Troubles aplenty, but Bank of America still largest wealth manager

Troubles aplenty, but Bank of America still largest wealth manager
Now sitting on nearly $2 trillion in assets; it was a very good year for BNP Paribas
JUL 14, 2011
Bank of America Corp. still heads a ranking of the world's 20 biggest wealth managers while BNP Paribas SA climbed two positions to ninth place, according to Scorpio Partnership. Morgan Stanley was second, followed by Zurich-based UBS AG, which was one of five Swiss private banks in the top 20, London- based Scorpio said in a survey of almost 200 institutions published today. Market gains helped boost assets managed by these banks by 11 percent last year with the top 20 overseeing a combined $11.1 trillion, Scorpio said. The rate of net new money inflows declined on average by almost 19 percent from 2009 and many banks saw margins squeezed, according to Scorpio. “If there were to be another market crisis of even a minor scale, we would be very concerned for many institutions and their future,” said Sebastian Dovey, a partner at Scorpio. “Many firms need to upgrade and modernize or else call time on their exposure to this client segment.” The industry's average cost-to-income ratio worsened by almost 1 percentage point to 79.76 percent last year as expenses increased, especially among smaller wealth managers, the survey showed. According to Scorpio's ranking, which is based on end-2010 data, it was a particular good year for BNP Paribas. The French-based bank saw a 45.7% increase in assets under management from 2009. (Click on the following link to see the top ten wealth managers in this year's survey --Bloomberg News--

Latest News

Clients are using AI to challenge financial advice, Pacific Life survey finds
Clients are using AI to challenge financial advice, Pacific Life survey finds

Advisors must navigate misinformation and generational expectations as technology reshapes client relationships.

Jailed Florida broker, facing sexual battery charge, ghosts FINRA
Jailed Florida broker, facing sexual battery charge, ghosts FINRA

The regulator has been trying to reach imprisoned advisor Jason Foley.

Microsoft's AI workforce reset targets 27% of global staff in new buyout
Microsoft's AI workforce reset targets 27% of global staff in new buyout

Magnificent 7 firm continues to ‘right size’ workforce in AI-related shift also seen in financial services.

HSA investing gap creates retirement planning risk for clients
HSA investing gap creates retirement planning risk for clients

Healthcare inflation running at 280% of CPI - and most HSA holders are sitting in cash.

High-growth retirement plan advisors gain AUM faster, BlackRock data shows
High-growth retirement plan advisors gain AUM faster, BlackRock data shows

New research identifies the practice habits driving 121% DC AUM growth among the industry's top performers.

SPONSORED Built on insurance experience to deliver on long-term promises

Knighthead Life entered the market with a competitive MYGA. A strong launch earned advisor confidence and paved the way for FIAs.

SPONSORED In the Age of AI, Trust Becomes the Advisor's Greatest Asset

As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor