Wealth Managersmore on Wealth Managers

Analysis by Steffen Binder, Research Director

In his seminal work, ‘Competitive Strategy’, the world-renowned Prof. Michael Porter has identified five major forces that shape competition and success for the players in every industry. If you look at social media through the perspective of these five forces, the consequences they unleash for the competitive dynamic in the banking sector become very clear.... more

2011 Mobile Applications Report

Global Banks Offer Surprisingly Few Good Mobile Apps

The mobile applications of Deutsche Bank and the French bank Caisse d'Epargne come out as winners in a benchmarking of a total of almost 200 mobile apps, offered by the world´s top 50 banks. Scoring 40 points out of 60 with just a single app, Bank of China is the winner in the category of best standalone banking app. Surprisingly, only one US-based bank has made it into the Top10 of... more

Interview with Trevor Pavitt, Passive Investing

"Your banker has no more capability of predicting the future than you do"

Trevor Pavitt and Alex Arnbäck are co-founders of Passive Investing, a Geneva-based wealth adviser specializing in passive investment strategies. They have just published their new book "Heal Your Investments". In this interview ex-Private Banker Trevor Pavitt speaks about what motivated him and co-author Arnbäck to write a book that challenges the philosophies and strategies of the existing wealth management industry... more

UK Wealth Analyst Francis Groves on the UK Ban for Kickbacks

A Hesitant Revolution In Paying For Financial Advice

The UK’s Retail Distribution Review (RDR) has been a long time arriving. Zero hour for the end of commission-based advice to private individuals is roughly 15 months away; midnight on 31st December 2012, to be precise. RDR could usher in a golden age of advising investors without the baleful effects of investment fund kickbacks to advisers. However, in truth, the outlook is not as sunny as that.... more

MyPrivateBanking in the Media

Recent research published by MyPrivateBanking received extensive media coverage from the world’s leading business newspapers such as Wall Street Journal, Financial Times and Frankfurter Allgemeine Zeitung. The Wall Street Journal’s Article “Financial Advisers´Little Secrets: Their Past Results” reported... more

Initiating a Discussion on the Future of Wealth Management

Charter for Ethical Wealth Management

Over the last two years MyPrivateBanking.com has evolved into a platform to educate and connect wealth management clients, promote their rights and interests and highlight the responsibilities of wealth managers and private banks. To capture the essence of these ... more

MyPrivateBanking Survey

Wealth Managers Slow to Adopt Mobile Apps

New research by MyPrivateBanking Research finds that only half of the world’s 30 most important banks and wealth managers offer mobile applications for their clients. Even worse, only three providers (10%) go beyond applications related to online banking.... more

MyPrivateBanking Research Flash

Wealth Managers Shun Transparency

New research findings by MyPrivateBanking Research reveal that only 10% of the world’s most important wealth managers publish performance data for their discretionary accounts and only 22% offer specific information about their fees.... more

New Research by MyPrivateBanking

Promises of Restitution of Dictators´Assets are Empty Phrases

The recent events in North Africa and the Middle East show once again that every time a dictator falls from power, governments, politicians and banks across the world announce that his, his family’s and follower’s assets in foreign countries will be frozen and later returned to the new, legitimate government. But the fact of the matter is that these announcements have only been paying lip service to the public.... more

New MyPrivateBanking Research Report

The 2011 report on private banking websites by MyPrivatebanking Research finds that compared to the 2009 survey the overall quality of the websites has not improved: less than half of the banks have mastered the basic requirements for a private banking website and... more

New MyPrivateBanking Report

Most Banks and Wealth Managers Ignore Facebook, Twitter & Co.

60% of surveyed Wealth Managers have either no activity or are only sporadically active on social networks – Deutsche Bank, Crédit Agricole and BNP have the best social media presences.... more

Wealth: New Trend in Client Behavior

An important trend for wealth managers and private bankers is that private banking clients use more frequently social networks like facebook or LinkedIn and visit... more

New Survey on Top European Private Banks

Insufficient Client Focus of Private Banks

MyPrivateBanking.com has just released its annual survey on the top European based private banks and wealth managers. 20 of the most important private banks in Europe were selected to assess the quality of their customer interface, their investment proposal and the total cost of... more

Participate in the MyPrivateBanking Social Media Survey

Win an Ipad2 or Amazon Vouchers

Win an iPad2 or one of five Amazon vouchers by participating in our yearly survey about social media and mobile apps. ... more

Interview with Carey Wealth Reporting in Zurich

“Wealth Reporting – hugely important for wealthy clients, but rarely done well“

We had the opportunity to sit down with Patrick Bos and Kevin Halouska of Carey Wealth Reporting A.G. in Zurich. We talked about a broad range of issues related to wealth reporting since this is one of the topics that surfaces time and again, particularly when clients lose money or miss opportunities as a result of inefficient or incomplete (consolidated) reporting. Unfortunately consolidated reporting is still very often unclear and arcane.... more

Dealing with Fear and Panic in the Markets

Don´t Let Today’s Volatility Enrich Your Private Banker

Since 2008 markets have seen a lot of up and down movements. In our report "Insufficient Client Focus – A Survey of European Private Banks’" we showed already in 2009 just how pro-cyclical and short-termist the advice of many (but not all) private banks was at the time. Today, we have a similar situation: bankers advise their clients to switch their assets into safe havens such as gold, Swiss Francs or Asian currencies and cash. But only a few months ago... more

MyPrivateBanking Research Brief

Private Banking Clients Should Avoid Internet IPOs

Private investors should be skeptical about investing in the new wave of initial public offerings (IPOs) for internet companies’ stocks. This is the main conclusion of new research by MyPrivateBanking, for which we compared the main players, mechanisms and results of the late 1990s/early 2000s dot-com bubble with the newly developing wave of Internet IPOs... more

New Guide from MyPrivateBanking Research

ETFs – Get the Most Out of Them without Taking All the Risks

Passive investing and Exchange Traded Funds are all the rage. However, as always when new products are becoming popular very quickly risks and unwanted side-effects are increasing as well.... more

Advice: How to Pay Your Wealth Manager

The Right Kind of Fee Arrangement for Your Private Banking

MyPrivateBanking has done a great deal of research on fee arrangements and comes to the conclusion that the fees private banking clients pay to their wealth managers or private bankers are often too high.... more

Advice: Meeting a Potential Client

Top Ten Things a Private Banker Should Ask

Only a structured questionnaire ensures a comprehensive profile of a private banking client. Unfortunately, we have found that only a minority of wealth managers and private bankers... more

Advice: How to Invest in Mutual Funds

Many investors are wondering whether or not it makes sense to invest in active funds at all. Here are our top-10 guidelines for fund investment. The main take-away is: only when a fund manager can prove a long-term outstanding performance does it make sense to invest in an actively managed fund.... more

Advice: Costs of Wealth Management

Kickbacks – The Way to Pay Your Wealth Manager and Private Banker Twice

As a private banking client, you not only pay a substantial direct fee for your wealth management, but also indirectly for various hidden costs of products and... more

Advice: The Right Asset Mix (Part 2)

What Is Your Financial Personality?

In part 1 of this series we talked about the three main factors that determine your outlook on investments: Your investment goals, risk tolerance and the ability to cope with uncertainty. If you take these three factors together you can determine a person’s overall financial personality.... more

Advice: Cut Your Costs of Wealth Management (Part 2)

In the second part of our series on how to cut the costs of wealth management and private banking we analyse the various cost drivers and pricing models of wealth management and private banking. ... more

Advice: Watch Your Wealth Manager

How to Keep Your Private Banker from Disastrous Mood Swings

It seems like a recipe for disaster right out of the text book on behavioural finance: In a bull market your private banker recommends a lot of risky products but once the market has tanked, he is the most conservative adviser in the world.... more

Analysis by Francis Groves, MyPrivateBanking's ETF-Specialist

ETFs are becoming increasingly popular with private investors, at the same time ETF structures are growing more complex. Could ETF popularity in combination with complexity nurture hidden risks to the financial... more

Series on ETFs (4): How Risky Are They Really?

The Risks of Exotic ETFs – Don’t Be Too Adventurous…

The following analysis addresses the risk of investing in exotic ETFs or, in other words, the danger that an investor invests in an unfamiliar underlying index of assets without appreciating or quantifying the risks. And the scope for branching out into exotic ETFs is increasing... more

Collectibles: Wine as an Investment

Valuable Tips for Choosing the Right Wine

It is definitely possible to make money through investing in top wines; however, it is certainly not as easy as is often suggested. If you decide to invest in wine, which wines should you focus on? ... more

Products: How to Build an ETF-Portfolio

This Website has been actively supporting the use of index products like ETFs to build an investment portfolio. The advantages are clear... more

Interview with Gunnar Grape, Reporting Specialist

"Problems arise especially where a solution is unable to reproduce the full range of asset classes"

Gunnar Grape is the managing director of iComps GmbH, which offers various services to support wealth managers in the administration of their client portfolios and providing clients’ investment reports. We discussed with him the current state of client reporting and what a good investment report from a wealth manager should look like... more

Interview with Financial Author Francis Groves

"A lot of attention given to ETFs is overly simplistic or technical"

Francis Groves is the author of the recently published book Exchange Traded Funds: A Concise Guide to ETFs. In this interview the ETF expert explains how to build a sensible portfolio from ETFs, the typical mistakes private investors make with ETFs, what they can do and simple steps to contain the biggest risks. ... more

Interview with Karl M. Schmidt, CEO qurin bank

"I am the boss of the bank least loved by other bank"

Karl Matthäus Schmidt is the CEO of the first fee-only private bank in Germany which offers clients wealth advice without conflict of interest. We talked with him about the acceptance of this new advisory model among clients and what has to be done to make the wealth management market more transparent... more

Interview with Gerd Kommer, Author of the Buy-and-Hold-Bible

"Returns Come From Taking Risks, Not From Following Gurus"

Gerd Kommer is the author of various best-selling investment guides. He is a strong advocate of a passive, indexing-based investment strategy. In this interview, he talks about what a good wealth manager should do, and why the wealth management and private banking industry must shrink to better... more

Interview with Alexandre Arnbäck, Passive Management SA

"It's difficult, costly and risky to try to beat the markets"

Alexandre Arnbäck is the co-founder of Passive Management SA and a former private banker with Lombard Odier. He is convinced that only a passive investment approach can give optimal performance with the lowest possible risk to wealth management and private banking clients... more
Members' Insightsmore on Members' Insights

What Our Members' Discussed this Summer

"Do not panic! Once all the media are full of doomsday scenarios it‘s usually a good time to invest."

Over the course of the summer our group discussions were, not surprisingly, dominated by questions on how to deal with the crisis in the financial markets and, in particular, on how to protect assets from a possible melt-down in asset prices and currencies. ... more

What Our Members' Discussions Have Covered (May 2011)

“A banker MUST make money out of clients no matter what he thinks is best for them”

Last month our group members shared their thoughts and experiences on various topics. What follows are a few highlights of these discussions, such as inside knowledge on a banker’s conflicts of interest... more

Member Feedback: GPS 1

Our member, GPS1, were so kind to give us detailed feedback on his selection process for a new financial advisor based on our research. What follows is his own account of how he found the right advisor... more

MyPrivateBanking Member Portrait: Gus49

"Force your adviser to diversify your assets and always have real estate in your portfolio"

In our series of portraits of MyPrivatebanking Members we interviewed Gus_49, a real estate broker living in Paris, on his investment experiences and portfolio management.... more

What our Members Say (April 2010)

Group discussions at MyPrivateBanking.com in April focussed towards the end of the month more and more on the implications of the Greek crisis for members’ wealth management. ... more

What our Members Say (March 2010)

Group discussions at MyPrivateBanking.com in March covered a broad range of topics. Again costs have been a hot issue and we received several new postings, the latest on all-in fees (”Fee for fixed income portfolio of €2,000,000: 0.6% p.a. all in... more

Top Private Banking Links, February 22, 2011:

Plus: Why true diversification matters; Mubarak’s money most likely goes to UAE; The Oppenheimers – South Africa’s royal business family; What the bible says on taxing the rich... more

Top Private Wealth Links, December 6

How in Europe kick-backs are on the retreat, Geneva wealth boutique offers money back guarantee, top-10 mistakes of the common investor, a trust fund for your beloved pet and ... more

This Week's Top Private Wealth Links

Why the SEC should make brokers responsible, what financial lessons you should teach your kids, how Americans lead the world in philanthropy, what a dying wealth manager has to say and... more