Midway through the year, we surveyed discretionary heads on a number of matters including their thoughts on smart beta implementation into mandates. Their response was lukewarm.
- 53% said they had not explored smart beta implementation in DPM
- 47% had explored, but one third had no immediate plans for implementation and almost half remained on the fence
Come August and ETFs behemoth iShares tells us that 2017 has been a bumper year for the firm, with Asia PB flows into smart beta solutions reaching US$424 million.
Furthermore, iShares raised US$300 million over the past year from two private banks in the region – one being Bank of Singapore, which adopted a factor strategy involving a mix of smart beta and cap-weighted ETFs.
This is only the beginning, according to Geir Espeskog, iShares’ APAC head of distribution, who said this: “We are at the very early stages of adoption and most usage at private banks … has been within existing discretionary models to tilt portfolios to certain factors.”
I would wager that discretionary heads will be singing a different tune come this time next year.
Your Top Eight follows.
APB MANDATE | DPM | FUNDS | INSTRUMENTS | EXCLUSIVE 1 September 2017
iShares registers US$920m H1 inflows from Asia PBs, US$420m into smart beta solutions
ETFs giant iShares posted US$920 million in ETF inflows in the first half of 2017, including US$424 million into smart beta solutions, amidst growing demand for cost-efficient access to specific factor exposures.
REGULATIONS | EXCLUSIVE 5 September 2017
Bank of Singapore “disappointed” with mis-selling court ruling, considering options
Bank of Singapore says it is “disappointed” with the Hong Kong Court of Appeal’s ruling that it is liable for inappropriate product sales to two elderly investors a decade ago, with the bank adding that it is considering its options.
TECHNOLOGY | EXCLUSIVE 6 September 2017
UBS WM to go live with global tech project in Hong Kong and Singapore next month
UBS Wealth Management plans to complete the Asian leg of its global tech project, One Wealth Management Platform (1WMP), in a matter of weeks, Asian Private Banker has learnt.
APB MANDATE | ADVISORY | CIO | EXCLUSIVE 6 September 2017
UBP’s private banking CIO: Investors underpricing rate normalisation risks
Norman Villamin, CIO for private banking at UBP, tells APB Mandate that markets are underestimating global growth and inflation prospects, along with the likelihood that central banks will normalise interest rates.
FINANCIAL REPORTS | EXCLUSIVE 6 September 2017
Chinese lenders deepen relationships with private banking clients in first half
Chinese lenders managed to deepen their relationships with private banking clients in the first half of 2017, with a number of banks reporting that assets under management (AUM) growth outpaced new client acquisitions.
PEOPLE | EXCLUSIVE 6 September 2017
Ex-StanChart PB global head Michael Benz resurfaces at consulting firm
Michael Benz, who was at one time Standard Chartered’s global head of private banking based in Hong Kong, has joined Synpulse as a senior advisor in its North Asia team, Asian Private Banker can reveal.
PEOPLE | EXCLUSIVE 6 September 2017
ABN AMRO PB products veteran joins Bank of Singapore
Bank of Singapore has appointed a former ABN AMRO Private Banking products head as its head of product management group, Hong Kong, Asian Private Banker can reveal.
PEOPLE | EXCLUSIVE 5 September 2017
HSBC’s head of global private banking SEA resigns
HSBC’s head of global private banking for Southeast Asia has left the bank, Asian Private Banker can reveal.