Banque Syz is working on succession plans. Founder Eric Syz's sons are about to deliver their journeyman's work at the Genevan private bank.
«I don't want to stick around past my time,» Banque Syz founder Eric Syz told finews.com last year, when he turned 60. This year Syz, who is CEO of the Genevan wealth manager he founded in 1996, is doing something about it.
In April, Syz named Yvan Gaillard as his deputy. The Swiss banker's two sons have also both entered the family business: Nicolas Syz (pictured below) is responsible for market development of private banking.
Planning Retirement
His brother Marc (pictured second below), a private market specialist, is back from Hong Kong and at the bank as a managing director. «We're in the process of setting up my succession, but we want to find the right combination of people,» the elder Syz told finews.com. He wants to hand over operational responsibility for Banque Syz in the next five to seven years, said Syz. who freely admits to being ultra-demanding.
(Image: Linkedin)
Democratizing Private Equity
The Syz CEO emphasized that ultimately the bank will decide on succession, but both his sons have been given an opportunity to prove their worth. Banque Syz is in the process of cementing a service package targeted at Swiss entrepreneurs – a project that both Nicolas and Marc have a hand in.
«As a Swiss entrepreneur family with a long tradition, we decided to further strengthen our domestic market,» Eric Syz said. The bank launched a private market fund arm roughly six months ago, a bid to make private equity more accessible to wealthy clients. Marc, who was involved in club deals in Asia, will oversee the Swiss push.
«The idea is to democratize private equity. Domestic firms in particular embrace this type of investment,» the elder Syz said.
(Image: Linkedin)
Dormant Pension Money
Mortgage lending, which Syz began inn August, is also part of the Swiss entrepreneur push. The third pillar of the effort is in pensions, where Syz is teaming up with Liberty to help firms structure their pension obligations. «It involves huge sums, and there is a lot of interest in our role as a wealth manager,» he said.
Banking by and for entrepreneurs in Switzerland is no cakewalk: the domestic market is only growing by 4 percent. If Syz wants to grow, the bank has to win market share off competitors.
«Our net new money growth is single-digit,» according to Syz, but potential deal targets are rare.
American Strategy
Banque Syz now has a Miami office thanks to a 2015 deal with the Royal Bank of Canada, which it is now using as a hub for Latim America. Syz is also looking at the North American market from Florida, but has decided that foreign banks are as a regulatory disadvantage.
«We're contemplating whether it wouldn't be better to serve our Latin American clientele onshore – for example, directly in Brazil,» Syz said. The veteran banker isn't the only Swiss banker to abandon U.S. ambitions: last week, Lombard Odier sold its American arm to rival Vontobel.
