CIMB Thai on track for 12% wealth segment growth in 2024

Bonds and technology drive expansion in a challenging economic climate.

CIMB Thai is on track to achieve a 12% increase in its wealth management segment this year, with bonds as a preferred investment asset, according to Thiyachai Chong, Executive Vice President and Head of Wealth Management & Preferred. 

Despite market fluctuations, the bank has seen substantial asset under management (AUM) growth. "We are on track year on year; we're tracking at about 12%. In terms of new preferred high net worth customer growth in terms of AUM, we are doing pretty good, we've increased by over 40 billion Thai baht in terms of net new AUM," Chong noted.

Addressing potential challenges, Chong highlighted market volatility and regulatory uncertainties but views these issues as opportunities for CIMB Thai to leverage its regional strengths. "We're fairly unique in a sense that we're able to use our value proposition as a regional bank to provide additional value to our customers, especially in investing worldwide and the best products and services in wealth management for our clients," he said.

Technology plays a crucial role in CIMB Thai’s strategic expansion, particularly in enhancing digital transactions and customer experience. Over 74% of bond transactions are now conducted online, showcasing significant digital adoption. 

"We're actually building upon those competitive advantages in providing an even better customer experience, digitally for our clients," Chong explained. The bank is also exploring advanced artificial intelligence (AI) applications to refine back-office processes and improve service delivery. "AI is able to increase the productivity and also the effectiveness of them serving the clients," he added.

Furthermore, Chong shared CIMB Thai’s plans for integrating AI into wealth management, aiming to tailor services more closely to individual client needs. He said that the use of technology is intended to ensure that propositions are not only highly personalised but also align with the unique values and requirements of each client.

"Many different use cases for AI, I would say that one area that's especially interesting for us is in terms of back office processing. How can we use that to reduce errors to increase efficiency, you know, to target clients' preferences better," he stated.