Schroders Private Banking. Kate Leppard Responsabile Team Relationship Management

Transcription

1 Schroders Private Banking Kate Leppard Responsabile Team Relationship Management

2 Organisational strength Schroders Private Bank Bermuda Cayman Islands Mexico City New York Philadelphia Toronto Guernsey Jersey Copenhagen Frankfurt Geneva Lisbon London Luxembourg Madrid Milan Padua Paris Rome Rotterdam Stockholm Vienna Zurich Beijing Hong Kong Jakarta Seoul Shanghai Singapore Sydney Taipei Tokyo 100% owned by Schroders plc Exclusive focus on advising and managing private wealth Global client base managed from London, the Channel Islands and Switzerland, Italy, Spain and Singapore * Financially stable 12% of Group earnings Capital base million Dubai 9.32 billion investment funds under management Buenos Aires São Paulo Private Banking Offices As at 30 th September 2007 * Operational 2008

3 Our competitive position We combine the best aspects of: A global investment and banking group: Global Investment Research Capabilities Access to the best financial intelligence Financial stability Global Asset Managers UK Boutique Wealth Managers A boutique high net worth wealth manager: Independent outlook Genuinely personal service Valued clients Schroders Private Bank Schroders Private Bank combines all the benefits of being with a Global Financial Institution with the culture of a wealth management boutique.

4 Range of services Investment Cash Management Superior interest rates Credit quality Liquidity Portfolio Management Discretionary Advisory Execution-only Manager Selection Access to the best of Schroders Top external talent Strategic Advice Asset allocation Banking Custody High quality counterparties Efficient administration Lending Property Financial assets Risk Management Structured Investments Capital Protected Investments Geared Investments Structured Deposits Hedging Currency Equity Asset diversification London Channel Islands Zurich Frankfurt Madrid Milan Singapore London Channel Islands Zurich London Channel Islands Zurich

5 How we develop business Establish networks with other HNW Advisers Corporate Financiers Lawyers Property/Land Agents Accountants Client IFA s Trustees Investment Consultants Approach clients directly Ask our existing clients for referrals

6 The opportunity set EU HNW market by size January 2008 UK Germany France Italy Spain Netherlands Belgium Luxembourg Sweden Poland Austria Greece Denmark Portugal Finland Ireland Czech Republic Romania Hungary Slovakia Bulgaria Lithuania Slovenia Latvia Estonia Cyprus Malta * Source MDRC 2008

7 The opportunity set * Source MDRC 2008

8 The UK private wealth market Very competitive Consultants Cambridge Associates Family Offices Fleming Family Partners Lord North Street Large Multi Nationals UBS Goldman Sachs Asset Managers Newton (BONY Mellon) Jupiter Private Banks SG Hambros Kleinwort Benson Pictet Stockbrokers NCL Smith & Williamson Brewin Dolphin Securities High Street Banks Specialist entities Royal Bank of Scotland Coutts Barclays plc Barclays Wealth

9 UK market observations* compared to Continental Europe Very fragmented UK Banks have not been successful in developing and retaining HNWI s Branch working with specialists Features of those who succeed Teaming Pricing Costs * Source Egon Zehnder: Boston Consulting

10 Accessing first class investment Talent Schroders and Multi-Manager Appendix FUM Funds under management MM Multi-manager Equities 170 investment professionals FUM - $190.8bn MM FUM - $3bn Schroders employs equity specialists covering all geographic regions and investment styles. In addition to giving you access to these in-house professionals, we select third party funds using the skills of the Schroder Multi-manager team, which has recorded first quartile returns across all its funds since launch in October 2005 to the end of December 2007 Schroders Property is a Multiaward winning team. In 2007 Schroders won the IPF/IPD UK Property Investment House of the Year Award. The SIRE Multi-manager Fund has returned 17.8% annualised over the last 3 years Property 44 investment professionals FUM - $20.1bn MM FUM - $3.2bn Private Client Private Equity 12 investment professionals MM FUM - $4.2bn SVG Capital has pioneered multi-manager private equity investing as well as innovative single manager partnerships (e.g. Permira) SVG s quoted vehicle has outperformed the FTSE All-share (Capital only) by 10% per annum since We use SVG s funds in conjunction with first-rate external managers such as 3i Schroders is becoming the manager of choice for Commodities amongst institutional clients and Private Banks. The Schroders Commodities business has grown rapidly to US$4bn in the last two years Commodities 7 investment professionals FUM - $4.0bn Hedge Funds 40 investment professionals MM FUM - $6bn We have a first class team of dedicated Hedge Fund analysts at NewFinance Capital covering the universe of hedge fund strategies. We make extensive use of their skills, as well as those of external multi-strategy managers

11 Selecting investments Current Views Cash Term deposits AAA Money Market Funds Offshore Building Societies Structured Deposits Bonds Government Stocks Corporate Bonds High Yield Emerging Market Debt Inflation-linked bonds Prefer Sovereign to corporate bonds. Asian currency bonds to capture possible appreciation versus US dollar Hedge Funds Access to the due diligence of NewFinance Capital Low-Risk Multi-Strategy as a substitute for bonds Equity Long/Short, Event Driven, Macro etc. Single Manager and Funds of Funds Opportunity set increased for stock pickers in equity Taking profit from long/short equity and credit driven managers increasing Macro and Fixed Income Arbitrage

12 Selecting your investments Current Views Property Access to Schroders Property Team Diversify across sectors and geographically Multi-Manager Investment Real Estate Securities Underweight property Cost of finance has increased Returns forecast to be less than cash Prefer Continental Europe to UK Commodities Equities Private Equity Dynamic allocation between: Energy Precious Metals Physical Individual Stocks Star Fund Managers, e.g. Andy Brough, Richard Buxton (Schroders) Kinetics (Boutique US manager) Index Securities (e.g. SPDR) Structured Investments (e.g. TOPIX note) Access to SVG and Permira Third-Party Private Equity Multi-Manager Investment Co-Investment Opportunities Base Metals Agriculture Equity Believe commodities will continue to perform strongly as demand rises and supply struggles to keep pace Overweight agriculture Underweight base metals Large cap stocks to outperform small as private equity led take-over activity reduces Asia and Emerging Markets should remain strong Cost of finance increased returns will be lower than those seen in last five years But returns should exceed those of public markets

13 Important Information This material may only be issued to or directed at persons to whom it may lawfully be communicated under the Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 and the rules of the Financial Services Authority ("FSA"), including entities or persons who are authorised by the FSA, or qualify as Professional Clients or Eligible Counterparties under the FSA's rules. Certain investments or services to which this material relates may only be available to such persons. This material must not be relied upon or acted upon by any other persons in the United Kingdom. Past performance is not a guide to future performance. You should remember that the value of investments and the income from them can go down as well as up and is not guaranteed, and investors may not get back the money originally invested. Exchange rate changes may cause the value of the overseas investments to rise or fall. Potential investors should be aware that investment in emerging markets, derivatives or hedge funds involves a high degree of risk and should be regarded as a long-term investment. Downside protection is not guaranteed. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Potential counterparties are advised to independently review and/or obtain independent professional advice and draw their own conclusions regarding the economic benefit and risks of investment, legal, regulatory, credit, tax and accounting aspects in relation to their particular circumstances. Information herein is believed to be reliable but Schroder & Co. Limited does not warrant its completeness or accuracy. Opinions and estimates constitute our judgement at the time of issue and are subject to change without notice. Information is sourced from Schroders unless otherwise stated. This does not exclude or restrict any duty or liability that Schroder & Co Limited has to its customers under the Financial Services Act or any other regulatory system. Schroder & Co. Ltd is authorised by the Financial Services Authority to administer, advise on, arrange (bring about) and enter into a regulated mortgage contract. Your home may be repossessed if you do not keep up repayments on your mortgage. For purposes of the Data Protection Act 1998, the data controller in respect of any personal data you supply is Schroder & Co. Limited. Personal information you supply may be processed for the purposes of investment administration by the Schroders Group which may include the transfer of data outside of the European Economic Area. Schroder & Co. Limited may also use such information for marketing activities unless you notify it otherwise in writing. Schroder & Co. Limited 100 Wood Street, London EC2V 7ER Telephone: Fax: Issued and approved by Schroder & Co. Limited who are authorised and regulated by the Financial Services Authority. For your security, communications may be taped or monitored.