To remain competitive, Singapore aims to build new growth areas, anchor innovation and catalyze collaboration between multinational corporations, local businesses and research ecosystems.
September 6, 2024
Singapore continues to attract global businesses and entrepreneurs seeking new growth opportunities in Asia, which is the fastest-growing economic region in the world. Its advanced infrastructure, pro-business policies, highly skilled workforce and global connectivity have strengthened its position as the premier business hub and gateway to Asia and beyond. Singapore has consistently been ranked among the top business environments and as one of the freest economies.
In 2023, Singapore attracted S$12.7 billion (US$9.72 billion) in fixed asset investment, demonstrating the confidence investors place in the country as a trusted hub for business. To strengthen Singapore’s competitiveness, the government aims to build new growth areas such as the green economy, artificial intelligence and precision medicine, and to anchor innovation and catalyze collaboration between multinational corporations, local businesses and research ecosystems.
Economic Resilience Despite the ongoing geopolitical tensions and market uncertainties, Singapore’s economy saw a better-than-expected growth of 2.9% in the second quarter of 2024 compared to the same period in 2023. This is mainly driven by the group of clusters comprising the information and communications, finance and insurance and professional services sectors. Expansion in the finance and insurance sector was largely supported by activities supplementary to financial services, banking and fund management segments.
Singapore’s assets under management (AUM) grew by 10% to S$5.41 trillion (US$4.14 trillion) in 2023, faster than the AUM growth in Asia. About 77% of AUM is sourced from outside of Singapore and 89% of total AUM is invested outside the country. As a global financial hub, Singapore has established itself as one of the leading private banking and wealth management centers globally.
Financial institutions like Standard Chartered Private Bank are well-positioned to capitalize on the growing affluence in Asia and the significant wealth transfer occurring in the region. For example, the bank’s Singapore wealth hub makes it an ideal conduit for connecting global Indian clients with their financial interests back home in India and across other major regions, including Greater China, the United Kingdom and the Middle East. These clients seek not only to grow their wealth, but also to manage it seamlessly across borders.
The growing demand for wealth planning and advisory services has also contributed to the popularity of independent wealth management firms like WRISE. In just two years, WRISE has experienced remarkable growth, expanding its presence in key financial hubs across Asia to cater to the growing cross-border needs of its clients. The firm views itself as a complementary partner to banks, offering the best of the banks’ specialized services that can enhance the overall wealth management experience for its clients.
Singapore will continue to build new capabilities in its financial services sector to ensure it remains robust and resilient.
Looking Ahead The 2024 economic outlook remains optimistic, with analysts forecasting that the growth momentum will improve in the second half of the year, leading to a full-year GDP growth of 2% to 3%.
To remain competitive, Singapore will intensify its efforts in several areas. It will strengthen its role as a base for global companies operating in Asia and invest in research and development, serving as a global-Asia node for technology, innovation and enterprise. The financial sector will continue to support the flow of finance for regional growth, including infrastructure and sustainable development, serving global investors seeking to tap into investment opportunities in Asia.
Singapore will also continue to broaden and deepen its trade linkages with international and regional partners to strengthen its position as the gateway to Asia and the rest of the world.
Empowering Global Indians To Realize Their Financial Aspirations
Standard Chartered Private Bank’s wealth hubs in leading financial centers, including Singapore, have emerged as steadfast partners for affluent Indians around the world.
Vinay Gandhi, Global Head of South Asia Community, and Regional Head, Private Banking for Europe, Middle East and Africa, Standard Chartered
The global wealth landscape is rapidly evolving, and nowhere is this more evident than in the burgeoning affluence of Indians both at home and in the diaspora, estimated to be one of the world’s largest and most successful.
Indeed, a record number of 200 Indians appeared on Forbes’ 2024 list of the World’s Billionaires, up from 169 last year. The combined wealth of this elite group is approaching a trillion dollars, totaling a record US$954 billion—up 41% from US$675 billion last year. This rapid pace of wealth accumulation shows no sign of slowing down; India is poised to witness the highest growth in ultra-high net worth (UHNW) individuals over the next five years.
The surge has been fueled by the remarkable entrepreneurial spirit and economic resilience of Indian business magnates, many of whom have made significant strides in sectors ranging from technology to infrastructure. As their wealth multiplies, so does the complexity
of managing and preserving it, especially for those with cross-border interests and diverse portfolios.
“The extraordinary rise in wealth among Indians globally has led to growing demand for sophisticated wealth management solutions,” says Vinay Gandhi, Global Head of South Asia Community, and Regional Head, Private Banking for Europe, Middle East and Africa, at Standard Chartered.
Wealthy Indians Have Sophisticated Needs
Global Indians—defined as UHNW and HNW individuals and families residing in India as well as non-resident Indians (NRIs) living in financial hubs like Hong Kong, Singapore, London, and the United Arab Emirates (U.A.E.)—have distinct wealth management requirements. They seek not only to grow their wealth, but also to manage it seamlessly across borders. Many are also keen to secure their legacies and invest in impactful ventures.
At home, global Indians typically have daily transactional needs for themselves, their families, and their businesses, often extending across borders. Abroad, these individuals may also have real estate investments requiring mortgage solutions, children studying in countries like the United Kingdom (U.K.) or Singapore, and the desire to invest outside India’s domestic markets to tap into opportunities globally. For those living outside India, the ability to send money back to their families is also critical.
From his experience, Gandhi noted that wealthy Indians outside of India tend to have a strong entrepreneurial spirit and are very sophisticated, with complex investment needs across asset classes. They understand the risk reward trade-off, are extremely savvy at portfolio management, and are often looking to diversify across global markets to meet their financial goals. Serving them requires a strong platform with diverse idea generation, efficient execution, and 24-hour trading access to global markets. Thanks to the private bank’s robust investment platform, its clients have exclusive access to a diverse list of international fund managers with strong track records.
Global Indian clients being served out of Singapore and Dubai have traditionally been very active in fixed income, foreign exchange and equity derivative products. Gandhi highlighted that the bank’s strong platform enables advisors to get live executable quotes from a multitude of counterparties and execute the trade instantly at the most competitive pricing.
There is also a strong interest in alternative investment options. “This interest is driven by several factors such as the desire for diversification, the potential for higher returns, and the need to preserve wealth in a rapidly changing economic landscape. Global Indian clients are looking toward more sophisticated, premium, and exclusive products that offer better returns,” Gandhi says.
Playing to the bank’s open architecture strengths and partnering with leading global fund managers, the bank provides its clients with access to private markets, enabling them to generate income from real estate and infrastructure assets and benefit from the higher-for-longer interest rate environment through investments in floating rate private credit.
Local Knowledge With Global Reach
Standard Chartered’s deep-rooted history in India, dating back to 1858, has equipped it with a deep understanding of the vast and varied market, enabling it to meet the diverse needs of global Indians. The bank’s robust retail presence, with over 100 branches in 43 cities, and its ongoing investment to grow onshore private banking also reflect its commitment to serving India’s wealthy. It opened new private banking centers in Kolkata and Chennai in 2023, adding to the existing three in Mumbai, Delhi and Bangalore.
For NRIs, Standard Chartered’s wealth hubs in leading financial centers offer a comprehensive suite of services designed to manage their global wealth more effectively. These hubs, equipped with sophisticated advisory capability and booking centers, ensure that clients receive localized expertise coupled with a global reach. This is particularly advantageous for NRIs who often require their domestic and international assets to be integrated.
Singapore, in particular, is one of Standard Chartered’s wealth hubs and key to leveraging its cross-border capabilities to deliver for clients. The city-state’s strategic geographical location and robust financial infrastructure make it an ideal conduit for connecting global Indian clients with their financial interests back home in India and across other major regions including Greater China, the U.K. and the Middle East.
Furthermore, Singapore’s political and economic stability, along with its status as a leading financial center in the region, significantly extends its influence into South Asia, making it an essential node in Standard Chartered’s global network.
“Our clients value the depth of our local knowledge combined with our global capabilities, especially our bespoke solutions for UHNW clients. They trust us to manage their wealth across continents, ensuring security, growth and the realization of their financial aspirations,”
says Gandhi.
Tailored Solutions That Meet Legacy Needs
Standard Chartered’s private banking clients enjoy a range of significant benefits tailored to meet their unique needs and aspirations. Each client’s financial plan is meticulously crafted, encompassing customized investment strategies, estate and legacy planning, and family office services.
Recognizing the growing trend among UHNWIs to invest in socially responsible ventures, the bank is also leveraging its expertise to help clients make investments that align with their values. Together with its team of sustainable investing experts, Standard Chartered Private Bank educates and informs its clients on the different ways they can invest in areas that matter most to them. It offers a suite of sustainable solutions ranging from sustainable deposits to ESG funds and structured solutions. This commitment to sustainability reflects the bank’s dedication to delivering sustainable, inclusive growth for its clients and the places it calls home.
Says Gandhi: “By offering personalized solutions, leveraging Standard Chartered’s unparalleled network and cross-border expertise, championing investment opportunities that help align with clients’ passions, and partnering them along their wealth planning journey, we not only address the complex needs of our clients but also empower them to achieve their long-term financial and legacy goals with confidence and ease.”
WRISE’s client-first approach to managing wealth is fast gaining popularity among Asia’s wealthiest families.
WRISE Private
In recent years, ultra-high net worth individuals (UHNWIs) in the region have sought wealth management services that are better aligned with their financial goals. As product sales can sometimes overshadow client needs in the industry, the WRISE Group was founded by industry veterans with private banking backgrounds as an independent wealth manager to provide truly client-centric advisory services.
WRISE was established in July 2022, driven by an understanding of certain limitations within traditional wealth management. Derrick Tan, Chairman of WRISE Group and one of the key founders with over 25 years of private banking experience, recognized the need for a
different approach.
“We wanted to create a firm where the client’s needs come first. Our independence allows us to align our interests with our clients’ portfolio performance, offering a more dynamic and tailored service,” says Kevin Teng, CEO of WRISE Private Singapore.
By maintaining an agile, independent structure, WRISE is able to move more dynamically and meet client needs more effectively. The firm also offers a more holistic view of wealth management that incorporates everything from real estate to other non-bankable assets. Furthermore, WRISE invests heavily in digital tools to provide clients with an integrated overview of their assets, facilitating better decision-making and risk management.
WRISE’s model has clearly resonated with the region’s wealthy. In just two years, the firm has experienced remarkable growth, expanding its presence to key financial hubs across Asia to cater to the growing crossborder needs of its clients.
Forging a Different Path
WRISE goes beyond the sales-driven approach to prioritize clients’ wealth management goals and curates investment solutions specially tailored to each portfolio. This unbiased approach allows the firm to offer an objective perspective, connecting clients with the most suitable financial solutions available in the market, regardless of the provider.
Underpinning WRISE’s strategy is its compensation model for its client advisors, which prioritizes client satisfaction over sales targets. While many traditional banks offer their advisors variable bonuses based on performance metrics such as product sales, WRISE stands out by allowing clients to choose their preferred fee models, fostering a more client-centric service experience.
This approach ensures that the firm’s wealth managers are focused on providing the best possible advice and solutions tailored to individual client needs, fostering long-term relationships built on trust and alignment of interests.
Investing in Tech and Training
Central to WRISE’s strategy is its use of technology to enhance service delivery. The firm has developed a suite of digital tools that offers clients a comprehensive view of their financial landscape. These tools aggregate data from various accounts and assets, providing a single, cohesive view that aids in better decision-making and risk management.
To sustain its client-first approach, the firm has also invested in its people through the WRISE Academy. This internal training program, recently launched in Hong Kong, equips wealth managers with the skills and knowledge needed to deliver top-tier service. By combining seasoned expertise with cutting-edge technology, WRISE ensures that its advisors are well-prepared to meet the evolving needs of clients.
Kevin Teng, CEO of WRISE Private Singapore
“We believe that continuous learning is essential to maintaining our client-first approach. The WRISE Academy was established to provide our wealth managers with the advanced skills and knowledge necessary to deliver exceptional service,” says Teng.
Gaining Traction
WRISE’s approach has quickly gained traction among the region’s ultra wealthy. Within two years, the firm has expanded its presence beyond Singapore to key financial hubs, including Hong Kong, Dubai, Shenzhen and Tokyo.
WRISE has also broadened its scope of services. Beyond WRISE Private, which focuses on serving UHNWIs, providing bespoke wealth management solutions that meet the unique needs of Asia’s wealthiest
families, WRISE has also extended its reach with WRISE Prestige, which offers tailored wealth management and insurance solutions
to a wider mass affluent client base, ensuring that sophisticated financial planning is accessible to an audience beyond the ultra-wealthy.
Furthermore, WRISE’s corporate advisory services, under WeWRISE and WRISE Japan, provide comprehensive support to businesses, helping them navigate complex financial landscapes and optimize their
strategic growth.
To support the Group’s expansion and added services, WRISE is actively scaling its team, with WRISE Prestige implementing an ambitious hiring plan to onboard 300 independent wealth consultants this year. With nearly 260 professionals onboard, this proactive recruitment eff ort will bolster its service delivery capabilities and solidify WRISE’s position as a comprehensive wealth management partner capable of addressing a wide range of financial objectives and challenges.
Positioned for Long-Term Success
Despite its rapid growth, the independent wealth management sector in Asia remains in its infancy, especially when compared to the more mature markets of Europe and the U.S. Teng reveals that less than 10% of assets in Asia are managed by independent firms, compared to countries in Europe like Switzerland, which manages an estimated 30% of assets.
This gap presents a substantial opportunity for expansion, as more clients in Asia become aware of the benefits of independent wealth management and seek alternatives to traditional banking models. However, WRISE emphasizes collaboration over competition. The firm views itself as a complementary partner to banks, offering the best of the banks’ specialized services that can enhance the overall wealth management experience for its clients.
WRISE aims to capitalize on the region’s growing wealth potential, with plans to enter new markets by 2026. In the long run, the firm’s leadership envisions WRISE as the “Google of banks,” a comprehensive wealth management enterprise that offers a vast ecosystem of financial solutions tailored to client needs.
Says Teng: “Our mission at WRISE is to revolutionize wealth management by putting clients’ needs at the forefront. As we continue to grow, our focus remains steadfast on creating lasting value and trust.”
