Private Banking business encompasses the national and international wealth management services of the LLB Group. It is divided into the local wealth management business with wealthy clients in Liechtenstein, Switzerland and Austria, as well as the cross-border wealth management business with foreign clients (see the chapter «»). The Private Banking Division achieved operating income amounting to CHF 108.2 million (2012: CHF 91.0 million) in 2013.
Selected core and growth markets
Our focus lies on the onshore markets of Liechtenstein, Switzerland and Austria, our traditional cross-border markets of Germany and Western Europe, on the growth markets of Central and Eastern Europe, as well as the Middle East. We offer our clients booking platforms in Liechtenstein, Switzerland and Austria, where we hold banking licenses. We look after our clients in the Middle East locally from our representative offices in Dubai and Abu Dhabi. Our clients in Central and Eastern Europe are taken care of from our business locations in Geneva, Zurich-Erlenbach and Vienna. Geneva and Zurich-Erlenbach are now operated as representative offices of LLB AG, Vaduz.
Cross-border private banking is particularly dependent on regulatory and economic developments. As examples of international regulatory provisions we can mention the goal of the OECD to implement an automatic exchange of information by 2015 as well the EU directive MiFID II. The EU decided in January 2014 to implement MiFID II. Consequently, protection for clients has become even more the focus of regulatory provisions, which aim to ensure that clients receive the advice appropriate to their level of knowledge and competence. In line with this, our client advisors formulate investment recommendations within the current overall context of the client. Private banking at the LLB Group already encompasses comprehensive advice for the client, which informs him of the risks involved with investments and presents him with solutions tailored individually for his requirements.
Private banking clients are often well-informed, experienced and professional players. They expect close contacts with their bank, as well as professional and comprehensive advice from specialist, friendly advisors, which helps them to achieve better investment returns than they could attain by themselves. They want trustworthy and transparent business policies, in which there is an alignment of interests between the bank and its clients. The LLB Group believes the quality of services, the performance of investment products, the safeguarding of clients’ private sphere, and the trust our clients place in our private banking tradition are key success factors. High levels of international public debt, inflation expectations and political unrest all indicate that Liechtenstein’s importance as a safe haven of economic and political stability will increase further.