trending Market Intelligence /marketintelligence/en/news-insights/trending/ll3bSeTJFH5ZKggvjY_xGg2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

OCBC to rival DBS in private banking with Barclays deal as industry consolidates

Street Talk Episode 68 - As many investors zig away from bank stocks, 2 vets in the space zag toward them

Street Talk Episode 66 - Community banks tap the debt markets while the getting is good

Street Talk Episode 67 - Veteran investor tabs Mick Mulvaney to help with latest financial stock-focused fund

Street Talk Episode 65 - Deferral practices trap US bank portfolios in purgatory


OCBC to rival DBS in private banking with Barclays deal as industry consolidates

Afterwinning 's private banking business intwo Asia-Pacific financial hubs, Singapore-based Oversea-ChineseBanking Corp. Ltd.is set to trail its only bigger domestic rival more closely than ever in thetop league of wealth managers in a consolidating market.

OCBC,the second-largest Singaporean bank by assets, said April 7 that its whollyowned private banking unit, , agreed to 's wealth managementoperations in Singapore and Hong Kong for about US$320 million. The business hasmore than 1,800 clients and managed about US$18.3 billion of assets at 2015-end.

Basedon AUM data for Dec. 31, 2015, released by AsianPrivate Banker the day before the deal announcement, the acquisition willelevate Bank ofSingapore by fourspots in the Asian asset manager rankings, to right below No. 6 , the biggest Singaporeanlender. At the end of the 2015, Bank of Singapore was ranked 11th, with US$55 billion in AUM, compared to US$75billion for the competing business of DBS, which moved up one notch from a yearearlier, according to the data.

Thedeal comes as the Asian Private Bankerdata showsprivate banking AUM in Asia shrank for the first time in three years in 2015.The number of relationship managers also fell. Industry consolidation played a role in the declines afterfour mergers emerged in as many years, not counting the OCBC deal, the publicationsaid.

Accordingto Reuters, the final round of bidding forBarclays' wealth management business in Hong Kong and Singapore was narrowed toDBS and OCBC, both of which have expanded their private banking operationsthrough acquisitions.

DBSbought the Asianprivate bankingunit ofSociété Générale SAin 2014. OCBCacquired a similar business from in 2010 and folded itinto Bank of Singapore.

Whilesavings in administrative costs are a prime reason for acquisitions, retaining staffand clients after takeovers is a key challenge, said Tom King, Asia editor forfinews.asia, whichtracks the wealthmanagementindustry.

"Keeping the relationship managers and clients is crucial togrowing business. That makes it interesting to see Singapore firms adoptingthis acquisition strategy while bigger players at the global level look toexpand staff," he said.

Amonglarger rivals of DBS and OCBC, Credit SuisseGroup AG,which has the third-largest private bank in Asia, according to the Asian Private Banker data, ramped up headcount for thebusiness in Asia in 2015, with CEO Tidjane Thiam pledgingto allocate moreresources to the region. It boosted the number of private banking relationshipmanagers in Asia by 13.5% in 2015 from the prior year, the most among the top10 firms, according to the data.