Wealth management is one of the three cornerstones of expertise, alongside business and retail banking, underpinning Banque Cantonale du Valais’ success. Its unique positioning in the Canton of Valais makes BCVs the perfect partner for a highly competitive landscape.
BCVs exploits its privileged position in Valais for its wealth management business. Its traditional individual customers and its business client base, with their deep roots in the local economy, round out a market segment that is specifically geared towards individual needs and help towards further expansion of BCVs’ private-banking business.
Onshore strategy and tax compliance
The Bank favours an onshore approach. As a result, it primarily targets customers living in Switzerland and, especially, in the Canton of Valais. BCVs has also adopted the strategy of tax compliance with regard to business relations with its customers, particularly clients living outside Switzerland. On this score, European customers who honour their tax commitments in their country of domicile will still be able to open accounts with BCVs provided that they initiate their relationship on Swiss territory. Wealth and asset managers are spread across the various regional branches and sales outlets in the canton’s main ski resorts. They keep in close contact with clients who require advisory services and tailor-made products due to the extent of their assets.
BCVs’ Asset Management department, with its thirty or so staff, undertakes a range of activities involving, in particular, portfolio management of customers’ wealth under management agreements, asset management of BCVs investment funds, selection of financial products and investment ideas for client advisors, the processing of stock-exchange transactions and securities custody management. They also assist and support client relationship managers in their roles.
As of end-2017, custody accounts totalled CHF 8.91 billion, a rise of CHF 843 million or 10.46%. Commission and trading revenues have also been rising impressively in recent years and have been one of the cornerstones underpinning BCVs’ excellent results.
After two decades of successful development, BCVs posted strong growth in 2017 in its delegated management products, which encompass over 1,000 mandates covering assets now in excess of CHF 2 billion.
Under its wealth-management business, BCVs tends to favour delegated discretionary management through management mandates formulated in-house. Three management mandates make up the Bank’s offering, each one offering several configurations (risk/return) depending on the investor profile.