«We promoted diversification long before the current situation and encouraged clients to split booking between Hong Kong and Singapore equally,» Shick said. «As a result, there is no pent-up demand to diversify to Singapore or some mass exodus of clients.» Singapore's central bank head on Thursday downplayed the notion of a flood into the city-state, in a «Bloomberg» interview.
All-In for China
Despite three CEOs in the span of two years, Shick said the bank is not wavering in its commitment to the region. «The strategy for Asia has remained constant across our previous CEOs, and it will continue to be a market Julius Baer will pay a lot of attention to going forward,» he says.
«Over the last month alone, assets under management at Julius Baer Hong Kong have grown by double digits in percentage terms,» says Shick who believes the growth comes despite a stagnant wider Hong Kong market. The last month is representative of a larger momentum the bank has generated in the region, where assets have grown in «the high double-digits, compounded annually,» says Shick.
No Hiring Premium
The franchise may be growing at a record pace but the hiring is not new, in fact, the pure-play private bank has garnered a reputation for being one of the most aggressive acquirers of talent. Questions remain on whether it is paying a premium to elbow its way into the fierce competition that exists amongst top tier private banks.
«Do not believe market rumors that say Julius Baer is using compensation as a hook to hire,» Shick says anticipating the question. «Our cost/income ratio is made public [it is just above 71 percent at the group level] and the branch costs are aligned with this ratio.»
Shick insists it is the absence of conflict inherent in a pure-play business that is Julius Baer’s particular appeal. «We don’t push products, we don’t manufacture products. This is very different from what the relationship managers we interview are used to at their current organizations.»
- << Back
- Page 2 of 2
