The rush of private banks recruiting large numbers of staff in Asia is creating an unsustainable bubble that could burst, according to Socit Gnrale global head of private banking Daniel Truchi.Truchi, who spent 20 years working in the region and who helped Socit Gnrale create its private banking division in Asia, doubts some of the fast-growing private banks have long-term sustainability.”Hiring 200-300 client relationship managers within one or two years looks ridiculous to me, it is nonsense,” he said.
The US Securities and Exchange Commission (SEC) is seeking public comment on the definition of a family office. Historically, family offices have not been required to register with the SEC under the Advisers Act because of an exemption provided to investment advisers with fewer than 15 clients.
A UBS review has found the Swiss bank failed to appropriately assess the compliance risk of its US cross-border wealth management business before its investigation by US authorities. The 76-page transparency report, prompted by the recommendations of a Swiss parliamentary committee, sheds light on the events that led to the bank to make writedowns of more than CHF50bn ($52.4bn) from the third quarter of 2007 to the fourth quarter of 2009.