Financial Institutions

Wealth Markets in China: Delivering the Right Value Proposition for China’s Wealthy

Nelson Choi Frankie Leung Holger Michaelis Tjun Tang Chris Wu

China wealth market continues to perform strongly despite the financial crisis. We expect the wealth market in China to grow at an average annual rate of 17.2 percent between 2008 and 2013, to reach $7.6 trillion. While the large, fast growing market provides attractive business opportunities to private banks, it is critical for banks to understand the distinct needs and behaviours of Chinese high-net-worth individuals (HNWIs) to best tailor their service offerings. To build a competitive position in this changing environment, banks first need to determine the best way to organize their businesses, and focus on three tightly interlinked components. Banks need to act quickly, before others take an unassailable lead in the most attractive segments and geographies.

Financial Institutions