Edmond de Rothschild to close Hong Kong branch amid troubled times for private banks
The Swiss investment manager plans to continue to tap growth opportunities in Asia through partnerships with other firms
Swiss wealth and investment manager Edmond de Rothschild has become the latest casualty of turbulence in the private banking sector, announcing its intention to close its Hong Kong branch, its only outlet in Asia.
Edmond de Rothschild first opened a representative office in Hong Kong in 1992 and opened a full branch in 2012.
The company did not disclose a timetable for its withdrawal but Jing Zhang Brogle, chief executive officer of Edmond de Rothschild’s Hong Kong branch denied media reports that the branch would cease operations by the end of December.
The bank also said that it would continue to exploit the growth opportunities in the region through partnerships with companies including SMBC Nikko Securities and Samsung Asset Management.
Private banks are facing increasing costs related to compliance, with regulators paying much greater attention to enforcing the rules than in the past
Edmond de Rothschild’s withdrawal from Hong Kong is the latest development in a sector that is going through considerable turmoil at present.
On Tuesday, Liechtenstein’s LGT announced that it had purchased ABN Amro’s private banking business in Asia and the Middle East and, in October, Australian bank ANZ announced the sale of its retail banking and wealth management units in five Asian markets to DBS.