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Being a Client How does it work? Characteristics Advantages and disadvantages Services Client's profile Types of banking

How to be a client of private banking in Andorra?

private banking in andorra

Private banking allows this assets to be managed correctly by true professionals in the area. The private banking financial advisor takes the client’s capital as an asset.This asset pays off and that is a benefit for the customer and the bank.

Private banking helps investment and financial and tax planning for those with a wealth. The objective is to develop an adequate financial or investment strategy to protect and improve wealth.

The banks Andorra advise, fund and manage the assets.They adapt to the needs and requirements of each of their clients.

It is important that clients or future clients have high wealth or income. The minimum capital must be 300,000 euros. Some entities ask for a higher estate.

However, many people or companies go to private banking for advice. Regardless of the value of your assets.

How does private banking work?

Andorran private banks prepare financial planning that serves as a methodology for a correct investment strategy. To do this, they must know what their client’s assets are and what their objectives are.

The next step is to develop the plan to be followed. That is, the financial plan, to achieve the objectives.

Then, once the game and endpoint are known, the correct assets are selected. This process or phase is called an investment portfolio.

Once the investment starts, the so-called follow-up phase begins. In this phase, not only is the client monitored, but also the financial markets. In these phases you must also have the support of a wealth manager.

In the end, the advisor takes vital importance.This professional will be in charge of identifying the different variables to change the initial investment strategy or maintain it.

private banking management in andorra

Characteristics of Andorra’s private banking

  1. Estate planning.
  2. Tax planning.
  3. Financial planning.
  4. Fully individualized management.
  5. They offer quality products and services.
  6. They maintain a strong relationship with the client.

 

Advantages and disadvantages of private banking

Private banking has many advantages and although its disadvantages are minor, it also has them.

Some of its advantages are:

  • Good and excellent customer service.
  • Personalized management.
  • They cover the exact needs of the investor or client.
  • Constant attention and assistance to the client.
  • Control of the evolution of investments.
  • They take care of and increase the wealth of their clients.
  • Exclusive and fast attention.

Some of the disadvantages of private banking are:

  • It is not a free service. The client must face a commission.
  • It could happen that the benefit you receive is not in favor of the client, but in favor of the bank itself.

Most common services of Private Banking in Andorra

  • Asset Management (evaluation and development of objectives, strategies and business plans).
  • Trustee: money management with a trust.
  • Investment in real estate assets.
  • Investment in money markets and capital markets.
  • Wealth management, both movable and non-movable.
  • Family office services.
  • Intergenerational planning.
  • Credit Cards (free).
  • Free insurance.

The client profile of private counseling

In private banking, it is very important to prepare the customer profile. Know everything you need to act.

You should know:

  • Risk profile.
  • What is your current tax situation.
  • Profitability targets.
  • Liquidity needs.

Types of private banking

There are two ways to structure the service provided by private banking.

  • American Style – Focuses more on the wholesale banking business or corporate customer.
  • The Swiss-Spanish style: focused on clients with high wealth. They help them to control them correctly and at the same time improve their quality of life.

 

 

Rating of 5 on 1 votes

07-05-2020

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