Home · Weather · Forum · Learning Chinese · Jobs · Shopping
Search This Site
China | International | Business | Government | Environment | Olympics/Sports | Travel/Living in China | Culture/Entertainment | Books & Magazines | Health
Home / Business / Finance Tools: Save | Print | E-mail | Most Read | Comment
BOC sees huge rise in rich private customers
Adjust font size:

Private banking clients of the Bank of China will mushroom from several hundred to more than 1,000 in the next two years, Huang Jinlao, marketing director of the lender's Personal Banking Department, said in Beijing recently.


These clients will have a total 10 billion yuan (US$1.35 billion) of funds that will be managed by the country's second-largest lender, he said.


It is the first Chinese-funded bank to provide domestic private banking services since March 28, targeting those with liquid financial assets above US$1 million, after Citibank, Standard Chartered and other leading foreign-funded banks. The Chinese bank aims to capture a bigger share of the country's increasingly large wealth management market.


The country ranks No. 5 in terms of households with more than US$1 million in liquid assets, following the United States, Japan, Britain and Germany, according to a recent report released by the Boston Consulting Group.


The number of such Chinese households totaled 310,000 by late 2006, up from 124,000 in 2001, and about 48,000 of them have more than US$5 million in liquid assets.


Given China's continuous and rapid economic growth, the report predicted the number to double by 2011, reaching 609,000.


Meanwhile, the number of wealthy families, those with financial assets worth US$100,000 to US$1 million, or people classified as China's middle class, is also expanding, according to the report.


BCG forecast the number of wealthy families in China will rise to 6.4 million by 2011 from 3.25 million now.


"It's quite possible that this wealth management market will increase at an annual rate of more than 100 percent, as this market is relatively new in China," said Huang.


According to Huang, BOC already had five years' experience in middle and high-end management and had 770,000 well-off clients as well as a team of more than 2,000 wealth managers.


"We can collaborate with our strategic partners like the Royal Bank of Scotland and UBS to provide a wide array of customer-tailored personal banking services, including investment consulting, securities, insurance and others," added Huang.


He reiterated that the bank's advantages won't be able to be easily copied in a short span of time by its foreign and domestic competitors.


"Foreign-funded banks enjoy the advantage of more mature products, better-qualified wealth managers and top trustworthy brands," Ou Minggang, deputy chief editor of the Chinese Banker magazine, said.


(Xinhua News Agency November 12, 2007)

Tools: Save | Print | E-mail | Most Read

Username   Password   Anonymous
China Archives
Related >>
- Subprime loss hits BOC profit
- Chinalco cooperates with Bank of China
- Reports on BOC's Role in US Mortgage Crisis 'Inaccurate'
- ICBC Reclaims Banking Crown
Most Viewed >>
-China set to hit the brakes on rising yuan
-Power to resume shortly in worst-hit area by snow
-Macao's gaming market expands further
-Online operators are on top of the game
-Insurance firms set to stump up billions

May 15-17, Shanghai Women's Forum Asia
Dec. 12-13 Beijing China-US Strategic Economic Dialogue
Nov. 27-28 Beijing China-EU Summit

- Output of Major Industrial Products
- Investment by Various Sectors
- Foreign Direct Investment by Country or Region
- National Price Index
- Value of Major Commodity Import
- Money Supply
- Exchange Rate and Foreign Exchange Reserve
- What does the China-Pakistan Free Trade Agreement cover?
- How to Set up a Foreign Capital Enterprise in China?
- How Does the VAT Works in China?
- How Much RMB or Foreign Currency Can Be Physically Carried Out of or Into China?
- What Is the Electrical Fitting in China?
SiteMap | About Us | RSS | Newsletter | Feedback

Copyright © All Rights Reserved E-mail: Tel: 86-10-88828000 京ICP证 040089号