Revenue generated from wealth management services in Asia will total $90 billion in two years, according to a private banking study by the World Wide Fund for Nature.
Total wealth management revenue in Asia is expected to reach $90 billion by 2025, according to a pilot study by WWF-Singapore (World Wide Fund for Nature Singapore).
«[P]rivate banking in Asia is expected to display significant growth in the coming years as the number of ultra-high net worth individuals (UHNWIs) in the region increases,» WWF-Singapore said in a statement.
The pilot study was conducted amongst seven private banks with a presence in Singapore, including four headquartered in Asia, two in Europe and one in the US.
ESG Considerations
Within the industry, there are high hopes for sustainable investment demand with 49 percent of high net worth individuals under 40 years old showing interest in the area, coupled with a $84 trillion transition of wealth by 2045.
The study found that there is room for improvement in sustainability with the need to include measurable targets, increase focus on climate and nature-related risks, strengthen ESG-related risk management, add dedicated sustainability officers and incorporate sustainability considerations into the board audit and nomination processes.
«Finance is a lever for change that can help deliver an equitable, net-zero, nature-positive future. Private banks manage considerable financial resources for their clients and therefore, are in a unique position to advise on sustainable products and services,» added WWF-Singapore CEO R. Raghunathan.
