The Asian Private Banker team was on the ground in Bangkok last week, speaking with local and international private banking leaders to understand how the Thai wealth market is evolving. Several clear trends are emerging as banks respond to changing client behaviour, regulatory shifts, and a growing appetite for global diversification.

1. Wealth continuum strategy: Banks are increasingly bridging the gap between upper-affluent and private banking clients, creating a clearer pathway into more sophisticated portfolios, advisory services, and offshore structures as wealth grows.
2. Shift to advisory models: Private banks are moving away from transaction-driven models toward advisory-led relationships, positioning themselves as a family’s “main banker” focused on long-term portfolio construction and wealth planning.
3. Rise of discretionary: Discretionary portfolio management remains underpenetrated in Thailand but is growing, with banks encouraging relationship managers to drive adoption, deliver more consistent portfolio outcomes, and strengthen long-term client relationships.
4. Regulatory pressures: New rules taxing remitted foreign income to Thailand, potentially up to 35%, alongside CRS transparency requirements, are influencing how wealthy clients structure offshore assets.
5. RM talent shortage: Thailand’s private banking sector faces a shortage of experienced relationship managers, as firms compete for a limited pool of international talent. Some hire RMs with existing AUM for immediate growth, while others build strong platforms and train talent internally, using balanced compensation and stable platforms to retain bankers.
6. Decline of fund rotation: The traditional model of frequently rotating clients into new funds is fading, with banks prioritising deeper advisory engagement and holistic portfolio oversight.
7. Gradual globalisation of portfolios: Thai investors have traditionally favoured domestic bonds, but low yields and market volatility are driving offshore allocations, with about one-third of high net worth assets now held abroad, primarily in Singapore.
8. Growing alternatives allocation: Investors are increasing allocations to private equity, hedge funds, infrastructure, and real assets for diversification and higher returns, with growing interest in digital infrastructure and AI-related energy projects despite softening private credit sentiment.
9. Foreign premiumisation: Another defining trend is the “foreign premiumisation” of Thailand’s wealth industry. Local banks are partnering with global asset managers to strengthen their investment platforms and enhance credibility with sophisticated clients, particularly in discretionary portfolio solutions and global asset allocation.
10. Succession planning: Estate planning and legacy planning are growing priorities for Thai families, with banks offering trusts, insurance, and offshore structures, while the family office sector gradually professionalises.

The bottom line: Thailand’s private banking market is at a crossroads. Banks can no longer rely solely on product sales. Success will hinge on building genuinely advisory-led platforms, expanding global investment access, and earning the trust of the next generation of wealth. The question for institutions is clear. Will they evolve fast enough to meet Thai clients’ growing global ambitions?