Overview:

Introduction

The easy and profitable relationships that private bankers enjoyed with their clients and employers before the crisis are no longer. Indeed, the job of a relationship manager (RM) has just become much harder. Banks need to understand these changes and what RMs are now looking for from employers, in order to identify the best ways of retaining and motivating their private bankers.

Scope

*This report incorporates results from Datamonitor’s Wealth Management Market Leader’s Survey of 2010.
*This survey involved interviews with 160 wealth managers across Europe and 84 wealth managers in Asia Pacific during January and February 2010.

Highlights

The balance of negotiating power within the industry has swung fundamentally away from RMs and back towards the private banks, and modest earnings increases and additional management pressure are now the order of the day for RMs.

Private banks identify that there are a number of non-financial factors that today’s RMs want from their employers including good quality management and back-end support and recognition.

Given RMs’ changed circumstances and needs, Datamonitor proposes three recommendations which many, if not most, wealth managers should follow in order to both keep and motivate RMs; one of these is putting in place formal career development programs for RMs.

Reasons to Purchase

*Understand the outlook for RMs earnings in 2010 across multiple European and Asia Pacific countries.
*Find out what RMs want from their employers across the surveyed countries.
*Access Datamonitor's best ideas on how to retain and motivate RMs.

Overview

Catalyst

Summary

Methodology

Executive Summary

The world that relationship managers inhabit has changed dramatically

Wealth managers realize that non-financial factors are important to their bankers

Table of Contents

Table of figures

Table of tables

The Changed Circumstances of Relationship Managers

The world that relationship managers inhabit has changed dramatically

The majority of banks in Europe and Asia Pacific are still focused on retention rather than attracting RMs

The expectation is that the average salary for RMs will increase only modestly in 2010

How Wealth Managers can Keep and Motivate Relationship Managers

Wealth managers are attempting to improve RM retention and realize that non-financial factors are important to bankers

Private banks have been trying everything from forgivable loans to promoting work-life balance to help retain and motivate staff

Wealth managers recognize that a number of non-pay factors need to be addressed to successfully retain RMs

In many countries in APAC,non-financial factors are particularly important in retaining RMs

In many European countries,basic pay is at the forefront of RMs' minds

Datamonitor highlights three areas which are key to keeping and motivating RMs now

Key recommendation: put in place formal career development programs for RMs

Key recommendation: teach management the importance of communication

Key recommendation: seek to bolster banking brands

Appendix

Methodology

Wealth Management Market Leaders Survey 2010

Bibliography

Further reading

Ask the analyst

Datamonitor consulting

Disclaimer

List of Tables

Table 1: When it comes to relationship managers,what is your main priority for 2010 (please select one response)?

Table 2: When it comes to relationship managers,what is your main priority for 2010 (please select one response)?

Table 3: When it comes to relationship managers,what is your main priority for 2010 (please select one response)?

Table 4: By how much do you expect the average earnings (wages and bonus) for relationship managers in your country to change this year?

Table 5: By how much do you expect the average earnings (wages and bonus) for relationship managers in your country to change this year?

Table 6: By how much do you expect the average earnings (wages and bonus) for relationship managers in your country to change this year?

Table 7: What do you think is most important in retaining relationship managers (please select up to two responses)?

Table 8: What do you think is most important in retaining relationship managers (please select up to two responses)?

Table 9: What do you think is most important in retaining relationship managers (please select up to two responses)?

List of Figures

Figure 1: The retention of RMs is a key priority in both Europe and APAC

Figure 2: Banks in Singapore and China are focused on recruiting new RMs

Figure 3: Attracting new RMs is the priority in the Belgo-Dutch region,Germany and Spain

Figure 4: Most of the increases in RMs' earnings in 2010 should be modest

Figure 5: India is likely to see the highest increases in RMs' earnings in 2010

Figure 6: RMs in the UK are likely to see the biggest pan-European increases in earnings this year

Figure 7: Keeping RMs in APAC and Europe is not just about the money

Figure 8: There are noticeable spikes in the non-financial factors in APAC

Figure 9: Basic pay rises above other factors in several European countries