Standard Chartered hired a Swiss banker with a past at Credit Suisse and Barclays to head its private banking business, replacing a compatriot.
Didier von Daeniken will take charge of wealth management at Standard Chartered (StanChart), the British-Asian banking institute said in a statement on Tuesday. He is known in Swiss banking from time at Credit Suiss.
With the appointment StanChart put an end to speculation circulating since the beginning of the week about the impending resignation of Michael Benz (pictured below), the incumbent boss of the unit. StanChart today confirmed that Benz will leave on December 18, 2015. Von Daeniken will start in March 2016 and work from Singapore. Benz had his office in Hong Kong. Anna Marrs, CEO Commercial & Private Banking, will lead the business ad interim.
Tough Target for New Man
Von Daeniken presumably will have a wider brief than his predecessor, judging by the title. Benz was Global Head Private Bank, whereas von Daeniken's role will be Global Head Private Banking & Wealth Management. The bank wants the wealth management unit with their product and adviser departments to work more closely with the affluent- and retail-banking businesses.
StanChart wants its new manager to boost assets under management by $25 billion through 2018; the bank currently has about $50 billion under management in Asia alone.
Anna Marrs on Tuesday said the bank wanted to significantly invest in private banking in the coming year, improving the IT and customer platforms.
Experience from Credit Suisse, Barclays
Didier von Daeniken last was in charge of private banking in Asia Pacific, Middle East and Africa for Barclays Bank as well as the expansion of the business. Until 2007, the banker was at Credit Suisse, working from the offices in Zurich, Geneva, Dubai, Istanbul and Singapore.
The appointment of von Daeniken comes as a blow to Benz who joined StanChart only two years ago, coming from Julius Baer. He was supposed to give private banking an impetus at the institute, but seems to have failed in this task.
Difficult Times – Takeover Target?
The change of top managers at StanChart is a sign that private banking is undergoing difficult times at the company. Profitability at the unit is too low, which in turn is due to the size of the business, below par in today's terms. With $50 billion assets under management, the bank is an attractive takeover target for many rivals.
Rumor has it that Credit Suisse is interested in the Asian private banking business of StanChart. If the appointment of a former CS manager will act as a catalyzer for such a takeover, time will tell.
