Private Banking as a Luxury field of banking

Abstract

Private Banking is a sector of banking that arose when banks started offering more lucrative investment opportunities to rich customers, and by rich, millionaires and other such wealthy families and business owners. Due to their enormous concentrated wealth, the banks could offer better returns for investing in more profitable areas; something which cannot be done with small sums of money. Naturally, this excludes a large percentage of the population, so it is correct to say that Private banking is highly exclusive in its nature. Private Banking generally around the world is on a steady up trend, as more and more investors find Private Banking is able to provide them with services a public bank might not. For example, in India for the past decade Private Banking has been on a very steady rise, as each year new found wealth is deposited in the Private Banking system. Due to India’s status as an up and coming world power, this is a strong indicator at the success of Private Banking. In addition to providing exclusive investment-related advice, private banking goes beyond managing investments to address a client's entire financial situation. Services include: protecting and growing assets in the present, providing specialized financing solutions, planning retirement and passing wealth on to future generations.