Eduardo, please tell our readers what your bank specializes in?
Let me start from afar. Our bank was originally a private Swiss bank, but later acquired by Aabar Investments PJSC, one of the three largest investment companies in Abu Dhabi. The reason for this acquisition was not pure passive investment, but investment in a business that brings its know-how to the development of both Abu Dhabi and the entire region. Aabar Investments concluded that the Middle East and, in particular, the UAE are among the richest markets in the world. In fact, the way it is. But these are very difficult markets, since no one knows what fortunes and capital are here, what these funds are stored in and so on. Also, Aabar analysts noted that most of the major players in the Middle East market are foreigners. The conclusion was drawn from this - it is necessary to provide services for managing the private assets of wealthy people. Therefore, we decided to start promoting Abu Dhabi and Dubai as centers providing private banking services to wealthy and very wealthy clients. It was based on the best model of banking services in the world - Swiss. Of course, now many countries can say that the Swiss model may not be the best. But we still believe in it. The quality of Swiss banking services remains at the same high level, and, like many years ago, Swiss banks hold the capital of almost all European countries.
What started a new page in the activities of Falcon Private Bank?
The first thing we did was restructure our business. These are private banking services and nothing but them. This is our philosophy, our motto. We have already started small advertising campaigns in the on-board magazines of airlines such as Etihad, Emirates, Swiss Air. And all we care about is private clients. We do not serve companies and corporate clients. But we have a special approach to wealthy private clients. We say - tell us about your needs, and we will find the right solution for you. We do not want to sell ready-made banking products to our investors, which we certainly have. If you look closely at our assets, then finished products make up no more than two percent in them. We are sure that Falcon Private Bank offers a very good model, because we understand that wealthy people need to come to the banker, sit down, be listened to and get a solution that is acceptable and beneficial for him. Of course, there are things that you can’t do - these are some complicated moves or some kind of capital allocation that ultimately will not bring any profit to the client. We are ready to offer customers high-quality services and guarantee them complete confidentiality, which is the first requirement for the bank.
Where are Falcon Private Bank offices today?
We have an office in Dubai, but today we are expanding and are planning to open an office in Abu Dhabi. To do this, we open a license for investment advisory activities. And, of course, we well understand that the Russian market is a very interesting and promising market for our bank.
How do you assess the potential for attracting customers in Dubai and Abu Dhabi?
Today, of course, there are more potential customers in Dubai. Abu Dhabi is a metropolitan and more conservative city, but I am convinced that over time, priorities will shift in its direction Abu Dhabi. And in Dubai we are already working, and this city is interesting to us for its multinationality.
There is a fairly large Russian community, many wealthy Iranians, wealthy people from Pakistan and India. All this is very attractive. And by the way, personally, I’m sure if you look at Dubai in ten years, this city will have the same significance for the Russian and European markets as Florida today has for New York. You can safely fly from the capital of Russia or Europe to the UAE for a weekend, because a flight from Moscow will take only five hours, from Zurich - six. You can relax here and solve all your affairs, both personal and corporate. This is the niche we want to fill. And when we talk about private banking, we mean really wealthy people whose accounts will start with a minimum amount of two million US dollars. Our bank focuses its activities on these people, as they need a professional and personalized approach to managing their assets.
Then, you probably should pay attention to the reports on the "100 richest people" of the world, published annually by Forbes magazine ...
Yes, the list is pretty interesting. This year there were twice as many Russians in it, Chinese increased, and Europeans left (laughs). In fact, our task is to become a local provider of banking solutions for wealthy private clients in this region. And for some reason it seems to me that many Russian people do not particularly trust other banking systems, but they believe in Swiss. Therefore, right now we are working to form a team of specialists, including Russian speakers, since we, despite a rather short period of the bank’s activity, already have several Russian clients. We started working in Dubai recently, a little more than six months ago. And our first priority is to provide high-quality service.
Since you mentioned the presence of Russian customers in Falcon Private Bank, could you tell me what requirements or wishes they usually turn to bankers and, in particular, to your bank?
The main requirement of Russian customers is the safety of cash. They do not want to lose their money. They need guarantees. And, moreover, they do not need profit in the amount of, for example, 20%, they are quite happy with a small but constant profit, if only they would not lose money. It seems to me that today our bank has a very tempting offer - we can book a business in Singapore or Zurich for our customers and open accounts in any of our branches, since we have branches there and there. And this is a great advantage, as it allows customers to choose exactly where they want to place their funds. At the same time, they have the opportunity to place funds in depositary accounts in UAE dirhams with an increase in income without an increase in investment and without currency risks. And we have a good product in which we can combine all these requirements. We take even the emerging currency risks. Due to the peg of the UAE dirham to the US dollar, the client receives 100% profit in dollars, having a deposit in dirhams. Of course, profit with such placement schemes is less, but it is safer for the client. We do not want to speculate on the trust of our investors.
Today, the so-called "Islamic banking" is gaining great popularity in the world, including in Russia. Does Falcon Private Bank plan to offer Islamic banking services in the future?
No, we do not provide such services. But this may be the next step that we should think about. In this region, almost all banks offer Islamic banking. But what I personally find interesting is the formation of such a product in Zurich. This is worth considering. This is a big market, and it would be nice to get into this niche, but not from the Emirates, but from Zurich.
What are the top priorities for Falcon Private Bank today?
Our main task, I believe, is to create public awareness of our brand and the services we offer. We changed the owners and name only in April last year, so it is important for us that our potential customers know and understand who we are and what we offer. I would like for anyone to look at our products and services and compare them with the banking services that he already receives today. Just go to Falcon Private Bank and try to feel the difference. This is the same as with an airline, you will never know how carriers differ from each other until you try. Or with a movie - someone might like it, but someone not. Each person has a bad experience, but there is a good one. You cannot live in the past, you must move forward.
Then what kind of people are they who like the same films as you?
These are people who, like us, love ironic and lyrical comedies. And not at all those who like action movies like Terminator. Falcon Private Bank will come to those who are important in human relations. Those who need to be heard and understood. Then, it means that we watch the same films.
Thanks a lot, Eduardo.
Until we meet again.
