‘The Future of Swiss Wealth Management’

8/14/2019 The Future of Swiss Wealth Management

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INTRODUCTION

Welcome to the Second Edition of the Options Group Private Wealth Management Per-spective. In this issue we bring to you perspectives on the changing faces of Swiss off-shore wealth management, the rise of the Asian offshore wealth management industryand the challenges facing all banks within this industry. Finally we address the waysbanks need to adapt in terms of relationship management expertise and how this canbe addressed from a human capital perspective.

With this, and all future editions of Options Groups PWM Perspective, we welcome andencourage comments and discussion. This and subsequent editions will also be avail-able on our website for download at http://www.optionsgroup.com/.

EXECUTIVESUMMARY

SWITZERLANDHASBEENSYNONYMOUSwith wealth management and offshore tax shelterssince the country opened is first private bank in 1741.i Despite significant changes inthe global economy since that time, Switzerland has retained its prestigious reputation,

and continues to hold the largest share of high net worth assets globally. However, inrecent years and accelerated by the most recent market downturn, the historic heart ofprivate banking - lack of full disclosure and consequent underpayment of taxes hasbeen subject to regulatory reforms which threaten Switzerlands leading position.

Historically Swiss law took a somewhat liberal view towards tax evasion - it was nottruly perceived as a crime. This, coupled with high end client services, attracted someof the worlds wealthiest and most discerning clients. They preferred that their assetsnot be heavily scrutinised by regulatory authorities, a situation which was afforded tothem by the Swiss numbered account banking model. It also meant that Swiss bankswere unable to assist authorities in any investigation. This is no longer the case. 2009saw the beginning of legal action being taken against banks suspected of helping cli-ents to hide money in Swiss accounts. The US Dept of Justice led the charge, levying a

$780mn fine against a Swiss bank, in exchange for a deferred prosecution agreementand the provision of client details to the IRS.ii

The domino effect of the US agreement meant that the UK, Italy, France, Germany, Indiaand Australia all followed suit; attempting to persuade their wealthy citizens to reporttheir offshore accounts in return for waived or lowered penalties, tax amnesties andimmunity from prosecution. Some reports indicated that these attempts delivered bil-lions of dollars in lost taxes.

Since 2009, there has been a significant increase in the number of Tax Information Ex-change Agreements (TIEAs) being signed. The TIEA was conceived as an agreement topromote international cooperation in tax matters through exchange of information,to address harmful tax practices.iii Between 2000 until 2004 only thirteen TIEAs were

signed, however as a consequence of the economic downturn and ongoing repercus-sions, almost 500 have been signed in the last three years.ivWithin these were a largenumber of so-called black and grey tax havens, including Bermuda, Bahamas, the Brit-ish Virgin Islands as well as Switzerland and Liechtenstein.


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The Hidden Billions

Beginning with the collapse of Lehman Brothers in 2008 and the subsequent globalmarket decline, governments have been more aggressively seeking ways to offset theirgrowing deficits, including investigating any existing sources which may have beenoverlooked during better economic times. With good reason debt is at an all-time

high, as illustrated below:

NATIONALDEBT, 2008 - 2012 (WITHPROJECTIONSFOR2013)

Even the largest global economies have had to focus their efforts on identifying over-looked sources of revenue and garnering the attendant, politically-positive headlines,which could help them offset rising deficit.

So why the focused attack on wealth management? As a comparatively small segmentof the banking industry, it has come under intense scrutiny. One could perceive thatit has been driven in large part by a media-peddled image - that of the super-rich whohave, for generation upon generation, escaped paying their taxes and dues. So is thisa fair illustration?

Looking objectively at the figures, it is possible to see that there is some substanceto the medias focus. According to a 2011 Booz & Company survey, deposits by West-ern UHNW and HNW individuals totalled CHF850bn of which an average of 61.5%was undeclared.v Broken down further; German deposits of CHF210bn includedCHF126bn undeclared, from the UKs deposits of CHF60bn, CHF38bn is assumed to beundeclared.vi

Media perception was in fact reality; there were large sums of under-taxed assets which,though clearly not capable of bringing about the end to financial deficits and politicalwoes, would address some of the general publics backlash against the wealthy, whilstadding some much needed money to the shrinking coffers. For example, as a resultof the Italian tax amnesty in 2009, 80bn was raised from an estimated 500bn unde-clared offshore assets.vii

Source: OECD Economic Outlook No.91, OECD Economic Outlook, Statistics & Projections


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OPTIONSGROUP2012/2013GLOBAL FINANCIAL MARKETS OVERVIEW

& COMPENSATION REPORT

150+ PAGEREPORTCOMPENSATIONFORECASTSACROSS6 REGIONSFOR1,500+ ROLES

SIGNIFICANTPEOPLEMOVES

To Be Released December 2012Contact your Options Group Consultant for Details

SELECTPEOPLEMOVES

SOURCES: ABS Alert, Alternative Investment News, Alpha Magazine, Asiamoney, Bloomberg, Bond Week, The Boston Consult-ing Group, BusinessWeek, Derivatives Intelligence, Dow Jones, eFinance, Euromoney, Financial News, Financial Times, Fortune,Investment Dealers Digest, New York Times, PE Week, Risk, Thomson Reuters, The Wall Street Journal, WealthBriefing

NAME TITLE CURRENT FIRM PREVIOUS FIRM

James Bowen Partner Agenda Invest Geneva UBS London

XiaofengZhong CEO Hong Kong and North Asia ex Japan Amundi Hong Kong Credit Agricole Hong Kong

Thierry Mequillet CEO Amundi Hong Kong Internal Promotion

TimonTam Hang MD, Head Investment Consulting North Asia Bank Sarasin Singapore China Construction Bank Hong Kong

Rene Burgisser Head Private Banking Basler Kantonalbank Zurich Internal Promotion

Akshay Jaitly Head NRINorth Asia BNP Paribas Wealth Hong Kong Axis Bank Hong Kong

Michael Blake General Manager Asia Coutts Hong Kong Internal Promotion

RanjitKhanna Head Southeast Asia Coutts Singapore Internal Promotion

Dina Bsiesu Managing Director, Middle East Credit Agricole Suisse Geneva Standard Chartered Geneva

Serge Fehr Head of Region Geneva, Domestic Private Banking Credit Suisse Ge neva Internal Promotion

Stuart Milne CEO India HSBC Mumbai Internal Promotion

Daniel Savary Head EMME Julius Baer Zurich Clariden Leu Zurich

Pierre Pinel Chief Investment Of ficer & Head Strategist for PWM Mirabuad & Cie Geneva BNP Paribas Wealth Geneva

Thomas Egger Partner Parkview Adv isors Zurich UBS Zurich

SelimFeghali Head of Office Quilvest Geneva HSBC Geneva

Cindy Chang Segment Head, UNHWGreater China UBS Hong Kong Credit Suisse Hong Kong

Stella Lau Executive Director, UHNW UBS Hong Kong Credit Suisse Hong Kong

AkosKiraly Director, UHNW Russia & CIS UBS Singapore UBS Zurich

Ian Pollock CEO VP Bank Singapore VP Bank Hong Kong


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A swathe of regulations quickly passed in a number of jurisdictions, all addressing thetax evasion that was seen to be rife in the Swiss wealth management industry. Franceled the way; the government reached a revised tax treaty with Switzerland in August2007, making it clear they would actively pursue Swiss bank account holders who didnot regulate their tax affairs within a prescribed period of time. In the UK, Schedule 10was appended to the Finance Act (2007), dealing specifically with penalties for non-

declaration or deliberate concealment of offshore income. The UK tax disclosure pactwas signed with Switzerland in October 2011. This required UK citizens with offshoreaccounts in Switzerland to settle their outstanding tax bills in lump sum payments ofbetween 19-34% of funds held.

Germany passed a similar pact in September 2011 which was later amended in April2012. The amendment offered those with significant tax amounts outstanding the op-portunity to bring their affairs in order by means of voluntary disclosure or by makingan anonymous single payment.

By 2012, the effects of the additional pacts and regulations have forced the Swisswealth management industry to make significant revisions to key tenets of its culture.These revisions have raised questions as to whether Switzerland can remain the global

wealth management capital as a white money haven, particularly when it must nowcompete with the emerging East; Hong Kong, Singapore and Indonesia.

SWITZERLAND

Historically the epicentre of wealth management, Switzerland has come under sus-tained scrutiny in the past few years; moving from being a haven for the wealthy tobeing tarred as a repository for billions in undeclared assets. In light of this shiftinglandscape, both Swiss and international banks have been forced to re-evaluate theirbusiness models, placing the emphasis on value added services and investment man-agement.

James Persse, Managing Director at the Geneva office of Barclays Suisse, comments,Swiss banks, and particularly those that focus on traditional European markets, havehad to drastically change their business models to one of service orientation, execu-tion excellence and asset management performance. This requires a shift in mentalityfrom the inherent historic view of automatic Swiss banking superiority to one of com-petition with new wealth management jurisdictions.

Persses comments are echoed by Alexander Friedmann, CIO of UBS. In a recent in-terview, he stated that the emphasis going forward for his firm will be on investmentmanagement. Friedman said; The core of this place is wealth management. So un-less we outperform as investment managers, the business model has to come up withsomething new. viii

Where UBS goes, others tend to follow. The importance of increased service for cli-ents is similarly reinforced by Philip Harris, Royal Bank of Canadas Head of UK WealthManagement, who said that the three tiers of focus for the bank are wealth apprecia-tion, wealth preservation and wealth distribution. Emphasising the brave new worldof full tax disclosure and transparent wealth management Harris commented thatbusiness models are not predicated on tax avoidance. The focus will be compliantconfidentiality; the setting up of legitimate structures rather than the cloak of secrecyused by other jurisdictions. When asked whether he thought that Switzerland would


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remain competitive Harris said, Yes it will have to be. Banking is one of its principalexports which Switzerland cannot turn its back on. A new order is being developed;Switzerland will not be foolish enough to stand in the way.

According to the State Secretariat for Economic Affairs (SECO) (see table below) we cansee that the Swiss banking industry contributed 10.3% of GDP in 2011. ix The signifi-

cance of this contribution underpins Harriss sentiments.

KEYFIGURES2010/11

Retaining the Platinum Edge

Switzerlands private wealth management legacy and prestige is one of its greatest as-sets in the fight to retain dominance. Heiner Weber, Head of Geneva for Falcon Private

Bank, said, Switzerland has unique strengths in operations, human capital, legal andeconomic environment. On the operational side I would like to highlight the qualityof the IT systems and the SIX clearing system; the professionals adhere to a high stan-dard, are service minded, multilingual, have a risk management culture and are usedto working in different markets and booking centres.

The paths that banks are following are twofold. First, an increased emphasis on on-shore banking and second, carefully navigating regulatory line in terms of what can beoffered to clients based on their jurisdictions. Between the demands of infrastructure,compliance and risk management, and staff retraining, operating costs have been onthe rise and are expected to continue for the foreseeable future. To add further pres-sure on industry revenues, this increased emphasis on onshore banking has reduced

its ability to offer offshore banking to US citizens. For example, as a consequence ofthe actions in 2009 of the US Department of Justice, a number of Swiss banks no lon-ger provide any offshore facilities to US citizens.x

Christian Bouille, Executive Director at Banco Ita on this topic, advised that the bestavailable solution [for banks] is to think locally, establishing an onshore presencewhere they can get closer to clients [and] can provide services and financial solutionswhich are 100% compliant with local regulations. Indeed we are already seeing banksdoing this. When asked whether there would continue to be a rise in offshore bank-ing for emerging economies, his view was in the affirmative but, in a completely dif-ferent way. Offshore banking has the importance of the diversification of risk and willbe more connected to clients business needs...this is where offshore banking has thepotential to grow.

Zurich Perspective

Simi Dhody, newly promoted Partner of the Private Wealth Management practice andhead of the Options Group Zurich office, says there is a continued drive toward spe-cialisation - in both market and expertise. New client coverage models require hireswith strong investment competence and the ability to communicate effectively withclients. Given current market and global economic conditions things are likely to get

Source: Swiss Banking Association


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worse before they get better - I believe that there will be significant consolidation andcontraction as we face the regulatory and economic challenges ahead.

ASIA

Bouille discusses his views on Asias wealth management future, bearing in mind that

regulators are putting more and more pressure on the system, I cannot see Asia retain-ing its current offshore status in the long run. It is a booming market that benefitsfrom huge commercial inflows from Europe and the US. Asia is building up expertise inprivate banking but I would say that their advantage is really on the commercial side. Ibelieve that Switzerland will remain one of the most valuable private banking hubs inthe world based on experience and flexibility.

Bouilles emphasis on the experience and flexibility available in Switzerland mirrors theview expressed by all our Swiss-based commentators, both in terms of what Switzer-land already has in place, and what changes need to be made for it to remain at theforefront of wealth management. Weber expands on this, I do believe that Switzerlandis the preferred booking centre for UHNW families. It is true though, that the growth inChinese or Asian centa-millionaires is staggering, and those new Asian UHNW clients

will most likely book a large part of their assets in Asia.

Domestic Asian Growth

In addition to wealthy individuals seeking new jurisdictions in order to diversify, theboom and development in Asia has been underpinned by the emergence of a localmiddle class. Chinas increasingly liberalised approach to individual wealth has creat-ed conditions which have enabled the proliferation of millionaires. This will ultimatelyresult in more even distribution of national wealth rather than a monopoly of super-rich families, as in Russia post-1991. James Persse takes up this thread, ...currently ser-vices can be provided locally from Singapore meaning no need for services cateringto Asian clients out of Switzerland. The nascent wealth management sector in Asia

is ideally located to capture this local wealth rather than focusing all of its attentionon attracting grey money. Philip Harris echoes this; with China seeing a growth of amiddle class, a great deal more money is staying locally. No one is too late in terms ofservicing that client base.

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The International Impact of Asian Growth

According to the 2011 CapGemini/Merrill Lynch World Wealth Report, the wealth ofthe HNWI in the Asia Pacific region grew 9.7% in 2010 to over $2.8tn compared withEuropes 6.3% growth to $10.3tn.xi It is clear why many wealth management firms havefocused their expansion plans East. In 2011, a Bain and Company survey estimated

that 60% of mainland Chinas residents with $15mn or more have either already leftthe country or have made plans to leave. Many of these families have already senttheir children overseas to complete their education.xii

The advent of the wealthy middle class in China may be of less benefit to Switzerlandbut could still be a positive for London. Harris said, London is still the global hub;London super-prime property is viewed by many international investors as better thanT-Bills. Investor visas from Hong Kong and China are on the increase although as yet,no Chinese mortgage requests. We sense that this is only a matter of time; Kensingtonand Chelsea have long been the preferred pied a terre purchase locations for wealthyRussians; Chinese investors cannot be far behind. It hasnt happened yet, however- over the past 12 months, the main international buyers in London have been fromRussia, India, Italy, the US and France, according to Knight Frank research.xiii

Unsurprisingly, the local view of Asias strengths differs markedly from that espousedin Switzerland. Marco Bardelli, CEO Asia of UBI Singapore, states that, capabilities inmain Asia offshore centres are now at best-in-class levels and the proximity to growthopportunities that lie within the region are also aspects that investors are taking intoconsideration. Contrary to certain expectations, regulations in the core Asian jurisdic-tions are increasingly convergent with the core aspects of regulations in Switzerland.Instead of becoming a grey money jurisdiction, Singapore especially is notable lessfor the differences in regulatory approach, than for its similarities with other globaljurisdictions. On this last, Marcos view is, ...this will ultimately benefit customers butalso those players who will quickly adapt in successful fashion to the upcoming newenvironment.

Much like our European commentators, Bardelli believes that Switzerland could re-main the worlds most important private banking centre, however, it will be just a mat-

ter of time before [Asia], and especially Singapore, will surpass Switzerland. A well de-fined regulatory environment is also giving Hong Kong and Singapore the necessaryinternational recognition in order to be world class players.

HUMANCAPITAL

As with any major shift within an industry, the competitors with the best talent have adistinct advantage. In this particular case, the evolving tax and regulatory landscapeshave been a steep learning curve for all, and it would be difficult to say whether anyone bank currently has an edge in terms of expertise.

Despite the stresses and costs of adapting to this brave new world, banks must not losesight of the fact that human capital is their most precious asset. It can be very tempt-ing in such a risk-averse environment to shy away from making big hires, which can be

perceived as potentially risky decisions. When a bank limits its hiring programme - failsto bring in fresh talent, revenue generators and business developers - this creates astagnant business, which ultimately hurts morale and reduces profitability. Bardellibelieves, the concentration of global functions of important players in the two hubs isa good catalyst for the attraction...of talent in this part of the world, recognising the con-tinued importance of the human capital element. He continues more training will be amantra for the years to come within the various HR departments, especially [for those onthe] front line.


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Hiring at all levels is now typically taking significantly longer than pre-2007, as a result ofboth lengthened recruitment processes and increased due diligence by both hiring in-stitutions and candidates. Whilst we applaud increased rigour in hiring - one of the keysdrivers to ensure right fit for both sides - when taken to extremes this leads to unneces-sarily drawn-out processes and increases the chance of losing a hire. A balance needs to

be struck between due diligence, thoroughness and commercialism.Key Trends

Options Group has seen a marked premium now being placed on client-facing bankerswith highly developed technical and product expertise. Tax knowledge has been grow-ing in demand, although as previously mentioned, tax was not typically the domain ofbanks, a thorough understanding of UHNW tax issues has become a necessary facet ofany team in order to remain truly competitive.

We are seeing an increase in compliance levels being ranked alongside major commer-cial achievements on the resumes of senior bankers. They must not only demonstrate theability to attract assets, retain clients and develop a strong revenue stream; this has to bedone whilst maintaining high compliance standards.

Another growing trend is cross-selling. Banks are developing teams specialising in offer-ing UHNW clients a broader portfolio of products and services including those tradition-ally offered to institutional clients. Private client commercial advisory and M&A teams- often joint ventures between the wealth and investment banking arms - continue to bedeveloped across EMEA. Although certain institutions - Credit Suisse being a prime ex-ample - have embraced the one bank structure for some time, we have noticed recentlyother large wealth management institutions beginning to adopt this type of holistic ap-proach.

In a difficult hiring market, it is increasingly critical for firms and their search partnersto work towards achieving short and long term goals. Heiner Weber has a strong viewon this, ...for a recruiting bank, it is essential to be accompanied by the right executivesearch firm; which is for me a firm who has my interests at heart, which means a firm that

is as interested as I am, that the candidates will be successful in my bank in the long term.That is the major characteristic Im looking for.We couldnt agree more. As the wealth management industry continues to evolve,search firms must also modify their approach, focusing on those candidates with the abil-ity, skills and flexibility to effectively navigate both current and future challenges. Thesetalents can require months or even years to identify.

CONCLUSION

We have witnessed significant changes in the wealth management industry overthe past decade, particularly post-crisis. If we work on the assumption that Swissbanks change their model in the manner we have discussed; despite the wealthmanagement industry in Asia continuing its expansion and providing stiff com-

petition and challenge to the Swiss banking status quo, Switzerland should re-main the global capital of wealth management. Currently the full impact of thegrowing population of millionaires in Asia has yet to be seen, therefore it is notyet clear whether there will emerge a new globally dominant jurisdiction. Swissbanks, in order to retain their leading position, must continue to create a newclass of sophisticated private bankers with an emphasis on asset managementand transparency. The key question remains, how do firms identify and attractthese individuals?


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OPTIONSGROUP

Options Group, with fourteen global locations and dedicated private wealthmanagement teams in Zurich, London and Hong Kong, bridges the gap be-tween clients needs and candidate selection. Our specialists are dedicated pri-vate wealth management consultants with local expertise who leverage ourglobal network to provide comprehensive unbiased information to our clientsand our candidates.

We believe that long term, fruitful working relationships with clients are builtover time on trust, commitment and ready delivery of market expertise. Overand above traditional search work we provide our clients with a broad portfo-lio of services including market mapping, competitive compensation analysis

and compensation forecasting. In addition to our Private Wealth ManagementQuarterly Perspective, Options Group publishes daily newsletters, quarterlyhedge fund reviews, global candidate surveys and our Annual CompensationReport. Please contact your Options Group consultant for additional informa-tion.

FORTHCOMINGEDITION

The Rise of the Family Office: Options Group examines the principal differenc-es and benefits of single family offices, multi-family offices and specialist familyoffice units at full service banks from the perspectives of both clients and bank-ers. We will also discuss growth trends and our forecasts for these businessesin 2013.

What change in compensation are private bankers expecting in 2012?What are the highest priorities when considering switching firms?

How do your peers feel they have performed this year?

To see the answers to these questions, please take our survey. Click on the link below or copy

and paste it into your browser. The survey takes no more than ten minutes to complete and inexchange for your participation, you can elect to receive the statistical results of the survey whenreleased later this year. Instructions are provided at the end of the survey and all responses areanonymous.

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OPTIONSGROUPGLOBALPRIVATEWEALTHMANAGEMENTPRACTICE

Simi Dhody - Partner, Private Wealth Management - Zurich

Simi manages Options Groups Global Private Wealth Management Prac-

tice as well as the firms Zurich office. She has been in Zurich since 2002

and has several years experience within financial services executivesearch. Simi currently covers senior mandates in Continental Europe, the

Middle East, UK, India, and Latin America. She began her career with theOberoi chain of hotels and helped them set up their corporate marketing

system across India. Simi attended St. Stephens College at Delhi Universi-ty and graduated with an Honors degree in Economics. She also received

a Post Graduate Diploma in Marketing Management from the CharteredInstitute of Marketing in London. She is fluent in English, Hindi, and Ben-gali and is conversant in German and French.

Lyssa Barber - Director, Private Wealth Management - London

Lyssa is based in London and is responsible for private wealth manage-ment executive search, focusing on senior level, front office mandates in

the UK, Europe and the Middle East. She joined Options Group with eightyears experience in wealth management executive search and over 13

years experience across broader recruitment disciplines, including M&A,corporate finance and technology. She was previously head of privatewealth recruiting at a boutique search firm. Lyssa holds a PGCE from Ox-

ford University Dept. of Educational Studies and a BA (Hons.) in Frenchand English.

Geoff Bevan - Director, Private Wealth Management - Hong Kong

Geoffrey brings with him over 5 years of specialist recruitment experiencein the Asia Pacific Market and is one of the top 4 most recognized PrivateWealth Management search consultants in Hong Kong and Singapore.

Geoffrey has extensive executive search experience, initially with HongKong-based Morgan McKinley, where he was specializing in middle-office

mandates. He later joined MRIC (Chinas largest Executive search firm) asthe Head of Private Wealth Management for Asia. Geoff was most recently

running the Hong Kong Private Banking practice of Execuzen and alsoheading the Asset Management business for Asia ex-Japan. He graduatedwith from Yonsei University and speaks English and conversational Ko-

rean.

Elizabeth McLoughlin - Vice President, Market Intelligence - London

Elizabeth has worked in executive search research since 2005 managingresearch Capital Markets, Investment Banking and the Buy Side across

global financial hubs. Elizabeth joined Options Group in 2010 to help de-

velop and build the EMEA Investment Banking business and is now re-sponsible for the EMEA Private Equity business. She joined Options Groupafter working at the Omerta Group where she was responsible for FICC

and Investment Banking across CEEMEA. She has a first class honours de-gree in Classical and Archaeological Studies from the University of Kentwith a Masters (Distinction) in Historical Film Theory.

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HR-SQUAREDANDOPTIONSGROUP

In addition to executive search and market intelligence, Options Group, in conjunction with itsspecialist unit HR-Squared Consultants, provides clients with advice on strategic human capital

demands. These include but are not limited to:

Compensation Review & Benchmarking

Headcount & Gender Analysis

Global Recruitment Trends and Analysis

Hiring & Onboarding Process Review

Jim Ward - Partner, Newport Beach

Jim is currently an Executive Director and Head of Options Groups Asset Manage-ment practice, based in Newport Beach. Jim is also a Managing Director at HR-

Squared Consultants. Prior to joining Options Group in 2010, Jim served as Execu-

tive Vice President, Head of Human Resources for Pacific Investment Management

Company (PIMCO). At PIMCO, his responsibilities included global supervision ofexecutive search projects for a broad spectrum of financial services talent. Jim has

over twenty years of experience in Human Resources, including domestic and in-ternational positions. Jim began his career with Salomon Brothers, where he heldexecutive level positions in their New York, Tokyo and Hong Kong offices. During

his seven years in Asia, he led the expansion of Salomons business throughout

the Asia Pacific region. Jim holds a Masters Degree in HR Management from The

University of Houston. He has written numerous articles on HR related topics andpreviously served on the Advisory Committee of the Center for Human Resources

at Wharton.

Amy Margolis - Senior Advisor, New York

Amy Margolis joined Options Group as a Senior Advisor in December 2011 where

she is helping to launch its Human Resources practice, HR-Squared Consultants.Prior to joining Options Group, Amy recently completed a consulting assignment

with Prime Services at Credit Suisse where she was a part of the Advanced Prime

Services Consulting Team. Previously, Amy spent 28 years at Merrill Lynch where

she was a Managing Director and Head of the firms Global Markets Financing &Services Talent & Human Resources Consulting Group. In this role, she served as

a senior consulting resource to Merrill Lynchs clients on a wide range of talent is-

sues, including recruiting, training and development, compensation and benefits.From 1996-2002, Amy served as president of the Board of Trustees for the Susan G.

Komen Foundation of New Jersey, and was its 2008 honoree for the annual Pink

Tie Ball. She graduated from the University of Hartford where she obtained a BS inpsychology and behavioral sciences.

Stefan Agius - Vice President, London

Stefan joined Options Group in 2010 as a member of the EMEA Equities ExecutiveSearch team, consulting our global sell-side and buy-side client base. He is also a

member of HR-Squared Consultants. Prior to Options Group, Stefan co-founded

Melita Associates, a boutique career and executive search consultancy firm fo-

cused on sourcing Equity Derivative Sales professionals from the major sell-sideand buy-side financial services firms in Europe. Prior to this, he worked at Global

Executive Search. Stefan began his career as a Senior Statistician at the National

Statistics Office in Malta, focusing on analyzing data as well as drawing up andissuing reports assessing the agricultural situation in Malta in view of its EU acces-

sion in 2004. Stefan holds a B.Com (Hons) degree in Banking and Finance from the

University of Malta, and an MSc degree in HRD and Performance Mgt. from theUniversity of Leicester.

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BIBLIOGRAPHY

ihttp://en.wikipedia.org/wiki/Wegelin_%26_Co

iihttp://www.nytimes.com/2009/02/18/business/worldbusiness/18iht-UBS.20289166.html

iii

http://www.oecd.org/ctp/exchangeofinformation/taxinformationexchangeagreementstieas.htmivNB: 471 TIEAs have been agreed between 20th January 2009 and 15th May 2012, http://www.oecd.org/ctp/exchangeofinformation/taxinformationexchangeagreementstieas.htm

vCarlos Ammann, Andreas Lenzhofer, Daniel Diemers, Stefan Kramer, Booz & Co.The Future of Swiss Offshore Private Banking, Accessing the Impact of the New Abgeltungssteuer-Abkommer(Withdrawing Tax Agreements) for Switzerlands Private Banking Industry? (2011)http://www.booz.com/media/uploads/BoozCo-Swiss-Offshore-Private-Banking-Abgeltungssteuer-Ab-kommen.pdf

viCarlos Ammann, Andreas Lenzhofer, Daniel Diemers, Stefan Kramer, Booz & Co.The Future of Swiss Offshore Private Banking, Accessing the Impact of the New Abgeltungssteuer-Abkommer(Withdrawing Tax Agreements) for Switzerlands Private Banking Industry?(2011)http://www.booz.com/media/uploads/BoozCo-Swiss-Offshore-Private-Banking-Abgeltungssteuer-Ab-kommen.pdf

viiItaly Tax Amnesty Yields Record 80bn http://www.ft.com/intl/cms/s/0/35dfa00a-efd9-11de-833d-00144feab49a.html#axzz1qdpejkLX(23rd December 2009); Hidden Swiss funds must return in Italian taxamnesty http://blogs.reuters.com/financial-regulatory-forum/2009/10/12/hidden-swiss-funds-must-re-turn-in-italian-tax-amnesty(12th October 2009)

viiiElena Logutenkova, UBS Seeing Moat of Secrecy Run Dry Vows Results http://www.bloomberg.com/news/2012-08-20/ubs-seeing-moat-of-secrecy-run-dry-vows-results-to-lure-wealthy.html (21st August2012)

ixhttp://www.swissbanking.org/en/home/finanzplatz-link/facts_figures.htm

xLynnley Browning, UBS to pay $780million fine over offshore serviceshttp://www.nytimes.com/2009/02/18/business/worldbusiness/18iht-UBS.20289166.html (18th February 2009)

xiWorld Wealth Report http://www.ml.com/media/114235.pdf (2011)

xiiChina Private Wealth Report, Chinas private banking industry: Competitions is getting fierce http://www.bain.com/Images/2011_China_wealth_management_report.pdf (2011)

xiiihttp://resources.knightfrank.com/GetResearchResource.ashx?versionid=1408&type=1

ACKNOWLEDGEMENTS

We would like to acknowledge with kind thanks all the professionals whose valuableinsights have made this piece possible.


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‘The Future of Swiss Wealth Management’