HOW UBP PLANS TO TURN ASIAN CONVICTION INTO REALITY Michel Longhini & Michael Blake of Union Bancaire Privée

38 EMIRATES NBD DRIVES TRANSFORMATION IN WEALTH ADVICE Suvo Sarkar of Emirates NBD

68 BRINGING A SPARKLE TO PORTFOLIOS Linus Koh of SDiX

i ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4

We combine investment expertise with agility to bring you a broad range of performing strategies, tailored to your personal needs.

Private Banking | Asset Management | Treasury & Trading | www.ubp.com Past performance is not a guide to current or future results. The value of investment interests can fall as well as rise. Any capital invested may be at risk and you may not get back some or all of your original capital. UBP is authorised and regulated in Switzerland by the Swiss Financial Market Supervisory Authority and is authorised in the United Kingdom by the Prudential Regulation Authority. UBP is subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority; it is a licensed bank regulated by the Hong Kong Monetary Authority (HKMA) and a registered institution regulated by the Securities and Futures Commission (SFC) in Hong Kong for Type 1, 4 & 9 regulated activities; and is regulated as a merchant bank by the Monetary Authority of Singapore, is an exempt financial adviser under the Financial Advisers Act (Cap. 110 of Singapore) to carry on certain financial advisory services, and is exempt under section 99(1)(b) of the Securities and Futures Act (Cap. 289 of Singapore) to carry on certain regulated activities. Insights

28 THE RIGHT TYPE OF FINANCIAL ADVICE Gary Harvey of Nexus Financial Services

32 BRINGING HOLISTIC ADVISORY TO LIFE IN INDIA Vishal Dhawan of Plan Ahead Wealth Advisors

58 DRIVING DIVERSITY Tomasz Bortnik of Citi

65 ROBO WARS Keir Veskivali of Smartly

Practice Management

02 KEES STOUTE – SKILLS IN WEALTH MANAGEMENT How to know when you’re doing well for clients

04 TODD JAMES – PORTFOLIO MANAGEMENT ADVICE What to do when interest rates are rising

Event Highlights

44 CHINA WEALTH MANAGEMENT FORUM 2016 Taking wealth management in China to the next level

48 TAIWAN WEALTH MANAGEMENT FORUM 2016 Evolving the wealth management offering in Taiwan

62 DIGITAL WEALTH - ASIA 2016 - HK Making digital more meaningful

Published by Hubbis. Printed in December 2016 in Hong Kong. © Hubbis (HK) Limited 2016

All rights reserved. No portion of this book may be repro- Michael Stanhope duced, duplicated or copied by any means without the prior Chief Executive Officer written consent of the publisher. No legal responsibility Hubbis can be accepted by the author or publisher for the content T (852) 2563 8766 which appears in this publication. E [email protected] W www.hubbis.com

ii ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Vision means looking to the future without losing sight of the present. VP Bank looks ahead – with both feet firmly in the here and now. We guide you on your journey through the investment and finance universe. Because we don’t want to limit your potential. Safely ahead.

VP Bank (Singapore) Ltd · 8 Marina View · #27-03 Asia Square Tower 1 · Singapore 018960 · Singapore T +65 6305 0050 · F +65 6305 0051 · [email protected] · www.vpbank.com VP Bank Group is based in Liechtenstein and has offices in Vaduz, Zurich, Luxembourg, Tortola/BVI, Singapore , Hong Kong and Moscow.

ad_GuidetoWealthManag_Asia_A4_EN.indd 1 26.07.16 14:23 70% USD10 mn 5 years

UBP’s cost-income ratio JPMorgan has a very clearly- End-to-end digitisation might of just under 70% defined strategy to provide take up to five years, due to the is evidence that the private banking services to people stubbornly-high costs of back- model works. that have USD10 million office systems migration. Page 12 in investible assets with it. Page 26 Page 18

500 USD136 mn 610,000

Three years after SEBI issued Emirates NBD has The latest figures from its investment adviser a three-year AED500 million Capgemini Financial Services regulations, only just over 500 (USD136 million) strategy to Analysis, pinpointed a HNW licences have been issued. improve its processes, population of 610,000 in the Page 32 products and services. Middle East in 2015. Page 38 Page 50

Content colour coding - for Hubbis articles

REGULATION & COMPLIANCE SKILLS

INVESTMENTS STRATEGY & BUSINESS

FAMILY WEALTH TECHNOLOGY

iii ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4

PRACTICE MANAGEMENT - SKILLS

How to know when you’re doing well for clients

For a client-adviser relationship to be promising, the focus – and type of conversation – should be spot on from the onset, says Kees Stoute.

Still today, many private bankers ships; iii) earning predominantly Unfortunately, in these types of rela- operate on the assumption that getting recurring income. tionships, the performance expectation assets in from a client potentially rep- 4. The ability to develop deep rela- is usually defined in terms of invest- resents the beginning of a promising tionships with the client depends ment performance. and flourishing relationship. on the type of conversation with that client: is the conversation If we hold this against the five assump- “What is the minimum amount about the market, your products, tions/observations, we conclude that: I need to open an account your firm, you, or predominantly with you?” about the client’s life? Obviously, It is usually not clear how and to “Uh… well,,, that would be USD the more the conversation is about what extent investment perfor- 500,000.” the client’s life, the more likely that mance is correlated with quality “Ok, then, I will try you out with a deep relationship ensues. of life, thus making it challenging USD 500,000.” 5. In general, technology is redefining to charge a decent enough (recur- the relationship between consum- ring) fee. Let’s have a closer look at this though. ers and service providers, making Delivering investment performance We will start with a few assumptions/ the actual service provider almost cannot be controlled, simply as a observations: invisible to the end-consumer result of the fact that we cannot (Uber, Amazon, Booking.com, ro- control the markets. 1. In general, people are happy to pay bo-advisers, online universities, With a focus on investment per- a fee to professionals who, in one etc). For wealth management pro- formance, the conversations with way or another, (make a transpar- fessionals to survive in this indus- clients will be mostly about the ent attempt to) improve the quality try this means the focus should be markets and products. of their life. on areas that are most difficult to With a focus on the markets and 2. We can only consistently add value ‘impersonalise’. products, it will prove to be a in areas over which we have a serious challenge to develop a certain level of control. As we do Back to our example: the client is willing deep relationship with the client. not control the markets, we should to try you out by ‘giving’ you the Conversations about markets and never define our added value in minimum amount needed to open an products are relatively easy to im- terms of delivering superior invest- account. In other words, if you do well personalise. ment returns. and in line with – or even above – his 3. The most successful wealth man- expectations, you may expect a larger Our conclusion: the likelihood that ‘I agement professionals share share of his pie. will try you with the minimum amount’ three characteristics: i) they have will ever result in a profitable, mutu- big clients; ii) with whom they The obvious question, then, is: “How ally beneficiary relationship seems have established deep relation- do we define ‘doing well’?” remote.

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What to do when interest rates are rising

In the ETF world, there are many tools available to minimise the impact of higher rates, or even capitalise on them, says Todd James.

With the US Federal Reserve raising average duration of an investor’s port- High Yield-Interest Rate Hedged ETF rates in early December; and given the folio, including: the iShares Short Ma- (HYHG), which short Treasuries to fact that longer-term interest rates have turity Bond (NEAR); the PIMCO En- hedge a portfolio of high-yield bonds. drifted higher recently, many investors hanced Short Maturity Active ETF are looking for ways to protect them- (MINT); the Guggenheim Enhanced With a target duration of zero, the fund selves from even higher rates. Short Dur ETF (GSY), and many more. aims to capture purely the credit spread while immunising itself from interest INFLATION PROTECTION INVERSE BOND ETFS rate risk. It gives investors a potent dose Generally speaking, long-term rates Another method to hedge against rising of credit exposure with radically-re- increase when inflation expectations rates is to invest in inverse bond ETFs. duced duration risk. increase, thus investors can protect These funds comprise short bonds, themselves from inflation by investing meaning they rise in price when interest FLOATERS in a portfolio of Treasury inflation- rates increase. Another way for investors to reduce protected securities (TIPS). interest rate risk is by investing in The ProShares Short 20+ Year Treasury floating-rate securities. These, as you would have expected, ETF (TBF) provides daily inverse expo- have seen a surge in demand recently. sure to Treasuries with maturities The iShares Floating Rate Bond ETF greater than 20 years. (FLOT) holds a basket of bonds with The most popular ETFs which are invest- maturities of five years or less. ing in inflation-protected bonds are This inverse exposure to the Treasury iShares TIPS ETF (TIP) and Schwab US Index is a powerful tool for investors As floating rate notes, the interest rates TIPS ETF (SCHP). with a bearish short-term outlook for on these securities resets periodically US long-term treasuries. based on floating benchmarks such as LOWER-DURATION BONDS LIBOR; so if rates increase, the pay-out The classic advice given to investors However, keep in mind, it costs to main- increases as well, while the price stays when interest rates are rising is to reduce tain a short position over time, which relatively stable. the duration of their bond portfolio. can result in losses even if interest rates don’t move. The PowerShares Senior Loan Portfolio A higher-duration portfolio has more (BKLN) is another type of floating-rate interest rate risk than a lower-duration LONG/SHORT BOND FUNDS ETF. It tracks an index of the 100 largest portfolio, so by reducing duration, a Another category of ETFs attempts to bank loans with floating rate coupons. portfolio will have less interest rate risk. reduce duration by simultaneously in- The fund has little interest rate risk, but There are plenty of low-duration ETFs vesting in a long and short positions in relatively high credit risk due to its on the market that can help reduce the bonds. One such ETF is the ProShares below-investment-grade portfolio.

4 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 What to do when interest rates are rising THOUGHT-LEADERSHIP

Re-positioning in a new world of Asian private banking

Asia’s competitive and challenging private banking environment urgently requires senior management to re-define operating models and create the right infrastructure to stay in the game, according to a roundtable co-hosted with Synpulse in Hong Kong.

Increases in regulations, industrialisa- AUM in April 2016, the day the agree- Consolidation is a key trend tion of processes and changes in ment was first signed, USD13 billion in in Asian private banking, client behaviour all continue to put AUM was successfully transferred. offering a way to reach the pressure on margins in Asian private critical size needed to get banking. In turn, this has forced in- This resulted in a purchase price – which out of the cost trap stitutions to re-define their approach was set at 1.75% of the AUM trans- and business strategy. ferred upon completion – of USD227.5 Brand name is a crucial factor in staying competitive million. Both developments also high- in the Asian market, One outcome – that has become a light the growing prominence of Asian- followed by economies favoured approach among a number based institutions in the market. of scale of foreign and local banks alike – has been the consolidation to cope with These banks might also have a com- Post-merger integration is growing competition. petitive advantage in terms of access both time-consuming and challenging – especially to the growing amount of wealth – and in terms of the platform Among the latest developments along numbers of HNW – in markets such as transition with client data these lines was DBS’ recent announce- China, through onshore branches. migration, plus the handling ment that it will buy the wealth manage- of licenses ment and retail banking business of ANZ NEW MODELS NEEDED in five markets, for roughly SGD110 Current cost-benefit analysis suggests A strong IT platform with digital banking capabilities million above book value. more consolidation to come going is a must to grow over the forward, predict some senior manage- long term – but building a Then, in late November 2016, Bank of ment in the industry. scalable platform with high Singapore completed the acquisition of automation of processes is the wealth and investment management Yet this isn’t the only path being expensive and takes time business of Barclays in Singapore and chosen as different players try to map Hong Kong. Of the USD17.5 billion in out a strategy and operating model to

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tackle the many challenges they are grappling with. “Keeping the AUM productive is the key to long-term Outsourcing the IT platform, for example, success – not necessarily the amount of assets per se.” via business process outsourcing (BPO) is one option to avoid high up-front investment costs, if the bank cannot leverage the platform of its head office. OPERATIONAL CHOICE tant factor in determining how well it There is no one-size-fits-all solution. When assessing costs and benefits of works for different banks. Essentially, a mix of M&A, adopting outsourcing, rather than the pure eco- advanced systems and platform capa- nomics, softer factors need to be taken A key element for many banks is how bilities, tackling regulatory issues and into consideration. they tackle the efficiency challenge if optimising cost-to-income ratios are they choose to build and maintain solu- important for the development of the For example, because the platform and tions in-house. bank and AUM growth. back office is outsourced, it can create cultural change. Local banks, for instance, can leverage Yet, keeping the AUM productive is the their retail businesses to tap into the key to long-term success – not neces- How to integrate with the model and industrialization already in place. The sarily the amount of assets per se. implement the outsourcing is an impor- key question is whether they will be

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able to catch up with those players sidered as the minimum to run a viable which are looking to outsourced offer- private banking business in Asia. A roadmap for ings to ensure their platform is as au- next-generation tomated and up-to-date as possible. However, while critical mass is obvi- private banking ously vital, the ‘right’ amount is more A LOCAL ADVANTAGE? about the economies of scale and being Research by Synpulse in mid- 2016 has highlighted the extent Some of the local banks might also be disciplined on the cost front, in conjunc- to which the current challenges constrained by the fact that it is more tion with productivity of the bankers that the Asian private banking difficult for them to attract tycoons – rather than pure size. industry is facing have driven a as private clients. wave of consolidation to cope The contribution of revenue and level with the growing competition in This makes it more challenging for the of profitability should not be -over the region. private wealth division to be a sig- looked, especially among the local banks External growth strategy such nificant contributor in terms of AUM. with private banking divisions. as M&A is currently redefining the Asian banking landscape to remain profitable, where standardisation, industrialisation and outsourcing may be envisaged in parallel, according “When it comes to consolidation via M&A, defining to the research. the best-fit Target Operating Model based on business strategy and objectives driven by the deal is key to Given the importance of the wave of consolidation as a achieving a cost-effective integration.” solution to exist, Synpulse interviewed market experts whom recently participated in consolidation. The aim was to understand the rationales driving an M&A decision, and identify Yet local banks have a more natural Ultimately, when it comes to consolida- the important aspects relevant advantage from being able to tap into tion via M&A, defining the best-fit to a successful post-merger existing client books, on the retail side Target Operating Model based on busi- integration. of their business. This also lends itself, ness strategy and objectives driven by Complexity of M&A integrations, in theory, to being able to transition the deal is key to achieving a cost-ef- while considering hard bankers from advising affluent clients fective integration. factors – such as architecture, to the HNW segment. infrastructure and banking However, different partnership and processes – in parallel to At the same time, there can be some sourcing options can be considered to soft factors – for example, culture, positioning and human challenges in passing clients or bankers get further advantages in terms of scal- resourcing – drive an effective from the affluent to the higher net ability, cost efficiencies, and front-of- and efficient integration strategy. worth segments. fice effectiveness. Defining the right and suitable Capital might also be a major issue for Implementing a third-generation op- operating model can give a real some banks. So even if they want to grow erating model with a global BPO competitive advantage, said the Synpulse research, by creating via M&A, this might be a challenge. network connecting centres of opera- the future optimal business tional excellence can also benefit many architecture after the integration CLEAR GOALS NEEDED financial institutions – regardless of of the two parties. The estimate of USD30 billion to whether they choose to be part of the USD35 billion in AUM is broadly con- consolidation wave.

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How UBP plans to turn Asian conviction into reality

Following Union Bancaire Privée’s (UBP’s) integration of Coutts’ international business, Michel Longhini and Michael Blake share a clear vision for how the Swiss-based firm can take advantage of Asia’s potential – when many of its peers are floundering.

Securing sustainable Asian private long journey, but it has been successful banking growth from M&A seems to be from the regulatory, technical, logistics an effective strategy in a region where and client points of view, so I think all revenue is harder to come by than most the prerequisites for a good outcome players would like. are there.” he says.

Various exits, office closures and other He measures success in several ways: strategic downsizing decisions by the quality of the integration, retention various organisations of all sizes appear of clients and staff, and the profitabil- to defy the optimism about what has ity associated to that. become the world’s fastest-growing market for HNW individuals. UBP’s global cost-income ratio of just under 70% is also evidence for Long- Success seems far from guaranteed hini that the model works. despite the demographics and statistics. But this hasn’t stopped Geneva-based “This is enough to be very profitable UBP. Further, the instant access to a and justify the level of investment re- MICHEL LONGHINI platform in Asia many times the scale of quired today to be successful,” he ex- Union Bancaire Privée what the Swiss firm had before it bought plains. “And from there, we can build a Coutts’ international business highlights strong franchise.” UBP’s commitment to the region. This has been a factor driving the deci- ASIA IN FOCUS sions behind every one of the firm’s bring additional results, so it makes Michel Longhini is clearly pleased with acquisitions over the last five years, he sense to continue this strategy.” In the the integration of Coutts. “We know explains. “With a strong franchise and Coutts deal, more specifically, the Asian from other acquisitions that this is a operational capacity, the investments aspect has taken the longest and is

12 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4

PROFILE

reasons which are linked to their own UBP’s conviction is such that it expects global strategic issues, like raising Asia to account for roughly 25% of its capital, but certainly not part of a asset base, across both wealth and asset long-term private banking view,” ex- management, in the next five years. plains Longhini. To put this into context, the current level is around 12%. Other banks might have developed a private banking aspect to the wider BUILDING THE RIGHT BUSINESS group, but then realised that it is a small To make the integration a success going portfolio which does not make eco- forward, the starting point must be the nomic sense, he adds. franchise, in terms of presence.

Yet this often applies to firms which are The old way of building a business, by not pure-plays. just hiring people and expecting clients to come, no longer works. “We must be “The banks which are buying assets are focused on a certain type of approach MICHAEL BLAKE much more focused players like us, or client base,” says Longhini. Union Bancaire Privée which believe that there is still growth [in Asia], still a need to have certain In addition, those bankers who really global coverage to reach the right size, know the business and have the client and still opportunities in this dislocating base to back it up, are increasingly market that perhaps did not exist four looking for a place to work which has perhaps being most closely watched. or five years ago,” explains Longhini. values, a philosophy and a product base As one of the last parts of the jigsaw to which is aligned with their thinking. fall into place, it saw Michael Blake “The fundamentals of the business are return to the region to head the ex- extremely strong if you approach it in “We are one of these private banks panded firm’s private banking business the right way,” adds Blake. which can really help senior bankers to in Asia, following UBP securing its leverage their client base,” adds Long- banking licence in Hong Kong to facili- UBP has taken advantage of such entry hini. “I have been impressed by the level tate the rest of the business coming points in other markets too. In Dubai, of interest that our new presence in together in the region. for example, over the past three years Asia has created.” it has gone from having no presence in In doing this, UBP in many respects has private banking to a set-up today includ- These bankers worry about alignment gone against the trend. ing 20 bankers – and a situation which of strategy and commitment to the Longhini describes as very satisfactory private banking business when their Over the past 12 to 24 months, many growth and profitability. institutions are subject to mergers or of its peers have taken strategic deci- other strategic change. sions to downsize or exit certain markets At the same time, UBP is realistic about or locations in the face of excessive busi- the opportunities Asia offers. Having According to Blake, they want to work ness challenges. first stepped foot in the region 30 years for organisations dedicated to growth ago, Longhini has seen the pitfalls of over the long term, and which have But as an organisation, it has viewed banks rushing in. demonstrated a profitable and success- this period as an opportunity it wants ful business model. to take advantage of – at the right price. But there is intrinsic growth linked to the development of emerging econo- This also gives these individuals the “Some banks have decided to exit mies that is greater than in other parts opportunity to increase their focus on private banking in Asia mainly for of the world. clients with specific and tailored prop-

14 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 IntegratingIntegrating your your businessbusiness objective objective withwith ours ours

WeWe believe believe that that your your business business success success is ouris our success. success. We We workwork with with you you through through every every phase phase of ofyour your business business and and carecare for for your your results results as asa trusteda trusted partner partner and and adviser adviser as as thoughthough we we are are a parta part of ofyour your business. business.

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PROFILE DELIVERING EXCELLENCE IN ositions, he adds. “If we apply the Blake and the rest of the UBP senior ASIAN INVESTMENT cookie-cutter approach, why would management team faces for the sus- Step-by-step integration [clients] need a wealth manager?” tainability of the Asian franchise is no different from the hurdle for all the UBP’s acquisition of Coutts Attracting the right type of advisers is firm’s peers: to get clients to pay for globally had several driving forces. At Fullerton, our understanding of the region comes from more than just essential in order for UBP to signifi- the advice they get. analysis and statistics: we embrace the dynamism and energy of Asia. As First, the Swiss-based group saw a cantly grow the current USD10 billion committed long-term investors, we see quality beyond the trends. Our recent business that was complementary in AUM (excluding lending) from private This is the same objective that regula- awards demonstrate the results. in terms of geographic locations clients in Asia. tors increasingly have around the world and priorities. In particular, it filled – to reduce, or increase transparency a gap in UBP’s coverage as well The senior management knows this is of commissions and retrocessions. as booking capacity in Eastern a priority, and Longhini is confident this Europe and Asia. At the same time, the deal had a positive impact on will happen through bringing in the In Asia, it has been more difficult to the book size and profitability for teams and individuals who need such move the needle in this direction. And UBP globally.From a product and a platform to develop their client base. the more hands-on nature of local inves- services perspective, the merger tors adds to the challenge. has given the Swiss group access Best Fixed Income House Best SGD Bond Fund More specifically, the firm is looking to to a full platform in Asia, along C 2016 Morningstar Singapore The Edge-Lipper Singapore with greater expertise in Zurich selectively hire experienced relationship “[Asia] clients want to be more involved M Fund Awards Fund Awards 2016 and Geneva, for example, to managers, which it sees as a more suit- in the investment decisions that most Y complement its own. able fit for its family-managed, entre- European clients, as many of them are CM preneurial, Swiss style of operating. entrepreneurs,” says Blake. To make the most of these MY value-adds, the first step to post- CY Best Local Currency Bonds SUSTAINABILITY But UBP has more reason to be opti- integration success is training, to CMY Best Hard Currency Bonds Particularly in Asia, the Coutts business mistic than some of its counterparts. ensure there is a smooth transition Best China Offshore Bonds for the people from Coutts coming K brings expertise that UBP did not have. 2016 AsianInvestor in to a new culture. This involves Asset Management Awards “I was impressed by the share of assets getting them used to new systems, This includes deep knowledge about under discretionary management at the product range and, in general, the local markets, for example in terms Coutts in Asia,” says Longhini. the UBP approach to doing of equity research and broader macro- business. It is also then important economic strategy. “It has developed a strong expertise in to make sure the Coutts bankers retain their clients, adds Longhini. selling bespoke mandates for clients, Best Fund Manager, Singapore Best RMB Bonds, Offshore Also on the product and investment and we can leverage on that,” he adds. Hard Currency Bonds, Asia Paciﬁc Asia Asset Management Already, the integration efforts Citywire Asia Awards 2016 Best of the Best Awards 2015 side, Coutts had individuals dedicated from day one of the deal being to Asian funds who can complement Further, the demand for professional announced have focused on the UBP fund research team, as well as management of wealth is strong in Asia talking to as many clients as more capacity in areas like fixed income among local HNW individuals. possible – but this is a process which needs to continue. and derivatives. For example, the region has reached Making all this more complicated fullertonfund.com Wealth planning is another aspect of the point where the transition of wealth is the fact that the UBP-Coutts [email protected] | +65 6828 6100 the business which UBP now has read- from one generation to the next is un- deal is essentially a reverse ily-available post-acquisition. derway, and only going to increase. takeover in Asia; the Swiss pure- play has gone from a team of 20 or Source: Citywire, Morningstar, Lipper, Asia Asset Management. Morningstar Awards 2016 © Morningstar, Inc, All Rights Reserved. Thomson so in the region to more than 250 This includes single-premium insur- This means that clients will increas- Reuters Lipper Awards © 2016 Thomson Reuters. All Rights Reserved. This publication is for information only. All applications must be made on today, with around 70 relationship the application form accompanying the prospectus, which can be obtained from Fullerton Fund Management Company Ltd (“Fullerton”) [UEN: ance, for instance, which is not a ingly be open to concepts such as suc- 200312672W] or its approved distributors. Investors should read the prospectus for details before investing. The value of units or shares in the Fund managers. and the income accruing to the units or shares, if any may fall or rise. Past performance is not necessarily indicative of future performance. This product often used in Europe. Perhaps cession planning and diversification, publication was, prepared without regard to the specific investment objectives, financial situation or needs of any investor. Investors may wish to seek advice from a financial adviser before making a commitment to invest in any Fund. In the event that investors choose not to seek advice from the greatest challenge that Longhini, says Blake. a financial adviser, investors should consider whether the Fund is suitable for them.

16 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Hubbis_A4_July16_WIP.ai 1 28/7/2016 11:21:01 AM

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Best Fixed Income House Best SGD Bond Fund C 2016 Morningstar Singapore The Edge-Lipper Singapore

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Source: Citywire, Morningstar, Lipper, Asia Asset Management. Morningstar Awards 2016 © Morningstar, Inc, All Rights Reserved. Thomson Reuters Lipper Awards © 2016 Thomson Reuters. All Rights Reserved. This publication is for information only. All applications must be made on the application form accompanying the prospectus, which can be obtained from Fullerton Fund Management Company Ltd (“Fullerton”) [UEN: 200312672W] or its approved distributors. Investors should read the prospectus for details before investing. The value of units or shares in the Fund and the income accruing to the units or shares, if any may fall or rise. Past performance is not necessarily indicative of future performance. This publication was, prepared without regard to the specific investment objectives, financial situation or needs of any investor. Investors may wish to seek advice from a financial adviser before making a commitment to invest in any Fund. In the event that investors choose not to seek advice from a financial adviser, investors should consider whether the Fund is suitable for them. COVER STORY

Safety, security, confidentiality the JPMorgan way

Rahul Malhotra explains why traditional values combined with an innovative business model will ensure a profitable future for JPMorgan Private Bank in Asia.

Private banking in Asia has been through leverages off the JPMorgan Private a major transformation in recent years. Bank’s experience in wealth advisory, A rapidly-maturing client base, market long-term planning, next-generation volatility and regulatory changes have advice and the ability to deliver more all contributed to the new profile of this sophisticated financing and other solu- industry. Cost have risen and returns tions to clients. “So you put these to- have fallen. gether, along with the bread-and-butter private banking, and it creates a holistic Against this background, Rahul Mal- experience, especially for UHNW hotra, managing director and head of clients,” he adds. South-east Asia for JPMorgan Private Bank, acknowledges the reality of the CLEAR SEGMENTATION situation, yet remains not only optimis- The consolidation in the industry has tic, but even positively bullish. been evident with a number of players downsizing or even making an outright “The business has been through a lot,” exit from Asia. he notes. “Not just JPMorgan per se, RAHUL MALHOTRA but the industry as a whole.” For JPMorgan, however, both the region JPMorgan Private Bank and the industry continue to be crucial Yet he is adamant about the value of strategically. “Asia continues to be im- his bank’s clear and focused strategy, portant for us,” says Malhotra, “both for based on providing a relevant offering the private bank as well as for the other to a core group of clients. lines of business.” a very clearly-defined strategy to provide private banking services to More specifically, he explains, this is The private bank, in particular, contin- people that have USD10 million in in- driven by a team-based approach which ues to invest in Asia, he adds. “We have vestible assets with us.”

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To JPMorgan, this is the definition of These conversations cover topics and has dealt with three generations. “high net worth”, with UHNW clients ranging from geopolitics to the broader How often do you come across people defined as those with USD50 million economy, and have been particularly that have been in the firm that long and above. valuable during the volatility in 2016. enough and doing this?” “They key is to help clients undertand Although five years ago the bank how they have impacted on what’s hap- These generations have different needs started to target individuals with a pening in the markets?” says Malhotra. and their risk appetites are also very lower AUM, motivated by the pace and “How do you make things simpler and different. In addition, the younger gen- extent of wealth creation across the easier for people to understand?” eration – the millennials – expect much board, the costs of doing business have more of a technology-led interaction. risen dramatically. Ateam-based model makes a huge dif- “They want you to be able to interface ference to achieving this. It was un- and deal with them, not just in person As a result, the bank is again more typical in years gone by for a banker’s or through voice, but to be able to in- focused on where it can be most rele- role to be to wine-and-dine a client, teract with them digitally, to be able to vant in the way it defines its target play golf with them, and then pitch give them the service and efficiency customer base. stocks and get back to the office and that is required through smart usage of execute the trade. It was like a one-stop technology,”explains Malhotra. WORKING AS A TEAM shop in many cases. Malhotra believes that the strength of Generational change also brings forth this proposition lies in the JPMorgan While many banks might seem to con- new challenges. “We have a wealth brand and the private bank’s business tinue to take this approach, the JPM- advisory practice that works with model – both of which Malhotra is a organ way has been to adopt a new families and helps them in putting in keen proponent. “I have 30 years of way of doing things. “We have a banker place the right structures for intergen- work experience and six of them have and also a dedicated investment spe- erational planning,” he adds. been at JPMorgan. I can tell you I have cialist who is in conversation directly learned and continue to learn a lot here. with the clients,” explains Malhotra. Another part of the bank’s wealth ad- The work, the culture, the teamwork, “The specialist is sitting in front of a visory offering which is gaining more the overall DNA – they are all about terminal, looking at the markets and traction in Asia due to its growing rel- doing things right.” talking to the client, and has a direct evance and importance is philanthropy. relationship with the client.” “We work with families who are looking Such principles apply at all levels of the to start to give back,” says Malhotra. It business. “It’s all about making sure that As a result, the client taps into the re- advises them as they start to think you are doing right by the client, by the sources of the relationship manager (RM) about how to plan for this and which shareholders and by the employees. We to help define the general objectives and firms to work with. do this on a daily basis.” strategy, but calls on the specialist to execute in real time. “It’s two for the ADDED VALUE The JPMorgan model certainly relies on price of one,” quips Malhotra. A third component to the JPMorgan its team-based approach. “Clients come Private Bank offering connects its to us because they genuinely value our LONG-TERM VIEW clients with the other parts of the insti- thought leadership, and they genu- This model also accommodates not only tution – especially its investment inely value our advice,” says Malhotra. the widening client base but also banking capacity. enables the bank to develop and rein- To him, ‘advice’ is to be able to sit across force relationships across generations. “When you work with families it’s also the table, listen to an individual, under- about the way you speak, not only to stand what their real needs are, and then He illustrates this with an example from the person but also the way you speak be able to really help them meet those the JP Morgan tradition: “I have a to the corporate wallet,” says Malhotra. objectives. “It’s no longer just about banker in my team who has been in the “That’s why we work well with the in- looking at financial markets,” he adds. business with us for more than 45 years vestment bank.”

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The future of digitisation in Asian private banking

A new White Paper explores how current digitisation trends and priorities will shape the future of the private banking industry. It explores how and why institutions must catch up across their entire value chain despite the challenging environment.

The wealth management space is un- gapore and Hong Kong being top dergoing a series of changes that will booking hubs, accounting for 48% of Different business models shape the industry for years to come. all Asian wealth bookings. expected to emerge

Asia presents an unprecedented op- Despite this significant market growth, Generalist operators – which have an end-to-end portunity for wealth managers, but at wealth managers are in a tough position digital operating model the same time is also fraught with pit- at present. Cost income ratios have that allows a wide offering falls that need to be navigated to take remained stubbornly high and the in- of products and services at advantage of the growing opportunities. dustry is faced with a heterogeneous lower running costs regulatory environment. The Boston Consulting Group (BCG), Platform operators – which focus on the client for example, estimates in its 2015 “We have a complex heterogeneous interface and use third- Global Wealth report that assets in regulatory environment,” says one party providers to deliver private financial wealth in Asia Pacific senior industry executive. “And if you products, services and (ex-Japan) will grow from USD33 trillion look at the spend across the [private technical solutions in 2014 to USD55.2 trillion by 2019; banking industry] there is a huge spend which is a whopping 67% growth. still on compliance and [banks] are Banks – which will further niche in the UHNW working with different themes with dif- segment and who will rely Further, a high percentage of wealth ferent regulators.” on the traditional approach in the region comes from new sources; in private banking with a in 2014 this amounted to 60% of (RE)PRIORITISING more limited digital offering wealth growth, which is 16% above Clients themselves are also becoming the global average. more demanding, and only hold a frac- tion of their assets with a single player. Origination of wealth is to a large “Clients are also moving their assets really, really matters to clients is per- degree from China and India, with Sin- and the key aspect of a relationship that formance. Yet this is [currently] not a

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good environment for performance. gagement. Today one of the chal- the ability to generate and use client That’s a challenge.” lenges is there’s just too much data. trust to retain a competitive edge. [Clients] don’t want to know that here’s As performance is harder to deliver, our latest research report into the au- Particularly amongst younger clients, there is an increasing focus on cost ef- tomotive industry.” trust is increasingly digitised. These ficient and transparent products, which clients will have more faith in digital further depresses revenues. “Clearly in In line with this, clients will want to have solutions than the previous generation, the past the private banks (PBs) have their needs met rather than being sold which will open the door for new players made a lot of money from selling struc- the latest product offering. to enter the market over time. tured products but this isn’t necessarily the best environment for that.” The relevance of digital technology in Further, as clients start to use digital private banking is becoming not only a platforms and interfaces, and as they Competitive advantage, therefore, is driver of change, but will also increas- get used to the increased and more increasingly reliant on a bank’s ability ingly be a prerequisite to compete. personalised interaction, they will to generate and maintain trust with its Nearly all aspects of a bank’s value chain demand a more digital offering. clients. “Clients are looking for trust and can be enhanced or delivered through they have got to trust their PBs.” digital means. “Digital is not just the The current priorities in the industry pretty front-end; it is an end-to-end are therefore clearly focused on the Relevance is becoming an increasingly solution for a bank.” client experience and on sales effi- important way to build and further this ciency, regardless if the technology is trust into a relationship that the com- STANDING OUT implemented based on a tactical ap- petition finds difficult to replicate. The key to the survival of the private proach to digital or with a view to deliver “Clients are looking for a relevant en- banking industry in its current form is an end-to-end digital platform.

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Multi-channel communication including There seem to be less clarity on future On the first point, new digital players web, mobile, chat and other digital breadth of the advice offering, and more are seen to emerge first in the retail means is seen as a key enabler. planning and ‘lifestyle’ offerings should and emerging wealth segment. Regard- be included. ing the latter point, business models The same goes for better data tools are likely to change insofar as execution, which help deliver personalised content. Changes to the incentive structure to advisory and discretionary services are achieve the required organisational increasingly combined into a holistic The client’s needs assessment is still changes are seen to be less relevant. client proposition. done mainly by relationship managers (RMs) but technical solutions and data But it is important to note that success- There is a widespread sense that front- use will be coming into play over time. ful change can only happen if incentives end digitisation will happen in the next are aligned to change goals. one to two years, greater workflow- While robo-advice in its purest form is based digitisation will happen over still seen as a challenge, we will likely Areas where digital was seen as a three years, and that end-to-end digi- see a hybrid model emerging whereby more limited driver in shaping the tisation might take up to five years, due RMs will be assisted by an intelligent future of the industry were the market to the stubbornly-high costs of back- robo tool. entry of new players who operate on office systems migration. a purely digital platform, and a change Over time, the balance of advice could from advisory to discretionary busi- There is agreement, that the road to well shift from RM to robo. ness models. greater digitisation is irreversible.

26 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Financial Data. Made Smarter. Financial Data. Made Smarter.

Advise with Conf idence Intelligent Tools for a New Era of Wealth Management Intelligent Tools for a New Era of Wealth Management In a recent study of 1000+ high net worth and ultra-high net In a recent study of 1000+ high net worth and ultra-high net worth individuals, respondents indicated they want more worth individuals, respondents indicated they want more transparency, quality investment ideas, interaction and transparency, quality investment ideas, interaction and accountability from their wealth managers. accountability from their wealth managers. As the needs of high net worth individuals evolve, As the needs of high net worth individuals evolve, wealth managers must invest in the right technology wealth managers must invest in the right technology to meet these evolving demands and stay relevant. to meet these evolving demands and stay relevant.

Explore FactSet’s solutions and download our Explore FactSet’s solutions and download our recent research, developed with Scorpio Partnership. recent research, developed with Scorpio Partnership. www.factset.com/smartwealthebook www.factset.com/smartwealthebook EXPERT INSIGHTS

The right type of financial advice

There’s nothing wrong with making a profit from advising clients on their investment portfolio, but it needs to be done in the context of building a sustainable client relationship with recurring income for ongoing services that aligns with the interests of clients, says Gary Harvey of Nexus Financial Services.

Just because investment markets are are correctly matched with the clients’ challenging and interest rates are flat, needs and time horizon. In such cases, financial advisers shouldn’t steer clear there is no problem with advisers gen- of their clients. On the contrary, it erating revenue to get paid for their should be a time to approach clients to work; ultimately, every business needs discuss their portfolios and talk about to make profit and be sustainable. their options. “The Financial Advisory Industry Review “We need to move through this (FAIR) in Singapore, and other initiatives period, because who knows how long around the world, are aimed at making interest rates will remain low. It advisers think of their revenue as more shouldn’t be a reason for saying that of a long-term model,” says Harvey. things are too hard, as clients always need advice,” explains Gary Harvey, There is no doubt that creating recurring chief executive officer of Nexus Fi- income isn’t easy. nancial Services in Singapore. But at Nexus, a year after making a splash GARY HARVEY Looking beyond those individuals who in the Singapore financial advisory (FA) Nexus Financial Services try to make a quick buck at the expense market following the takeover of Zurich of clients, Harvey disagrees with any Life Insurance’s advisory business, in- suggestion that all advisers should be cluding 150 appointed financial repre- tarred with the same brush. sentatives and support staff, Harvey is confident about achieving this goal. investments for those individuals who In the case of a lot of insurance con- are willing to pay for the service. “I like tracts and investment products, the Nexus, for instance, will introduce the this model because it aligns us with the outcome can work for everyone if these concept of ongoing advice on clients’ interest of the client,” adds Harvey.

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THE RIGHT SKILLS advisers will increasingly appreciate To be able to implement such a strat- working in an environment where they Singapore’s new wave egy, advisers need certain skills that are can offer their clients greater choice in of FAs in line with the approach of the organ- products and services. isation, which change depending on if The growing number of product it is a bank, an insurance firm, or an IFA, “Advisers are moving from a business manufacturers entering the FA space is a good thing in the eyes for example. “As a financial adviser, I model where they make money by of Gary Harvey. strongly push the FA-client choice selling to clients, to one where they model,” says Harvey. make money by representing the client,” With Aviva, Great Eastern and he explains. “That’s a subtle difference, Manulife now with their own In general, he believes that every adviser but an important part of the evolution.” distribution arms, there is a clear should be able to display three core signal that people want to be in a structure that is not just a pure qualities: good listening and question- DELIVERING AN ALL-ROUND tied agency, and therefore can ing skills; strong technical skills; and a OFFERING at least offer customers some long-term approach to dealing with Applying this to its own business, the choice, he explains. clients and developing relationships Nexus vision in Singapore is to be a with them. one-stop shop for non-banking financial While the range of alternative services by creating a range of distribu- product providers might be limited, simply the process of Armed with these skills, advisers are tion channels with technical support. setting up those firms wouldn’t then able to develop sustainable rela- have happened if these providers tionships that are strong enough to give In practice, this means for example that didn’t view the FA space as being them the confidence to ask to get paid when one of the firm’s advisers comes an area where they expect to for their advice. across a client who might be a HNW see growth.

Yet there is still a need for the industry to differentiate between a company that is incentivised/ restricted in the products it “As a financial adviser, I strongly push the FA-client offers versus one which is able to make unbiased product provider choice model.” recommendations. Clients need to be assured of getting such disclosure so they know which choices they are making.

He is also not concerned about disclos- citizen of another county, but is resident ing fees, commissions and charges; it in Singapore, it can pool expertise from area where they are not experts, we tells a client clearly that this is what the group internally to support that want to support them by giving them they pay and should be combined with adviser, and in turn ensure that the access to people who can help provide an explanation of what they get for it. client doesn’t need to look elsewhere that solution,” he explains. for help. “You can demonstrate value-added ser- It also enables the firm to achieve its vices in this way,” explains Harvey. “And This type of approach is essential, says initial goal of being able to advise clients without sounding like a broken record, Harvey, given that no single adviser can on a combination of products – ranging this is in addition to product, because be an expert in everything. For example, from protection, savings and investment portfolio reviews are not free and the unless they regularly talk to clients on the one hand, to personal and busi- client should pay for ongoing advice.” about Universal Life insurance, they ness coverage on the other. Having a won’t have the required knowledge in variety of solutions also makes the firm Supporting his view, he sees an evolu- that space. “Rather than ask our advis- more appealing to the wealthier clients tion happening at some point, where ers to try and produce a solution in an it wants to target.

30 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 omgi_ad_hubbis_210x297_2016_FinalOP.pdf 1 28/7/16 11:41 am

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Bringing holistic advisory to life in India

Plan Ahead Wealth Advisors is one of the 500 or so investment advisory firms in India which appears to take its fiduciary role seriously. Vishal Dhawan outlines the structured process he follows to bring more transparency and better-quality advice to his clients.

The tightening regulatory net around This is in line with the clear fiduciary providing investment advice in India responsibility the firm has for its looks set to favour those firms which clients, given that it is registered with have been most proactive in putting in the Securities and Exchange Board of place a structured advisory process. India (SEBI).

“We strive to maintain the highest standards of integrity and client confidentiality in our practice.”

Plan Ahead Wealth Advisors is among Such a mind-set, however, hasn’t been them. “We continue to work closely the norm in the Indian wealth manage- VISHAL DHAWAN with clients to ensure that our practice ment landscape. Indeed, three years Plan Ahead Wealth Advisors is continuously evolving to exceed client after the Securities and Exchange expectations and reinforce their trust Board of India (SEBI) issued its invest- in us,” explains founder and chief ex- ment adviser regulations, only just ecutive officer Vishal Dhawan. over 500 licences have been issued (both individuals and firms, as of Sep- Market practitioners believe the larger “We strive to maintain the highest stan- tember 2016). Yet there are roughly fiduciary role which advisers must play dards of integrity and client confiden- 10,000 active distributors (out of once registered has been a deterrent. tiality in our practice,” he adds. around 70,000 registered). Plus, the regulator left a loophole

32 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 WealthBriefing Ad 210x297 APAC - 2016.indd 4 20/05/16 16:13 EXPERT INSIGHTS

which has to date enabled IFAs to and a team of researchers, para-plan- continue ‘advising’ without becoming ners and client service executives – he Enhancing the offering ‘registered advisers’. believes Plan Ahead Wealth Advisors has gained wide acceptance and gener- Dhawan has three clear This might get closed in the wake of ated significant goodwill amongst its objectives to develop his business recently-proposed changes in mid-2016 clients and other stakeholders. and offering in 2017. to the investment adviser regulations. First, he will continue to drive The structured process which the firm’s the transition towards being a The outcome of the current consulta- advisers follow starts with what he calls fee-only firm. “This is important tion might mean that advisers won’t ‘discovery’. More specifically, during the as we think that our fiduciary need to register with SEBI, but that first meeting with a prospect, advisers role demands it, so that we can anyone giving financial advice will fall use various life planning tools, including be completely independent in our advice,” he explains. under its ambit. one from US company Money Quotient.

Secondly, Dhawan wants to add a Regardless, the kind of holistic ap- This 20-question methodology looks at few more advisers to the team – proach that Plan Ahead Wealth Advi- and measures financial satisfaction perhaps seven to eight in total. sors – and some of its peers – have levels which, importantly, then gets His approach to talent development will also involve grooming staff in research and para-planning roles to become advisers. “There is not a lot of “[We create] a roadmap in terms of what the client is ready talent available who can follow our holistic approach, so looking to achieve and how they can achieve it.” most of our new advisers will come from within.”

Technology is the third priority. He wants to streamline it, rather than being subject to too many disparate systems which don’t already put in place creates a value written down. It gives direction to what connect or communicate well proposition which is likely to appeal to the adviser should focus on during the with each other. “We are looking clients who seek an adviser who is fully discussion, he explains. for a more enterprise solution,” aligned with their objectives. says Dhawan. This might range, for example, from STRUCTURED ADVICE concerns over spending habits, to Since setting up the firm 13 years ago worries about retirement, to how they in Mumbai, Dhawan has abided by a manage their documentation. philosophy where all advisers strive “to to discuss the firm’s services. “This is add meaning to finance and add time Advisers also run clients through ques- typically an advisory conversation to life”. tions on a variety of potentially-relevant around their asset and liabilities, and issues relating to wealth transition, income and expenses,” he adds. They do this by encouraging time-poor children’s education, setting up busi- individuals to outsource their wealth nesses, and relocation or migration. From this, the firm creates a financial management to professionals. These plan and the next steps. clients can then focus their limited time After this 45-minute to one hour on their work and family. meeting, Dhawan says it becomes pos- “This is a roadmap in terms of what the sible to filter out those individuals who client is looking to achieve and how As a result, while only relatively small don’t fit the firm’s client profile. The they can achieve it,” says Dhawan. “They with 20 staff – including three advisers adviser might also use the opportunity can do this as a one--off exercise to get

34 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4

EXPERT INSIGHTS

their financial situation in order, or they rection of the market amid SEBI’s regu- November 2016, for example, it can take the decision to engage with latory vision. banned three entities from acting as us over the long term.” investment advisers, after finding There are roughly 2 million people in them guilty of providing unauthorised WELL THOUGHT-OUT India – across insurance, banks, IFAs services to investors. INVESTMENT and national distribution firms – who Typically, the planning process would discuss financial services with clients. FILLING THE GAPS include a focus on investments, risk But only around 40,000 of these are There is also a pressing need within the management and wealth planning. regulated by SEBI. advisory landscape in India to address some structural weaknesses, in order to rise to the challenge of providing a suitable and consistent service.

“We think [rolling return data] is a better way to measure For example, the Indian wealth manage- the long-term performance and ensure consistency.” ment industry continues to suffer from a lack of advisory talent.

“There is a clear need for more training and development in the local market, with specialist programmes needed,” In terms of fund selection, Dhawan says “The regulations say that if someone is explains Dhawan. that there is an in-house research offering more than one product type to process which involves the use of rolling a client, then they will need to get an “We think that this should start at the return data. investment advisory licence [from high net worth level and then move SEBI],” explains Dhawan. down,” he adds. “We think this is a better way to measure the long-term performance and ensure For those firms and individuals which, The availability of products is another consistency,” he adds. going forward, want to still operate as issue. For example, REITs have been

Here also, the firm calls on an online financial planning tool, Value Express FE. This is a collaboration of the most respected mutual fund industry infor- “There is a clear need for more training and mation providers in India, Value Re- development, with specialist programmes needed.” search, and FE, a leading UK provider of mutual fund data and analytical tools.

From a risk management perspective, Plan Ahead Wealth Advisors essen- a non-adviser, then they must call them- under discussion for several years but tially looks at areas such as life coverage, selves a ‘mutual fund distributor’ and haven’t really taken off. critical illness, disability, house insur- give no advice. ance and life insurance. More broadly, beyond funds, there is a Yet Dhawan believes that most people need for more diversity and options. WELL-PLACED will want to evolve to providing advice. For example, many individual investors The firm’s attention and commitment look at funds as one ‘bucket’, and once to the advisory process is likely to stand Meanwhile, the regulator is showing they have too many, Dhawan says they it in good stead amid the expected di- that it is not to be messed with. In late don’t want any more.

36 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 0202 AM_Award-Hubbis-AisanWealthManagement.pdf 1 7/13/16 9:08 AM

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K PROFILE

Emirates NBD drives transformation in wealth advice

Its commitment to the future of wealth management is leading Emirates NBD to pursue an innovation drive that puts digitalisation at the heart of plans to create a compelling offering, with customer experience and usability at the forefront, explains Suvo Sarkar.

Emirates NBD is on a dramatic digi- This investment is directly focused on showcasing an array of realistic and (in talisation drive that is rooted in a desire five key areas: end-to-end process many cases) already functional digital to bring a world-class digital banking transformation; a faster and more re- banking solutions that are nearing roll- experience to its customers, and as sponsive customer interface; an omni- out stage to customers. quickly as it can. channel experience; stronger cyber security and anti-fraud capabilities; and According to Sarkar, this is not about “Digitalisation is one of the bank’s better data management and analytics. creating solutions on its own. biggest priorities over the next few years,” says Suvo Sarkar, senior sxecu- In a sign of this innovative spirit, Emir- Rather, it is an effort to collaborate with tive vice president and group head retail ates NBD has in its sights what it be- existing partners and clients in the banking and wealth management at lieves will be the UAE’s first digital bank private and public sector, as well as to Emirates NBD. targeted at millennials. Another of such identify fintech innovators, to create pioneering concepts for prototyping.

BOLD DIGITAL PLANS Developing a stand-alone digital solu- “Digitalisation is one of the bank’s biggest tion for its private banking clients only priorities over the next few years.” is a much bigger undertaking for a bank like Emirates NBD than it is for a large global player.

But the UAE-based institution has taken This is evident from its three-year initiatives is a recently-unveiled 4,000- some tangible steps forward in 2016. AED500 million (USD136 million) strat- plus square-foot branch at Emirates For example, it has integrated its clients’ egy to improve its processes, products Towers that features the Emirates NBD investment portfolios into its mobile and services. Future Lab – a futuristic banking space banking app.

38 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4

PROFILE

Clients can now keep track of their hold- client at the right time?” asks Sarkar. To investment advisory platform. “We have ings, asset allocation, the underlying do this effectively, Emirates NBD is built a solutions offering that is compet- instruments, performance and further looking to build an on-demand knowl- ing at international standards. Our in- technical details. edge base with topical papers at the vestment experts have a deep under- client’s fingertips. And to provide clients standing of local and regional markets The next phase, says Sarkar, will add with customised and relevant content. paired with a global view. And our transaction capabilities via an order management system to the mobile banking app. From there, the aim is to build in more focused content. “So the big question for us is, how do we get “That’s one of the biggest challenges the right content to the right client for wealth managers around the globe,” he adds. at the right time?”

Private banking clients get multiple publications and research reports in their inbox every day, and most clients won’t read even 10% of them.” CHARTING NEW COURSES customer service proposition has made Under Sarkar’s leadership, the bank has enormous improvements. So much that “So the big question for us is, how do spent most of its efforts over the last they’re leading the bank’s scoreboard we get the right content to the right two years to enhance its private banking on customer satisfactions metrics.”

40 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 NumerixAd_2016.indd 1 10/3/16 11:01 AM PROFILE

One of the reasons for the bank’s com- tion is being prepared to take the helm Managing expectations mitment to wealth management on a of family enterprises.” broader scale, he re-affirms, is to build Growth in Emirates NBD’s private economies of scale across its consum- This hasn’t been a priority in the region banking and wealth management er and corporate banking units. until now simply because there was little unit has been in the double digits need for it. on a compounded level ever since “Our CIO Office and the products and it has been set up in 2009. This advisory teams [we have] cater not The majority of wealthy individuals in is both due to an inflow of HNW and UHNW individuals into the only to the private banking advisory this timezone are first-generation en- country, enabling Sarkar to grow platform but also to our priority trepreneurs. Now, however, this offers in his home market, as well as banking and select retail banking a point of differentiation for banks growing wealth of its existing clients,” explains Sarkar. which get it right. clients, he adds. And even after the boom in equities and real A further goal for Emirates NBD’s More generally, despite Emirates NBD’s estate during the post-crisis years has levelled off, Emirates private banking division is tapping its digital banking priorities, the institution NBD was able to grow its AUM network for large ticket deposits to is very aware that this cannot be an through new client acquisition strengthen the bank’s liquidity position either/or solution. and a deeper penetration of the its existing base.

Today, however, making money for its clients remains one of the biggest challenges for “[Estate planning and family governance] are coming Emirates NBD – as it does for most institutions. “Performance more and more into focus, especially as we see the levels worldwide have come first big inter-generational transfer in the region under pressure; where does yield over the next 10 years. A lot of our private clients come from in a low interest rate environment?” says Sarkar. are in their 60s, on average.” Against the backdrop of his CIO’s theme of ‘waking up to reality’, bankers aren’t able to sell their clients 5% or 6% returns anymore; instead 2% or 3% are more common goals. in an environment where that is scarce In line with this, Sarkar believes that at the moment, adds Sarkar. success going forward will depend on For 2017, meanwhile, making customers more empowered. sustainability is the focus. What Other parts of the proposition that he is a healthy long-term level of is focused on, is continuing to develop More specifically, this means reaching valuations in stock markets? What are sustainable business the family governance and estate plan- them through multiple channels. models and investment returns ning solutions. in general? “This will drive the This therefore requires banks to be able conversations we will have with “These topics are coming more and to offer their customers various options our clients.” Yet many of these more into focus, especially as we see for how they engage with them. individuals saw the heydays the first big inter-generational wealth in the UAE, so it is a difficult conversation to get them to transfer in the region over the next 10 These include, for example, to log-in accept – and be happy with years,” he explains. to a website, or to tap on a mobile – a more sustainable level of device, or to walk into a branch, or performance in their investments. “A lot of our private clients are in their even to chat with a banker using voice 60s, on average. And the next genera- and video facilities.

42 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Hong Kong

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Heritage_Ad_Oct2016_04.indd 1 5/10/16 3:24 PM EVENT HIGHLIGHTS - CHINA WEALTH MANAGEMENT FORUM 2016

Taking wealth management in China to the next level

Our annual event for the wealth management community in China came at an exciting time for the industry – given the increasing scope for offshoring and greater appetite for international diversification.

China has witnessed rapid growth in the For the time being, Chinese markets onshore wealth management market – remain the major investment focus and Thank you to our sponsors both in terms of numbers of HNW and allocation for wealthy Chinese, despite UHNW individuals, plus more sophisti- the growing internationalisation of their EFG Asset Management cation in the form of greater demand for investment strategy. But various factors EY Jersey Finance wealth preservation, planning and inter- that have included RMB depreciation, RBC Global Asset Management generational transfer. stock market fluctuations and interna- Vistra tionalisation of families are leading to Henley & Partners Driving this trend towards estate plan- higher offshore allocations in the hunt ERI ning is the increasing number of clients for diversification. BEA Union Investment entering their mid-50s and early-60s. Commerzbank Mercer They are therefore thinking about how In line with all these trends, the product Morningstar to transfer wealth in a tax-efficient and service aspects of China’s wealth Rosemont manner, plus in a way that helps with management market need to evolve in Thomson Reuters the transition to the next generation. several key ways. For example, the offering has historically been delivered via With these developments has come a a ‘push’ model – meaning selling attrac- bit more penetration of managed wealth tive products with higher investment requires more high-touch advisory ser- offerings within the country. This has returns to appeal to customers. vices, to ensure relationships. been on the back of innovation by local wealth mangers in China, which has ef- To tap these opportunities, the cus- There is also significant scope to increase fectively attracted local wealth. tomer experience needs to improve. This the penetration of private banking services; at the moment, around 80% to 85% of the domestic HNW population are currently still using their retail bank. Digital and social media tools are another important goal.

This all presents a tangible way to build a longer-lasting business – assuming the industry can address the inevitable challenge of creating and sustaining the resources and talent required to offer a professional and efficient service.

44 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Adeline Tan Alvin Ma An Kelles Jonathan Ha Bill Wu Mercer EFG Bank Jersey Finance Red Pulse Henley & Partners

Bing Rong Dennis Wan Don Klotter Grant Mao Hu Hong CreditEase Commerzbank EFG Asset Management AIA Bank of Singapore

Ignatius Chong Eleanor Wan Jeroen Buwalda Lee Shyh-jih Lefan Gong RBC Wealth Management BEA Union Investment EY ERI Bancaire Zhong Lun Law Firm

Lin Zhu Michael Huddart Michael Shue Patricia Thomas Qi Wang Red Pulse Manulife Vistra IRM Family Office MegaTrust Investment

Ray Chou Rex Lo Sharon Yang Tuck Meng Yee William Xia Bain & Company BEA Union Investment RBC Global Asset Management JRT Partners AOW Financial Service

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 45 46 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 SWISSLIFE_AD_210x297_FA.pdf 1 22/7/14 5:36 PM

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K EVENT HIGHLIGHTS - TAIWAN WEALTH MANAGEMENT FORUM 2016

Evolving the wealth management offering in Taiwan

While wealth continues to accumulate in Taiwan, and investors certainly haven’t lost their appetite, institutions and advisers need to further develop their existing relationships as well as build credible platforms and service offerings to make them relevant.

One of the key opportunities for firms tools to deliver a more relevant and cost- advising wealthy individuals in Taiwan effective service. This is key, given how Thank you to our sponsors lies in how both business and personal competitive the landscape is, driven by assets will transfer from the first gen- value-conscious clients. EFG Asset Management eration of entrepreneurs to the next ERI FinIQ generation, and the structures which will This will also enable them to achieve Henley & Partners be used. certain, key goals to grow their busi- Commerzbank nesses in a scalable way. These include: Mercer A longer term, bigger goal for many Morningstar wealth and asset management firms, is Products and service should be dif- Rosemont to tap into the retirement needs of an ferentiated among different cus- Thomson Reuters ageing population. tomers segments Customers – ranging from indi- This is being spurred by far-reaching viduals to families to businesses – pension reforms underway right now in need financial solutions, not merely Among the challenges for the develop- the country, creating opportunities for be sold products ment of the industry is the fall-out of the investors to choose their own option in Greater awareness of, and impor- recent government mandate to banks the near future. tance placed on, asset allocation to settle disputes with disgruntle clients; and asset class allocation this is setting a bad precedent for the As part of delivering the right proposi- Distribution through omni-channels, industry. Combined with other, increas- tions, organisations are looking at how including a mix of physical branch- ingly-stringent regulatory requirements, they can leverage and harness digital es and virtual platforms the cost of doing business is increasing.

As a result, getting good compliance control and performing true KYC to understand clients’ needs, are key to future success in wealth management.

Further, there is need to broaden distribution channels for financial products beyond just the banks. This has developed as a result of the lack of an advisory-based financial advisory culture in Taiwan.

48 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Albert Lee Anny Lin Dennis Ko Don Klotter Francine Wu CTBC Bank UBS Wealth Management UBS Wealth Management EFG Asset Management Schroders

Hui-chin Chen Jeff Chang Jennifer Lai Jeson Liu John Huang Pavlov Financial Planning SITCA Henley & Partners FinIQ Cathay United Bank

Lee Shyh-jih Olivier Rousselet Peter Brigham Pradeep Pant Sean Pien ERI Bancaire BNP Paribas Rosemont ANZ Thomson Reuters

Steven Seow Tuck Meng Yee Mercer JRT Partners

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 49 THOUGHT-LEADERSHIP

How to develop wealth management in the Middle East

Wealth management in the Middle East has much potential to mature, if the industry can achieve key goals such as fostering more dialogue with the regulator, finding and keeping competent people, implementing robust risk controls and selling solutions not products.

The Middle East and Africa saw rela- Fundamentally, some participants said To be in a position to take advantage tively low growth in wealth in 2015, at they believe there is increasing scope of this, roundtable participants high- 3% versus 4% in 2014, according to The for the wealth management industry in lighted some of their key priorities and Boston Consulting Group’s 2016 global the Middle East to thrive given the initiatives – both for themselves and wealth report. expected onshoring of wealth in the the wider industry –which they said are coming years. essential to move the sector forward. This was partly due to low commodity prices and political instability, leading to lower equity and bond markets.

The latest figures from Capgemini Fi- “A fair and transparent working environment will create nancial Services Analysis, meanwhile, more cohesion, to contribute to staff staying put.” pinpointed a HNW population of 610,000, on the back of a meagre 0.1% in 2015.

At the same time, the total amount of With the advent of various global trans- 1. DRIVING MORE INDUSTRY known wealth in the region rose by parency initiatives, especially the DIALOGUE AND COLLABORATION 0.9% to USD2.3 trillion. Common Reporting Standard (CRS) – many clients who are aware there is The industry needs to build on the recent Yet there is optimism, at least according nowhere to hide assets are likely to also initiative, in late 2016, to create the first to several heads of retail and private realise that keeping money close to wealth management working group banking as well as senior executives in home has a lot of appeal. within the UAE Banks Federation (UBF). the Middle East wealth management community, at a roundtable hosted by While this trend is just emerging, it This positive step fills an important gap Hubbis in Dubai. should pick up pace, said participants. that also further highlights the rela-

50 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Solid and stable in a changing world

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tively embryonic nature of the industry mance manage the rest, giving bankers 4. DEVELOPING AND DEEPENING in the region. flexibility to collaborate with each other SHARIAH OFFERINGS when it comes to meeting revenue Retail and corporate banking, compli- targets and servicing clients. There is a pressing need within the ance, operations, for example, were Middle East wealth management sector among the various other key segments More broadly, ensuring a fair and to develop the Shariah offering. of the industry already represented transparent working environment will within the UBF. create more cohesion, to contribute For the time being, the range of to a greater likelihood that staff will Shariah-compliant products and solu- The aim now for senior management at stay put. tions remains limited, especially in the banks, is to drive more dialogue and the funds space. engagement with the regulator. 3. A FOCUS ON SELLING SOLUTIONS, NOT PRODUCTS Further, those funds which do exist are This will ensure the various wealth relatively small, for example, at around management players can play a much There continues to be an excessive USD100 million. closer and more active role in shaping focus on selling individual products and regulations – rather than them being being focused on transactions. As a result, expanding what’s available imposed on the industry. and adding more depth to the market Instead, advisers should focus on selling is important in developing the Shariah 2. FINDING AND RETAINING THE investment solutions. platforms of the relevant financial in- RIGHT TALENT stitutions in this space. The problem, for example in Dubai, is Hiring and then keeping good people compounded by the lack of regulatory The need for more qualified individuals continues to be a struggle for most – if controls over who can do the selling. with investment experience in the not all – wealth management firms in Shariah world is a key component of the Middles East. This results in funds being sold to a achieving this goal too. wide variety of end-clients, often re- The challenge for the industry is the gardless of their levels of wealth, in- 5. DEALING WITH REGULATORY fact that too many bankers move firms vestment experience or current port- ARBITRAGE too frequently. folio exposure. Driving more transparency across dif- Not only does this add unnecessary On one hand, this is to be expected; ferent jurisdictions, where possible, costs, but damages consistency in of- Dubai’s wealth management industry especially in terms of pricing, is an im- ferings and client engagement. is still relatively young – as is the Emir- portant way for the wealth management ates Securities and Commodities -Au industry to try to eradicate mis-selling. Retaining talent, therefore, requires a thority (SCA), the relevant regulator, at lot more time and attention from senior only around 15 years old. However, senior executive noted the management to ensure more stability challenges in achieving this, given the for the business. However, doing the wrong thing for nature of regulatory competition clients has far-reaching reputational which exists. Specific initiatives are needed to give issues – not just for an individual institu- bankers more incentive to be more loyal. tion, but it can tar the industry with the And this isn’t confined to the Middle same brush. East; Singapore, London and Switzer- These might include, for example, cre- land, for example, all want to develop ating a more social environment, re- Growing a wealth management business what they consider to be a conducive warding the best performers and paying in this type of compliant and sustainable environment for their own banks to more attention to the need to perfor- manner, therefore, is key. operate and compete.

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THOUGHT-LEADERSHIP

How to increase fund penetration in the Middle East

Fund penetration in the Middle East can only increase with greater understanding among clients about the value of diversification, as well as efforts to package funds into outcome-focused investments and overall portfolio solutions.

Increasing the penetration of mutual CHANGING MIND-SETS about funds that have developed in funds among investors in the Middle For banks to be able to achieve this, this timezone. East is crucial amid efforts to build more and therefore deliver something rel- sustainable portfolios in a region in need evant, practitioners need to better This is not uncommon, given that a of diversity. understand the motivations and needs number of clients invested in a fund at of their clients, and then educate them the wrong time. They might, for This is only likely to come about via more investor trust and education, combined with the ability to structure the offering in a way that creates a clear and consistent outcome for a client. “Increasing the penetration of mutual funds among These are key elements which many investors in the Middle East is only likely to come about product gatekeepers and fund selec- via more investor trust and education, combined with the tors in the region – both from local and ability to structure the offering in a way that creates a international retail and private banks clear and consistent outcome for a client.” – said at a roundtable in Dubai that they believe are key to delivering the right offering.

This is also the right thing to do for clients, which means it becomes good about the opportunity to deliver more example, have bought a tech fund in business for the bank in the long-term. funds-led, outcome-based or packed the late 1990s, or a real estate fund in At the same time, this will enable the solutions. Getting clients focus on the 2007. A broader stumbling block has banks to develop recurring revenue via benefits of funds is also a vital element been the general mind-set towards stickier flows of business. to address any negative perceptions investing. Most clients are not oriented

54 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Aiming to be the best, not the biggest.

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towards alternative investments; client. Plus, it is more hassle for an RM instead, they tend to ask only for a to actually subscribe the client to it. Warming up to simple income-oriented portfolio, or discretionary AVIVA INVESTORS one that may demonstrate a local bias There can be further complications. On the portfolio side, while towards bonds. For the client, while a model portfolio discretionary portfolio For specifi c investor outcomes comprising perhaps up to 10 or so management (DPM) as a It is crucial, therefore, for wealth manag- funds should meet the goal of being concept is yet to catch on in any ers to have asset allocation-based dis- uncorrelated, there are also adminis- meaningful way in the Middle cussions with clients. This can involve trative costs. East, such ideas are gaining funds directed towards achieving a in popularity. specific goal – and even if the income RMs, meanwhile, must sign a time- Practically, product gatekeepers target is lower than for a single bond, it consuming subscription form for the welcome this. It means they is likely to be more realistic and reliable. client for each of the funds in the can avoid the need with model model portfolio. So, if a client has put portfolios to register multiple Helping the situation is the fact, say a weighting of say 7.5% in one fund funds on their platform and product gatekeepers across the indus- and 15% in another, the RM has to tally then get clients to subscribe and register into each fund, and then try, relationship managers (RMs) and up to the monetary value, which gets seek client permission for any investment advisers are pushing for quite cumbersome. desired changes. more managed solutions using funds. One of the reasons for this is the bureau- Discretionary mandates are At Aviva Investors, we believe it’s time to think They are aware that this means there cratic arrangement for paying registration more flexible to manoeuvre di¢ erently. That’s why our entire organisation isn’t the same requirement for them to fees for funds. Every time a bank on- around the funds within the content and guidelines of is united behind one common goal – to deliver be monitoring portfolios so intently on boards a fund, it has to get approval from a mandate. the specifi c outcomes that matter most to a daily basis. the regulator and pay them. today’s investor. By harnessing the exceptional But whether institutions breadth and depth of our global resources, A STEP TOWARDS SOLUTIONS But this is about to change, with the can tweak their propositions we cut a path through complexity to focus on But the way forward, suggest fund se- onus in future being on the asset sufficiently to give engage clients the specifi c outcomes our clients need. lectors, lies in creating a different way manager to pay the registration fees. in portfolio set-up discussions, and create enough flexibility to package and sell the funds – more and tailoring to make the DPM Visit avivainvestors.com as solutions. Some people believe this will encourage possible is still an unknown. or call +65 6491 0560 the growth of easily-available funds Although not easy, this is possible. Shift- from the current universe of around 50 For instance, allowing clients to investor outcomes ing clients away from a one-fund solu- to something like 550, or more. meet the portfolio managers can tion to what might be considered a be an important as part of the selling proposition. ‘model portfolio’ offering, is one avenue This is a significant increase from the to explore. 50 to 100 or so mutual funds that most This, in turn, requires there to be local banks might currently have on the expertise on the ground to Sustainable Income | Capital Growth | Beating Inflation | Meeting Liabilities This requires both the selection of rel- their own platforms at the moment. support such an offering. evant funds coupled with a specific advisory process to dictate how RMs MAKING SELECTIONS For today’s investor can interact with clients, given indi- As the universe grows, however, the vidual risk profiles. problem might become selecting from the large number of funds for the port- There are some independent reference This is important as a balance is needed. folio solution, to tailor it to each client. options out there. Morningstar’s analyst Except where stated as otherwise, the source of all information is Aviva Investors Global Services Limited (“Aviva Investors”). Unless stated otherwise, any opinions expressed are those of Aviva Investors. They should not be viewed as indicating any guarantee of return from The more funds put into a model port- Past performance can serve as a guide ratings, for example, come from one- an investment managed by Aviva Investors nor as advice of any nature. This advertisement is prepared by Aviva Investors Global Services folio, for example, the more complicated to some extent, but this means little on-one meetings with the fund manag- Limited, registered in England No.1151805. Registered O ce: No.1 Poultry, London EC2R 8EJ. Authorised and regulated in the UK by the it gets for an RM to explain that to a going forward. ers to determine the opinion. Financial Conduct Authority and a member of the Investment Association. It is being circulated by way of an arrangement with Aviva Investors Asia Pte. Limited for distribution to investment professionals only. Recipients of this advertisement are to contact Aviva Investors Asia Pte. Limited in respect of any matters arising from, or in connection with, this advertisement. Please note that Aviva Investors Asia Pte. Limited does not provide any independent research or analysis in the substance or preparation of this advertisement. Aviva Investors Asia Pte. Limited, a company incorporated under the laws of Singapore with registration number 200813519W, holds a valid Capital Markets Services Licence to carry out fund management activities issued under the Securities and Futures Act (Singapore Statute Cap.289) and is an Exempt Financial Adviser for the purposes of the Financial Advisers Act (Singapore Statute Cap.110). Registered O ce: 56 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 One Ra es Quay, South Tower #27-13, Singapore 048583. 20150811_02

C36015.002_Avivia_Investors_Hubbis_Jan16_297x210_v1.indd 1 15/01/2016 16:40 AVIVA INVESTORS For speciﬁ c investor outcomes

At Aviva Investors, we believe it’s time to think di¢ erently. That’s why our entire organisation is united behind one common goal – to deliver the speciﬁ c outcomes that matter most to today’s investor. By harnessing the exceptional breadth and depth of our global resources, we cut a path through complexity to focus on the speciﬁ c outcomes our clients need.

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C36015.002_Avivia_Investors_Hubbis_Jan16_297x210_v1.indd 1 15/01/2016 16:40 EXPERT INSIGHTS

Driving diversity

Tomasz Bortnik of Citi explains how the bank aims to leverage its product breadth for a relatively transient population in the Middle East, in a bid to help clients add more diversity to their portfolios.

Citi is well-placed – with strong com- The bank has a vast range of products mitment – to bring much-needed to offer to help them achieve both these diversification to the investment port- objectives. In turn enabling them to folios of wealthy individuals across achieve diversification in terms of both the UAE. asset class and geography.

“Whilst some clients do aspire to achieve More specifically, Bortnik can point to returns above benchmarks, using more a suite of products that ranges from sophisticated tools and products, the more traditional cash and related offer-

“Whilst some clients do aspire to achieve returns above benchmarks, using more sophisticated tools and products, the motivation of a large number of our clients for their TOMASZ BORTNIK money is primarily preservation.” Citi

motivation of a large number of our ings on the one hand, to more sophis- clients for their money is primarily pres- ticated advisory services at the other says. “We also have a whole array of ervation,” says Tomasz Bortnik, head of end of the spectrum. “Investing can be insurance products for protection and wealth management product for Citi in done via mutual funds, bonds, struc- savings.” FX is another important com- the UAE and MENA region. tured products, equities and ETFs,” he ponent of the Citi product offering.

58 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 SEALED WITH TRUST

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ACT_AD_A4_MOTHER&DAUGHTER_SG_2015.indd 1 10/28/2015 2:32:18 PM EXPERT INSIGHTS

In the UAE, wrapper funds are also “People look for banks they are familiar is especially the case in such difficult popular, given the focus among inves- with when they are in a new country,” market conditions. tors on putting their money in trust- explains Bortnik. type structures. As a result, generally low interest Further, many expats will also have rates and some further tumult in SUPPORT FOR EXPATS an account with Citibank in their markets mean that the product offer- The Citi wealth management proposi- home country. ing must evolve. tion is driven by qualified wealth managers that operate out of centralised OVERSEAS EXPERTISE “Every year and every economic cycle hubs and provide a true relationship The global dimension is also crucial for bring [with them] some new trends,” and advisory service to its clients at a Citi’s offering in the UAE. “We have a observes Bortnik. place of their choice. quality advisory proposition in the mass affluent segment and the semi-private One of the more recent trends he has “This, coupled with our digital and banking business on the consumer side,” been seeing is the popularity of multi- mobile platform, enables us to service says Bortnik. asset income funds.

The answer lies in diversification, so the most popular income funds are multi- asset ones which offer diversification “A true relationship and advisory service to clients at a in many ways – both by asset class as place of their choice, coupled with our digital and mobile well as geography. platform, enables us to service our clients well without the The reason is simple, he explains. needs for an extensive branch network.” “These tend to be global multi-asset income funds, which means investors are diversified from every possible dimension – starting from credit risk all our clients well without the needs for Referrals come in from countries around the way through geography, as well as an extensive branch network,” ex- the world – such as the UK or Singapore, asset class and industry, and they some- plains Bortnik. for instance. times have an income stream attached.”

“To that extent we don’t look to “We also offer certain features that are “So ultimately these funds have become compete head-on with the big local global in nature,” he explains. “And the most popular recently because they banks, which have many branches some of our key competitors are the serve many purposes,” he adds. throughout the country.” foreign banks.” Delivering what customers need is Instead, Citi’s real potential lies in the For example, new customers in the UAE critical for the bank, and they always very transient population in the UAE. who already have an account in other remain at the top of the list for Bortnik. locations and can easily open a local “Some 85% of the people living in Dubai Citi account and transfer money back “I think growing the client base is prob- are not from here and that is reflected and forth. ably the most important priority for us,” in our customer base,” he adds. he adds. STAYING RELEVANT The Citi brand certainly resonates with Yet a captive audience is a very differ- “That is why making sure the clients are this target market of close to 10 ent proposition from being able to happy and achieving positive reviews million individuals. keep that set of customers. And this is an overarching goal.”

60 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Empowering client service professionals Vermilion Software is the leading About Vermilion Software Contact details Vermilion Software is a leading global provider of client reporting technology and services to the global provider of client reporting and asset management industry. Singapore Office The Vermilion solution, Vermilion Reporting Suite, is designed to deliver accurate, flexible, and Vermilion Software PTE Ltd communications software and services scalable client reporting and communications, empowering client service professionals to deliver 8 Marina View to the asset management industry. multi-lingual, graphical, marketing-quality reports that are created through an automated process. Asia Square Tower 1, Level 07-04 Clients include Nikko Asset Management, one of Japan’s largest asset managers. Singapore 018960 Singapore T +65 6407 1060 About Vermilion Reporting Suite (VRS) VRS is a one-stop browser based solution designed to address all critical business issues within the client reporting cycle. By selecting VRS, asset and wealth management firms benefit from Sydney Office Vermilion Software PTE Ltd a fully automated client reporting process, whatever the business environment. The system Level 34, 50 Bridge Street is designed to easily integrate into existing and established business processes, from high- Sydney touch, low-volume to low-touch, high-volume processes. Using VRS, firms can easily provide NSW 2000 a transparent, value-added service for their clients as well as keeping abreast of regulatory Australia requirements and internal business demands. VRS offers the flexibility for asset managers to T +61 (0) 2 8216 0950 choose how they want their reports to be presented to each client in terms of format, branding and the ability to drill through the charts to the underlying raw data. Boston Office Vermilion Software Inc A single solution for the automation of complex and high volume reporting 100 Franklin Street WINNER VRS is designed to fit into existing and established business processes and is underpinned by a Suite 302 Back & Middle total process audit feature, satisfying corporate demands for compliance, marketing requirements Boston for branding and business requirements for the delivery of timely, accurate and professional reports. MA 02110 Office Provider Comprising six key integrated services (Workflow Service; Data Gateway Service; Commentary USA of the Year Service; Report Generation Service; Distribution Service and Account Management Service) VRS T +1 617 279 0799 delivers a transparent and proven method of streamlining the entire client reporting process. London Office Vermilion Reporting Portal Vermilion Software Ltd The Vermilion Reporting Portal (VRP) is a fully secure, highly scalable and customisable front-end 1 Carey Lane Our award-winning product, Vermilion web portal. It is designed to be both business-user and customer facing as a natural extension of London Reporting Suite, is designed to deliver Vermilion Reporting Suite (VRS), delivering reports and data direct to your clients. EC2V 8AE United Kingdom accurate, flexible and scalable client V:Pitch – Empowered Presentations T +44 (0) 20 7234 3080 reporting and communications. V:Pitch is powerful new functionality within the Vermilion Reporting Suite, enabling authorised users to create and maintain PowerPoint presentations using approved content. V:Pitch will be invaluable to marketing and sales departments that have master slide decks and need a central The success of our product is deeply repository for all presentations, while ensuring all content is approved. embedded in our key differentiator:

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Hubbis-Quarterly-Jan16-A3-Ad.indd 1 20/01/2016 12:30 EVENT HIGHLIGHTS - DIGITAL WEALTH - ASIA 2016 - HK

Making digital more meaningful

Our annual digital wealth event in Hong Kong was held against the backdrop of financial institutions of all types re-assessing their strategies and engagement of all kinds of technology going forward.

Amid all the hype and talk among banks – with the fast pace of technological and wealth managers about them looking development heightening the sense that Thank you to our sponsors to enhance their digital propositions and such firms are lagging. offer clients more via these channels, Appway they need to act if they want to address For those institutions in search of in- IMTF Infosys Finacle the real challenges they still face. novation and digitisation for their Quantifeed wealth management business, they ERI These include, among many: compliance need to carefully consider how they Vermillion Software obligations, spiraling costs, declining work ever-closer with (the right) fin- Expersoft revenue, the need for a compelling techs as the former rely on the latter Orbium client experience, dealing with the data for something interesting and new to Synpulse Thomson Reuters challenge, and essentially being relevant offer to clients to service their wealth to clients – both the current and next management needs. generation alike. Artificial intelligence is having an impact But while the demand for digital is on how the industry is looking at invest- to move more quickly and to build their growing among Asian investors, many ment opportunities and processes; and own capabilities – whether on their own traditional players are struggling to this is expected to increase further. or in collaboration with fintechs. They respond. Traditional firms have been need to decide whether to build or buy slower to react to changing customer Some fintechs are also finding their the technology and expertise required, expectations – such as all interactions niche with viable business models. In and how they can fund their digital being more personalised to their needs turn, this is encouraging traditional firms expansion. They also face the challenge to ensure all of their technology seamlessly integrates end-to-end.

Yet disruption in any dramatic way looks unlikely. So management need to focus on how to evolve and enhance their businesses in order to thrive in today’s intensely-challenging environment.

Key to success, it seems, is buy-in across management; with line managers and unit heads crucial for any roll-out.

62 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Abhra Roy Amar Bisht Bobby Bok Charlie O’Flaherty Damien Mooney Infosys Finacle Orbium Thomson Reuters Crossbridge Capital BlackRock

Deborah Repak Donald Soo Eddie Thai Eric Ben-Artzi, PhD Frank Henze First Rate Orb Global Wealth Management 500 Startups BondIT Mount Rose Partnership

Frank Troise Hanspeter Wolf Igor Djurdjevic John Robson Jonathan Ha Leonteq Securities Appway Appway Quantifeed Red Pulse

Julian Kwan Kelly-Ann McHugh Loic Wymann Mark Buesser Marko Milek, PhD InvestaCrowd Thomson Reuters Orbium IMTF State Street Global Exchange

Markus Weidmann Mathias Helleu Michael Gerber Michael Haupt Michael Leung LGT Bank 8 Securities 360F Bank Vontobel China CITIC Bank International

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 63 Yai Sukonthabhund Ned Phillips Olivier Crespin Phil Neilson Salomon Wettstein Crossbridge Capita Bambu DBS Bank Just Service HK Synpulse

Stephane Dubois Steve Monaghan Steven Mantle Terence Tam Michael Stanhope Xignite AIA VietFund Management Nomura Hubbis

64 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 EXPERT INSIGHTS

Robo wars

A Singapore advisory start-up is set to tackle the establishment with an innovative new twist to managing money.

As alternative avenues for investment portfolio of ETFs based on goals ini- continue to manifest themselves with tially stipulated. amazing regularity, it would seem that the role of the robo-advisor in today’s The online investments platform is market may well be the ‘one size fits all’ easy to access and risks are minimised option that could take the investment through a monitoring system that world by storm. governs the allotment of investments,

“Smartly has developed the investment platform with a parallel gamified educational platform to teach clients the basics of investing using a series of animated videos.”

KEIR VESKIVALI Smartly

While a relatively-new concept in Asia, according to the system proponents. this online business model does have Although not yet a crowded house, traction in other markets and has been the space is becoming more popular growing as it acclimatises, especially in in Asia as education on its ethos and the US. Technically speaking, the robo- a relatively low level of financial entry Moving into this space is a Singapore advisor provides users with a custom- makes it popular with a wider invest- start-up aptly name ‘Smartly’, clearly ised globally-diversified investment ment community. aimed at the smart investor.

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 65 EXPERT INSIGHTS

FILLING A GAP This leaves the average investor with “Millenials use all services a lot more With the promise of making investing little investment opportunities that differently; we question the banks’ easy, affordable and accessible to the meet their investment needs, according motives; we’re tech savvy and want to greatest possible number of partici- to Veskiväli. be in control of our future, so millenni- pants, Smartly’s co-founders, Keir als are really the segment where we Veskiväli and Artur Luhaäär decided to To fill the gap, Smartly has developed believe we can most easily tap into with move from their native Estonia to Sin- the investment platform with a parallel our product, and then again, millennials gapore to launch their start-up, with gamified educational platform to teach are the gateway to Generation X. This the aim of carving a niche through clients the basics of investing using a can be seen from adoption patterns of targeting the millennial sector in this series of animated videos. The series any new technology in the world.” new financial dawn. will “complement our investment plat- A NEW APPROACH Smartly adopts a different approach to online investment, aligned with its choice of target investor.

“We’re tech savvy and want to be in control It encourages clients to plan a goal for of our future, so millennials are really the their eventual investment return, be it a property acquisition, luxury goods, a segment where we believe we can most easily stepping stone to other investments or tap into with our product.” even retirement.

In the first instance, the system will assess the risk factors and allot the best portfolio for investment. From there, clients are able to create more Smartly is currently supported by a form by simplifying, as well as giving investments or even cancel their team of eight people geared to building clarity and confidence to our users,” current options. an automated platform for clients with adds Veskiväli. minimum financial knowledge, while Another massive difference in Smartly’s providing full transparency. With that in mind, he aims to turn to favour is that clients can join the game his chosen gene pool of potential for as low as USD50, and have the Average users should be able to invest clients, the 18 to 35-year old age group freedom to withdraw profit at any time. globally, with relatively small amounts known as millennials. and minimised fees, Veskiväli says. Average users should be able to invest “The Singapore investment market has globally, with no financial barriers and “Most people have always viewed in- been booming, however, the millennials, with minimised fees, says Veskiväli. vesting as something complex and risky. who are the bedrock of our future, are not investing,” says Veskiväli. “Why are “We recommend only portfolios con- There is limited transparency in the we targeting the millennials? We are a sisting of globally diversified ETFs, majority of investment products, product built by millennials for millen- whereas the educational platform itself coupled with high management fees nials. If we look at the millennial gen- is totally separate. If you don’t want to charged by asset managers,” he ex- eration from a broad perspective then learn but just invest, go ahead. If you plains. But bringing investing to the millennials were the first generation to don’t feel comfortable then you can masses also requires financial educa- born into the rise of technology and learn and understand the system and tion, with financial literacy being cur- internet hence bringing the change then start investing with virtually any rently weak among the populous. across many industries.” amount of money.”

66 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 The rise of ETFs has coincided with with 16% in 2012. Among millennials, fees are collected. Smartly only charges millennials becoming investors. the average ETF allocation is 35.8%. 0.5% to 1% per year and that is all the customer pays, as opposed to existing “Millennials are more amped up about Not that Veskiväli sees his start-up rival- products charging hidden sales charges ETFs than any other generation,” ac- ing these players in the near future. and annual management fees that can cording to Heather Fischer, Charles add up to 4% to 5% a year.” Schwab’s vice president of ETF plat- But he is happy to see growth and the form management. potential in the market. Life as a start-up is never easy, but building a fintech start-up that involves angel- and venture capital investors, clients and their cash is much harder, in addition to the regulatory framework, as Veskiväli recognises. “Investors now allocate 22.5% of their total portfolios to

the ETFs, compared with 16% in 2012. Among millennials, Smartly is in a heavily-regulated envi- the average ETF allocation is 35.8%.” ronment, which a challenge in any sphere, however Veskiväli takes the highs and lows, maintaining that regulations are there for a reason and that they should be respected but neverthe- less questioned. She based her assertion on data from “We really are about creating value, Schwab’s 2016 ETF Investor Survey, which is our only goal. We want people In order to tackle the regulatory hurdle, which shows that Schwab is the fifth- to start asking the right questions from Smartly has partnered with VCG Partners, largest ETF provider in the US, with their advisors or from their bank or a regional fund manager in Singapore. USD52 billion in ETF assets, according to ETF.com, and has been involved in an intense fee war in recent years with other big ETF companies, including BlackRock’s iShares (USD929 billion), State Street Global Advisors (USD461 “70% of active fund managers fail to billion) and index fund giant Vanguard outperform their benchmark after fees are collected. Group (USD579 billion). Smartly only charges 0.5% to 1% per year Individual investor adoption of ETFs and that is all the customer pays.” continues to steadily rise among millennials, Generation X and baby boomers, according to the Schwab survey, which polled more than 1,000 investors between the ages of 25 and 75 with at least USD25,000 in invest- whatever the firm, so we have combined “Leveraging on VCG Partners’ decades- able assets. But the biggest move to these two models to demonstrate what long experience in the field allows us ETFs has been among millennials. we truly believe. to show our customers, investors, as well as the regulator that we’re a team Investors now allocate 22.5% of their “In fact, 70% of active fund managers that sets high standards to quality and total portfolios to the ETFs, compared fail to outperform their benchmark after trust” says Veskiväli.

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 67 PROFILE

Bringing a sparkle to portfolios

The launch of the Singapore Diamond Investment Exchange (SDiX) has unlocked this inaccessible economy, bringing a new, alternative asset class to individuals looking to diversify their portfolios.

Diamonds have traditionally been driven by real time transactional data,” seen as providing a great stock value, says Linus Koh, chief executive officer but their relative opacity in terms of of SDiX. price discovery has been among the reasons making them difficult for CREDIBILITY HNW individuals to access as a tool Prior to entering the Malca Amit-oper- to diversify portfolios. ated vaults in which all diamonds listed on the SDiX platform are stored, they SDiX is changing this with the world’s are independently verified by the Gem- first commodity exchange in physically- ological Institute of America (GIA) and settled diamonds. The De Beers Group’s International Institute of Diamond Grading and Re- The aim of this six-month old platform search (IIDGR). is to offer investors access to a new, unique asset class with ease in a “This ensures that the integrity of regulated framework with transparent the Exchange and the diamonds price discovery. listed on the platform is preserved,” LINUS KOH says Koh. In addition, the vaults SDiX “We have developed a scalable ecosys- themselves are insured. tem of approved suppliers, broker members, physical vaults, book de- SDiX offers full price transparency for pository, grading labs and settlement stones traded on its platform. banks that enables us to provide inves- Stones can either remain securely held tors with an environment where they Once a stone or fungible basket of in the vaults for future trading or with- can trade with confidence in physically stones is sold, an electronic book de- drawn for consumption. Once removed settled diamonds, at a market price positary consigns each to its new owner. from its vault however a stone cannot

68 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 relist on the platform until it once again The stones in the SDiX sweet-spot are vestors to access diamonds at wholesale goes through the verification process. those which can be used within the prices without any mark-ups. “All of this engenders trust,” says Koh. context of a liquid marketplace – for example, trading between USD5,000 At the moment, wholesale prices are “We are allowing individual investors and USD25,000 to USD30,000. inaccessible for most investors; they to access a previously closed ‘club’ have to trust that their jeweler or the without them needing to be a member “Another advantage of diamonds,” adds person selling the stone is giving them of that club,” he adds. Koh, “is that where it might require a the best price. large space to store USD1 million worth GAINING INTEREST of gold, a few small diamonds might be AML and KYC are also critical to the Over the last 12 to 18 months, investors valued at the same amount.” SDiX proposition. in gold have been increasingly turning their attention to the potential for better As an efficient physical object or store “We want the regulatory oversight to returns from diamonds, and the appeal of value on its own, he adds that dia- ensure the trust in the system,” ex- of their low to negative correlation with monds can therefore be considered plains Koh. other asset classes. as more efficient, as reflected in custody cost. “We are essentially B2B2C, with the “If you put diamonds in a portfolio it B2B being the exchange aspect and reduces the risk for every return profile, TRANSPARENCY the C only able to get access via a and for every risk profile it delivers a Of the approximate USD25 billion of broker or other intermediary, which bigger return,” explains Koh. diamonds that are manufactured every has to be licensed.”

DRIVING AN EVOLUTION In order to continue building liquidity on the platform, SDiX continues to onboard intermediaries such as private “If you put diamonds in a portfolio it reduces the risk banks and direct participants, which in turn will facilitate relationships with for every return profile, and for every risk profile it potential HNW and UHNW clients. delivers a bigger return.” SDiX currently has brokers in London, Singapore, Hong Kong and Dubai, and hopes next to capture brokers in the US.

Most HNW individuals look for the year, possibly only 3% is bought and Going forward, private banks will also best-quality stones and to ensure the sold for investment purposes. This com- be able to participate in this market fungibility of the stones traded on the pares with 40% out of the USD100 via a dedicated diamond fund, based Exchange, SDiX lists only those defined billion equivalent figure for gold. either on physical diamonds or ware- as investment grade. house receipts. Furthermore, the same USD25 billion These are those in the top-five categories worth of diamonds are valued at USD85 This is in the pipeline, as SDiX is first of the 4 C’s: colour, clarity, cut and carat. billion by the time they reach retail in- concentrating on the development of Brightly-coloured and larger stones are vestors, based simply on the mark-up. a vibrant spot-trading market to es- more suited to an auction-type environ- tablish the reference price benchmark ment, the introduction of which is being A key part of the SDiX value proposition, for diamonds on which a fund could considered for the Exchange, Koh adds. therefore, is to offer a platform for in- be based.

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 69 DIRECTORY

People and firms who supported this publication

We appreciate the participation and contribution of key individuals and organisations across the wealth management community to the content in this publication.

PEOPLE QUOTED Abhra Roy, Infosys Finacle Hu Hong, Bank of Singapore Adeline Tan, Mercer Hui-chin Chen, Pavlov Financial Planning Albert Lee, CTBC Bank Ignatius Chong, RBC Wealth Management Alvin Ma, EFG Bank Igor Djurdjevic, Appway Amar Bisht, Orbium Jeff Chang, Consulting Association of the R.O.C (SITCA) An Kelles, Jersey Finance Jennifer Lai, Henley & Partners Anny Lin, UBS Wealth Management Jeroen Buwalda, EY Bill Wu, Henley & Partners Jeson Liu, FinIQ Bing Rong, CreditEase John Huang, Cathay United Bank Bobby Bok, Thomson Reuters John Robson, Quantifeed Charlie O’Flaherty, Crossbridge Capital Jonathan Ha, Red Pulse Damien Mooney, BlackRock Julian Kwan, InvestaCrowd Deborah Repak, First Rate Keir Veskivali, Smartly Dennis Ko, UBS Wealth Management Kelly-Ann McHugh, Thomson Reuters Dennis Wan, Commerzbank Lee Shyh-jih, ERI Bancaire Don Klotter, EFG Asset Management Lefan Gong, Zhong Lun Law Firm Donald Soo, Orb Global Wealth Management Lin Zhu, Red Pulse Eddie Thai, 500 Startups Linus Koh, SDiX Eleanor Wan, BEA Union Investment Loic Wymann, Orbium Eric Ben-Artzi, PhD, BondIT Mark Buesser, IMTF Francine Wu, Schroders Marko Milek, PhD, State Street Global Exchange Frank Henze, Mount Rose Partnership Markus Weidmann, LGT Bank Frank Troise, Leonteq Securities Mathias Helleu, 8 Securities Gary Harvey, Nexus Financial Services Michael Blake, Union Bancaire Privée Grant Mao, AIA Michael Gerber, 360F Hanspeter Wolf, Appway Michael Haupt, Bank Vontobel

70 ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 Michael Huddart, Manulife ADVERTISERS Michael Leung, China CITIC Bank International Appway Michael Shue, Vistra Asiaciti Trust Michel Longhini, Union Bancaire Privée Aviva Investors Ned Phillips, Bambu BVI House Asia Olivier Crespin, DBS Bank EFA Group Olivier Rousselet, BNP Paribas FactSet Patricia Thomas, IRM Family Office Franklin Templeton Investments Peter Brigham, Rosemont Fullerton Fund Management Phil Neilson, Just Service HK Hansard Pradeep Pant, ANZ Henley & Partners Qi Wang, MegaTrust Investment Heritage Rahul Malhotra, JPMorgan Private Bank IMTF Ray Chou, Bain & Company IRESS Rex Lo, BEA Union Investment Iyer Practice Advisers Salomon Wettstein, Synpulse J O Hambro Capital Management Sean Pien, Thomson Reuters JPMorgan Sharon Yang, RBC Global Asset Management Numerix Stephane Dubois, Xignite Old Mutual Global Investors Steve Monaghan, AIA Pershing Steven Mantle, VietFund Management Principal Global Investors Steven Seow, Mercer RHB Asset Management Suvo Sarkar, Emirates NBD Sun Life Financial Terence Tam, Nomura Swiss Asia Tomasz Bortnik, Citi Swiss Life Tuck Meng Yee, JRT Partners Temenos Vishal Dhawan, Plan Ahead Wealth Advisors Thomson Reuters William Xia, AOW Financial Service Trident Trust Yai Sukonthabhund, Crossbridge Capital UBP Vermilion Software Vistra VP Bank

ASIAN WEALTH MANAGEMENT - QUARTERLY - ISSUE 4 71

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