Private banker income

Originally Posted by Terence--

I just threw away an Business Times article that I had cut about a year ago. This article states that a bank expects to earn about 1% of its assets under private banking management. Therefore, if you have clients with assets of $100m. the bank hopes to earn $1m. Of this, about 15-30% will be used to pay the private bankers's salary.

On another point, my wife is complaining about her relationship managers (RMs)with a major local bank. She says that they are so new and make mistakes with simple transactions. Often, the attending clerks know more than them. The problem as mentioned is that there is such a high turnover.

Wow... that's $300,000 (at 30%) for a twenty-something year old (i think most private bankers are young gals ...)!!!! Very well-paid. Is $100 m the typical range of client's assets they are in charge of?

Originally Posted by Unregistered

Wow... that's $300,000 (at 30%) for a twenty-something year old (i think most private bankers are young gals ...)!!!! Very well-paid. Is $100 m the typical range of client's assets they are in charge of?

First you have to find the 100M... and it is in USD not SGD
30% is way too high. Try 12 to 18% depending on banks. So ave 15% is more realistic

So as a base, USd 100 M, or SGd 130M at 15% gives you about SGD 200K

However in today's market, the target may not be USD 1M anymore, but closer to USD 1.5M
USd 1 M revenue is nonthing to shout about.