Deutsche Bank targets Saudis in ‘massive’ wealth management push

Posted by BankInfo on Thu, Jul 13 2017 10:08 am

ZURICH: Deutsche Bank AG is targeting the Middle East as a priority region in wealth management as the bank seeks to recoup assets that were lost late last year when concerns about its capital levels prompted some clients to leave.

The Frankfurt-based lender is seeking to hire relationship managers and expand the products it offers wealthy clients in the region to attract new money, Peter Hinder, head of wealth management in the EMEA region and the bank's Switzerland head, said in an interview in Zurich, reports The Business Times.

He plans to hire about 20 private bankers for his region, declining to give a more precise geographical breakdown for the Middle East.

"We have a clear growth agenda for EMEA and Middle East is our number one priority," he said.

"There will be more capital flowing into the region as Saudi Arabia is opening up," Mr Hinder said, adding that the economic reforms being undertaken by the country present "incredible potential" for the bank.

The wealth management unit's invested assets plunged 26 per cent in the fourth quarter to 216 billion euros (S$341.36 billion) as clients withdrew funds during a period in which investors questioned the bank's ability to withstand billions of dollars in fines.

Net asset flow at the unit turned positive in the first quarter and the bank has said it plans to hire about 100 private bankers over the next 18 months across Asia, Europe and the US Hinder oversees 56 billion euros in his unit.

While Deutsche Bank's recent strategy revamp emphasised corporate banking, the lender is also following rivals in seeking to reap the rewards from steadier wealth management which can also be used to offer investment-banking services to the rich.

news:daily sun/13-jul-2017
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