Wealth Management/Private baking - Research Paper Example

(Carlson 2011). Most importantly, it is important for clients to have exposure to any new procedure for investment and opportunity in the context of their personal investment policy. Private banking, on the other hand, points on the financial services provisions by banks to wealthy individuals, underneath their sizeable assets of the investment. These individuals have to qualify for the private banking services, since it is a special service. Private banking services target wealthy individuals in the society.

Private banking is mainly common in developed countries because of the high number of wealthy individuals. Private banking is currently spreading to developing countries because of the high rates of developments, which give rise to new billionaires. Private banking is regulated by a specific bank where the banks set the minimum requirements for an individual to join the private banking category. The current private banking service traces its roots in Geneva and London late eighteenth century.

During this time, private banking had the sole purpose of keeping cash of rich individuals in the United Kingdom and Geneva. During that time, private banking services were mainly available for few individuals in the society and its availability was limited to London and Geneva. Currently, private banking is available in various areas worldwide inclusive of the developing nations and has services diversification from to manage cash and investment of the wealthy members of the society. Currently, most of the private banking services are made online using wire money transfer.

It is also vivid that majority of the private banking institutions are owned by intermediary companies whose transactions are mainly made through wire transfer. The intermediary investors hold the private banker’s account while the cash is kept in a different bank account. Various banking service providers have also introduced private banking services whose