The brokerage wants to become Asia’s leading digital trading house for funds, equities and structured notes, and hopes to build on its pivot to digital by doubling regional trading volume across its retail and institutional segments in the next five years,
The income of DBS Bank's brokerage arm almost doubled in the first half of the year, with the monthly average of new accounts opened more than tripling in the first half of 2020, compared to the same period last year, it said on Tuesday.
The brokerage's shift to digital over the past few years, which includes the introduction of online customer onboarding and direct debiting/crediting for trades done across 11 exchanges in core markets, and accelerated efforts to ramp up capacity expansion to accommodate higher trading volumes, has allowed DBS Vickers to continue providing a seamless trading experience for customers during the pandemic.
«By providing a safe and fully integrated digital platform where our clients can access trading, investment advisory and wealth management solutions, we are able to create greater customer stickiness. This also gives us an added avenue to explore cross-sell opportunities to grow our franchise by providing value-added services from other parts of the bank through our platform,» Lionel Lim, CEO of DBS Vickers, said.
Collaborative Ecosystem
DBS Vickers enhanced its digital infrastructure to facilitate collaboration between trading desks and support units, and boosted collaboration among the various functions in the bank, including capital markets, treasury and markets, institutional banking and private banking. The brokerage also strengthened business resiliency amid the crisis by enabling successful deal distribution remotely.
Lim said that a collaborative approach with DBS’ capital markets group has been integral to the success of DBS Vickers' growth, and has allowed the brokerage to act swiftly on business opportunities such as share buybacks and private placements.
Its Thailand franchise has also been working closely with DBS Private Bank to target the country's growing pool of high net-worth individuals who increasingly seek investment opportunities overseas, and this partnership is expected to double the bank’s wealth assets under management in Thailand from S$4 billion ($2.91 billion) to S$8 billion by 2023.
Evolving Landscape
Going forward, DBS Vickers said it would focus on rolling out new digital products to tap rising interest in passive trading and expanding its online access to more markets globally, and hopes to tap on opportunities in Asia's growing capital markets space.
«We need to continually pivot to stay ahead of changes and ensure that we stay future-ready to address our clients’ needs amid a constantly evolving capital markets landscape. This will help set us apart as a leader in Asia’s capital markets,» Lim said.
