Denmark’s Saxo Bank sees white-label partnerships as main growth driver in Asia
The Hong Kong unit of the Copenhagen-based bank will add A shares and yuan bonds this year as part of its multi-asset online trading platform for clients
Saxo Capital Markets, the Hong Kong unit of Copenhagen-based Saxo Bank in which Chinese carmaker Zhejiang Geely Holding Group has agreed to buy a 51 per cent stake, said it is expecting more partnership with brokers and fintech firms as it strives to grow its technology white-label business in the region.
Providers of white-label trading technology such as Saxo Bank allow third parties access to its trading technologies and systems, which the purchaser can make it appear as their own.
In Asia, Saxo Capital Markets does not have a banking licence unlike its parent. It expects its white-label partnership business to continue to be its growth driver as it inherits the fintech business from its Danish parent.
“Partnerships are fundamental to the growth of our business,” said chief executive Matt Long, adding that Saxo Capital Markets plans to at least double its headcount from the current 11 this year.
“Saxo Bank has done its first white-label partnership since 2001. Partnership is the future [of financial services whereby one could decide to] collaborate or die. I would expect us to do more partnerships.”
Long said he also expects the Hong Kong branch to begin offering A-share trading through the stock connect in the third quarter, the platform through which foreign investors can trade equities listed in China.