Preserving capital is not enough if, in the meantime, the purchasing power of that capital diminishes. Rising inflation also means that even large portfolios face the need to defend their real value, whilst economic and geopolitical uncertainty makes it more complex to decide where to invest and over what time horizon. It is against this backdrop that Andrea Diamanti, CEO of ING Italia, has announced the bank’s entry into the Italian private banking sector, with a service aimed at clients with financial assets exceeding 500,000 euros.
“The aim now is to put the expertise and financial strength of the international group at the service of Italian clients with more sophisticated wealth management needs,” Diamanti said. According to preliminary estimates from Istat (national statistics office), annual price inflation in Italy reached 4.2 per cent in September, up from 3.3 per cent in August. This pressure makes it necessary to assess returns net not only of costs and taxation, but also of the loss of purchasing power.
For those with substantial assets, the issue goes beyond the composition of the portfolio. Shareholdings, property, financial investments and cash holdings are subject to different logics and time horizons, but all contribute to the same family financial balance. This increases the need for coordination between investment management, wealth protection, succession planning and tax matters. ING, an international banking group with a strong presence in Europe and 41 million customers in over 100 countries, has progressively expanded its offering in Italy to serve the main customer segments. A pioneer in digital banking, its entry into private banking marks a further step towards becoming a universal financial services provider, capable of supporting customers through the various stages of their lives and their professional and business activities.
“Personalisation thus becomes a crucial element of advisory services,” Matteo Pomoni, Head of Private Banking, Wealth Management & Investments at ING Italia, said. “Portfolios of similar sizes may require different solutions because financial commitments and time horizons vary.” He added: “The availability of tools and analysis becomes meaningful when tailored to the individual client’s situation.”
“The model adopted by ING can be summed up by the phrase ‘Digital always, human when you need it’: digital operations and the availability of a personal relationship when decisions require discussion,” Diamanti continued. Under the Italian scheme, clients can meet their private banker in person or remotely. There are also plans to gradually expand the offering to include advanced advice on the client’s entire portfolio, alongside services tailored to the non-financial needs of high-net-worth clients. The stated aim is “to build a comprehensive view of the client’s financial situation, from which decisions can be derived”, Pomoni said, identifying personalisation, quality of service and access to an international network as the three key elements of the model.
The operational hub is the Global Investment Centre, launched a year ago: according to figures provided by the bank, it brings together around 210 experts and manages over €100 billion. In Italy, the team led by Cristina Mazzurana translates the centre’s strategy into solutions and portfolios for local clients. The link between global analysis and client knowledge is the key factor by which the advisory service’s ability to adapt to specific needs is measured.
The plan also provides for access to private markets via ELTIFs (European Long-Term Investment Funds), alongside asset management, protection solutions and financing secured by financial assets. Another element concerns costs: ING states its intention to distinguish between product-related components and those linked to the platform, making them easy to understand. “The transparency of fees becomes particularly important when safeguarding assets requires measuring the actual return retained by the client,” Pomoni said. Private banking forms part of a broader strategy to expand the range of services, which also includes banking services dedicated to self-employed individuals, launched at the start of the year. As for medium and large enterprises, ING has been operating in Italy since 1979 through its wholesale banking division.
These commercial ambitions are underpinned by a network starting with around 40 private bankers, which is expected to exceed 200 professionals by 2030. By the same deadline, the bank is targeting €18 billion in assets under management and administration: a target relating to the range of services comprising private banking, advisory services for affluent clients and online trading.