Strategy On Domestic Banks, The Opening Up Of The Private Banking Sector

Private banking services are designed by banks for their wealth private clients. The banks provide financial services tailored for the clients, including managing clients'assets. The banks take commission for the private banking services provided. Private banking services create fresh profit margin for the banks. It is expected that domestic and foreign banks will join the private banking services market competition after when more overseas banks are allowed further access to the Chinese banking services market.For ambitious commercial banks, the ability to provide successful private banking services is a key indicator of their core competition strength. Establishing private banking services is of strategic importance to these commercial banks, and can be achieved by applying cutting-edge technologies, by creating innovative and diversified financial products, so as to deliver services tailored for individual clients.This paper looks into the successful private banking services experiences of overseas commercial banks. References are made to the practices of UBS Warburg and HSBC Group, to explore the features and products of successful services providers, and furthermore the limitations and future strategy to develop private banking services of domestic banks.