Wealth managers must provide institutional-quality access to alternative assets to stand out these days, says Roger Bacon, Asia-Pacific head of managed investments at Citi Private Bank.
Citi Private Bank is finding it hard to hire suitable talent for its discretionary portfolio management business – and it is not alone on that front.
Product selectors flag areas for improvement in the industry, such as a lack of detail about fund performance drivers and churn of sales staff at both distributors and fund houses.
They highlight two areas they need to improve on to increase penetration among the region’s wealthy population during AsianInvestor’s inaugural Fund Selectors Forum.
Citi Private Bank has seen an eightfold rise in sales of hedge funds through its Asia platform since 2012. Swiss firm Pictet also sees growing demand for the asset class.
A systematic reduction in equity risk and macro uncertainty is driving wealthy and top-end retail clients into hedge funds and even more illiquid asset classes, says Citi Private Bank.