Islamic Finance : Research Directions for Young ResearchersMahmoud Sami Nabi
This document summarizes a presentation on future research directions for young researchers in Islamic finance. It provides an overview of the growth of the Islamic financial services industry, particularly in banking assets, sukuk issuances, takaful contributions, and Islamic funds. It then discusses potential areas for future research, including ensuring Islamic finance develops in accordance with its distinguishing principles of risk sharing, ethics, and connection to the real economy. Examples are given of deviations in Islamic bank practices from theoretical models. The role of international institutions and lessons from other countries' experiences are also addressed.
The document provides information about the World Bank, including its objectives, organization, and subsidiaries. It discusses the formation of the World Bank at Bretton Woods in 1944 to aid post-war reconstruction. The main subdivisions of the World Bank are described: the International Bank for Reconstruction and Development (IBRD), International Development Association (IDA), International Finance Corporation (IFC), Multilateral Investment Guarantee Agency (MIGA), and International Centre for Settlement of Investment Disputes (ICSID). Details are given about the purpose and functions of each organization.
This document discusses opportunities for Islamic finance in Australia. It provides an overview of Crescent Investments Australasia, which focuses on Shariah compliant wealth management products. It notes that Australia's Muslim population is growing and represents over $3 billion in household purchasing power. The document outlines what Islamic finance entails, including prohibiting interest and emphasizing profit/loss sharing and asset-backed transactions. It acknowledges legislative challenges around taxation but highlights opportunities in areas like Islamic superannuation funds, which could represent $3-6 billion in assets. Overall the document argues there is significant potential to expand Islamic finance in Australia.
Back alley banking in arab countries by Bashar H. MalkawiBashar H Malkawi
The document discusses the history and growth of Islamic finance. It notes that Islamic economics was founded in the 1940s based on Quranic principles prohibiting interest and requiring profit/loss sharing. The market for Islamic financial products has grown significantly in recent decades and now comprises over $1.35 trillion in assets globally. Many non-Islamic banks now offer Islamic windows or subsidiaries to serve the growing market.
The International Finance Corporation (IFC) was established in 1956 and is based in Washington D.C. The IFC works to promote private sector growth in developing countries in order to reduce poverty. It has worked with over 3,300 companies across 140 countries. The IFC provides loans, equity investments, and other financial services to support private businesses in developing nations. Its goal is to create jobs and increase access to basic services.
The power point slide is about International development association. All the information it consist has been taken from the IDA website and Wikipedia..
The student discusses globalization and the roles of the IMF and World Bank. Globalization refers to increased integration between countries through trade, technology, and transportation. While globalization aims to reduce poverty, it also widens wealth gaps and causes job losses. The IMF was established in 1945 to promote global monetary cooperation and provide emergency loans. The World Bank focuses on development projects but is criticized for prioritizing large projects over health and education. Both organizations are criticized for imposing conditions without input and increasing debt burdens for some countries.
The document provides an overview of the Australian financial system and capital markets. It discusses the key sectors and participants in the Australian financial system including banks, insurance companies, superannuation funds, and financial markets. It then describes the major types of financial institutions in Australia such as banks, credit unions, and insurance companies. The document also discusses various financial products and services offered in Australia such as life insurance, general insurance, health insurance, and superannuation funds. It provides an overview of the key financial markets and payment systems in Australia.
Islamic Finance : Research Directions for Young ResearchersMahmoud Sami Nabi
This document summarizes a presentation on future research directions for young researchers in Islamic finance. It provides an overview of the growth of the Islamic financial services industry, particularly in banking assets, sukuk issuances, takaful contributions, and Islamic funds. It then discusses potential areas for future research, including ensuring Islamic finance develops in accordance with its distinguishing principles of risk sharing, ethics, and connection to the real economy. Examples are given of deviations in Islamic bank practices from theoretical models. The role of international institutions and lessons from other countries' experiences are also addressed.
The document provides information about the World Bank, including its objectives, organization, and subsidiaries. It discusses the formation of the World Bank at Bretton Woods in 1944 to aid post-war reconstruction. The main subdivisions of the World Bank are described: the International Bank for Reconstruction and Development (IBRD), International Development Association (IDA), International Finance Corporation (IFC), Multilateral Investment Guarantee Agency (MIGA), and International Centre for Settlement of Investment Disputes (ICSID). Details are given about the purpose and functions of each organization.
This document discusses opportunities for Islamic finance in Australia. It provides an overview of Crescent Investments Australasia, which focuses on Shariah compliant wealth management products. It notes that Australia's Muslim population is growing and represents over $3 billion in household purchasing power. The document outlines what Islamic finance entails, including prohibiting interest and emphasizing profit/loss sharing and asset-backed transactions. It acknowledges legislative challenges around taxation but highlights opportunities in areas like Islamic superannuation funds, which could represent $3-6 billion in assets. Overall the document argues there is significant potential to expand Islamic finance in Australia.
Back alley banking in arab countries by Bashar H. MalkawiBashar H Malkawi
The document discusses the history and growth of Islamic finance. It notes that Islamic economics was founded in the 1940s based on Quranic principles prohibiting interest and requiring profit/loss sharing. The market for Islamic financial products has grown significantly in recent decades and now comprises over $1.35 trillion in assets globally. Many non-Islamic banks now offer Islamic windows or subsidiaries to serve the growing market.
The International Finance Corporation (IFC) was established in 1956 and is based in Washington D.C. The IFC works to promote private sector growth in developing countries in order to reduce poverty. It has worked with over 3,300 companies across 140 countries. The IFC provides loans, equity investments, and other financial services to support private businesses in developing nations. Its goal is to create jobs and increase access to basic services.
The power point slide is about International development association. All the information it consist has been taken from the IDA website and Wikipedia..
The student discusses globalization and the roles of the IMF and World Bank. Globalization refers to increased integration between countries through trade, technology, and transportation. While globalization aims to reduce poverty, it also widens wealth gaps and causes job losses. The IMF was established in 1945 to promote global monetary cooperation and provide emergency loans. The World Bank focuses on development projects but is criticized for prioritizing large projects over health and education. Both organizations are criticized for imposing conditions without input and increasing debt burdens for some countries.
The document provides an overview of the Australian financial system and capital markets. It discusses the key sectors and participants in the Australian financial system including banks, insurance companies, superannuation funds, and financial markets. It then describes the major types of financial institutions in Australia such as banks, credit unions, and insurance companies. The document also discusses various financial products and services offered in Australia such as life insurance, general insurance, health insurance, and superannuation funds. It provides an overview of the key financial markets and payment systems in Australia.
The World Bank is an international financial institution that provides loans to lower-income countries with the goal of reducing poverty. It was established at the 1944 Bretton Woods Conference and originally focused on post-World War 2 reconstruction but has since expanded its mission. The World Bank comprises five institutions that work to reduce poverty through activities like loans, grants, and training programs, while also facing some criticism over programs and influence.
It is urgent to adopt other than the current financial system model that is not moved by usury, by extreme greed. Without prejudice, this new model could be based on the Islamic financial system that operates around a fundamental principle which is to avoid speculation. In Islamic banking, everything is done to prevent those who have money to take advantage of who has not money or who needs it. In an Islamic bank there aren´t products of traditional financial market, for example, derivatives which are contracts that derive from a reference rate or index that can be physical (coffee, gold, etc.) or financial (stocks, interest rates , etc.).
International Journal of Engineering and Science Invention (IJESI)inventionjournals
International Journal of Engineering and Science Invention (IJESI) is an international journal intended for professionals and researchers in all fields of computer science and electronics. IJESI publishes research articles and reviews within the whole field Engineering Science and Technology, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
On the Sustainable Development Goals and Islamic Capital MarketsSDGsPlus
This document discusses how Islamic capital markets can support sustainable development goals. It provides an overview of the SDGs and financing needs. Islamic finance principles like risk-sharing and asset-backed instruments allow sukuk to finance infrastructure. The large and growing Islamic finance industry worth over $2 trillion indicates its potential. However, markets require robust legal and regulatory frameworks. The World Bank Group is leveraging Islamic finance through various projects and instruments like green sukuk and social bonds. Collaboration between public and private sectors is needed to mobilize financing and achieve the 2030 development agenda.
The document provides an outline of the World Bank, including its history, mission, goals, structure, governance, functions, membership, and resources. The World Bank was established in 1944 at the Bretton Woods Conference to aid in postwar European reconstruction and has since expanded to provide financing and advice to developing nations globally. It aims to reduce poverty through economic growth and has over 180 member countries.
The IMF and World Bank were established in 1944 to promote international monetary cooperation and economic development. The IMF works to foster global monetary cooperation and secure financial stability, while the World Bank provides loans and technical assistance to developing countries for programs that reduce poverty. Both organizations are based in Washington D.C. and have over 180 member countries. They work to stabilize exchange rates and international trade, as well as promote high employment, sustainable growth, and poverty reduction worldwide.
This document discusses how Islamic finance principles could help address global financial crises and lead to better outcomes. It summarizes that:
1) Islamic finance escaped the worst of the 2008 crisis due to prohibitions on interest, uncertainty, and risk-free returns. However, some Islamic banks failed by adopting conventional derivative products.
2) For Islamic finance to effectively contribute, it must strictly observe principles like prohibiting interest and risky transactions, ensuring risk and reward are linked to asset ownership, and using economic benchmarks not linked to interest rates.
3) The biggest challenges are avoiding imitation of conventional practices, developing its own benchmarks tied to real economic growth, and standardizing operations according to Islamic law. If done properly,
The World Bank was created in 1944 at the Bretton Woods conference to help rebuild European countries after World War 2. It is made up of 5 institutions that provide loans, grants, and technical assistance to further economic development. The International Bank for Reconstruction and Development and International Development Association provide loans to middle-income and poorer countries respectively. The World Bank has contributed significantly to India's economic development through loans, assistance from IDA and other organizations, and indirect support.
The document provides information on several international financial institutions (IFIs) including their goals, roles, and functions. It discusses the International Monetary Fund (IMF), World Bank Group, Asian Development Bank, African Development Bank, European Bank for Reconstruction and Development, Inter-American Development Bank, and their roles in providing financing and support for economic development projects in developing nations.
International Finance Corporation (IFC) - investing in the mining sector in e...Karsten Fuelster
IFC, the private sector arm of the World Bank, is selectively investing - amongst others - in the mining sector in emerging market countries. As part of its development mandate IFC is providing long term funding in form of equity and long term debt. IFC is providing multiple additional services
This document discusses marketing strategies for Islamic banking to satisfy customers. It begins by introducing Islamic financing concepts and the importance of marketing. It then notes that customer satisfaction requires total marketing integration at reasonable costs. There is currently a sellers' market for Islamic financing due to lack of competition and expertise, allowing exploitation of customers. Two case studies on housing loans show conventional and Islamic loans resulting in similar total costs to customers. The document recommends adapting weaknesses in non-Islamic banking into strengths for Islamic finance through partnerships using profit/loss sharing concepts. It provides a marketing framework and strategies for Islamic banks to target customer needs and satisfy them in a sustainable manner.
The document summarizes MIGA's mission to promote foreign direct investment in developing countries through political risk insurance. Some key points:
- MIGA was established in 1988 by 175 member countries to promote FDI through guarantees against non-commercial risks like expropriation and currency inconvertibility.
- In fiscal year 2010, MIGA issued $1.5 billion in guarantees for 19 projects across sectors like infrastructure, financial markets, and manufacturing in developing countries.
- MIGA works to reduce poverty by facilitating private investment in projects that build infrastructure and create jobs.
Institutional Financial Institutions (IFIs) such as the IMF, World Bank group, Asian Development Bank, and African Development Bank are established by multiple countries to provide financial support and professional advice for economic and social development projects in developing nations. The goals of IFIs are to reduce global poverty, improve living conditions, support sustainable development, and promote regional cooperation.
The International Bank for Reconstruction and Development (IBRD) is the original World Bank institution and was created in 1944 to help rebuild Europe after World War II. Today, IBRD provides loans and assistance to middle income countries to reduce poverty and promote economic growth. IBRD raises funds in global financial markets and uses those funds to provide loans, guarantees, and expertise to developing countries. India is a long-standing member and shareholder of IBRD and has received over $42 billion in loans from IBRD to fund projects related to infrastructure, energy, and other development areas.
This presentation discusses the prospects of Islamic banking and finance internationally. It outlines some key challenges faced by the industry, such as a lack of awareness, limited liquidity management options, a shortage of skilled human resources, and limited outreach. However, it also provides a positive global perspective, noting there are now over 1100 Islamic financial institutions worldwide managing over $1 trillion in assets. While Dubai's debt crisis temporarily slowed growth, Islamic finance solutions remain stronger than conventional options. Overall the industry is growing rapidly but still has room to expand further to fully tap the global demand for Shariah-compliant products and services.
The document summarizes the purpose and history of the World Bank and IMF. The World Bank provides low-interest loans and grants to developing countries for projects to reduce poverty, while the IMF provides short-term loans to countries facing currency crises. Both were created at Bretton Woods in 1944 to help rebuild Europe after WWII. While the World Bank lends for development projects, the IMF aims to stabilize global economies and prevent financial crises. The document also discusses the large external debts Pakistan has accumulated from World Bank and IMF loans and how this has negatively impacted the country's economy.
The document discusses private banking in Australia. It provides context on private wealth globally and in the Asia-Pacific region, noting that Australia has the third largest private wealth market in the Asia-Pacific and 11th largest in the world. It then discusses private wealth and high net worth individuals specifically in Australia, including key statistics. Finally, it outlines the private banking industry in Australia, participants such as banks and financial planners, family offices, and the regulatory environment.
1) Private banking assets under management in Western Europe grew 8% in 2012, driven by a 6% gain in capital markets and 2% net inflows.
2) However, profit and revenue margins declined for the first time since 2010 amid low interest rates and increasing regulation.
3) There is growing polarization between leading and lagging private banks, with only 24% regaining pre-crisis profitability above 35 basis points.
The World Bank is an international financial institution that provides loans to lower-income countries with the goal of reducing poverty. It was established at the 1944 Bretton Woods Conference and originally focused on post-World War 2 reconstruction but has since expanded its mission. The World Bank comprises five institutions that work to reduce poverty through activities like loans, grants, and training programs, while also facing some criticism over programs and influence.
It is urgent to adopt other than the current financial system model that is not moved by usury, by extreme greed. Without prejudice, this new model could be based on the Islamic financial system that operates around a fundamental principle which is to avoid speculation. In Islamic banking, everything is done to prevent those who have money to take advantage of who has not money or who needs it. In an Islamic bank there aren´t products of traditional financial market, for example, derivatives which are contracts that derive from a reference rate or index that can be physical (coffee, gold, etc.) or financial (stocks, interest rates , etc.).
International Journal of Engineering and Science Invention (IJESI)inventionjournals
International Journal of Engineering and Science Invention (IJESI) is an international journal intended for professionals and researchers in all fields of computer science and electronics. IJESI publishes research articles and reviews within the whole field Engineering Science and Technology, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
On the Sustainable Development Goals and Islamic Capital MarketsSDGsPlus
This document discusses how Islamic capital markets can support sustainable development goals. It provides an overview of the SDGs and financing needs. Islamic finance principles like risk-sharing and asset-backed instruments allow sukuk to finance infrastructure. The large and growing Islamic finance industry worth over $2 trillion indicates its potential. However, markets require robust legal and regulatory frameworks. The World Bank Group is leveraging Islamic finance through various projects and instruments like green sukuk and social bonds. Collaboration between public and private sectors is needed to mobilize financing and achieve the 2030 development agenda.
The document provides an outline of the World Bank, including its history, mission, goals, structure, governance, functions, membership, and resources. The World Bank was established in 1944 at the Bretton Woods Conference to aid in postwar European reconstruction and has since expanded to provide financing and advice to developing nations globally. It aims to reduce poverty through economic growth and has over 180 member countries.
The IMF and World Bank were established in 1944 to promote international monetary cooperation and economic development. The IMF works to foster global monetary cooperation and secure financial stability, while the World Bank provides loans and technical assistance to developing countries for programs that reduce poverty. Both organizations are based in Washington D.C. and have over 180 member countries. They work to stabilize exchange rates and international trade, as well as promote high employment, sustainable growth, and poverty reduction worldwide.
This document discusses how Islamic finance principles could help address global financial crises and lead to better outcomes. It summarizes that:
1) Islamic finance escaped the worst of the 2008 crisis due to prohibitions on interest, uncertainty, and risk-free returns. However, some Islamic banks failed by adopting conventional derivative products.
2) For Islamic finance to effectively contribute, it must strictly observe principles like prohibiting interest and risky transactions, ensuring risk and reward are linked to asset ownership, and using economic benchmarks not linked to interest rates.
3) The biggest challenges are avoiding imitation of conventional practices, developing its own benchmarks tied to real economic growth, and standardizing operations according to Islamic law. If done properly,
The World Bank was created in 1944 at the Bretton Woods conference to help rebuild European countries after World War 2. It is made up of 5 institutions that provide loans, grants, and technical assistance to further economic development. The International Bank for Reconstruction and Development and International Development Association provide loans to middle-income and poorer countries respectively. The World Bank has contributed significantly to India's economic development through loans, assistance from IDA and other organizations, and indirect support.
The document provides information on several international financial institutions (IFIs) including their goals, roles, and functions. It discusses the International Monetary Fund (IMF), World Bank Group, Asian Development Bank, African Development Bank, European Bank for Reconstruction and Development, Inter-American Development Bank, and their roles in providing financing and support for economic development projects in developing nations.
International Finance Corporation (IFC) - investing in the mining sector in e...Karsten Fuelster
IFC, the private sector arm of the World Bank, is selectively investing - amongst others - in the mining sector in emerging market countries. As part of its development mandate IFC is providing long term funding in form of equity and long term debt. IFC is providing multiple additional services
This document discusses marketing strategies for Islamic banking to satisfy customers. It begins by introducing Islamic financing concepts and the importance of marketing. It then notes that customer satisfaction requires total marketing integration at reasonable costs. There is currently a sellers' market for Islamic financing due to lack of competition and expertise, allowing exploitation of customers. Two case studies on housing loans show conventional and Islamic loans resulting in similar total costs to customers. The document recommends adapting weaknesses in non-Islamic banking into strengths for Islamic finance through partnerships using profit/loss sharing concepts. It provides a marketing framework and strategies for Islamic banks to target customer needs and satisfy them in a sustainable manner.
The document summarizes MIGA's mission to promote foreign direct investment in developing countries through political risk insurance. Some key points:
- MIGA was established in 1988 by 175 member countries to promote FDI through guarantees against non-commercial risks like expropriation and currency inconvertibility.
- In fiscal year 2010, MIGA issued $1.5 billion in guarantees for 19 projects across sectors like infrastructure, financial markets, and manufacturing in developing countries.
- MIGA works to reduce poverty by facilitating private investment in projects that build infrastructure and create jobs.
Institutional Financial Institutions (IFIs) such as the IMF, World Bank group, Asian Development Bank, and African Development Bank are established by multiple countries to provide financial support and professional advice for economic and social development projects in developing nations. The goals of IFIs are to reduce global poverty, improve living conditions, support sustainable development, and promote regional cooperation.
The International Bank for Reconstruction and Development (IBRD) is the original World Bank institution and was created in 1944 to help rebuild Europe after World War II. Today, IBRD provides loans and assistance to middle income countries to reduce poverty and promote economic growth. IBRD raises funds in global financial markets and uses those funds to provide loans, guarantees, and expertise to developing countries. India is a long-standing member and shareholder of IBRD and has received over $42 billion in loans from IBRD to fund projects related to infrastructure, energy, and other development areas.
This presentation discusses the prospects of Islamic banking and finance internationally. It outlines some key challenges faced by the industry, such as a lack of awareness, limited liquidity management options, a shortage of skilled human resources, and limited outreach. However, it also provides a positive global perspective, noting there are now over 1100 Islamic financial institutions worldwide managing over $1 trillion in assets. While Dubai's debt crisis temporarily slowed growth, Islamic finance solutions remain stronger than conventional options. Overall the industry is growing rapidly but still has room to expand further to fully tap the global demand for Shariah-compliant products and services.
The document summarizes the purpose and history of the World Bank and IMF. The World Bank provides low-interest loans and grants to developing countries for projects to reduce poverty, while the IMF provides short-term loans to countries facing currency crises. Both were created at Bretton Woods in 1944 to help rebuild Europe after WWII. While the World Bank lends for development projects, the IMF aims to stabilize global economies and prevent financial crises. The document also discusses the large external debts Pakistan has accumulated from World Bank and IMF loans and how this has negatively impacted the country's economy.
The document discusses private banking in Australia. It provides context on private wealth globally and in the Asia-Pacific region, noting that Australia has the third largest private wealth market in the Asia-Pacific and 11th largest in the world. It then discusses private wealth and high net worth individuals specifically in Australia, including key statistics. Finally, it outlines the private banking industry in Australia, participants such as banks and financial planners, family offices, and the regulatory environment.
1) Private banking assets under management in Western Europe grew 8% in 2012, driven by a 6% gain in capital markets and 2% net inflows.
2) However, profit and revenue margins declined for the first time since 2010 amid low interest rates and increasing regulation.
3) There is growing polarization between leading and lagging private banks, with only 24% regaining pre-crisis profitability above 35 basis points.
This document summarizes trends in the wealth management industry from 2010-2014. It finds that the number and wealth of high-net-worth individuals will continue growing significantly in coming years, especially in Asia, the Middle East, and Latin America. It also reports that new clients in this decade will increasingly demand international investment strategies and holistic family advisory services. The document recommends that financial professionals develop well-rounded international experience and perspectives to best serve the needs of these new high-net-worth clients.
This document summarizes the key findings of the Credit Suisse Global Wealth Report 2015. It finds that while underlying growth in household wealth was positive globally, gains were offset by declines in currency values against the US dollar, resulting in an overall decline of $12.4 trillion in global wealth. The United States and China saw substantial wealth increases, while Europe, Asia-Pacific, and Latin America experienced declines. Financial assets grew as a percentage of total household wealth globally.
The document discusses opportunities for investors in South Africa and Africa given the current economic environment. It notes that SA has a world-class asset management industry that can play a bigger role in driving economic growth, such as through public-private partnerships to fund infrastructure projects. While near-term equity returns may be pressured, diversifying investments across asset classes and markets both locally and throughout Africa can help investors achieve their goals in today's globally connected world.
This document summarizes a report about understanding the relationship between climate risk and superannuation (retirement) funds. It discusses how climate change poses risks to investments and the global economy. Superannuation funds collectively total over $30 trillion globally and have significant influence over companies as shareholders. However, most funds are underexposed to low-carbon solutions and overexposed to high-carbon assets vulnerable to climate policies. The report aims to educate citizen investors about engaging with their funds to ensure climate risks are properly managed.
Wealth x and ubs world ultra wealth report 2013Thierry Labro
The document provides an overview of global ultra high net worth (UHNW) individuals from July 2012 to June 2013. Some key points:
- The world's UHNW population reached an all-time high of 199,235 individuals with combined wealth of $27.8 trillion.
- Growth was largely driven by North America and Europe, which saw a net gain of nearly 10,000 UHNW individuals and $1.5 trillion in added wealth.
- Asia's growth was dampened by declines in China's UHNW population and wealth amid an economic slowdown.
- 2,170 billionaires globally have a total net worth of $6.5 trillion, equal to 23% of total
Wealth x and-ubs_world_ultra_wealth_report_2013Ana Campelos
The document summarizes the key findings of the Wealth-X and UBS World Ultra Wealth Report 2013. It finds that the number of ultra-high net worth individuals (UHNW) reached an all-time high of 199,235 with combined wealth of $27.8 trillion last year. Growth was largely due to North America and Europe, which saw a net gain of nearly 10,000 UHNW individuals and $1.5 trillion in added wealth. However, Asia is forecast to generate more UHNW individuals and wealth than other regions in the next five years. The global UHNW population remains dominated by men and self-made individuals.
The Credit Suisse Global Wealth Report and the accompanying more detailed Global Wealth Databook provide the most comprehensive study of world wealth. Unlike other studies, they measure and analyze trends in wealth across nations, from the very bottom of the "wealth pyramid" to the ultra high net worth individuals. Five years on from the global financial crisis, our detailed wealth data shows a number of interesting trends. Emerging country wealth growth has slowed, with some notable winners and decliners. We also find that the distribution of wealth in China is very different, and apparently more balanced than that of India. This year, our special focus is on wealth mobility, which appears surprisingly high in the short run.
- Download the 2013 Global Wealth Report (PDF): http://bit.ly/P56D2G
- Order the print version of the Global Wealth Report: http://bit.ly/1cpOkgl
Visit the Credit Suisse Research Institute website: http://bit.ly/18Cxa0p
The 2015 Koda Capital Non-Profit Sector ReviewDavid Knowles
The document provides an overview and analysis of the Australian non-profit sector. It summarizes that the sector is large, diverse, and growing, contributing an estimated $57.7 billion to GDP in 2012-13. While the sector has grown significantly, this growth has not been matched by equivalent increases in income or employment. It also notes that the top contributing subsectors are education/research and social services. In conclusion, it emphasizes that the sector faces ongoing challenges including increased reliance on government funding and pressures to demonstrate impact.
Managing Director of Lotus Capital Limited
Mrs Hajara Adeola is the Managing Director of Lotus Capital Limited, a Nigerian pioneer in Shari'ah compliant Asset Management, Private Wealth Management Advisory Services and Financial Advisory Services. She comes to Lotus Capital from UBS Warburg where she was a Director heading their London Islamic Finance Desk. Her responsibilities included structuring and trading Islamic Finance investment instruments for European private clients and multi- currency money market instruments for institutional clients (UK private banks). She was also responsible for structuring innovative Islamic Finance instruments to meet evolving client requirements and liaising with the Shari'ah consultants for approval.
Prior to joining UBS, she was a Convertible Bond Research Analyst at BNP Paribas, London where her primary responsibility was to analyze, write and publish daily and quarterly research on European convertible bonds. This research was published on Bloomberg and distributed to BNP Paribas' worldwide institutional convertible client base daily. In addition, she structured and priced primary convertible bond issues for corporate clients and gained invaluable experience in the over the counter structured finance field. Mrs. Hajara Adeola began her career as a consultant at Andersen Consulting (now Accenture). From there she joined ARM Investment Managers as a pioneer staff and rose to Vice-President and Head of the Research and Financial Advisory Units. Her responsibilities included equity research, trading and investment management of global equity portfolios and financial advisory assignments (feasibility reports, business plans, project management and fund raising). In all, she has over 15 years of international experience in research and analysis, investment management and corporate finance.
The document summarizes key findings from the Wealth-X and UBS Billionaire Census 2013 report. It finds that as of 2013, there are 2,170 billionaires globally with a total combined net worth of $6.5 trillion. Asia is driving significant growth in billionaire wealth and population, with total billionaire wealth in the region increasing 13% and contributing the most new billionaires. While every region saw increased total billionaire wealth, Europe was the only region to experience a decline in billionaire population.
Media release: One in four Australians faced financial trouble in last 12 monthsCitibank Australia
One in four Australians faced financial trouble in the past year, with many borrowing money from friends and family or maxing out credit cards. A new report commissioned by Citi found that 21% could not pay bills on time and 12% could not afford food. The 2010 Citi-FT Financial Education Summit in Sydney brought together over 250 global experts to discuss innovative programs to improve financial literacy, especially for youth, women, consumers, and marginalized communities. Citi emphasized financial education as a priority to help people make better financial decisions following the global financial crisis.
Colombia has experienced strong growth in its private equity industry, maintaining the number 4 ranking among Latin American countries since 2010. There are now 46 fund managers and 61 funds investing in a variety of sectors, having committed $4.4 billion to 421 companies. The country provides an attractive regulatory environment for private equity and has various local institutional investors like pension funds available to invest in private equity funds. Multiple sectors of the Colombian economy such as infrastructure, energy, and tourism represent opportunities for private equity investment and growth.
This document discusses the benefits of international investing through diversification and exposure to higher growth rates abroad. It notes that international markets can experience different returns than the US market, potentially lowering overall portfolio risk. While international investing brings additional risks, these can be reduced through a diversified portfolio that includes both developed and emerging markets. The document advocates for a globally diversified portfolio for most investors.
Australia and New Zealand perform well in global measures of corruption, and both countries trade on reputations for honesty and integrity.
However, rates of corruption are reported to be rising and we are trading increasingly often with countries that are considered to be highly corrupt.
This future[inc] paper examines what is currently being done, and what should be done to mitigate corruption in Australia and New Zealand.
Wealth-X and UBS World Ultra Wealth Report 2013William Citrin
This document provides an executive summary of the Wealth-X and UBS World Ultra Wealth Report 2013. Some key points from the summary include:
- The world's UHNW population reached an all-time high of 199,235 individuals with a combined wealth of $27.8 trillion in the past year.
- Growth was largely due to increases in North America and Europe, which saw a net gain of nearly 10,000 UHNW individuals and $1.5 trillion in added wealth.
- Wealth-X identified 2,170 billionaires globally worth $6.5 trillion, equal to 23% of total UHNW wealth despite being just 1% of the UHNW
Eton College Forum on the Global Financial Crisistutor2u
The title of this event is ‘No More Business As Usual: How to Avoid Another Financial Crash.’ The 2008 crisis marked a sea-change point.It was a fa ilure on three counts: 1. A failure of oversight from Governments and Central Banks alike, 2. A failure of modeling in not being able to predict the crash and 3. A failure of ideology. Underpinning the crisis was the fundamentally flawed neo-liberal ideologue which has dominated main-stream economic thinking.
Why International?
Access to global themes and global best practice.
Narrow concentration of Australian share-market and economy creates a bottle-neck for growth and adds unnecessary portfolio risk.
Equity is the GROWTH asset. As the lowest end of the capital structure, the attraction in holding equity invariably is the GROWTH aspect. This compensates us for the risk born in owning equity.
Slowing Australian growth & falling cash rates mean investors should cast a wider net.
Similar to Private Banking-in-Australia-publication (20)
Global Trends 2030 identifies four megatrends that will shape the world by 2030: 1) Individual empowerment will accelerate due to reduced poverty and greater education. 2) Power will diffuse away from dominant countries to a multipolar system. 3) Demographic patterns like population aging and urbanization will change the global landscape. 4) Demand for food, water, and energy will rise substantially, linking these commodities. The report also discusses six key "game-changers" that could impact trajectories, including the global economy, governance challenges, and potential for conflict. It then outlines four potential alternative worlds by 2030 based on interactions between these trends and uncertainties.
Optimizing Net Interest Margin (NIM) in the Financial Sector (With Examples).pdfshruti1menon2
NIM is calculated as the difference between interest income earned and interest expenses paid, divided by interest-earning assets.
Importance: NIM serves as a critical measure of a financial institution's profitability and operational efficiency. It reflects how effectively the institution is utilizing its interest-earning assets to generate income while managing interest costs.
Abhay Bhutada, the Managing Director of Poonawalla Fincorp Limited, is an accomplished leader with over 15 years of experience in commercial and retail lending. A Qualified Chartered Accountant, he has been pivotal in leveraging technology to enhance financial services. Starting his career at Bank of India, he later founded TAB Capital Limited and co-founded Poonawalla Finance Private Limited, emphasizing digital lending. Under his leadership, Poonawalla Fincorp achieved a 'AAA' credit rating, integrating acquisitions and emphasizing corporate governance. Actively involved in industry forums and CSR initiatives, Abhay has been recognized with awards like "Young Entrepreneur of India 2017" and "40 under 40 Most Influential Leader for 2020-21." Personally, he values mindfulness, enjoys gardening, yoga, and sees every day as an opportunity for growth and improvement.
1. Elemental Economics - Introduction to mining.pdfNeal Brewster
After this first you should: Understand the nature of mining; have an awareness of the industry’s boundaries, corporate structure and size; appreciation the complex motivations and objectives of the industries’ various participants; know how mineral reserves are defined and estimated, and how they evolve over time.
Fabular Frames and the Four Ratio ProblemMajid Iqbal
Digital, interactive art showing the struggle of a society in providing for its present population while also saving planetary resources for future generations. Spread across several frames, the art is actually the rendering of real and speculative data. The stereographic projections change shape in response to prompts and provocations. Visitors interact with the model through speculative statements about how to increase savings across communities, regions, ecosystems and environments. Their fabulations combined with random noise, i.e. factors beyond control, have a dramatic effect on the societal transition. Things get better. Things get worse. The aim is to give visitors a new grasp and feel of the ongoing struggles in democracies around the world.
Stunning art in the small multiples format brings out the spatiotemporal nature of societal transitions, against backdrop issues such as energy, housing, waste, farmland and forest. In each frame we see hopeful and frightful interplays between spending and saving. Problems emerge when one of the two parts of the existential anaglyph rapidly shrinks like Arctic ice, as factors cross thresholds. Ecological wealth and intergenerational equity areFour at stake. Not enough spending could mean economic stress, social unrest and political conflict. Not enough saving and there will be climate breakdown and ‘bankruptcy’. So where does speculative design start and the gambling and betting end? Behind each fabular frame is a four ratio problem. Each ratio reflects the level of sacrifice and self-restraint a society is willing to accept, against promises of prosperity and freedom. Some values seem to stabilise a frame while others cause collapse. Get the ratios right and we can have it all. Get them wrong and things get more desperate.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
Economic Risk Factor Update: June 2024 [SlideShare]Commonwealth
May’s reports showed signs of continued economic growth, said Sam Millette, director, fixed income, in his latest Economic Risk Factor Update.
For more market updates, subscribe to The Independent Market Observer at https://blog.commonwealth.com/independent-market-observer.
In a tight labour market, job-seekers gain bargaining power and leverage it into greater job quality—at least, that’s the conventional wisdom.
Michael, LMIC Economist, presented findings that reveal a weakened relationship between labour market tightness and job quality indicators following the pandemic. Labour market tightness coincided with growth in real wages for only a portion of workers: those in low-wage jobs requiring little education. Several factors—including labour market composition, worker and employer behaviour, and labour market practices—have contributed to the absence of worker benefits. These will be investigated further in future work.
The Universal Account Number (UAN) by EPFO centralizes multiple PF accounts, simplifying management for Indian employees. It streamlines PF transfers, withdrawals, and KYC updates, providing transparency and reducing employer dependency. Despite challenges like digital literacy and internet access, UAN is vital for financial empowerment and efficient provident fund management in today's digital age.
Vicinity Jobs’ data includes more than three million 2023 OJPs and thousands of skills. Most skills appear in less than 0.02% of job postings, so most postings rely on a small subset of commonly used terms, like teamwork.
Laura Adkins-Hackett, Economist, LMIC, and Sukriti Trehan, Data Scientist, LMIC, presented their research exploring trends in the skills listed in OJPs to develop a deeper understanding of in-demand skills. This research project uses pointwise mutual information and other methods to extract more information about common skills from the relationships between skills, occupations and regions.
University of North Carolina at Charlotte degree offer diploma Transcripttscdzuip
办理美国UNCC毕业证书制作北卡大学夏洛特分校假文凭定制Q微168899991做UNCC留信网教留服认证海牙认证改UNCC成绩单GPA做UNCC假学位证假文凭高仿毕业证GRE代考如何申请北卡罗莱纳大学夏洛特分校University of North Carolina at Charlotte degree offer diploma Transcript
A toxic combination of 15 years of low growth, and four decades of high inequality, has left Britain poorer and falling behind its peers. Productivity growth is weak and public investment is low, while wages today are no higher than they were before the financial crisis. Britain needs a new economic strategy to lift itself out of stagnation.
Scotland is in many ways a microcosm of this challenge. It has become a hub for creative industries, is home to several world-class universities and a thriving community of businesses – strengths that need to be harness and leveraged. But it also has high levels of deprivation, with homelessness reaching a record high and nearly half a million people living in very deep poverty last year. Scotland won’t be truly thriving unless it finds ways to ensure that all its inhabitants benefit from growth and investment. This is the central challenge facing policy makers both in Holyrood and Westminster.
What should a new national economic strategy for Scotland include? What would the pursuit of stronger economic growth mean for local, national and UK-wide policy makers? How will economic change affect the jobs we do, the places we live and the businesses we work for? And what are the prospects for cities like Glasgow, and nations like Scotland, in rising to these challenges?
STREETONOMICS: Exploring the Uncharted Territories of Informal Markets throug...sameer shah
Delve into the world of STREETONOMICS, where a team of 7 enthusiasts embarks on a journey to understand unorganized markets. By engaging with a coffee street vendor and crafting questionnaires, this project uncovers valuable insights into consumer behavior and market dynamics in informal settings."
Independent Study - College of Wooster Research (2023-2024) FDI, Culture, Glo...AntoniaOwensDetwiler
"Does Foreign Direct Investment Negatively Affect Preservation of Culture in the Global South? Case Studies in Thailand and Cambodia."
Do elements of globalization, such as Foreign Direct Investment (FDI), negatively affect the ability of countries in the Global South to preserve their culture? This research aims to answer this question by employing a cross-sectional comparative case study analysis utilizing methods of difference. Thailand and Cambodia are compared as they are in the same region and have a similar culture. The metric of difference between Thailand and Cambodia is their ability to preserve their culture. This ability is operationalized by their respective attitudes towards FDI; Thailand imposes stringent regulations and limitations on FDI while Cambodia does not hesitate to accept most FDI and imposes fewer limitations. The evidence from this study suggests that FDI from globally influential countries with high gross domestic products (GDPs) (e.g. China, U.S.) challenges the ability of countries with lower GDPs (e.g. Cambodia) to protect their culture. Furthermore, the ability, or lack thereof, of the receiving countries to protect their culture is amplified by the existence and implementation of restrictive FDI policies imposed by their governments.
My study abroad in Bali, Indonesia, inspired this research topic as I noticed how globalization is changing the culture of its people. I learned their language and way of life which helped me understand the beauty and importance of cultural preservation. I believe we could all benefit from learning new perspectives as they could help us ideate solutions to contemporary issues and empathize with others.
2. Date: June 2010
Disclaimer
This publication has been prepared as a general overview of the Australian private banking industry and does not constitute and is not intended to constitute financial
product advice as defined under the Corporations Act 2001 (Cwth). Nothing in this document should be construed as a recommendation or statement of opinion
intended to influence a person in making an investment decision. The information is made available on the strict understanding that the Australian Trade Commission
(Austrade) is not providing professional advice. While all care has been taken in the preparation of this publication, Austrade expressly denies liability for any loss or
damage of any nature (including but not limited to any errors or omissions) arising out of or connected with reliance on the contents of this publication. Any person
relying on this publication does so entirely at their own risk. Austrade strongly recommends that the reader obtain independent professional advice prior to making
any investment decision.
Austrade’s role in the promotion of Australian trade includes facilitating engagement by Australian financial services exporters in markets outside Australia. Austrade
is not a promoter of any financial services products or investments and does not provide investment advice. Austrade assumes no responsibility however so arising
for any company, product or service mentioned in this document, nor for any materials provided in relation to such products, nor for any act or omission of any
business connected with such products. Investors should always make their own enquiries as to whether an investment is appropriate for their needs and should
consult an independent and licensed advisor.
02
02
Islamic Finance
Private Banking in Australia
3. Contents
Introduction
5
Private Wealth Globally
6
Private Wealth in the Asia-Pacific
8
Private Wealth in Australia
Number of High Net Worth Individuals
Wealth Creation in Australia
Wealth Ranges of High Net Worth Australians
Superannuation and High Net Worth Individuals
The Increasing Sophistication of High Net Worth Individuals in Australia
10
10
10
11
12
13
Private Banking in Australia
Participants in Australia’s Private Banking Industry
Financial Planners, Advisors and Investment Managers
Family Offices In Australia
15
15
17
17
Regulatory Environment
Framework
Authorisation and Licensing
19
19
20
Useful Links
21
Private Banking in Australia
03
4.
5. Introduction
The private banking industry in Australia has benefited from almost 20 years of sustained economic
growth to become the third largest private wealth market in the Asia Pacific and the 11th largest in
the world.
Strategically, Australia offers a competitive regional location for providing wealth management
services. Australia is distinguished by the strength and resilience of its economy, the size, depth
and liquidity of its financial markets and the sophisticated and innovative nature of its funds
management sector, underpinned by its mandatory retirement income policy.
Australia is also strategically located in the Asia-Pacific region, which is predicted to surpass North
America in terms of cumulative wealth by 2013.
Despite its relatively small population, Australia’s pool of affluent individuals (with average wealth
of US$2.94 million) is around 30 per cent bigger than those of Singapore and Hong Kong combined
and 54 per cent larger than that of India.
Australian high net worth individuals (HNWIs) are comparatively more sophisticated in their
investment portfolios, knowledge and demands on their wealth advisors than their Asia Pacific
counterparts – this offers both challenges and opportunities for private banking.
The private banking industry in Australia offers a wide array of products and services and business
models vary markedly in terms of targets, wealth thresholds and services offered.
All of the major domestic banks have designated private banking services, as do a number of the
regional banks. In addition, a number of foreign banks have established private banking services in
Australia, recognising both the strength of the domestic market and the potential within the region.
Australia also has strong and sophisticated financial planning and investment fund markets, as well
as a growing family office sector.
There is no precise definition for ‘private banking’. In this publication the term private banking is used in
a broad sense in terms of wealth management needs of HNWIs, but more narrowly in terms of service
providers. The publication looks primarily at banking institutions servicing HNWIs while still recognising
the broader wealth management sector, including financial planners and fund managers.
For ease of international comparisons, an individual with over US$1 million in investible assets is
regarded as high net worth. That is not to say, however, that those with less than US$1 million will not
have an appetite for private banking services.
The expressions ‘private banking’ and ‘private wealth management’ are to be distinguished from the
generic term ‘wealth management’ which includes services offered to the general public.
Private Banking in Australia
05
6. Private Wealth Globally
Managing the wealth of HNWIs is an increasingly important and lucrative part of the financial services sector.
HNWI financial wealth is expected to increase to US$48.5 trillion by 2013, growing at a compound annual rate of 8.1 per
cent. This growth will be driven by the recovery in asset prices as the global economy and financial system emerge from the
downturn. North America and the Asia Pacific will continue to lead the growth in HNWI financial wealth according to Merrill
Lynch Capgemini, World Wealth Report, 2009.
Since 1996, the collective financial wealth of HNWIs almost doubled to reach US$32.8 trillion in 2008. Merrill Lynch
Capgemini estimates that there are 8.6 million HNWIs worldwide, defined as those with holdings of more than US$1 million
in investable assets.
GLOBAL HIGH NET WORTH INDIVIDUALS 1996 TO 2008
42
14
36
12
30
10
Number of HNWIs (Million, RHS)
24
8
18
6
12
4
6
Million
US$ Trillion
Financial Wealth (US$ Trillion, LHS)
2
0
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
0
Sources: World Wealth Report 2006, World Wealth Report 2009; Austrade
The largest markets for private wealth internationally are in the United States, Japan and Germany, with HNWIs of more
than 4.6 million, accounting for 54 per cent of the world’s HNWI population in 2008. Australia, despite its small population,
ranks 11th globally and third in the Asia-Pacific region.
06
Private Banking in Australia
7. NUMBER OF HIGH NET WORTH INDIVIDUALS IN LEADING MARKETS
2003
(‘000s)
2004
(‘000s)
2005
(‘000s)
2006
(‘000s)
2007
(‘000s)
117
134
146
161
169
129
10.3
USA
2,272
2,498
2,669
2,920
3,019
2,460
8.3
Japan
1,312
1,343
1,406
1,484
1,517
1,366
4.1
Germany
756
760
767
798
833
810
7.1
UK
383
418
448
485
491
362
-5.5
China
287
300
320
345
413
364
26.8
Canada
200
217
232
248
281
213
6.5
Australia
2008
(‘000s)
Growth Rate %
2003 to 2008
Sources: Merrill Capgemini, Various Wealth Reports; Austrade
Investment Trends
Worldwide, HNWIs sought refuge in safer investments during the recent financial crisis, by lifting allocations to fixed income
and cash-based investments to 50 per cent in 2008 from 44 per cent in 2007. At the same time, there was a trend towards
home-region and domestic markets, although looking forward they are expected to selectively raise allocations to the
Asia-Pacific and emerging markets.
BREAKDOWN OF HIGH NET WORTH INDIVIDUALS FINANCIAL ASSETS, 2006-2010F (%)
100
10%
24%
75
9%
14%
17%
7%
7%
18%
15%
Real Estate
21%
20%
Cash/Deposits
14%
27%
50
Alternative Investments
30%
29%
21%
Fixed Income
25
31%
33%
25%
28%
Equities
0
2006
2007
2008
2010F
Source: Capgemini/Merrill Lynch Wealth Management, World Wealth Report 2008, 24 June 2009, Media Presentation
Private Banking in Australia
07
8. Private Wealth in the
Asia-Pacific
The strong performance of the Asia-Pacific region in recent years has made it a focal point for the private wealth
management industry. By the end of 2008, the wealth of HNWIs in the region had grown to US$7.4 trillion and accounted for
23 per cent of the global total. It is forecast to expand at a rate of 12.8 per cent per annum to US$13.5 trillion by 2013.1
In the Asia-Pacific region, more HNWIs reside in Australia than any other economy ex-Japan and China. There are 129,000
Australians with over US$1 million in investable assets—more than twice the number in Singapore and nearly three times
that of Hong Kong.
China’s HNWI population surpassed that of the United Kingdom to become the fourth largest in the world in 2008 (364,000
HNWIs), after having exceeded France in 2007. China’s HNWI population fell approximately 11.8 per cent in 2008, but was
able to avoid some of the steeper losses seen elsewhere in the region, in part because of the relative strength of its economy.
Hong Kong’s HNWIs appear to have been the hardest hit in percentage terms from the recent financial crisis, with a 61 per
cent drop in the number of HNWIs over the year to 2008. This is largely due to its particularly high market-capitalisationto-nominal-GDP ratio of 6.2, which makes Hong Kong particularly vulnerable to large market capitalisation losses, as was
experienced in 2008. In addition, Hong Kong has a high proportion of HNWIs in the lower US$1 million to US$5 million
band, many of whom fell below the US$1 million threshold for 2008.2
NUMBER OF HIGH NET WORTH INDIVIDUALS IN THE ASIA PACIFIC (EX JAPAN) BY COUNTRY, 2008 (‘000s)
400
364
350
Japan 1,366
300
250
200
150
129
105
100
84
61
58
50
42
37
19
0
China
Australia
South Korea
India
Singapore
Taiwan
Thailand
Hong Kong
Indonesia
Source: Merrill Lynch Capgemini, Asia Pacific Wealth Report, 2009
The region is predicted to surpass North America by 2013 with a collective financial wealth of US$13.5 trillion, accounting for
28 per cent of the world’s total (US$48.5 trillion).3 This represents a compound annual growth rate of 12.8 per cent for the
region between 2008 and 2013, which is almost double the projected growth rate of 7 per cent for North America and 6.5
per cent for Europe.
1
2
3
08
Merrill Lynch Capgemini, World Wealth Report, 2009 .
Ibid.
Ibid.
Private Banking in Australia
9. HIGH NET WORTH INDIVIDUALS FINANCIAL WEALTH FORECAST, 2006-2013F BY REGION
US$48.5tn
1.0
1.9
50
US$40.7tn
US$37.2tn
24%
40
0.9
1.4
1.0
1.7
6.2
5.1
9.5
30
Global HNWIs
Wealth
(in US$ Trillion)
20
Africa 4.1%
Middle East 5.7%
7.6
Latin America 6.8%
US$32.8tn
0.8
1.4
13.5
Asia-Pacific 12.8%
5.8
8.4
10.1
10.7*
7.4
11.4
Europe 6.5%
8.3
10
Annual Growth
Rate 2008-2013F
11.3
At 8.1%
Global CAGR
25%
11.7
12.7
9.1
North America 7.0%
0
2006
2007
2008
2013
*The 2007 number for Europe was revised from 10.6 to 10.7
Source: Capgemini/Merrill Lynch Wealth Management, World Wealth Report 2008, p.6.
Private Banking in Australia
09
10. Private Wealth in Australia
Number of High Net Worth Individuals
Australia’s private wealth market ranks among the largest and fastest growing in the world.
Despite its relatively small population, Australia’s private wealth market was the 11th largest in the world in 2008 and third
largest in the Asia-Pacific region, according to the Merrill Lynch Capgemini, World Wealth Report 2009. The growth rate of
HNWIs in Australia has surpassed many of the world’s most affluent nations including the United States, the United Kingdom
and Japan.
Through the GFC the HNWI population in Australia shrank 23 per cent to 129,200, with combined financial wealth of
US$380 billion.4
Australia’s pool of affluent individuals (with average wealth of US$2.94 million) is around 30 per cent bigger than those of
Singapore (61,000) and Hong Kong (37,000) combined, 54 per cent larger than that of India (84,000) and more than one third
of China’s total HNWIs (364,000).
Wealth Creation in Australia
The national wealth of Australians has been considerably bolstered by almost 20 years of solid economic growth, with
sustained rises in equities and property markets.
Since 1991, Australia’s total private sector wealth (including consumer durables and dwellings) grew by over 8 per cent per
annum to almost A$6 trillion.5 Private wealth per household increased from A$234,000 in 1991 to almost A$700,000 in
2009 (a compound annual growth rate of more than 6 per cent). This near trebling in wealth in the last two decades reflects
growth in almost all asset classes.
PRIVATE WEALTH PER HOUSEHOLD IN AUSTRALIA ($’000)1
800
725
726
700
697
645
600
587
553
493
500
459
421
400
300
234
242
250
265
277
288
310
332
359
389
200
100
0
1991 1992
1993
1994 1995
1996 1997 1998 1999
2000
2001 2002
2003
2004
2005
2006 2007
2008
2009
1. Private wealth is defined as the sum of household dwellings, household consumer durables (including market values of motor vehicles, furnishings and other household equipment),
and household and unincorporated enterprises’ financial assets (including deposits, assets of life offices, superannuation funds and friendly societies, shares and other equity,
unfunded superannuation claims and all other).
Sources: Reserve Bank of Australia, Statistical Table B20;.various reports of Australian Bureau of Statistics, cat no. 3101.0, Australian Demographic Statistics;
Austrade – data was calculated by Austrade’s Financial Services Team Research
4
5
10
Merrill Lynch Capgemini, World Wealth Report, 2009.
Private wealth is defined as the sum of household dwellings, household consumer durables (including market values of motor vehicles, furnishings and other household
equipment), and household and unincorporated enterprises’ financial assets (including deposits, assets of life offices, superannuation funds and friendly societies, shares
and other equity, unfunded superannuation claims and all other). Data sourced from Reserve Bank of Australia, Statistical Table B20.
Private Banking in Australia
11. Of particular note, growth in financial assets6 has followed this strong upward trend. Total financial assets held by
households have quadrupled since 1991 and more than doubled since 1999. In the last two decades, financial assets
increased at an annual compounded rate of 8.6 per cent, growing from A$429 billion in 1988 to more than A$2.4 trillion in
2009. Sustained increases in financial assets held, coupled with growing financial awareness, has generated strong demand
from households for innovative and tailored financial products and services.
AUSTRALIAN HOUSEHOLD FINANCIAL ASSETS1 (A$ MILLION)
2,800
Compound Annual Growth Rate = 8.6% per annum 1988 and 2009
2,400
2,000
1,600
1,200
800
400
0
Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec- Dec88
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
1. Including unincorporated enterprises.
Sources: Reserve Bank of Australia, Statistical Table B20,Selected Assets and Liabilities of the Private Non-Financial Sectors; Austrade
Wealth Ranges of High Net Worth Australians
The Australian Bureau of Statistics produces another measure of private wealth which includes property assets. Using this
measure, of the 7.9 million households in Australia, one in eight (1.05 million or 13 per cent) had a net worth7 in excess of
A$1 million dollars in 2005-06 (the last year such statistics were published).
The majority of the wealthiest households have a net worth of between A$1 million to A$2 million. However there were
still a significant number of people in higher net worth ranges with over 23,000 Australians having a net worth in excess of
A$7 million.
HOUSEHOLDS BY NET WORTH RANGE 2005 TO 2006 (A$)
Net worth range
Number of Households (‘000)
Percentage of All Households
$1,000,000 to less than $2,000,000
752.5
9.5
$2,000,000 to less than $3,000,000
169.6
2.1
$3,000,000 to less than $4,000,000
56.3
0.7
$4,000,000 to less than $5,000,000
26.7
0.3
$5,000,000 to less than $7,000,000
19.2
0.2
More than $7,000,000*
7.4
0.1*
More than $10,000,000*
16.2
0.2*
* Estimate has a relative standard error of 25% to 50%
Sources: Australian Bureau of Statistics, cat. No. 6554.0, Household Wealth and Wealth Distribution, 2005-06; Austrade
6 The term ‘financial assets’ refers to classes of assets such as deposits, reserves of life offices and pension assets, shares and other equities.
7 Household wealth measures the extent to which the value of household assets exceed the value of household liabilities.
Private Banking in Australia
11
12. Superannuation and High Net Worth Individuals
The single most important driver behind the growth in Australia’s pool of financial assets has been Australian pension
funds (referred to locally as ‘superannuation’ or ‘super’ funds). Since the introduction of the government-mandated
superannuation scheme in 1992, assets in superannuation have experienced sustained and strong growth to become the
largest financial assets held by households. In the past decade, superannuation has posted a compound annual growth rate
of around 10 per cent, increasing from A$411 billion to A$1.1 trillion by the end of financial year 2008-09.8
Australia’s superannuation assets are expected to top A$2 trillion by 2014, A$3 trillion by 2019 and A$7 trillion by 2028
according to a Deloitte March 2009 report, the Dynamics of the Australian Superannuation System: the next 20 years 20092028. Note that these figures do not reflect changes to the superannuation guarantee scheme announced in May 2010 that
are projected to add approximately A$500 billion to the pool of superannuation savings.9
Superannuation in Australia
Superannuation is the term used in Australia to describe the setting aside of income for retirement, generally known
internationally as pension or retirement products.
Australia’s current ‘superannuation guarantee’ system was introduced in July 1992, requiring all employers to make taxdeductible superannuation contributions on behalf of their employees.
The guarantee commenced with an employer contribution rate of 3 per cent of salary,10 with increases phased-in over a tenyear period to the current minimum rate of 9 per cent.
In May 2010, the Government announced a number of changes to eligible contributions to the scheme including:
• a progressive increase in the required rate of superannuation guarantee contributions from 9 per cent to 12 per cent by
2019-20;
• a new low income earners Government contribution;
• concessional superannuation contribution caps for those nearing retirement – from 1 July 2012; and
• raising the superannuation guarantee age limit from 70 to 75 – from 1 July 2013.11
In aggregate, the measures are projected to add around A$500 billion to the existing pool of superannuation savings, and
contribute to further increasing national savings by around 0.4 per cent of GDP by 2035.12
Employers and individual employees can also make voluntary contributions to their superannuation. These contributions are
subject to income tax concessions, up to certain limits.
More information on the superannuation guarantee is available through the Australian Tax Office website at www.ato.gov.au.
Australia’s comprehensive retirement incomes scheme and the growth in self managed retirement funds has seen
‘superannuation coverage’ increase from around 51 per cent of the population in 1989 to almost 60 per cent in 2009. These
savings vehicles have given the vast bulk of working Australians exposure to equities, fixed income and other asset classes.
High net worth and affluent Australians have shown a propensity to take responsibility for asset allocation decisions
through the establishment of self-managed superannuation funds. Australia has around 416,000 self-managed pension
funds worth a combined A$384 billion.13 These ‘mini pension funds’, each controlling around A$950,000 on average, are
typically established by ‘mass affluent’ individuals as their private pension fund, where they take responsibility for asset
allocation decisions (typically drawing on the advice of professional financial planners).
8 Australian Prudential Regulation Authority, Annual Superannuation Bulletin, June 2009 (released 10 February 2010), Table 7.
9 Australian Government Fact Sheet: Superannuation — increasing the superannuation guarantee rate to 12 per cent, 2 May 2010, http://www.futuretax.gov.au/
documents/attachments/6_Fact_Sheet_SG%20_rate_increase.pdf
10 4 per cent for employers with annual payroll greater than A$1 million.
11 Joint Media Release - Treasurer The Hon Wayne Swan MP and Minister for Superannuation The Hon Chris Bowen MP, STRONGER FAIRER SIMPLER - Superannuation banking
the benefits of the boom, 2 May 2010.
12 Australian Government Fact Sheet: Superannuation — increasing the superannuation guarantee rate to 12 per cent, 2 May 2010, http://www.futuretax.gov.au/
documents/attachments/6_Fact_Sheet_SG%20_rate_increase.pdf
13 Australian Prudential Regulation Authority, Quarterly Superannuation Performance, December 2009 (released 11 March 2010).
12
Private Banking in Australia
13. ALLOCATION OF AUSTRALIAN HOUSEHOLD MAJOR FINANCIAL ASSETS (% SHARE)
70
Life Offices, Pension Funds and Unfunded Superannuation
60
50
40
30
Currency, Deposits and Bonds
20
Shares and Other Equity
10
0
Dec88
Dec89
Dec90
Dec91
Dec92
Dec93
Dec94
Dec95
Dec96
Dec97
Dec98
Dec99
Dec00
Dec01
Dec02
Dec03
Dec04
Dec05
Dec06
Dec07
Dec08
Dec09
Sources: Australian Bureau of Statistics cat. no. 5232.0, Table 20, Australian National Accounts Financial Assets and Liabilities of Household; Austrade
The Increasing Sophistication of High Net Worth Individuals in Australia
The recent global financial crisis (GFC) saw Australian investors adopt a more defensive approach to their portfolios with an increase
in allocations to currency, deposits and bonds and a decrease in shares and other equity holdings. This trend is expected to reverse as
Australian equity markets return. 14
Proportion of HNW customers’ portfolio by investment type
HIGH NET WORTH INVESTORS INVESTMENT PORTFOLIO – 2009
100
80
20%
16%
Alternative
Investments
17%
17%
Real Estate
60
40
17%
17%
Fixed Income
24%
26%
Equities
20
20%
25%
Cash or near cash
0
Australia
Asia-Pacifc Average
Source: DataMonitor Wealth Management in Australia 2009 (released August 2009)/DataMonitor Wealth Management Leaders Survey, page 15
Despite the recent shift in HNWI portfolios to adopt a more defensive stance during the GFC, Australian HNWIs remain less risk
adverse than the Asia-Pacific average.15
Australia has one of the world’s highest percentages of individuals with direct and indirect exposures in the stock market.
Approximately 6.7 million people (41 per cent of the adult Australian population) own shares, either directly or via managed
investment funds. The level of direct ownership is estimated at 36 per cent of the adult population, the same percentage as Hong
Kong’s population.16
According to a 2009 Datamonitor survey of 16 Australian wealth managers, equities remain the largest proportion of Australia HNWI
portfolios, accounting for 26 per cent in 2009, which is five percentage points higher than any other asset class. Alternative asset
classes accounted for 20 per cent of Australian HNWI portfolios in 2009, an increase of five percentage points over the previous year,
and four points higher than the Asia-Pacific average of 16 per cent.17
14 Datamonitor, Wealth Management in Australia 2009.Conclusions are based on Datamonitor’s Wealth Market Leaders Survey 2009, conducted among
16 Australian wealth managers. The surveyed wealth managers look after 6.1% of all onshore HNW assets in the country.
15 Datamonitor, Wealth Management in Australia 2009, August 2009.
16 Australian Securities Exchange (ASX), 2008 Australian Share Ownership Study. http://www.asx.com.au/about/pdf/2008_australian_share_ownership_study.pdf.
17 Datamonitor, Wealth Management in Australia 2009, August 2009.
Private Banking in Australia
13
14. Hedge funds, in particular, have attracted attention of Australian HNWIs. Unlike in many other markets, hedge fund
products in Australia are regulated in the same way as other managed funds products, resulting in a greater interest in these
products at the retail level. Australia’s largest hedge fund manager and largest fund of fund hedge fund manager, which
combined account for A$20 billion in assets, source the majority of their allocations from HNWIs and affluent investors.
Similarly, HNWIs have been early adoptors of responsible investment strategies. Responsible investment is an umbrella term
that describes an investment process which takes environmental, social and governance (ESG) considerations into account.
It is estimated that more than half of all funds under management in Australia are committed to operating according to the
Principles for Responsible Investment.
According to the Datamonitor survey, wealth management market leaders anticipate that equities and deposits will remain
the most important asset classes for HNWIs, however there may be some decreased focus in particular asset classes such as
real estate funds and commodities.
HIGH NET WORTH INDIVIDUALS PORTFOLIO ALLOCATION BY PRODUCT AREA IN AUSTRALIA (% OF TOTAL ASSETS)
Derivatives
2009
Commodities
2011
Capital-protected funds or bonds
Private equity funds
Hedge funds
Closed-ended real-estate funds
Open-ended real-estate funds
Corporate bonds
Government bonds
Money market funds
Deposits and savings
Equities
0
5
10
15
20
25
Sources: Datamonitor Wealth Management in Australia 2009 (released August 2009)/Datamonitor Wealth Market Leaders Survey, 2009, p.18; Austrade
Australian HNWIs are also more demanding of their wealth managers, due to their superior knowledge of investments
and higher percentage allocations to equities, than their Asia- Pacific counterparts, and are more open to new investment
ideas. They place more importance on personal relationships and are less likely than the regional average to switch wealth
managers. They tend to require more face-to-face time with their relationship managers, a higher level of service and are
more proactive and involved in managing their money.18
The recent financial crisis has driven Australians to seek more information on their investments and place greater
importance on the financial strength of their wealth manager. While Australian investors continue to have a relatively
high proportion of equity and more sophisticated alternative assets, according to the Datamonitor survey they are also
increasingly looking for simple, transparent investments and demand that their advisors have an advanced understanding
of investment products.19
18 Datamonitor, Wealth Management in Australia 2009, August 2009.
19 Ibid.
14
Private Banking in Australia
15. Private Banking in Australia
A wide array of products and services are offered by private banks in Australia, reflecting the diversity of the market. Business
models also vary markedly in respect of target markets, wealth thresholds, and investment opportunities. Essentially, private
banks range from ‘one stop shops’ to pure advisory services and organisations providing quasi-institutional investment
opportunities.
Private banks also differ widely in terms of their client service ratio. While some follow models where more than 150 clients
are serviced by the one relationship manager, others have client/relationship manager ratios lower than 30 to 1.
Most private banks offer similar core products. These include investment advisory services; risk management provisions
including advice on insurance and wealth protection; superannuation and retirement planning; taxation advice; estate
planning; succession planning; gearing solutions and general banking products and services. Other services available within
the private banking space include philanthropic services and art banking.
Participants in Australia’s Private Banking Industry
Private banking services are provided by all of the major domestic banks in Australia, as well as a number of the smaller
regional banks. The table below provides a ranking of the largest domestic banks in Australia, based on total resident assets,
along with an indication of whether they offer private banking services.
AUSTRALIA’S LARGEST DOMESTIC BANKING INSTITUTIONS (MARCH 2010)
Total resident assets
($ Million)
Private Banking
Services*
Westpac Banking Corporation#
511,817
Yes
Commonwealth Bank of Australia
490,475
Yes
National Australia Bank Limited
381,903
Yes
Australia and New Zealand Banking Group Limited
342,849
Yes
Suncorp-Metway Limited
70,786
No
Bank of Western Australia Ltd
69,862
Yes
Macquarie Bank Limited
52,560
Yes
Bendigo and Adelaide Bank Limited
40,943
Yes
Bank of Queensland Limited
31,623
Yes
7,699
Yes
AMP Bank
* Based on internet research and calls to institutions.
# Westpac statistics include assets of St George Bank.
Sources: APRA, Monthly Banking Statistics, March 2010 (issued April 2010); Austrade
In addition, many foreign banks have recognised the opportunities presented by the size and sophistication of Australia’s
HNWI market and have established private banking practices in the country. Looking at the largest global private wealth
managers, six of the top 10 are offering private banking services in Australia.
Private Banking in Australia
15
16. THE SCORPIO PARTNERSHIP GLOBAL TOP 10 WEALTH MANAGERS FOR TOTAL ASSETS UNDER MANAGEMENT
Year 2008
(US$ Billion)
Institution
Private Banking Facilities
in Australia1
1
Bank of America/Merrill Lynch
1,501
Yes
2
UBS
1,393
Yes
3
Citi
1,320
Yes
4
Wells Fargo2
1,000
No
5
Credit Suisse
612
Yes
6
JPMorgan
552
No
7
Morgan Stanley
522
Yes
8
HSBC
352
Yes
9
Deutsche Bank
231
Yes
10
Goldman Sachs3
215
No
1. Information obtained directly from organisation involved
2. On the date of the report publication, Wells Fargo integration of Wachovia is ongoing and this figure may yet be revised as the firm restructures its retirement services operations.
3. In 2009, Goldman Sachs JBWere sold 80.1 per cent stake in its private client stockbroking business to National Australia Bank.
Sources: Scorpio Partnership, Private Banking KPI Benchmark, 2009, Figure 1 (released 6 July 2009); Austrade
A 2010 Euromoney survey ranked the private banking services in Australia based on a survey of private banks themselves
who were asked to identify the companies they admire as the top providers of both competitive and non-competitive
services.
According to this survey, the institution with the best overall banking services for 2010 was Macquarie, followed by
Commonwealth Bank and Credit Suisse. The best local bank was National Australia Bank and the best foreign bank was
Credit Suisse.
EUROMONEY PRIVATE BANKING SURVEY – AUSTRALIA 2010
Criteria
2009
Institution
1
1
Macquarie
2
9
Commonwealth Bank
3
2
Credit Suisse
4
8
National Australia Bank
5
7
Westpac
Best Local Bank
1
3
National Australia Bank
Best Foreign Bank
1
Credit Suisse
Super Affluent
1
Commonwealth Bank
High Net Worth I
1
Commonwealth Bank
High Net Worth II
1
1
Macquarie
Ultra High Net Worth
1
3
UBS
Relationship Management
1
1
Macquarie
Privacy and Security
1
1
Credit Suisse
Range of Investment Products
1
1
Macquarie
Family Office Services
1
Best Private Banking Services
2010
Net Worth Specific Services
Commonwealth Bank
Sources: Euromoney Private Banking Survey, February 2010; Austrade
16
Private Banking in Australia
17. Financial Planners, Advisors and Investment Managers
Financial planners, advisors and investment managers are a primary source of wealth management services in Australia.
Some are part of banking institutions, while others may be considered competitors and/or sources of potential customers for
private banking institutions.
It is estimated that there are some 2,500 financial planning/advisor licensees in Australia (i.e., Australian financial service
license (AFSL) holders who are engaged in financial planning or advisory). Financial planners are generally the front line
in wealth management in Australia and may be employees of banking institutions or fund managers, or operate on an
independent basis.
Investment or fund managers may also provide services directly to HNWIs through various retail channels and platforms.
There are an estimated 131 investment management firms operating in Australia, many of which are also banking
institutions. This excludes sales offices of offshore-based investment mangers and smaller boutique or hedge fund managers.
The top 30 investment management firms control more than 85 per cent of the industry’s funds under management.
Family Offices in Australia
The top 250 family offices in Australia accounted for approximately A$181 billion as at May 2010, with the largest 20
accounting for A$67.7 billion.20 The range is from A$200 million to A$7.17 billion.
There are a significant number of smaller families in the A$30 million to A$200 million range that do not have the economies
of scale to establish stand alone family offices. These families typically either use multi-family offices such as the Myer
Family Office, (which represents 50 families apart from the Myer Family), or other service providers to provide the outsourced
services. This sector is a significant user of private banking, accounting, taxation and investment management services.
An Australian family office is generally a private company that manages investments and trusts for a wealthy family and
their extended members. Most family offices are relatively new in Australia, and have often only been created by the first
generation in the last 10 to 20 years. There are some older families such as the Fairfax, Albert and Myer families where fifth,
sixth and seventh generations are beneficiaries of the family office structure.
The traditional family office will provide a range of services from personal services (managing household staff) to property
management, philanthropy coordination, legal and tax services, and financial and investment services. A family office will
typically have an investment team that manages the assets for a number of beneficiaries. This service may be provided
within the office or through the private banking or advisory services of a financial institution.
The multi-family office model is still young in Australia, however there seems to be a great deal of opportunity as a number
of the ‘new’ wealth groups look to the experience of other families. On this theme, a number of families are co-investing and
sharing due diligence on transactions.
Australia’s family office sector can be broken into four parts:
1. Top 50
2. Top 100
3. > A$200 million
4. < A$200 million
Family Office Sector
Total Assets A$ Billion
Cash A$ Billion
Top 50
$103.34
$10.85
Top 100
$134.96
$13.69
Top 250
$181.24
$16.45
Source: Family Office Connect, 2010
20 Family Office Connect (www.foconnect.com.au), 2010; BRW Rich List 200, 27 May 2010.
Private Banking in Australia
17
18. The Top 20 family offices account for A$67.67 billion and are sitting on cash of approximately A$6.4 billion.21
The table below shows the Top 20 families with some single family offices combined under the main family name for this report.
TOP 20 FAMILY OFFICES
Rank
Family Office
Core Investments
Total Assets1
1
Smorgon Group
Diversified
$7,170
2
Lowy
Property
$5,040
3
Rinehart
Mining
$4,750
4
Thorney (Pratt)
Diversified
$4,600
5
Andrew Forrest
Mining
$4,240
6
Triguboff
Property
$4,200
7
Packer
Gaming/media
$4,100
8
Clive Palmer
Mining
$3,920
9
Liberman Family
Diversified
$3,900
10
Gandel
Property
$3,030
11
Chris Wallin
Mining
$2,590
12
Alter
Property
$2,400
13
Terrace Tower Group (Saunders)
Property
$2,400
14
Kerr Neilson
Financial Services
$2,330
15
Australian Capital Equity (Stokes)
Media/Diversified
$2,290
16
Besen
Diversified/Retail
$2,267
17
Len Buckeridge
Building Materials
$2,240
18
Portland House (Hains)
Diversified
$2,150
19
Bennett/Wright
Mining
$2,090
20
Lang Walker
Property
Comments
$1,970
There are eight branches each
with a family office
There are three branches each
with a family office.
1. Based on either BRW Rich List 200 or Family Office Connect, May 2010
Source: Family Office Connect, 2010
Investments
The family offices within the Top 100 hold over A$13.6 billion in cash. This is a conservative estimate and may well exceed
A$20 billion. The typical office has a chief investment officer and investment managers/analysts. This team will report to a
board consisting of the principal representatives, independents and executives. Corporate governance has been a focus of
many of the larger families and the requirement to have some independent advisory board members.
Many of the Top 100 families have generated their wealth from real estate/property so are keen to diversify into equities,
hedge funds, fixed income and other alternative investments. The mining wealth families will seek real estate, fixed income
and alternatives.
21 Family Office Connect, 2010.
18
Private Banking in Australia
19. Regulatory Environment
Framework
Australia aspires to global best practice in its financial services regulatory framework. This objective was an important
motivation for the significant structural changes to the regulatory arrangements enacted since 1997. These changes have
cemented the reputation of Australia’s financial services industry as being one of the most efficiently regulated in the world.
Supervision of the sector is organised along functional rather than institutional lines, with oversight effected by statutory
bodies with operational independence from the Government.
TREASURER
Reserve Bank
of Australia
(RBA)
Australian Prudential
Regulation Authority
(APRA)
Australian Securities and
Investments Commission
(ASIC)
Payment
Systems Board
■ Monetary Policy
■ Prudential regulation of:
■ Systemic stability
– Deposit-taking institutions
– Life and general insurance
– Superannuation funds
■ Payments systems regulation
■ Market integrity
■ Consumer protection
■ Corporations
COUNCIL OF FINANCIAL REGULATORS
Note: Membership of the Council of Financial Regulators also includes the Commonwealth Treasury.
Source: KPMG 1998 Financial Institutions Performance Survey
Other regulators that directly impact the private banking industry include:
• the Australian Transactions Reports and Analysis Centre (AUSTRAC) – responsible for administering Australia’s anti-money
laundering and counter-terrorism financing laws; and
• the Australian Tax office (ATO) – responsible for administration of Australia’s taxation legislation and the principal revenue
collection agency.
Private Banking in Australia
19
20. Authorisation and Licensing
The laws applicable to private banking service providers operating in Australia vary according to the type of activities
conducted and the organisational structure under which business is conducted.
APRA Authorisation
If the institution is considered a bank in accordance with the Banking Act (1959) it will generally be required to be authorised
by the Australian Prudential Regulatory Authority (APRA).
A banking business is known broadly in the legislative framework as the ‘taking of money on deposit and making advances
of money’. In addition, there are specific restrictions under the section 66 of the Banking Act on the use of the term ‘bank’.
Institutions granted authorities to carry on banking businesses in Australia are referred to as authorised deposit-taking
institutions (ADIs).
If any part of an organisation’s business relates to banking, authorisation must be received from APRA. A foreign corporation
conducting a banking business outside Australia, but offering financial services and products in Australia, must also obtain a
banking authority issued by APRA.
APRA authorisation brings with it a number of reporting, risk management, capital and prudential management
requirements.
More information on the APRA authorisation process is available at www.apra.gov.au.
Australian Financial Services License
Any organisation providing financial services as defined in the Corporations Act 2001 is required to hold an Australian
financial services licence (AFSL) issued by the Australian Securities & Investment Commission (ASIC). A financial service
constitutes:
• providing financial product advice
• dealing in a financial product
• making a market for a financial product
• operating a registered scheme
• providing a custodial or depository service.
The financial service must be provided in relation to a financial product and a financial service provider may hold a single
licence for provision of multiple services.
More information about licensing and registration process is available at www.asic.gov.au.
20
Private Banking in Australia
21. Useful Links
Regulators
Australian Prudential Regulation Authority
www.apra.gov.au
Australian Securities and Investments Commission
www.asic.gov.au
Reserve Bank of Australia
www.rba.gov.au
Australian Government
Austrade
www.austrade.gov.au
Australian Bureau of Statistics
www.abs.gov.au
Australian Taxation Office
www.ato.gov.au
Australian Transaction Reports and Analysis Centre
www.austrac.gov.au
Commonwealth Treasury
www.treasury.gov.au
Fido
www.fido.asic.gov.au
Future Fund
www.futurefund.gov.au
Other
Alternative Investment Management Association
www.aima-australia.org.au
Association of Superannuation Funds of Australia
www.superannuation.asn.au
Australian Accounting Standards Board
Australian Bankers Association
Australian Financial Markets Association
www.aasb.com.au
www.bankers.asn.au
www.afma.com.au
Australian Institute of Superannuation Trustees
www.aist.asn.au
Australian Securities Exchange
www.asx.com.au
Australian Private Equity & Venture Capital Association
Family Office Connect
www.avcal.com.au
www.foconnect.com.au
Financial Planning Association
www.fpa.asn.au
Financial Services Institute of Australasia
www.finsia.com
Funds Executives Association Ltd
www.feal.asn.au
Investment and Financial Services Association
www.ifsa.com.au
Responsible Investment Association Australasia
Private Banking in Australia
www.responsibleinvestment.org
21
23. Australian Trade Commission
The Australian Trade Commission – Austrade – is the Australian Government’s trade and investment development
agency.
With an extensive global network of offices covering more than 100 locations in over 55 countries, Austrade assists
Australian businesses to succeed in trade and investment internationally, and attracts productive foreign investment
into Australia.
Austrade operates at a number of levels: national, industry and business.
At the national level, Austrade shares global commercial insights with other areas of government. At the industry
level, Austrade works closely with businesses and governments to build Australian expertise. And at the individual
enterprise level, Austrade delivers services, programs and initiatives to help Australian businesses and attract foreign
investment.
In addition, Austrade helps Australian exporters with a comprehensive range of exporter services and administers
the Export Market Development Grants (EMDG) scheme; provides international investors with key industry and
government contacts; and assists international buyers in locating and identifying the right Australian suppliers.
For further information
To learn more about what we can do to help you or to contact an investment specialist, call 13 28 78 (in Australia),
email invest@austrade.gov.au or visit www.austrade.gov.au/f inancialservices