Revolutionising Asia's Wealth Management with Securitisation

As Asia’s private wealth management landscape evolves, a revolution is underway, spearheaded by Steve Knabl of Wealth Management Alliance. At a recent conference in Thailand, Knabl presented a compelling argument for securitisation as a pivotal tool in wealth management. While traditional products have set limitations, securitisation provides a flexible and highly customisable alternative that promises transparency and cost-effectiveness.

Breaking the Mold

Knabl challenges the traditional view that securitisation is convoluted and laden with fees. By repositioning securitisation, he suggests it can become a strategic centerpiece in portfolio construction. “Structured notes can express real investment strategies efficiently for both client and adviser,” he claims.

Localisation and Flexibility

Demonstrating securitisation’s flexibility, Knabl explained how Thai investors could design bespoke strategies, such as fixed income portfolios with currency hedging, thanks to securitised notes that offer local currency exposure and easy bank custodianship.

An Agile Alternative

For wealth managers looking to swiftly implement strategies without cumbersome administrative hurdles, securitised notes outperform traditional funds. They offer quicker market entry, fee transparency, and dynamic liquidity options.

Tapping into Non-Bankable Assets

Knabl highlights the burgeoning interest in including previously non-bankable assets in portfolios. With structured notes, wealth managers can offer diversified exposure to alternative assets like private credit and equity, seamlessly integrating advisory insights with structuring income.

Strategic Alignment Over Complexity

Structured securitisation isn’t just an investment option—it’s a strategic evolution. It enables wealth advisers to align closely with their clients’ needs, providing tailored solutions that enhance both client outcomes and firm revenue.

Knabl’s insights illustrate that securitisation doesn’t need to be esoteric or exclusive. Instead, it’s a revolutionary step forward, facilitating creative, strategy-led solutions that cater to the discerning modern investor. According to Hubbis, the evolving wealth management industry in Asia is ripe for such innovations.