Discover how wealth and asset management companies can attract more customers, from standing out in a highly segmented industry to defining target clients.

INFocus Series

INFocus provides exclusive insights and trends from experts and leaders across the Asia Pacific region, exploring the forces, opportunities, and challenges shaping its future.

Go to series

With its economic growth over the past three decades,China has emerged as one of the most significant growth areas for global wealth and asset management, and various institutions are hoping to focus on these businesses.

The financial services industry is highly segmented in terms of market share.Even a global player like UBS holds less than 3% of the global wealth management market share, while China Merchants Bank has a market share of less than 3% in the domestic market.

This indicates that the wealth management market has never had a monopoly, and institutions can always display their talents and find their own place in the industry.

However, from the perspective of individual clients, there is a widely recognized "6-3-1" rule, which suggests that clients tend to allocate 60% of their assets to a primary service provider,another 30% to a secondary company, and the last 10% to individual projects or occasional investment opportunities.

In this regard, how can banks, securities companies, fund companies, third-party wealth management firms, and trust companies be the primary service providers for their clients?And on which types of clients should each institution focus?

We believe that every institution should reflect on their past efforts, and define their target clients and unique value propositions based on their available resources and brand image.

Doing so would allow them to develop aligned service and operational models, and identify where clients come from, how to convert incoming clients, which team members will service which type of client, which products will meet specific client needs, and how digitalization can facilitate this process.

In the long term, the wealth management industry is expected to transition from a product-driven approach to a customer-centric investment advisory model.

This path will inevitably develop its own characteristics in the Chinese market. How does each institution design their own profit models, products, and service systems based on the psychology and behavior of Chinese investors, and the high volatility of the Chinese market? Also, how can they achieve a personalized and accompanying wealth management service in China? This will be a common and ongoing exploration for the entire industry.

At Oliver Wyman, we are together with investors.

I am Kelly Zheng, a Partner at Oliver Wyman.

Together, let’s accelerate breakthroughs.

Discover how wealth and asset management companies can attract more customers, from standing out in a highly segmented industry to defining target clients.

INFocus Series

INFocus provides exclusive insights and trends from experts and leaders across the Asia Pacific region, exploring the forces, opportunities, and challenges shaping its future.

Go to series

With its economic growth over the past three decades,China has emerged as one of the most significant growth areas for global wealth and asset management, and various institutions are hoping to focus on these businesses.

The financial services industry is highly segmented in terms of market share.Even a global player like UBS holds less than 3% of the global wealth management market share, while China Merchants Bank has a market share of less than 3% in the domestic market.

This indicates that the wealth management market has never had a monopoly, and institutions can always display their talents and find their own place in the industry.

However, from the perspective of individual clients, there is a widely recognized "6-3-1" rule, which suggests that clients tend to allocate 60% of their assets to a primary service provider,another 30% to a secondary company, and the last 10% to individual projects or occasional investment opportunities.

In this regard, how can banks, securities companies, fund companies, third-party wealth management firms, and trust companies be the primary service providers for their clients?And on which types of clients should each institution focus?

We believe that every institution should reflect on their past efforts, and define their target clients and unique value propositions based on their available resources and brand image.

Doing so would allow them to develop aligned service and operational models, and identify where clients come from, how to convert incoming clients, which team members will service which type of client, which products will meet specific client needs, and how digitalization can facilitate this process.

In the long term, the wealth management industry is expected to transition from a product-driven approach to a customer-centric investment advisory model.

This path will inevitably develop its own characteristics in the Chinese market. How does each institution design their own profit models, products, and service systems based on the psychology and behavior of Chinese investors, and the high volatility of the Chinese market? Also, how can they achieve a personalized and accompanying wealth management service in China? This will be a common and ongoing exploration for the entire industry.

At Oliver Wyman, we are together with investors.

I am Kelly Zheng, a Partner at Oliver Wyman.

Together, let’s accelerate breakthroughs.