Rich Investors’ Hesitance to Trade A Blow to Singapore Banks
- Lenders report less fees from managing wealth for rich clients
- DBS CEO sees a lot of “dry powder” waiting to be invested
OCBC, which owns private bank Bank of Singapore, reported a slight increase in assets under management to S$258 billion ($192 billion) as of end-December.
Photographer: Ore Huiying/BloombergThis article is for subscribers only.
Asia millionaires’ reduced risk appetite is hitting Singapore banks at a time when they are welcoming more funds than ever from the wealthy.
Lenders in the city-state, that’s seen as a safe haven, are seeing less fees from these customers who are shying away from taking bets in the markets amid US-China tension and an uncertain economic outlook. Oversea-Chinese Banking Corp., the country’s second largest, posted below-expectation quarterly profit Friday as fee income tumbled due to “subdued customer investment activities.”