How do new technologies help or challenge your daily work?
. —“New technologies have a significant impact on our daily work and are key for the future. They serve the banking sector among other things in customer service, online banking and fraud detection. They support the automation of processes that were previously manual and streamline operations which all lead to serve the client better. They also help to deal with the increased demand for data collection triggered by the regulatory environment.
Digital platforms and mobile apps allow clients to access their investment portfolios and account information while tracking their investments anytime, anywhere. New technologies enable clients to be informed on an instant basis; but human relationships, whether remote or face to face, remain at the center of Private Banking as new technologies are not able to satisfy some of the specific client needs in terms of for example wealth planning or granting more complex loans.
Private banks have to adapt to the changing expectations of their customers. Operations previously performed by bank employees are now done by the customer themselves, and thus they expect their banker to provide personalized, high added value advice.
Do the new wealthy clients have different expectations from previous generations? How is the management of these profiles impacted? (related to ESG)
With the younger generation new behaviors and new affinities emerge. How to conciliate values and financial return in the search for ESG projects are often questions raised. The answers will shape the choices of future investors to build a more inclusive environment while avoiding new potential risks such as greenwashing. From traditional investments through responsible investments all the way to impact investments, investors have an array of products at their disposal to choose the one that better meets their financial and sustainability goals.
The younger generation is digitally native, having grown up in the world of smartphones and having instant information at hand, is probably better educated in technologies than any generation before. Private Bankers need to cope with this way of working and be able to deliver instant, personal and relevant information.
How is the sector addressing the challenge of attracting and retaining top talent?
Attracting and retaining top talents in Luxembourg remain as crucial as challenging. As the market for talent becomes more and more competitive, other than attractive compensation packages, Luxembourg banks need to provide opportunities for professional development and training, and promote a positive work-life balance. The ABBL supports these efforts, highlighting the importance of investing in talent as a key driver of the sector’s continued success. Together with its members, the ABBL works in close collaboration with various educational institutions, including the House of Training and the University of Luxembourg.
Purpose and values as well as diversity and inclusion are key to attract younger generations who will foster a culture of innovation and entrepreneurship within the Private Banking sector.”