Hong Kong’s CITIC Securities Brokerage Limited has launched a wealth management account spanning mutual funds, bonds, and structured products, as the firm shifts focus towards private client advice.
The account, called CITICS Plus, is designed to provide clients with financing flexibility to manage investment portfolios and maximise re-investment opportunities.
Matthew Chan, who heads product management at CITIC Securities, said his firm was experiencing growing demand for tailor-made wealth management services from high-net worth clients.
CITIC Securities Brokerage Hong Kong is an offshoot of China’s CITIC Securities Company Limited, the largest securities company in China by assets under management.
As of August 2018, CITIC Securities Brokerage HK had HK$86.4 billion in assets under management, custody, and/or advice.
Tony Leung, chief executive of CITIC Securities Brokerage HK, said the firm’s onshore and offshore track record gave it an advantage over international private banks targeting high net worth Chinese.
“For us, the sweet spot is the fast-growing segment of Chinese HNWI with assets between HK$5 million and HK$12 million, who are often neglected by private banks with entry levels of HK$12 million to HK$20 million and under-serviced by retail banks that offer them unsuitable products and services.”
He said overall, the firm was shifting its focus towards wealth management services.
“We have established a dedicated team of wealth managers to provide services to Chinese customers in Northern, Southern and Eastern China, with liaison points in key provinces and cities and CITICS Plus will enable us to expand our footprint. The launch of CITICS Plus is in line with CITIC Securities Company Limited's strategy to offer both onshore and offshore products and services."
Investors were eligible to join CITICS Plus with an opening balance of at least HK$3 million.