7 Best Private Banks in 2024

The realm of private banking has evolved beyond mere transactions – it’s about tailored services, personalized strategies, and a commitment to nurturing clients’ wealth. However, the private banking sector is notoriously anonymous, which makes it difficult to determine the exact scope of the private banking sector.

In this article, we will examine the best private banks in the world based on their assets under management and long-standing reputation in the industry.

7 best private banks: Examining top institutions for high net worth clients in 2024

The list below includes the largest banks with private banking services ranked by their assets under management (AUM) as of the end of 2022 (collected from Statista). It is worth noting that there is not a lot of publicly available information when it comes to private banks, as most of them keep their business records and information about their clients private.

1. UBS – The best private bank overall with $3.9 trillion AUM

The undisputed global leader, UBS boasts unparalleled reach and expertise. Their unmatched international network, coupled with award-winning investment solutions and a dedication to responsible wealth management, make them a top choice for sophisticated investors.

The bank’s private banking portfolio of services includes wealth management, asset management, and investment banking. In 2022, UBS recorded over $7.6 billion in net income, which is impressive considering the heightened interest rates and poor market sentiment, which significantly reduced banks’ options for generating profit via investments.

2. HSBC – A UK-based private banking giant

With a history stretching back over 150 years, HSBC combines tradition with cutting-edge technology. Their focus on emerging markets and global connectivity is ideal for clients with diversified portfolios and international interests, especially those interested in investment banking opportunities.

HSBC was one of the best-performing banks in 2022 in terms of financials – the bank generated over $51 billion in revenue and posted a net income of more than $16.6 billion. The bank’s business metrics improved further in 2023, with HSBC announcing a 212% quarter-over-quarter profit growth in May.

3. Goldman Sachs – A crypto-friendly private bank

Renowned for their investment banking prowess, Goldman Sachs translates their financial mastery to the private banking domain. Their exclusive access to deals and market insights makes them a magnet for entrepreneurial UHNIs seeking outsized returns. The bank is widely considered one of the most crypto-friendly banks in the world, meaning that it’s open to pursuing new investment opportunities.

The inclination to offer its clients the ability to trade digital assets was clearly shown in June 2022, when Goldman Sachs started offering its first Ethereum-based derivative product to its high-net-worth clients. It is worth noting that GS faced several challenges in 2022 and 2023 due to the global financial problems associated with high inflation and economic slowdown – this has led to the decision to cut over 3,000 workers in March 2023, which was the biggest job cut by Goldman Sachs since 2008.

4. Citigroup – An offering for ultra-high-net-worth clients

Citi Private Bank, a subsidiary of the international banking giant Citigroup, provides clients with a one-stop shop for all their wealth management needs. Their strength in corporate finance and private equity is particularly enticing for business owners and entrepreneurs. As a part of its private banking offering, Citi Private Bank focuses on ultra-high-net-worth individuals, family offices, and law firms.

It is worth noting that while the private banking division is widely regarded as one of the best in business, Citigroup doesn’t enjoy the best reputation overall. In 2008, the bank became insolvent due to the financial crisis and was essentially saved by a $25 billion taxpayer bailout. It has also been criticized for serving criminal organizations, mismanaging customer accounts, and more. While it’s not regarded as one of the worst banks in America, it certainly hasn’t been a paragon of business ethics in the past, either.

5. J.P. Morgan Private Bank – The largest bank in the US by market cap

J.P. Morgan Private Bank caters to discerning clients seeking long-term wealth preservation and growth. Their emphasis on risk management and conservative investment strategies resonates with individuals prioritizing security and legacy, especially for those looking to invest their liquid net worth in a smart manner for the long term. Meanwhile, the bank won the annual “Best Private Bank in the World” award given by Global Finance, which speaks to its private banking prowess.

The bank is not shy about using the latest technology and tools at its disposal. In May 2023, CNBC reported that JP Morgan Chase was looking to leverage an artificial intelligence model – called IndexGPT – for the purposes of investment banking. It is worth pointing out that the bank earned over $128 billion in revenue in 2022, the most out of any bank on our list.

6. Bank of America – Private bank with a focus on philanthropic services

For those seeking a blend of a systematic and a personalized approach, Bank of America’s private banking arm delivers. Their extensive regional network and focus on personalized service resonate with clients who value local expertise but appreciate an international presence at the same time.

Bank of America earned the award by Global Finance for being the best private bank for philanthropic services. “Last year, we had record growth in philanthropic balances. We are on track to bring in another $6 billion this year. We continue to add foundation, endowment, trust and investment professionals to our team to ensure we can provide a bespoke experience to help families effect meaningful change,” noted the bank’s head of Philanthropic Solutions, Jennifer Chandler.

7. Morgan Stanley – A $1 trillion+ AUM private bank

Morgan Stanley’s focus on technology and digital platforms caters to the tech-savvy generation of UHNWIs, offering seamless access to their world-class wealth management services. These services include impact investing, alternative investments, asset management, and many more.

In 2021, Morgan Stanley massively expanded its Wealth Management and Investment Management segments with the acquisition of Eaton Vance. The acquisition followed an earlier deal from 2020, when Morgan Stanley completed its purchase of E*Trade, one of the leading futures trading platforms.

The bottom line

The private banking sector has seen significant growth in the recent past, with research firm IBIS World estimating that the private banking industry increased by 13.2% to $114.9 billion in 2022 (in terms of revenue generated from private banking services). The increase is similar to the rise in the popularity of private credit, which has also seen a massive increase in recent years.

If having an account with a private bank is out of your league, then you might want to consider opening an account with banks that offer sign-up bonuses.