Eurobank EFG Private Bank Luxembourg SA has a history in Luxembourg, beginning in 1986 as Banque de Dépôts. It provides a full range of private banking and wealth management services.

As a member of the EFG Group, the second Swiss Banking Group, Eurobank EFG Private Bank Luxembourg SA is integrated into a solid and broad network. This membership means amongst others, stability, long term vision, a clear strategy that does not change when the board changes and also entrepreneurial spirit shared and supported by the other members of the group which allow the bank in Luxembourg to attain success and sustainable growth while retaining its identity and remaining independent.

The senior management of the bank, composed of Lena Lascari and Vincenzo Lomonaco, is committed to implement the strategy defined by the group which wants to position its Luxembourg entity as the centre of excellence for its international private banking and wealth management activities. The bank will develop and propose tailor made and high quality services to its clients.

To reach that objective the bank has consolidated its teams by recruiting the new Head of International Wealth Management, Robert Berbee, and the Head of Investment Advisory and Discretionary Portfolio Management, Michel Oosterhaven. Both recently joined Eurobank EFG Private Bank Luxembourg SA where they will implement the private banking and wealth management strategy of the bank. To ensure the success of this implementation the bank will also recruit the best relationship managers. “The key success factor in this industry is the relationship with the clients. In the past years many banks, especially the larger ones, were involved in selling funds and structured products or hedge funds to their private banking clients. The success of a relationship manager was usually measured by the revenue that was made by selling products. It will take some years before giving up this concept. In our organisation we cherish the relationship with our clients. We never forget that they are the heart of everything we do and that their interest prevails on everything else. We want to become their trusted advisors”, says Robert Berbee.
The current turbulent times for the banking industry represent a real opportunity for a bank like Eurobank EFG Private Bank Luxembourg SA. “We meet new clients who are dissatisfied with their current portfolio which clearly are the result of a product pushing client approach , instead of an individual approach that matches the clients’ own requirements and/or investment profile.”

New era for private banking
As a direct result of the financial crisis clients will have a different approach for selecting or evaluating a private banking organisation. “Transparency will be a very important word in the coming years. One of the problems in this crisis is actually the lack of transparency on many different levels. We believe that clients would like to understand what we do and what we propose to them. Apart the more traditional Private Banking services that are more linked to investments, we also advise and assist our clients on many different topics as fiduciary structures, financing of yachts, art and real estate, leasing of jets, structuring family wealth in order to preserve and transfer it to next generations. These are just a sample of the important things we do for our clients. These services are usually complicated and we can make a difference by making sure our clients understand why they need certain things and what they get.”

Open architecture
“In our organisation we will have an even stronger focus on full open architecture in the coming years compared to the current situation.” The number of business partners for all aspects of the business will increase in order to be able to better serve the clients. When it comes to best execution one should not only think about a transaction on the stock market but also have a much broader view. ”Our organisation will therefore operate more like a family office within a bank to service our clients the best way we can. We have experience in offering services in a sustainable way. Clients appreciate that and, on the longer term, this is the best way to do business and to become our clients’ trusted advisors.”

Commitment from the bank’s board and management
“We clearly are not the biggest or the most famous, but we are continuously growing and improving. We have the commitment from our board and the whole Eurobank Group to become the centre of excellence for international wealth management within our organisation. This year, we will continue and expand our infrastructure investment program and implement a new state of the art portfolio management system. Other supporting systems will be upgraded were necessary. Indeed, in these difficult times, many banks are trimming their operations, focusing on cost cutting etc instead of investing for further developments. If you can afford it, we believe it is now, it is the right time to adopt the opposite approach. Prepare the organisation carefully now so you will be able to benefit more from the good times that will come.”

Expanding
Besides developing the potential of its current markets and clientele, one objective of the Eurobank EFG Group strategy is to expand its private banking and wealth management activities in other parts of Europe with a particular focus on Eastern Europe.

“We have a focus on Eastern Europe. Even with the knowledge that the financial crisis will curb GDP growth; these countries are interesting from a Wealth Management perspective. We have a network in some of these countries, which gives us the competitive advantage to easily access entrepreneurs and UHNW clients” added Robert Berbee and Michel Oosterhaven.

“To reach these objectives our private banking and wealth management will have to grow. We are in the process of recruiting senior people with knowledge and experience in wealth management and tax advice” says Mr Berbee.

Luxembourg
Mr Berbee believes that Luxembourg is very well positioned to face and undertake the changes that are inevitable in the banking industry. Indeed, Luxembourg offers a stable, sound and flexible national environment reacting and adapting quickly to business changes. It is an ideal European hub for financial services offering a very broad range of services provided by professional multilingual staff. The combination of privacy and discretion together with the right structures to preserve wealth and reach tax optimisation is an important aspect for the success of Luxembourg. Although the financial industry is suffering from the financial crisis and assets under management from banks have dropped severely, Luxembourg is indeed still very well positioned for the future. The momentum will most probably be somewhat slower due to the crisis but to the contrary of what we see in other financial centers, this country will still gather new assets and attract more clients.

“Again, the personal relationship is the most important aspect in wealth management but, next to that, the content of your ‘advise’ to the clients is also crucial. The Luxembourg proposed advantages combined with the professional services and open architecture of our Bank create a unique environment for our UHNW clients. Despite the financial crisis we see a very bright future with many opportunities.” added Mr Berbee.

For further information tel: +352 42 07 241; email: l.lascari@eurobankefg.lu; website: www.eurobankefg.lu