A number of wealth management firms and private banks have set up store in the country to capture expected rising affluence in the country.

JP Morgan Asset Management is teaming up with a Thailand-based investments house – a further sign of how the Southeast Asian country is attracting wealth managers, banks, and other players.

JPMAM has formed a strategic partnership with Kasikorn Asset Management Co. 

The Thailand firm said volatile investment conditions – and its experience in dealing with it – had strong appeal to its US partner.

“Over the past three to four years, the market has been beset by Covid-19 and a global economic crisis. These factors have led to persistent market volatility, making it increasingly difficult to assess situations and make smart investment decisions,” Adisorn Sermchaiwong, KAsset executive chairman, said. “To address this issue, KAsset is committed to developing its strategic plan with JPMAM of enhancing its global asset selection and allocation capabilities, with readiness in reshaping investments to align with and keep abreast of ever-changing circumstances.”

KAsset has THB1.49 trillion (about $42 billion) of assets under management, against JPMAM’s AuM of $2.9 trillion. The US firm said it will use KAsset’s local presence and knowledge to offer its investment solutions to Thai investors. KAsset will have access to JPMAM’s market insights, intellectual capital and thought leadership.

A number of Western private banks and wealth houses have set up shop in Thailand. BNP Paribas Wealth Management has launched an onshore wealth management business there, for example. Julius Baer, which treats Asia as its second home market, formed a Thai joint venture in 2018. TriLake Partners, the external asset manager, is opening a representative office in Thailand. 

According to a report published by McKinsey in November 2021, wealth management in Thailand is expected to grow strongly over the next five years, with assets under management growing by about 10 per cent per annum.

Photo: (from left to right): Suradech Kietthanakorn, managing director, Kasikorn Asset Management; Adisorn Sermchaiwong, executive chairman, Kasikorn Asset Management; Dan Watkins, chief executive, Asia-Pacific, JP Morgan Asset Management, and Sherene Ban, CEO, Singapore and Southeast Asia, JP Morgan Asset Management.