Wealth managers look after $16,000bn (€11,000, £8,000) of private client assets, out of a total of $24,400bn available to them, Scorpio Partnership, a wealth management consultancy, has calculated. This gives the top 10 banks a share of 28 per cent, and the top five 22 per cent.
This calculation does not include the $12,800bn that Scorpio has designated as not available for management by private banks, because it is tied up in other assets.
Market share calculations have before been done by reference to the total amount of high net worth wealth. "It is important for the industry to recognise that market share is different from market opportunity," said Sebastian Dovey, managing partner at Scorpio Partnership.
It has implications for how private banks are valued and the targets they set themselves, he said. A top bank might target a share of 10 per cent in each market it is in, but could already be there. Another might be looking to triple assets under management, but could be setting an unrealistic target. "There should be a lot more transparency and clarity over strategic planning," said Mr Dovey.
