Anika Sidhika: What has been the defining themes in private banking over the past year?

Amit Gujar: “Realising value from AI remains a challenge. Around 70% of financial institutions still struggle to scale AI solutions due to unclear investment priorities and weak alignment with business objectives. Focus remains on isolated, cost-saving use cases rather than enterprise-wide transformation, allowing fintech’s to maintain an edge through faster deployment.

“Convergence of traditional and alternative asset management. The integration between traditional and alternative investments has accelerated, driven by greater investor appetite, broader product availability, and the rise of semi-liquid and hybrid structures – now translating into tangible offerings across markets heightened uncertainty and regulatory shifts.

“A volatile macro environment, coupled with new regulations and higher taxation for wealthy clients in the UK, has prompted shifts in client residency and asset location. This has increased the need for agility in serving an increasingly international client base.”

AS What are the key lessons for the industry going forward?

AG: “Incremental change is no longer enough; leaders must take an active, dynamic approach to strategy, continuously adapting rather than relying on static long-term plans.

“Regulatory shifts, while costly, can create opportunities to strengthen business models and enhance commercial outcomes when managed strategically.

“As mentioned above, success with AI requires robust foundations in data, talent, and governance, alongside a holistic approach that reimagines the enterprise to deliver real value.”

AS: How are client demands evolving, particularly around sustainability, alternatives, and digital solutions?

AG: “Clients continue to prioritise real-time, multi-channel access to their wealth, a trend accelerated by intergenerational wealth transfer and growing next-generation engagement.

“Alternatives are increasingly seen as essential for higher risk-adjusted returns, diversification, and portfolio resilience. The focus has shifted from awareness to practical implementation, with some regions, such as the Middle East, also considering digital assets as a separate asset class.

“Next-generation clients expect accessibility, personalisation, and transparency, driving demand for tech-enabled, holistic engagement models.

“Increasingly mobile clients seek solutions that work across jurisdictions and demand frictionless experiences in both investment management and service delivery.”

AS: What emerging trends are likely to impact the financial services industry?

AG: “Emerging markets, led by Asia and the Middle East, are contributing a growing share of new global wealth and reshaping client demand.

“Local-for-local investing is regaining traction as investors rebalance away from U.S.-centric portfolios amid currency and geopolitical shifts.

“Active ETFs (exchange traded funds) and democratised private markets are expanding investor access to institutional-grade strategies and reshaping product innovation.”

AS: What macroeconomic or market scenarios are top of mind for 2026?

AG: “Markets appear to be entering a late-cycle phase, with elevated valuations in public assets and signs of stress in private markets, raising concerns over potential corrections and mitigation strategies.

“Geopolitical risk remains high, with increased frequency of major events reinforcing the need for resilience and diversification.

“Global AUM (assets under management) is expected to rise, but profitability will stay constrained without cost restructuring and digital productivity gains.

“Offshore wealth hubs, such as the UAE, will continue attracting inflows thanks to favourable tax regimes, regulatory stability, and investor-friendly frameworks. Balancing exposure between developed and emerging markets remains key.”

AS: Which investment themes, sectors, or strategies are expected to gain traction next year?

AG: “Thematic strategies focused on AI, infrastructure, and digital assets are expected to outperform, supported by secular capital flows and innovation momentum – this includes blockchain and select crypto in regions such as the Middle East.

“ETF-focused strategies will remain prominent, driven by growth in active ETFs and low-cost passive allocations.

“Diversification and scenario planning are increasingly critical amid high valuations, as investors balance staying invested versus holding cash.”

AS: How will private banking evolve over the next 3/5 years?

AG: “Wealth management is undergoing a multi-dimensional transformation – reshaping who firms serve, what they offer, how they engage clients, how they deliver, how they enable their business, and how they develop talent.

• “Growth is shifting towards Asia and the Middle East, led by founder and family wealth, while Europe remains an important anchor.
• Emerging and mass-affluent segments are increasingly viable through scalable hybrid models. Local relevance, rather than global replication, will be critical.
• Clients expect holistic, human-led, tech-augmented advice across a wider range of financial, real, and private assets.
• Winning models blend human judgement with data-driven insight, focusing on relevance rather than generic personalisation.
• Productivity gains will come from empowering front-line teams with smarter CRM, predictive analytics, streamlined coverage, and incentives aligned to lifetime value.
• Operating models must balance scale, agility, and integration, with global centres of excellence complemented by trusted local teams.
• Seamless integration across data, platforms, and coverage, supported by modular systems, will drive responsiveness. Strategic M&A will continue to accelerate growth, though value creation and synergy capture remain challenging.”