Standard Chartered banks on private banking

Chennai: Multinational bank Standard Chartered is targeting around $1 billion revenue from its private banking initiative in a couple of years.

Over the past 10 weeks the bank has rolled out the private banking initiative in markets like Singapore, Hong Kong, India, Shanghai, Jersey, Seoul and London. The bank will start the service in ten more markets over a period of three years.

Private banking is an advanced form of wealth management service that Standard Chartered offers to very high networth individuals having at least $1 million in investible resources.

According to Standard Chartered Private Bank global head Peter Flavel, in addition to wealth management service our private banking customer will get advice on tax and related matters. Further, the response to a query would be much faster for a private banking customer.

He said, as per some estimates, there are around 9.5 million high networth individuals in the world, out of which three million are in Asia and the Middle East regions, and this number is growing.

Speaking about the market potential, he said, around 40 per cent of high networth individuals have cash as the largest asset class; 80 per cent of the assets are invested on shore and 70 per cent of high networth individuals have less than half of their assets with private banks. Hence we see huge potential for our private banking initiative, Flavel said.