KBank Private Banking resists COVID-19 crisis, showcasing its customer portfolio growth of more than 9 percent, with investment strategies suited to any market circumstance; "3S" - Sustainability - Sharing - New S-Curve still in focus
KBank Private Banking (KPB) has announced its success in upholding its customer portfolio to grow more than 9 percent amid the COVID-19 crisis. KPB's investment strategy can generate sustainable returns regardless of any economic circumstance while also continuing to focus on the '3S' strategies of Sustainability, Sharing and New S-Curve. KPB is confident that it will maintain its leadership in the Thai private banking industry in 2021
Mr. Jirawat Supornpaibul, KBank Private Banking Group Head, said "The COVID-19 pandemic sent global stocks into a tailspin early this year before they bounced back. Of late, many bourses including China's A-share, the US and Japanese stock markets have rebounded to their pre-pandemic levels. KBank remains confident in its investment strategies focusing on diversification under the core and satellite investment approach. Notably, its recommended funds have offered remarkable returns, such as K-GA, K-CCTV which invests in China's A-Shares, K-CHANGE which focuses on global stocks of companies operating businesses that positively impact global society, and K-HIT investing mainly in shares of four megatrends. Customers are recommended to hold the K-Alpha and aspiration portfolio that focuses on alternatives over the long term. Its recommended customer portfolio has generated a return of 9 percent in 2020."
"Throughout 2020, KPB has maintained its 3S strategies. The first S is 'Sustainability', whereby KPB offers investment advisory service that has sustainable goals, achieved by seeking and initiating investment that will create a positive impact on the environment and society. The second S is 'Sharing', as KBank believes that individuals and society must forge ahead together. For this reason, KBank has collaborated with all sectors, including charitable organizations and relevant agencies, in providing support to build societal unity in a sustainable manner. The third S is 'New S-Curve', whereby KBank helps customers to build their wealth by investing in businesses of the future abroad via mutual funds."
Meanwhile, KPB is organizing the "Perfect Wealth Perfect Night Special Concert" to announce its intent to help charitable organizations in Thailand. To this end, KPB will coordinate with both donors and recipients to ensure that the donated funds are passed on to the recipients systematically. In addition, KPB will offer advice on financial literacy to charitable organizations so that they have stronger financial health and sustainable asset management systems. Family wealth planning service will continue to be a key for KPB to foster strong relationships with customers and expand the new customer base. In 2021, KPB is scheduled to introduce an array of new services, which include helping clients set up their family offices and carrying out philanthropic and passion investment activities, such as art and amulet collection.
Moreover, the Real Estate Advisory Service offers advice on land use planning and monitoring. Based on conversations with customers concerned about the land and building tax, it was found that 90 percent of land in question is still awaiting development or is not ready for development, which could cause customers to incur higher tax rates. KBank believes land loan for investment will be crucial for increasing assets under KBank management. At present, more than 100 customers have expressed interest in such loans. KBank has already approved a credit limit of around 9 billion Baht and is in the process of approving another 5 billion Baht.
Mr. Jirawat said in closing, "Business operations under KBank Private Banking continued to grow in 2020, with approximately 12,000 customers and assets under management of around 800 billion Baht. Total investment assets currently stand at around 540 billion Baht, or roughly 67 percent of the overall figure. For 2020, KBank continued to reinforce its image as provider of the most comprehensive personal finance advisory service in Thailand. This year's crowning moment came when KBank became the most awarded private banking service provider, winning 15 awards from nine world-class institutions - including 'Thailand's Best Private Bank' from several establishments like The Asset Triple A, PWM/The Banker and Finance Asia. It also garnered 'Best Private Bank for Portfolio Management Technology' in Asia from PWM, reflecting KBank's leadership in utilizing technology for managing customers' investment portfolios. In addition, KBank received 'Thailand - Best for ESG' (Environmental Social Governance) from Asiamoney, which recognizes KBank as Thailand's leading financial institution in terms of environmental conservation and operational transparency.