DBS plunges into private banking market in China

DBS Group plans to set up a domestic private banking presence in China, as it sees onshore wealth management to be growing in importance and that new funds are flowing in from Asian investors, according to Reuters Wealth Management.

"We want to be in areas where the bank itself is growing," said Kwong Kin Mun, DBS head of private banking for Southeast Asia, at the Reuters Wealth Management Summit in Singapore.  

He said the bank, which earns 90 percent of its revenues from Singapore and Hong Kong, is seeing new private banking inflows from Indonesia and Taiwan and plans to target China's domestic wealth market. "We are looking at setting up an onshore presence there in terms of wealth management." 

Kwong also said that some of the world's millionaires, after being burned by the financial crisis, are looking to diversify away from global banks into Asian private banks, as they seek strong institutions and exposure to the world's fastest-growing region.