A fortress to protect wealth in all times

The Covid-19 pandemic had sent the global economy into one of its deepest recession, rattling investors and businesses everywhere. Even in these challenging and uncertain times, Pictet remains a trusted partner to its clients.

It has in fact done so for the past 216 years - weathering economic crises, shocks to society and political upheavals that have punctuated history.

Mr Tee Fong Seng, Pictet Wealth Management Asia's chief executive officer

"This resilience owes much to Pictet's model of governance in place for over two centuries - a partnership. This business model, designed to build a fortress for its clients, amply proves its worth in times of uncertainty," says Mr Tee Fong Seng, Pictet Wealth Management Asia's chief executive officer.

Pictet is currently led by seven partners who are both owners and managers with an average tenure of 20 to 25 years.

This gives them the latitude to plan and take decisions - not just for the next quarter, but also for decades to come.

"This capability to focus on thinking, planning and development for the long term goes hand in hand with financial independence to withstand all tests and challenges," says Mr Tee.

Also lending confidence to clients is Pictet's emphasis on maintaining the strength of its balance sheet. The group operates with levels of capital well above those required by both Swiss and international capital-adequacy regulations.

Pictet's Aa2 and AA- ratings by Moody's Investors Service and FitchRatings respectively mean that the firm is among the most highly rated in the banking industry.

Pictet has an international reach and is established in 30 financial centres across the world, including six in Asia.

Pictet Wealth Management has been present in Asia for more than 30 years with established deep expertise and strong ties in its Singapore and Hong Kong hubs. With Asia as one of the group's key strategic focuses, Pictet has laid down a strategic roadmap that sets the stage for the next phase of growth in the region.

From first-generation wealth creators to the next

Succession planning and legacy issues are steadily moving up families' list of priorities in Asia, where a significant number of businesses are owned and controlled by families.

This comes as Asia is on the cusp of the largest wealth transfer in the coming years. According to consultancy firm Wealth-X, Asia will account for 12 per cent of the US$15 trillion (S$20 trillion) of global wealth set to transfer from baby boomers to Gen X in the coming years.

Although many Asian families are still in the early stages of the wealth cycle, they are moving through that cycle fast and are on a steep learning curve, with many of them seeking a more structured way of organising the management and transfer of family wealth to the next generation.

With the same families at its helm for eight generations, Pictet is poised to meet the needs of the pending wealth transfer.

"This gives us a certain pedigree when it comes to talking about family wealth, with Pictet's independence reinforcing the group's legitimacy and integrity. The Pictet model has particular resonance for business families in Asia which form the lifeblood of Asian societies and the backbone of the region's economies," says Mr Tee.

Navigating the intricacies of family businesses

But succession planning can be tricky, given the complex dynamics of family wealth. Family members may have differing priorities and are often scattered across several countries and continents. Issues can come to a head during major transitions such as wealth transfers or decisions to sell a family business.

Pictet Wealth Management provides families with a certain peace of mind by addressing complex wealth issues through a single Wealth Solutions platform, according to Pictet's head of wealth planning South Asia Angie Han.

Ms Angie Han, Pictet's head of wealth planning South Asia

"We bring together transnational expertise in areas ranging from wealth planning to family advisory, as well as from credit and private funds to philanthropy services," says Ms Han.

For instance, clients can tap Pictet Wealth Solutions' family advisory capabilities to build a strategic framework for addressing issues such as the allocation of financial responsibilities within a family or whether to bring in independent external parties to manage the family business. The bank can also foster initiatives, such as philanthropy, that help bring families closer together.

Helping Asian families manage and transfer wealth

Pictet works closely with Asian families to walk through important considerations before implementing the solutions.

Some pressing questions include: Is a family office needed? Should a foundation be established? What about a trust? How much control can and should a family have over these structures, and how do the tax and legal implications vary from one jurisdiction to another? How should a family invest in private assets and how can a family make optimal use of credit facilities to further its objectives?

"The Wealth Solutions team can call on multiple sources of expertise to help deal with all of these questions, with Pictet's independence a guarantee that the clients' interests will always come first," says Ms Han.

Environmental, social and corporate governance (ESG) has also come into greater focus among wealthy Asian families in recent years. With the growing family wealth in Asia, they are also looking to diversify into spaces such as direct investments and private equity, areas that Pictet Wealth Management has significant expertise in.

"We concentrate on various facets of family investment, from the priorities of Family Offices to investing in family businesses and how these businesses address socially responsible investing issues," says Ms Han.

Visit www.asia.pictet to discover how you can protect, grow and control your legacy.

This advertisement has been issued by Bank Pictet & Cie (Asia) Ltd ("BPCAL") in Singapore which is a wholesale bank regulated by the Monetary Authority of Singapore under the Banking Act Cap. 50 of Singapore, an exempt financial adviser under the Financial Advisers Act Cap. 110 of Singapore and an exempt capital markets licence holder under the Securities and Futures Act, Cap. 289 of Singapore.

The value of an investment can go down as well as up, and investors may not get back the full amount invested. Nothing in this document shall constitute financial, investment or legal advice. The information presented in this document are provided for reference only and are not to be used or considered as an offer, a recommendation, an invitation to offer or solicitation to buy, sell or subscribe for any financial instruments. This document is intended for general circulation and it is not directed at any particular person. This document does not have regard to the specific investment objectives, financial situation and/or the particular needs of any recipient of this document.

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