- Private banking
Private banking is a term for
bank ing,investment and otherfinancial services provided by banks to private individuals investing sizable assets. The term "private" refers to the customer service being rendered on a more personal basis than in mass-marketretail banking , usually via dedicated bank advisers. It should not be confused with aprivate bank , which is simply a non-incorporated banking institution.Historically private banking has been viewed as very exclusive, only catering for
high net worth individual s with liquidity over $2 million, although it is now possible to open some private bank accounts with as little as $250,000 for private investors. An institution's private banking division will provide various services such as wealth management, savings, inheritance and tax planning for their clients. A high-level form of private banking (for the especially affluent) is often referred to aswealth management .The word "private" also alludes to
bank secrecy and minimizing taxes via careful allocation of assets. Anoffshore bank account may be used for this purpose.Private bank rankings
According to Euromoney's annual Private bank and wealth management rankings, which consider
assets under management , profitability, ratio of clients to relationship managers and services offered, global private banking assets under management are up over 128% year on year.Fact|date=September 2008Best private bank for ultra high net worth ($30m+) 2008. This table displays results of one category of the Private banking awards. [Euromoney magazine. January 2008. Annual rankings. http://www.euromoney.com/Article/1786822/Article.html]
cale
According to Scorpio Partnership's Annual Private Banking Benchmark for 2006, the largest private banking division is at
UBS AG , followed byCitigroup andMerrill Lynch , each of these institutions gathering more than $1 trillion in assets under management for private clients. [Scorpio Partnership Benchmark 2006, Press Release and summary [http://www.scorpiopartnership.com/pdf/scorpio-pr_benchmarkjun2006.pdf] ]Private banking institutions showed an increase in profits and assets under management in 2006 following a period of slow growth by 3.8% in 2004. [City Business Series, 2008, International Financial Services London [http://www.ifsl.org.uk/upload/CBS_Banking_2008.pdf] ]
Switzerland is a major location for private banking.Swiss bank s hold an estimated 35% of the world's private and institutional offshore funds, or 4.6 trillionSwiss franc s.ee also
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Bank secrecy
*Offshore bank
*Swiss bank
*List of economics topics
*List of finance topics References
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