Falcon private bank, owned
by Abu Dhabi's Aabar Investments, expects assets under
management to nearly double in five years as it taps into
growing wealth in Gulf and Asian markets, its CEO said on
Eduardo Leeman said the bank expects its assets to grow from
$13.5 billion to between $20 and $25 billion as it expands into
the Gulf and some Asian countries.
"We will focus on emerging markets in the East as well as in
some Gulf markets where we are seeing GDP growing, wealth
growing and where there is a future for private wealth
management," he told reporters.
The Zurich-based bank bought by Abu Dhabi's Aabar
Investments in late 2008, opened its representative office in
Abu Dhabi, capital of the United Arab Emirates on Wednesday.
The bank has a representative office in Dubai and branches
in Hong Kong, Singapore, Zurich and Geneva.
In the UAE, the bank's assets under management have grown to
$600 million and are projected to reach $1 billion by the end of
2011, he said. "The UAE is the most stable economy in the region
and with increasing wealth here, we see our business growing
fast," he said.
The bank's clients in the UAE and Gulf are not just
nationals but expatriates as well, he added.
Falcon has applied for an investment advisory licence with
the UAE Central Bank that is currently under processing, he
The bank is capitalised at around $200 million after an
injection of new capital twice by owners Aabar in the last two
"The owners converted a subordinated debt into equity in
2009 and contributed $25 million in new equity last year to fuel
the growth of the bank," he said, ruling out any further capital
increases at least for the next four to five years.
Among emerging markets, Falcon is eyeing Russia, China and
Indonesia as "they are very interesting and offer tremendous
business potential," he said.
Zurich-based Falcon Private Bank Ltd was the private banking
unit of American International Group (AIG) before Aabar bought
it in April 2009.For all the latest banking and finance news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.