Summary

Global Private Wealth market had a good 2017, and the top players of the sector benefited significantly as a result. While there was no change in the order of the world’s five largest private wealth managers, the Super League effectively gained market share among HNW investors, growing assets under management (AUM) at a faster pace than the overall wealth markets. Net inflows were the strongest since we began tracking and collectively, profits rose as cost-to-income ratios improved.

The report "Global Wealth Management: Competitive Dynamics 2018", benchmarks the world’s leading wealth managers by managed client assets and financial performance. It covers the 36 most prominent institutions, including standalone private banks and wealth managers, as well as competitors that are part of larger universal financial groups. All international public wealth managers with over $100bn in private client AUM are featured in the report.


Key Findings

  • UBS retains an almost insurmountable lead as the world’s largest private bank, and one of the few that continues to benefit from a geographically diverse footprint.
  • The assets of 36 competitors tracked in our Super League grew by 13.6% collectively, leading to a recovery of market share not seen since 2014.
  • Cost-to-income ratios improved as revenue surged, as opposed to operating costs declining, making further profit growth entirely contingent on maintaining elevated revenues. This is something that a cooling market, which is expected in 2019, will struggle to provide.
  • Many European private banks grew wealth-related profits as they are finally reaping the benefits of their restructuring and de-risking, which had depressed profits in 2015 and 2016.




Scope

  • Ranks competitors by private clients’ AUM.
  • Looks at client assets booked in other than pure wealth management services, including brokerage.
  • Analyzes historical growth, as well as perspectives for further development of AUM, both in terms of current asset base expansion and attracting new money.
  • Compares the profitability of the covered competitors, examining sources of revenue and the largest components of the cost base.
  • Examines how wealth management units that are folded into larger organizations contribute to the wider business of the competitor in question.




Reasons To Buy

  • Benchmark your AUM and financial performance against the biggest players in the industry.
  • Understand the challenges in growing client assets in different geographies.
  • Learn about your competitors’ strategies related to expanding client books.
  • Find out how profitable the wealth management business is.
  • Identify the industry’s best practices in managing operating costs and boosting revenues.
  • Discover how wealth managers’ M&A activity affects their financial performance.