Beatriz Sanchez, a Swiss–US citizen of Cuban origin, has dedicated her whole career to banking and Latin America and one can still sense her enthusiasm and passion today when discussing the region.
“Latin America is composed of 34 countries and territories, enjoying vastly diverse populations, cultures, history, and economic reality. Latin America is the most urbanized continent in the world, with almost 80 per cent of its people living in cities and boasts diversified industries – ranging from commodities to manufacturing, bio and fintech as well as services,” said Sanchez, who is also a Member of the Julius Baer Group Executive Board and has been managing the region for Julius Baer since 2017.
Commitment and growth
For all the differences in demographics, geography, and politics, the one characteristic shared by all Latin American countries is that their wealth is on a long-term upward trajectory. Boston Consulting Group forecast in June 2022 that private financial assets in Latin America would increase to USD 18.6 trillion by 2026, up from USD 12.9 trillion at the end of 2021. Global management consultants Oliver Wyman, also in June 2022, forecast Global Household Wealth in Latin America from 2022–2026 to have compound annual growth rate (CAGR) of 6.3 per cent – the fastest growing region after APAC with a CAGR estimate for the same period of 7.2 per cent.
Under Sanchez’s guidance, following a strategic turnaround and a targeted market de-risking, Julius Baer is a major and growing international wealth manager in the region and is a key partner for its clients on the continent. Today, Brazil – the largest economy in the region – is among the Bank’s burgeoning growth markets with a team of 250 servicing Brazilian clients locally and from both Switzerland and Monaco. Julius Baer is the largest independent wealth manager in the country. On the ground, the local investment and research expertise the Bank provides out of Brazil benefits clients across the whole region. Additionally, the Bank has a local presence in Mexico, Colombia, and Uruguay, as well as Chile, where we are the largest foreign wealth manager in the country. Sanchez explains that the Bank has a two-pronged strategy in the region, using both local and international offices with a focus on two key segments: private clients and intermediaries.
“Thanks to our global reputation and network, I am proud to say that we are considered to be an employer of choice, allowing us to attract talent both locally and internationally, to best serve our clients in Latin America,” adds Sanchez.
Making a difference
As the leading Swiss wealth management group, established in 1890, Julius Baer stands out in Latin America not only for its history but also thanks to its high-quality services, advice, open product platform and a laser-focused, client-centric approach.
“We have multi-generational relationships with families across the globe, guiding them in the management and structuring of their wealth, implementing philanthropy, and even designing inter-generational family governance,” explains Sanchez, adding that both this history and experience catering to and understanding family needs is of great local appeal.
The needs of Latin American clients today are more complex, she adds, as families grow and become more international – sometimes even spanning different continents. Julius Baer’s personalised advice and dedicated solutions for sophisticated clients cover three areas of the private client balance sheet: wealth planning (financial planning, wealth structuring, succession planning, family office services), investing (advisory services, discretionary and bespoke portfolio management, market trading, multi-custody services) and financing (credit structuring).
“To cater to Latin American families as a wealth manager you not only need a true local understanding but also international knowledge and experience,” Sanchez says. “Growth for growth’s sake doesn’t work in Latin America – only the highest quality, experience, and knowledge work.”
Sanchez adds that clients in the region are particularly interested in wealth planning and family office capabilities and lending. To further support its clients and their families, alongside the Bank’s annual wealth and portfolio management education programme available for those interested, Julius Baer also developed a programme focused on family wealth management in collaboration with top universities in various countries. Many clients in Latin America are also seeking relevant forward-looking advice and ideas, investment proposals that are ahead of the curve. Julius Baer’s expertise in megatrends, such as developments in alternatives to fossil fuels and electric mobility, means the Bank can help them find the right investment idea. These ideas particularly resonate in this region, home to very congested cities like Mexico City, São Paulo, and Santiago de Chile. Recently clients have also voiced an interest in learning more about digital assets. “I must also add,” Sanchez says with clear pride, “I really feel strongly that one of our greatest strengths in this market is the quality, experience, and capabilities of our people. I do not say this lightly, I am truly convinced of this and have regularly received this as feedback from our clients. This makes us stand out.”