Falcon Private Bank to spread its wings in region

Dubai: Falcon Private Bank, a Swiss private bank owned by Abu Dhabi's Aabar Investments PJSC, sees huge potential for expansion in the Middle East as the region has significant concentration of high net worth and ultra-high net worth individuals and families, said Heinrich Weber, head of Geneva Branch and Deskhead Private Banking Middle East, Falcon Private Bank Ltd

Falcon, with more than 40 years of experience in Swiss private banking business, is specialised in wealth management for private clients, wealthy families and institutional investors. "We are a Swiss boutique private bank that specialises in client centric strategies in wealth management. We don't have any standard format, instead we decide on strategies based on the specific requirements such as need for liquidity, risk appetite and the specific wealth preservation requirements of each client," said Weber.

The bank with more than $12 billion (Dh44 billion) of private wealth under its management has currently $400 million in assets from the Middle East under its management. As part of its strategy to increase its Middle East reach, the bank has announced a new representative office in Abu Dhabi which it plans to open in April.

Operations

The bank has been present in the region with its Dubai representative office since 2008 and has been owned by Aabar Investments since April 2009. Its head for the Mena region and member of the executive board, Zafar Khan, will oversee the bank's operation in the region as the bank is headed to adding more professionals in the Dubai and Abu Dhabi offices.

"Abu Dhabi offers very promising potential for the future of Falcon Private Bank given the Emirates' dynamic and fast-growing economic prospects and the strong backing of our Abu Dhabi-based owner Aabar. The main goal for our product specialists and marketing people in Abu Dhabi and Dubai is to research the market opportunities and relay investment ideas to our Private Bankers and investment professionals in Zurich, Geneva, Singapore and Hong Kong," he said.

The bank expects significant growth in business to come from emerging markets including the Middle East. "In the post crisis era there has been a major shift in the concentration of global wealth and source of new wealth creation.

In recent years many emerging markets in Asia and Latin America are emerging as new centres of wealth with an ever expanding population of high net worth individuals who are in need of wealth creation and wealth preservation strategies," Weber said.

Although wealth management business across the globe took a beating in the aftermath of the financial crisis which resulted in huge portfolio losses to investors, Weber said wealthy investors continue to seek wealth management advice. "Nobody likes to lose money on their portfolios, thus spreading the risk across asset classes and geographies is very important for wealth creation and preservation. This is where the role of a private banker is very important," he said.

"Weber said the financial crisis has exposed wealthy individuals to various risks. Apart from the volatility risks, people are now aware of liquidity risks and counter-party risks could affect their investments. It is the role of the wealth managers to explain these risks adequately to their clients," he added.

Services

While Falcon Private Bank offers tailor-made client specific wealth management services through direct booking of assets on behalf of clients, it also tracks global fund managers whose capabilities are offered to clients.

The acquisition of AIG Private Bank Ltd. by Aabar Investments PJSC (Aabar) has been completed. As of today, AIG Private Bank will conduct its business under the new name Falcon Private Bank Ltd. The independent financial institution, wholly owned by Aabar, and headquartered in Switzerland, specialises in wealth management services for an international base of private clients, wealthy families and institutional investors.