AACB introduces fractional investing infrastructure for commercial clients

January 18, 2022. AMSTERDAM.

ABN AMRO Clearing is pleased to announce a new infrastructure for business clients such as brokers to allow fractional investing by their end clients.

ABN AMRO Clearing is pleased to announce a new infrastructure for business clients such as brokers to allow fractional investing by their end clients. Fractional investing is a method of investing in part of a share, instead of needing to buy a full share.

Neobroker BUX is ABN AMRO Clearing’s first client to start using this new feature. Since early January, clients of BUX might spend 10 euros to buy a fractional share in Tesla, for example. The new infrastructure has been an immediate hit, and BUX’s clients have already made over ten thousand fractional investments during the first nine days of the new feature being available on BUX Zero.

Hugely popular in the United States

In the US, fractional investing has been around for some time, and has become hugely popular. A few European brokers utilise the US infrastructure. Given the legal and supervisory hurdles that this involves, however, eighteen months ago ABN AMRO Clearing started work to develop its own infrastructure to offer in Europe. Following its launch earlier this month, the new service will soon make fractional trade possible in European shares too.

"Smart and reliable technologies are creating more and more opportunities for customised investor services."

Rutger Schellens CEO ABN AMRO Clearing

Banking as a Service

It was already possible for clients of brokers such as BUX to handle their investments from a bank account with ABN AMRO Clearing (Banking as a Service). Now, they can use their accounts to buy and sell both full shares and fractional shares. An innovative cloud-based administration system keeps meticulous track of what fractional purchases an investor has made, without ABN AMRO needing to buy more than one additional full share per fund.

Smart technologies

Smart and reliable technologies are creating more and more opportunities for customised investor services. Rutger Schellens, CEO of ABN AMRO Clearing explains, “We are active in the business-to-business segment and offer services to retail brokers such as BUX. These innovations help us to retain clients and further boost our impact and income.”

Yorick Naeff, CEO at BUX adds, “The launch of fractional investing marks an important new chapter in the normalisation of investing in Europe. As the first Dutch broker to offer fractional investing in individual stocks to retail investors, BUX continues to lead the evolution of neobrokerage in Europe.

Author

Ariën Bikker

Senior Press Officer Corporate Banking

arien.bikker@nl.abnamro.com

+31 (0)20 628 5719

UBS Asset Management to sell its holding in its Japanese real estate joint venture, Mitsubishi Corp.

March 17, 2022. ZURICH.

The transaction concludes the successful 20-year joint venture between Mitsubishi Corporation and UBS Asset Management’s Real Estate & Private Markets business in Japan

• The transaction concludes the successful 20-year joint venture between Mitsubishi Corporation and UBS Asset Management’s Real Estate & Private Markets business in Japan

• UBS expects to record a gain in Asset Management and a CET1 capital increase related to the sale of approximately USD 0.9 billion upon close of the transaction, expected to be in April 2022

• UBS’s asset management, wealth management and investment banking businesses operating in Japan are not affected by the sale

UBS Group and UBS AG (“UBS”) today announced that UBS Asset Management has agreed with its joint venture partner, Mitsubishi Corporation, to sell Mitsubishi Corp.-UBS Realty Inc. (“MC-UBSR”) to KKR & Co. Inc (“KKR”). The transaction is expected to close in April 2022, subject to required filings and regulatory approvals.

MC-UBSR was established in 2000 in the initial days of the J-REIT market as a joint venture between Mitsubishi Corporation and UBS Asset Management’s Real Estate & Private Markets business. MC-UBSR has grown into one of the largest real estate asset management companies in Japan today. MC-UBSR manages two Tokyo Stock Exchange-listed J-REITs – Japan Metropolitan Fund Investment Corporation (JMF) and Industrial & Infrastructure Fund Investment Corporation (IIF) – with total assets under management of approximately USD 15 billion.

KKR is committed to further developing the MC-UBSR business, while ensuring continuity with the existing strategy, and is committed to leveraging its network and global resources to create value for JMF and IIF unitholders.

Suni Harford, President of UBS Asset Management, said; “In partnership with Mitsubishi Corporation, we are proud to have developed MC-UBSR into a leading real estate platform in Japan. We are confident that KKR is well placed to take this business forward and wish the MC-UBSR team every success for the future. The Japanese market remains a cornerstone of our Real Estate & Private Markets business in Asia Pacific, and we remain focused on serving the needs of our clients and capturing growth opportunities in this strategically important region. Through our rapidly growing real estate investment unit, UBS Japan Advisors, we will continue to advise our clients on Japanese property investments.”

UBS Investment Bank acted as exclusive financial advisor to UBS Asset Management, Mitsubishi Corporation and MC-UBSR on the transaction.

UBS Group AG and UBS AG

Bank of Singapore unveils onshore entity to capture growth opportunities in Malaysia

June 1, 2022. SINGAPORE, MALAYSIA.

With the opening of BOSWM Malaysia, it further expands Bank of Singapore’s coverage of the Southeast Asia region.

The official opening was officiated by the Group CEO of OCBC Bank, Ms Helen Wong (2nd right); Bank of Singapore CEO, Mr Bahren Shaari (2nd left); Bank of Singapore Global Market Head (Singapore, Malaysia & International), Mr Olivier Denis (leftmost); & BOSWM Malaysia CEO Mr Teh Chi-Cheun. Bank of Singapore

Bank of Singapore, the private banking arm of Southeast Asia’s second largest financial services group, OCBC Group, today unveiled its onshore entity, BOS Wealth Management Malaysia (BOSWM Malaysia), that further positions Bank of Singapore to capture growth opportunities in Malaysia. By leveraging on Bank of Singapore’s expertise, BOSWM Malaysia will be able to offer a comprehensive range of customised wealth management solutions and investment advisory services to its ultra-high and high net worth clients in Malaysia.

The establishment of BOSWM Malaysia makes Malaysia the first market after Singapore to have a comprehensive onshore presence that supports OCBC Group’s core business pillars – banking, wealth management and insurance. Other subsidiaries that have presence in Malaysia include OCBC Bank Malaysia and Great Eastern. This supports the vision of OCBC Group to become the leading wealth management player in Malaysia.

The launch of BOSWM Malaysia also comes at an opportune time. According to Knight Frank’s Wealth Report 2022, Malaysia is expected to see a 43% increase in the number of ultra-high net worth individuals between 2021 and 2026 – one of the fastest in Asia.

Heading the Malaysian entity is Chief Executive Officer Mr Teh Chi-Cheun, a veteran finance professional with over 25 years of experience in investment and asset management. BOSWM Malaysia presently has close to 60 employees.

An official opening ceremony was held today and was attended by the Group Chief Executive Officer of Bank of Singapore’s parent company OCBC Bank, Ms Helen Wong; Bank of Singapore Chief Executive Officer, Mr Bahren Shaari; and OCBC Bank Malaysia Chief Executive, Dato’ Ong Eng Bin; as well as the staff of BOSWM Malaysia.

Chief Executive Officer of Bank of Singapore, Mr Bahren Shaari, said, “Establishing an onshore presence in Malaysia through BOSWM Malaysia positions Bank of Singapore well to serve the wealth and investment needs of Malaysia’s ultra-high net worth and high net worth individuals. There is clearly potential for this market to develop and flourish – we can build on the existing synergy in this market given that the OCBC Group is already well represented here through its subsidiaries, OCBC Malaysia and Great Eastern.”

For media queries, please contact:

Dawn Sin Vice-president Group Brand & Communications OCBC Bank Email: dawnsin@ocbc.com

Ow Yong Weng Leong Vice-president Group Brand & Communications OCBC Bank Email: wengleong@ocbc.com