Wealth Management in New Realities
After the recent financial and economic crisis, the wealth management sector has now recovered: Bankable assets rose to EUR 29 trillion worldwide in 2012, a year-on-year increase of almost 8% – and this upward trend will continue. In our study entitled "Wealth management in new realities", we predict that global bankable assets will rise to almost EUR 40 trillion by 2017.
There are, however, major differences between the markets. For instance, Asia-Pacific will experience the strongest growth: the asset management business here will increase by more than 10% annually, reaching a total volume of almost EUR 14 trillion by 2017. In contrast, growth in mature markets will slow down. For example, the North American market is forecast to grow by 6% a year, the European market by around 3% annually up through 2017. "The wealth management industry must adapt to new realities and will therefore undergo a structural transformation," explains Olaf Toepfer, Partner at Roland Berger Strategy Consultant. "Further development is imperative because, especially in the European onshore business, there are very few providers who can operate profitably outside their home markets over the long term."
The foundation for success in the international onshore business is especially the ability to meet the needs of the individual markets: "Knowing the local language and culture, having a clear understanding of the target customer profiles and their needs as well as offering customized solutions are crucial for success in the growth markets," says Berger consultant René Fischer. This is important for the fast-growing Asian market in particular, where international players can expect competition from an increasing number of local providers."