Private banks continue their unstoppable consolidation process, despite the fact that we find ourselves in a scenario of apparent volatility, with the impact caused by inflation, the relentless struggle of central banks to ensure monetary stability and the foreseeable European rise in interest rates. interest on another 50 basis points. As Andbank’s latest corporate opinion document explains, inflation figures are expected to fall sharply towards 6% year-on-year by the end of the year, but as long as that does not happen, it is expected that rates will continue to rise and also that there will be a CPI drop.
Circumstances force, especially HNWI clients (those who usually have investable assets of $1 million or more), to have complete professional attention that decides when it is better to invest in fixed or variable income and that guides the exposure sectoral or geographical, in addition to ensuring effective management. The objective is to glimpse, at all times, the most profitable fishing grounds in markets that are inevitably subject to uncertainty, but also more likely to generate new opportunities.
To better understand the characteristics of this service modality, we spoke with Carlos Aso, CEO of the Andbank Group. This entity specializing in private banking closed last year with a turnover of 18,805 million euros, which now places it in seventh place in the ranking of this type of activity in the national market. For Aso, the secret of its growth is, above all, “having brought together a group of talented professionals and having specialists in each critical area, such as wealth management, macroeconomics, fixed and variable income, or Venture Capital” .
Unlike large groups, an entity such as Andbank offers as a differential value the trust that comes from being a family-owned banking group with 90 years of history, accustomed to dealing with customers face to face and understanding each particular situation in depth. What is important here is not only personal contact, but also the knowledge and empathy that allow us to anticipate customer needs, always operate with a principle of prudence and, at the same time, try to obtain the maximum return on each investment.
The objective is “to design a truly tailor-made suit for clients who usually exceed one million euros. By working with a smaller number of clients than other banks, we can offer the attention of a specialist doctor who knows his field of work well and is capable of finding the best treatment for each case, ”says Aso. When it comes to providing this personalized attention, it is essential to be able to combine the advantages of digitization with presence in the territory.
Andbank has been in Spain for more than 10 years, and currently has 23 private banking centers, 144 bankers and 194 financial agents and ESIS (or investment service companies). In addition, the Andbank Group is also present in 11 countries, which allowed it to close 2022 with a total asset management volume of 31.2 billion euros. What best explains the special nature of private banking is the ability to provide a comprehensive service, which pays attention to specific aspects such as investment management and personalized mandates, wealth and tax planning, or the aforementioned alternative investment proposals; an area in which this entity has shown special dynamism.
In 2022, Andbank promoted investments in debt, fintech (or financial technology), infrastructure, as well as real estate projects or the agricultural sector among its clients, reaching close to 1,500 million investment in these products. All of this has been possible thanks in large part to the solidity provided by the acquisitions and launches that have been carried out in recent years. In 2018, the neobank MyInvestor came to light, a digital banking model that brings this type of service to customers under 200,000 euros. The following year, they completed the integration of the Merchbanc group.
In 2020 they acquired the business of Esfera Gestión and Bank Degroof Petercam Spain. And in 2022 they integrated the roboadvisor (or robotic advisor) Finanbest to MyInvestor. As Aso explains, “more and more investors are aware that conventional products do not offer much profitability. That is why they decide to put themselves in the hands of professionals like us who look in unlisted markets and other areas, such as technology or real estate, to find the best proposals”. In addition, its “multi-custody” advice allows you to pool your positions in different entities to have a single strategy. In an increasingly complex and changing economic scenario, it is therefore practically essential, for those who have high assets, to have the comfortable and immediate attention typical of retail banking products, such as payment and account services. , with a wide list of exclusive proposals linked to high-level investment.
