Editor's Note: This is the second in a series of interviews profiling top US private banks, to view the first - with Credit Suisse - click here.
For most financial services firms in the wealth business, targeting prospects with investable assets of $5 million is hardly going “down-market.”
But JP Morgan Private Bank isn’t like most financial services firms. It is, arguably, the premier private bank in the US. It is part of one of the country’s (and world’s) biggest, and most successful, banks. And its client roster, assets under management ($852 billion globally; $530 billion in the US) and investment track record are the envy of the industry.
JP Morgan isn’t perfect. Its enormous size cuts both ways when it comes to competing against boutique competitors for the business of the ultra-wealthy accustomed to being coddled. Its reputation for emphasizing proprietary products rubs many the wrong way. And it’s never a good thing when your parent company loses billions of dollars in a widely publicized trading scandal.
Still, most competitors in the high and ultra high net worth market would trade places with JP Morgan in a heartbeat. And next year, they may have even more reason to do so: the private bank is going to be making a major push to capture more market share on the lower end of the wealth management spectrum (by private bank and family office standards), targeting individuals and families with $5 million to $30 million in investable assets.
