Ultra Customized Approach
In the world of wealth management, the client base is often divided into four categories. For example, Euromoney identifies:
- Super Affluents (with a net worth of $1m to $5m)
- High Net Worth (HNW, $5m to $30m)
- Ultra High Net Worth (UHNW, $30m to $250m)
- Mega-High Net Worth (MHNW, >$250m).
This separation corresponds mostly to the fact that these populations tend to have unique challenges and opportunities to address. The category that is usually the most challenging is UHNW. Mega HNW have often a volume of assets under management large enough to have their own experts and managers taking care of their investments. Conversely, UHNW often have less expert resources at their disposal but are sophisticated and expect the same level of advice and professionalism, as well as the same opportunities, from their advisor as the UHNW.
Furthermore, the expectation from the UHNW population spans non-financial ambitions, like the preparation of the next generation to take over family assets, or the realization of a passion project, be it the acquisition of a vineyard or the set-up of a charitable foundation. They also expect to be provided similar opportunities in terms of access to a vast network of like-minded families and family offices to exchange about investments and other common themes. This exigence in terms of services requires a specific dedication and a level of complexity and sophistication, forcing private banks to react and mobilize their resources to deliver on these ambitions.
UHNWIs have larger volume of assets, which allows them to take on board more risks across a larger number of asset classes. Therefore, they have specific needs that require dedicated experts.
Recognizing these unique needs and the requirements for acting almost as a family office for these exigent clients, BNP Paribas Wealth Management has designed a specific group within its Wealth Management arm, the “Key Clients Group”, focused solely on the needs of this population. The private bankers in the KCG are dedicated to a small number of clients and focused on acting as gatekeeper and delivering all the opportunities coming from the entire BNP Paribas Group. Leveraging the experts across divisions–from Wealth Management, Real Estate, Credit, Investment Banking, etc.–KCG bankers can provide UHNW clients specific investments, delegate mandates for portfolio management, wealth planning, real estate and credit solutions.
Positioned at a critical place in the global economy, Ultra High Net Worth client segment is a fast-growing population with high level of demand and a very high degree of sophistication. These families and entrepreneurs require dedicated expertise and organization to be able to deliver on their ambitions. Serving their needs requires the highest dedication and the best experts. In that context, the best private banks have set up teams that can act as trusted advisors for these families and ensure their ambitions continue to be fulfilled.