‘This formula will be successful’: How UBS is taking on Brazil’s burgeoning wealth market

It has been a 12 months considering that UBS took total ownership of Brazil’s biggest multi-family office environment Consenso and the Swiss wealth administration large has major options for its enterprise in Brazil, Citywire Brasil experiences.

Since UBS to start with acquired its 60% stake in Consenso back in 2017, the UBS Consenso organization has tripled in size, according to the co-CEO of UBS Consenso, Bruno Barino (pictured higher than). The Swiss group purchased the remaining 40% stake in Consenso in April 2021.

UBS Consenso has not disclosed its present-day assets underneath management, but market resources told Citywire Brasil that before UBS’s arrival on the scene in 2017 Consenso had between R$20bn and R$25bn in belongings management. This provides us a careful estimation of more than R$60bn ($13bn) in property underneath administration right now if we adhere to Barino’s statement.

Barino reported the aim now is to double their belongings over the subsequent two yrs and carry on growing so that UBS gets to be as huge in Brazil for wealth administration as it is in the relaxation of the world. The Swiss team at the moment has about $4.6tn in worldwide belongings beneath administration and is the world’s greatest prosperity management firm.

‘There were being 3 years of transition focusing on integrating the group without the need of dropping value. And we held everything, pretty much all the things. All of our workers who’d worked here for yrs, as properly as our customers,’ mentioned Barino, who operates UBS Consenso alongside fellow co-CEO Luiz Borges, Consenso’s founding spouse.

‘We are not UBS and we are not Consensus. We are a 3rd player with the capacity to control on any system and Consenso’s direct compensation design, with obtain to UBS goods and investigation. We literally established a boutique within just the world’s most significant prosperity management.’

Barino additional: ‘Of class, we acquired quantity with the [UBS] operation, but the most precious thing was obtaining an additional line of company, more concentrated on prosperity preparing. Very first, we stabilized the small business and now our aim is to speed up development. And in two, a few decades we want to double in size.’

Behind the drive to improve in Brazil is UBS’s system to cement its place in Latin The united states, mentioned Barino.

‘UBS is a leader in Asia, Europe and the Americas. But it simply cannot be global if it does not have a appropriate base in Brazil. A whole lot of prosperity originates below, so it is a key sector for them and appeals to additional and much more awareness. UBS has potent penetration in Latam ex-Brazil and is top rated 3 in the Americas, but only top rated 10 in Brazil, and this is in which 50% of the region’s wealth resides. So, we need to have to shift ahead,’ mentioned Barino.

Client aim

In the aggressive Brazilian marketplace, UBS Consenso desires to appeal to the most complex consumers with a particular emphasis on the ultra-substantial internet worthy of section – which involves buyers with at minimum R$30m ($7m) to devote. But the firm gets many referrals for customers with smaller sized guides so it set up an operation to also cater to clients who have at minimum R$10m, all whilst furnishing the exact same quality of service.

To get to the large players, UBS Consenso thinks the crucial is to make massive advisor hires.

‘Last calendar year, we improved our sales pressure by 50% and we however want to employ the service of far more this 12 months and we ought to grow 20 to 25% as opposed to past year. We feel that we have a distinctive remuneration model to attract the best specialists, in which we blend a CLT contract with rewards and a variable remuneration dependent on functionality,’ reported Barino.

UBS Consenso co-CEO Borges (pictured over) added: ‘We introduced in people today from banking institutions, family places of work, from a variety of spots. But our focus is not on shopper wallets we are not in this sport of stealing clients. We are seeking for folks to make extended-expression relationships to present an individualized provider for any account that a customer has, as we have normally finished at Consenso. We initially seem at the homeowners of the means just before the resources and we need to have to uncover people like that.’

Element of Barino and Borges’ growth approach is also to expand into new markets throughout Brazil. Very last yr, the organization recruited individuals in buy to have a existence in the regions of Porto Alegre and Santa Catarina, and the team is now wanting at entering locations like Pernambuco and Ceará in the coming months. Possessing a existence in the Midwest of Brazil is in the pipeline for the future 3 yrs. These days, the organization has offices in São Paulo, Rio, Curitiba and Belo Horizonte.

With this advancement system, Barino and Borges imagine UBS Consenso is geared up to confront the marketplace challenges in advance and will become a reference for Brazil’s most complex traders.

‘Being an independent participant was extremely tricky. Not being portion of a international team was a massive decline of competitiveness. We are joyful to have accomplished a framework that satisfies the customization that advanced consumers want and that supplies them with the robustness of a world team like UBS. We have faith in this method will be productive,’ stated Borges.

Extra reporting by Atholl Simpson.