Jakarta-headquartered PT Bank Mandiri Tbk has selected the Avaloq Banking Suite to run its $14bn AUM wealth management division.
The mandate, which Avaloq won after a highly competitive tender process, further increases the Swiss fintech's Asia-Pacific client base and comes after a number of high-profile regional client wins and expanded partnerships in 2019.
The Indonesian bank's wealth management division, which has around 50,000 clients overseen by 20 private banking relationship managers and in excess of 200 priority banking managers, is forecast to grow assets under management by 30% by the end of 2020.
Avaloq has been selected to help the bank capitalise on market opportunities and the need for enhanced, digital-led service capabilities. Bank Mandiri's Wealth Management division currently depends on several systems to support areas such as mutual fund and securities processing as well as customer portfolio views. The Avaloq Banking Suite will allow the institution to bring all areas, including CRM, onto one platform, delivering powerful scale benefits and greater data analytics at better cost.
Avaloq has continued to expand in the Asia-Pacific region, winning new clients and expanding existing relationships as all financial institutions look to take advantage of the powerful, competitive benefits that digital processes and cloud-based business models can deliver. Avaloq's regional clients include DBS Bank, Maybank and Kasikorn Bank in South East Asia as well as Agricultural Bank of China, China Industrial Bank and China CITIC Bank International in North Asia.
Hery Gunardi, managing director for Business and Network at PT Bank Mandiri Tbk, said: "The Avaloq Banking Suite greatly impressed us with its powerful capabilities and a clear ability to meet our complex needs in the key wealth management segment. This is a fundamental part of our wider growth strategy and it is, therefore, very important that we work with best-of-breed partners. The Indonesian banking market is undergoing profound growth and we are very well positioned to benefit from this opportunity."
Pascal Foehn, Avaloq executive board sponsor for Asia and Avaloq Group COO, said: "We are delighted to have won the very competitive, highly prestigious tender to help Bank Mandiri consolidate and enhance its digital infrastructure, and meet its customer-focused ambitions in the wealth management segment. Allowing institutions to radically change how they manage and deliver product and service offerings across different segments and different business lines is a core benefit of the Avaloq Banking Suite. We believe Avaloq offers one of the best wealth management platforms in the market and we look forward to working further with new and existing financial services groups globally as they embrace the hi-tech business environment."