Corporate Press Release
Credit Suisse Receives Licence for Representative Office in the Philippines
Benjamin Cavalli, Head Private Banking Southeast Asia and CEO Singapore said, "The Philippines is an important part of Credit Suisse's Southeast Asia franchise and we are committed to continuing to expand our domestic footprint in the Philippines and across Southeast Asia. With the new Representative Office, we aim to strengthen our links with existing and future clients, providing them with information on products and services while facilitating deeper communication with them. The Representative Office represents our first step in building and expanding our wealth management footprint in the market."
Michael De Guzman, Country Head Philippines and Head of Philippines Coverage for Investment Banking and Capital Markets said, "The Philippine economy has grown steadily in the past decade, leading to rising household income and a higher standard of living. We expect exponential growth in the middle class in Philippines, rising from 33.5 million in 2015 to 50 million by 2025. Addressing the needs of middle class consumers can drive new trends across many industries, yielding considerable long-term economic and business opportunities for our clients, many of whom are first or second generation entrepreneurs. Credit Suisse has been a leading financial advisor to the government and major corporates in the Philippines for the past few decades, we are committed to further deepening our client relationships and expanding our coverage in the country."
"With an additional Representative Office in the Philippines that complements our existing footprint in the country across investment banking and capital markets and institutional brokerage, we hope to forge even closer ties with our clients, supporting them across their entrepreneurial activities as well as their private investments and family wealth needs," added Christian Senn, Market Group Head Philippines for Private Banking Asia Pacific.
According to Credit Suisse Research Institute’s (CSRI) Global Wealth Report 2017, total household wealth in the Philippines grew by 10.7% per annum since 2000 to reach USD 662 billion in 2017. Adults with net wealth of over USD 1 million also grew by over 13% to reach 38,000, while the number of ultra-high net worth (UHNW) individuals with more than USD 50 million in net wealth also grew 13% over the same period to over 400. These wealth segments are forecast to expand by more than 10% per annum in the next five years.
Moreover, much of the UHNW wealth in the Philippines remains in family businesses run by first or second generation entrepreneurs. According to a recent CSRI report on global family-owned companies, the Philippines ranks 11th globally in terms of the number of family-owned businesses, and sixth within Asia Pacific ex-Japan in terms of average market capitalization at USD 5.6 billion. In general, Asian family businesses are much younger, with over 80% in first and second generation, compared to around 50% in Europe and the US.
In the Philippines, Credit Suisse has been a leading financial advisor to the government and major corporates since1992, providing financing and advisory services spanning capital raising, liability management, merger and acquisition transactions as well as structured finance. In 2011, Credit Suisse further expanded its footprint in the Philippines by establishing an onshore brokerage covering equity research, sales, sales trading and execution, to complement its investment banking business and provide an expanded range of products and services to its institutional and corporate clients.
The new Representative Office in Manila will add to Credit Suisse’s private banking footprint across the region, which includes its international wealth management hubs in Singapore and Hong Kong, domestic operations in Australia, Japan, India and Thailand, as well as representative offices in Beijing, Guangzhou, Bangkok and Kuala Lumpur.
Credit Suisse deepened its country leadership in the Philippines in 2017 with the appointment of Michael De Guzman as Country Manager Philippines and Head of Philippines Coverage for Investment Banking and Capital Markets. Christian Senn, a 30-year veteran of Credit Suisse’s Private Banking business was also named Market Group Head Philippines for Private Banking Asia Pacific, based in Singapore.