Private banking

Rising regulation squeezes wealth managers’ profits

Compliance costs now consume a quarter of wealth managers’ budgets, finds a new report.

Ballooning regulation has wealth managers scrambling to keep pace with changes and allocating an ever-growing portion of their budget to cover compliance costs.

Wealth managers in the Americas are now spending a quarter of their operating budgets on compliance costs according to a report by consultancy Capgemini and RBC Wealth Management a unit of Royal Bank of Canada.

In Asia, the regulatory burden has swollen to a similar proportion said RBC Wealth Management’s Asia head Andrew Turczyniak at a conference in Hong Kong on Wednesday.

Hefty compliance costs are partially offsetting the profits to be made from servicing the world’s swelling ranks of millionaires....

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222