Business growth top pick of HNW business owners in Asia, Africa, and Middle East

Personal wealth only by-product.

Growing the business remains the top priority for high net worth business owners in Asia, Africa, and the Middle East.

According to a release from Standard Chartered Private Bank, increasing market share is the top growth objective, according to 82% of respondents, based on a report launched by Standard Chartered Private Bank (the Private Bank) in partnership with Campden Wealth Research on the wealth management needs and preferences of High Net Worth (HNW) business owners in Asia, Africa and the Middle East. This was followed by production capacity (65%) and international expansion (58%), the report said.

At least 82% of Middle East businesses are already internationalised, compared to 58% of Asian businesses, and 42% of African businesses, the report noted. Meanwhile, increasing personal wealth is only seen as a by-product, not a priority, of a successful business, the report said.

This is because a whopping majority or 85% said they are involved in the daily management and financial affairs of their business. Thus, less time was given by the owners for personal wealth strategies, including the eventual transfer of wealth, the report noted.

Almost half of respondents who are business founders said they lack formal plans to transfer their wealth to the next generation. Meanwhile, 67% of respondents who are part of the next generation have a structure for wealth transfer in mind, the report said.

Here’s more from Standard Chartered Private Bank:

“Our footprint markets coincide with the fastest growing wealth pools in the world and entrepreneurs are a key driver of this economic growth and the creation of jobs in Asia, Africa and the Middle East. These emerging market entrepreneurs are fast becoming an ever-more crucial client segment.

This research reveals the dynamics of business and personal wealth of this new segment of wealthy individuals, and hopefully generates thought and discussion on how private banks can adapt to serve them better,” said Michael Benz, Global Head, Private Banking Clients, Standard Chartered Private Bank.