Watch and learn more on the key milestones the firm has achieved in terms of revenues, products and service offerings, and how the new “Team of 4” approach is enhancing the client experience.

APB Thought Leaders: The winning formula of NAB Private Wealth – Asian Private Banker

NAB (National Australia Bank) created the single, most compelling private wealth offering in Australia in 2020 when it merged three of its key businesses – NAB Private, JBWere, and nabtrade.

When Ross McEwan joined the bank as group CEO from the Royal Bank of Scotland in mid-2019, he initiated a strategic review designed to understand the Australian market and NAB’s strength.

“We are the largest business bank in Australia. Our clients are business owners who are growing their wealth, and, who, in the next few decades, want to transition out of their business and have succession planning in place,” Ivano Simonutti, the acting executive general manager for NAB Private Wealth, said.

“There’s an enormous opportunity in which we can support these clients through a private wealth proposition that’s second to none.”

NAB Private Wealth won the Asian Private Banker – Best Private Bank in Australia award in 2021, thanks to the successful restructuring and its strong “Team of 4” proposition.

From “Team of 3” to “Team of 4”

On the back of being a strong business bank, NAB decided in 2021 to bring an innovative and unique approach to its private wealth offerings, which it called “Team of 4” (To4) – a natural extension of its very successful “Team of 3” (To3) strategy.

To3 comprised private banking and investment specialists, along with wealth advisors from JBWere – NAB’s 180 year old private wealth management business arm. Now, to serve its sophisticated business and private clients better, NAB Private Wealth has teamed up with the group’s top business bankers to form To4.

“We are responding to the needs of Australia’s entrepreneurs and business owners and extending our ground-breaking team of personalised lending, investment, and advice specialists by drawing on the deep expertise of business banking specialists in helping businesses grow, expand, and transition,” Simonutti explained.

A winning strategy

To4 comprises 28 dedicated private bankers embedded in NAB’s Metro Business Banking Centres since 2021.

Unlike their peers, who typically refer clients to different business areas according to their needs, fragmenting their experience, NAB’s To4 model sees staff working in teams to manage clients ‘affairs and achieve their objectives. “In fact, our future advertising headline for Team of 4 is: ‘‘We’re United Around Business Leaders’,” he said.

“Under [To4], private bankers and business bankers collaborate to address their clients’ entire business, personal, and wealth needs. Each client benefits from the combined, greater ‘bench strength’ of specialists with both areas of expertise and the whole NAB group,” he said.

A year of collaboration between NAB Private Wealth and NAB Business Bank to implement To4 has generated strong results– AUD1.3 billion of new business by early 2022. “The results prove that this model works for clients, and more importantly, our internal parties are aligned and see the full scope of benefits from this new way of working.”

The best private bank

NAB aspires to be the best private bank in Australia, said Simonutti. It is focused on serving both high net-worth clients starting with between AUD2 million and AUD10 million of investable assets, a space where international private banks will not go, as well as the ultra high net-worth clients including some of the largest individuals and families in Australia.

“We have seen a huge opportunity for us to be the best domestic player in supporting HNWIs and families, and giving them access to a full suite of products,” he said. Most local competitors have moved away from providing holistic wealth services, he added.

“Our To4 approach means we are the only domestic private bank that offers a full suite of products and advice solutions that help our clients to achieve their needs in both business and personal wealth. That’s how we differentiate ourselves in the sense that we’re providing a full holistic offering,” Simonutti asserted.

A relationship business

As businesses recover from the impact of the pandemic, Ivano highlighted the bank’s key strategy is to unite around its clients. “We continue to unite around our clients. Our business is very much a relationship business. As we come out from the pandemic, our To4 connects with our clients regularly to understand their business & personal plans and future aspirations, and to make sure that we can support them with the right products, services and solutions.