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DBS is dramatically rising workers numbers in its wealth administration enterprise as Singapore’s largest financial institution tries to draw wealthy Chinese language shoppers eager to maneuver their cash abroad.
The financial institution employed 80 relationship managers centered on the north Asia market in 2024, with almost half primarily based in Singapore. Individuals with data of its plans stated it supposed to recruit at the very least 30 extra within the 12 months forward.
DBS is looking for to capitalise on Singapore’s rising significance as an offshore centre for wealth administration and on the city-state’s booming household workplace sector.
Different international wealth managers in Singapore have turn out to be more and more cautious about accepting accounts from wealthy Chinese language clients following a S$3bn (US$2.2bn) money-laundering scandal involving greater than 20 people linked to a gang from China’s Fujian province.
Singaporean authorities responded to the case by forcing banks to introduce harder anti-money laundering checks on new clients, which have led to lengthy delays in establishing shopper accounts.
DBS, nonetheless, has been increasing its wealth administration enterprise within the area, rising the variety of relationship managers by a median of 8 per cent a 12 months since 2020 as different banks pull again.
Final 12 months’s hires introduced DBS’s whole variety of relationship managers to 850, with 130 additions deliberate this 12 months, in keeping with individuals with data of the plans. Greater than a 3rd of the group’s personal bankers serve shoppers in north Asia.
DBS turned the second-biggest wealth supervisor in Asia exterior China by variety of relationship managers and third largest by property with the collapse of Credit score Suisse two years in the past, behind UBS and HSBC, in keeping with Asian Non-public Banker.
“On the again of strong progress in wealth inflows into this area, we employed some 80 bankers final 12 months to serve the wants of our shoppers in north Asia,” stated Joseph Poon, head of DBS’s personal financial institution. “The competitors for expertise has undoubtedly intensified through the years.”
Among the many current recruits to the north Asia desk — which largely covers mainland China but additionally Hong Kong and Taiwan — are Gloria Solar, who beforehand ran Deutsche Financial institution’s north Asia group, and Raymond Cheung, a former Credit score Suisse banker who joined from UBS.
Singapore has seen an inflow of cash from rich Chinese language nationals lately, however the money-laundering scandal two years in the past uncovered lax vetting procedures at some banks.
Police seized billions of {dollars}’ value of high-end properties, luxurious vehicles and jewelry — in addition to property in banks and crypto accounts — from criminals linked to scams and unlawful playing operations.
DBS has additionally elevated the variety of relationship managers catering to Russian clients, whereas different banks have pulled again from that market since Moscow’s full-scale invasion of Ukraine three years in the past and the imposition of sanctions on high-profile Russians. The variety of Russian-speaking DBS bankers in Singapore has risen to 9.
Thailand is one other market the place DBS is looking for to win new shoppers, with a plan to double the variety of relationship managers centered on the nation by subsequent 12 months.
The personal financial institution was one of many key drivers of the file annual income DBS reported final month, with wealth administration charges rising 45 per cent to S$2.2bn.
The give attention to rising the personal financial institution comes as Tan Su Shan, who ran DBS’s wealth administration enterprise for a decade, is about to take over as group chief government this month.
