MANILA, Philippines - Assets under management of the private banking unit of Rizal Commercial Banking Corp. (RCBC) amounted to over P33 billion, 22 percent more a year ago level.
Private banking, also referred to as wealth management, is a banking activity that concentrates on nurturing high networth individuals. High networth are individuals with a prospective minimum investment portfolio of P20 million.
RCBC Wealth Management Segment head Manuel G. Ahyong Jr. claims that the group continues to register double-digit growth since it was spun off as a separate unit under RCBC in mid-2006.
From just a portfolio of P8 billion four years ago, the group’s portfolio of assets ballooned to P33 billion this year.
Ahyong said that the group’s client base grew by a healthy 26 percent as the investing public sought to allay their concerns over the continuing global slowdown by going for more stable returns and safer havens in the local markets.
He stressed that the strength and reliability of RCBC, combined with the
expertise and integrity of its Relationship Managers (RMs), won the confidence of their clients.
“We are looking to target another double digit growth of around 23 percent for the rest of 2010,” the segment head said.
Majority of its portfolio invested in fixed income securities, but the private banking group expanded to more long-term instruments mixed with medium term units as the market anticipates the interest rates to start inching upward.
In a separate interview, RCBC president and chief executive officer Lorenzo V. Tan reiterated the bank’s commitment to continue developing its wealth management service.
“Wealth management allows us to take a more prominent role in making our presence felt among a growing mass affluent sector. We are constantly working on a number of important initiatives that can help us achieve our goals,” Tan said.