As wealth creation and political u-turns sweep LatAm, JP Morgan is ramping up in Mexico and the rest of Latin America to target the rich in the region.
The bank plans to increase the number of its frontline private bankers in Latin America by 15%, the executive, Adam Tejpaul, said in an interview, according to Reuters. JPMorgan Private Bank employs 450 people in the region and most of then work as client advisers.
The American bank, however, is not the only company tapping into the wealth gold mine that LatAm provides. BBVA Bancomer, Citi, Credit Suisse and Santander all have private banking businesses in Mexico as has the largest Mexican bank Banorte.
"Mexico has had a lot of wealth creation and the number of wealthy individuals has increased materially"
"Mexico has had a lot of wealth creation and the number of wealthy individuals has increased materially," Tejpaul said.
The bank's growth priorities are Mexico, Argentina and Colombia, Tejpaul said, although it also serves clients in Brazil, Chile, Peru and even Venezuela, a country plunged deep into an economic and political crisis.
"If we think of Latin America as a whole, there is a lot of volatility in the capital market and political instability," Tejpaul said, adding that clients in emerging markets tend to be conservative with their investment decisions as a result.
Tejpaul said the bank would offer more products and services to clients that wanted to pass on their wealth to future generations, including tax planning.