Rus News Journal

To 100 billion dollars

the Russian market private banking

Can grow addressing to conferences Management of the private capital in Russia the chief executive of investment bank UBS Michael Kjuntsi has declared that the market potential private banking in Russia makes an order 100-300 mlrd dollars in July of this year the largest players estimated this market at 6-50 mlrd dollars In 2007 volume of the capital which is under control of banks, will grow at least on 30 %, experts consider.

according to participants of the market, the next years volumes involved in private banking means considerably will grow. at the moment the market on management of the private capital is far from saturation. Under control of investment banks is only 10-20 mlrd dollars, - Michael Kjuntsi considers. - In the near future we expect essential growth against a favorable economic situation . According to the chief of department of work with private capital Credit Suisse of Alexey Rodzjanko, intensively growing indicators of the Russian economy will promote that in the near future the quantity of well-founded citizens considerably will increase. And it in turn will lead to growth of the market of services private banking. We believe that in the long term the next ten years Russia will occupy 5-7 place among economically developed countries of the world - Alexey Rodzjanko has told daily.

However while this segment of the market is not so developed partly owing to that in Russia is not enough millionaires or they do not use domestic private banking. According to the councillor of directors of Russian investment club Bogdana Soloduhi, today the average minimum sum from which the client is included into bank or the company, makes 100 thousand dollars Objectively, that business was profitable and brought in the income and to bank, and the client, it should make from 1 million dollars - tells Bogdan Soloduha. - Clients are yet ready to bear money in banks, especially for long terms. It is connected by that in Russia long time was not investment culture .

However, as they say in report PwC, participants of the market expect that in 2007-2008 the situation will cardinally change. about 50 % of means existing clients, about 40 % - those who did not use earlier on management of the large private capital will entrust, and only a little more than 10 % of new money can come from competitors - quotes answers of bankers PwC.


One of these days PricewaterhouseCoopers (PwC) has presented results of research of the Russian market private banking. the Total amount of means under management in Russia does not exceed 10-12 mlrd dollars it was told in the company report. At that point in time, according to PwC, only at four of 18 organisations interrogated by the company the volume of means under management exceeded 1 mlrd dollars Four more operated a portfolio from 500 million to 999 million dollars, at five organisations in management was from 100 million to 499 million dollars of means of well-founded clients. According to the research data, in 2006 the gain of the capital which is in management of the companies and banks, has made from 60 to 100 %.