“We believe Asia represents not only a growth market but a cornerstone of the future of global wealth management,” stated Dr. H.S.H. Prince Max von und zu Liechtenstein, Chairman of LGT Group, in a recent announcement that sent ripples through the wealth management community. His remarks accompanied the disclosure of LGT Private Banking’s acquisition of a controlling stake in a boutique Southeast Asian wealth advisory firm, further cementing its commitment to the region’s burgeoning high-net-worth individual (HNWI) market.
The Liechtenstein-based LGT, one of the world’s largest privately-owned private banking and asset management groups, has been steadily ramping up its operations in the Asia-Pacific region over the past decade. This latest move, which involves the purchase of a 60% stake in Singapore-headquartered Primaris Advisory Partners, is viewed as a strategic play to deepen its foothold in a region where wealth creation is both rapid and diverse. Primaris, known for its tailored family office services and cross-border tax solutions, has earned a reputation for serving ultra-high-net-worth individuals (UHNWIs) across Southeast Asia, Hong Kong, and China.
Founded in 1920 and owned by the Princely Family of Liechtenstein, LGT has distinguished itself by fusing a commitment to long-term stability with agile decision-making. Its foray into Southeast Asia reflects the region’s evolving wealth management landscape, where the needs of affluent families increasingly extend beyond traditional investment solutions. From navigating complex tax regimes to structuring multi-generational wealth transfers, the demands of HNWIs in Asia have grown more sophisticated, and firms like LGT are positioning themselves to meet these challenges head-on.
“With this partnership, we are not merely increasing our market presence; we are combining our expertise in global wealth management with Primaris’ intimate understanding of local client needs,” remarked Roland Schubert, CEO of LGT Private Banking Asia. “This acquisition underscores our belief in the potential of Asia as a driver of sustainable growth for private banking.”
The move also comes at a time when wealth in the Asia-Pacific region is undergoing significant transformation, fueled by factors such as economic liberalization, a booming entrepreneurial class, and intergenerational wealth transfers. According to a recent Capgemini Wealth Report, the combined wealth of Asia-Pacific HNWIs is projected to surpass that of North America by 2025, making it the fastest-growing market for wealth management services globally.
For LGT, the acquisition is not just an expansion strategy but a diversification play. The firm has long been a stronghold for European and Middle Eastern clients, but increasing its exposure to Asia-Pacific provides a counterbalance to economic uncertainties in other regions. Moreover, Primaris’ strengths in family governance and offshore trust solutions align seamlessly with LGT’s existing capabilities, creating a synergy that is expected to accelerate the group’s growth in Asia.
The deal also highlights the broader trend of consolidation in the wealth management industry. Faced with rising compliance costs, technological disruptions, and the need for scale, smaller firms in Asia are increasingly aligning themselves with global players who can bring capital, expertise, and a global footprint to the table. For clients, this consolidation often translates to enhanced service offerings and access to a broader range of investment opportunities.
“With LGT’s backing, we are now better positioned to serve our clients with truly global solutions while continuing to provide the personalized attention they value,” added Victor Lim, Founder and Managing Partner of Primaris Advisory Partners. Lim, who will continue to lead Primaris under the LGT umbrella, emphasized the importance of maintaining the firm’s boutique culture while leveraging LGT’s global resources to expand its service offerings.
As LGT integrates Primaris into its broader operations, the group is expected to roll out new initiatives tailored specifically to the region’s unique needs, from ESG-focused investment products to cutting-edge digital platforms that enhance client engagement. While the financial terms of the deal remain undisclosed, industry insiders agree that the acquisition signals LGT’s unwavering commitment to becoming a dominant player in Asia’s wealth management sector.
With this strategic acquisition, LGT not only reaffirms its long-term vision for Asia but also sets an example of blending global expertise with local nuance. As the wealth management industry continues to evolve, those who can anticipate and adapt to the needs of a dynamic client base will undoubtedly emerge as leaders.
(Editors: admin)