Question Liechtenstein private banking

[JohnnyDoe]

Actually it is not only 1%. Think bigger. It is 10% for ten years which means $1M fee for a $10M portfolio

so what? Is 1% per year changing your life? (actually the fee is lower with private banks, but the substance doesn't change)

 

[turtle]

so what? Is 1% per year changing your life? (actually the fee is lower with private banks, but the substance doesn't change)

In the long term yes. $1M will make a difference to afford your new yacht.

 

[JohnnyDoe]

In the long term yes. $1M will make a difference to afford your new yacht.

if you count your pennies, yes it makes a difference. In yacht terms, for a modest 70 foot yacht it equals to about 130 full tanks, or 1300 hours of use.

 

[turtle]

if you count your pennies, yes it makes a difference. In yacht terms, for a modest 70 foot yacht it equals to about 130 full tanks, or 1300 hours of use.

I don't know your point but this is about saving a million USD, not a penny. If you're dealing with small portfolios, it will not be worth it, it is better to spend your time on your business growth but if you're dealing with 8 figure portfolios, they make a huge difference.

 

[Fred]

The Bendura and all LI bank fees are crazy. Custody fees 0,35%, stock market purchase 1,90% and many other fees! No thanks.

They have actually 3.5% Custody Fee.

What we have seen so far banking with them was a Russian Passport Holder with BVI Company and an EU Passport Holder with Panama Company.

They definitely "bank" high risk case and I put bank with ".." because actually they don't bank you but rip you off with fees.

 

[nobel]

They have actually 3.5% Custody Fee.

Right, the custody fees at 0,35% per year and broker fees 1,90% are clearly too much. Remember, Interactivebrokers has only 0,05% broker fees and no custody fees. I prefer free custody fees (IB) or very minimal like Swissquote and the money is just as safe. I don't need "Private Banking" I do it myself.

 

[troubled soul]

Right, the custody fees at 0,35% per year and broker fees 1,90% are clearly too much. Remember, Interactivebrokers has only 0,05% broker fees and no custody fees. I prefer free custody fees (IB) or very minimal like Swissquote and the money is just as safe. I don't need "Private Banking" I do it myself.

100%...........You have to change with time....seems private bank still living in stone age.....in Digital age this charges are not justify at all....Digital age you do not required that much of men power for accounting.....no wonder why Number of private Swiss bank decreasing day by day

 

[turtle]

Right, the custody fees at 0,35% per year and broker fees 1,90% are clearly too much. Remember, Interactivebrokers has only 0,05% broker fees and no custody fees. I prefer free custody fees (IB) or very minimal like Swissquote and the money is just as safe. I don't need "Private Banking" I do it myself.

PV is good if you invest at least $5M. Otherwise IB, Swissqoute, Saxo are more than enough and cheap.

 

[hokus]

PV is good if you invest at least $5M. Otherwise IB, Swissqoute, Saxo are more than enough and cheap.

Where is the benefit with 5m$?

 

[JohnLocke]

Where is the benefit with 5m$?

It's only applicable if you are looking for a place to deposit your money which should not be at your home country.

 

[turtle]

Where is the benefit with 5m$?

They will lower fees for high amounts. You can get better service than online brokers with reasonable fees. IMO 2 benefits are the most significant.

You can benefit from the safety of a big private bank. UBS, DBS, Chase, Citi etc.. they all safer than 20 year old online brokers.

You don't have to waste time with customer service for your requests. You can simply call/whatsapp your RM for any request and it will be prioritized. Let's say you need to sign some document, the document will come to your doorstep for signing.

 

[liroyb]

I've heard that some Liechtenstein banks such as LLB, VP won't accept Dubai residents, is that correct?

 

[JackAlabama]

I've heard that some Liechtenstein banks such as LLB, VP won't accept Dubai residents, is that correct?

they all accept, you just need to gift them an impressive balance for them to manage stuffing your soon-to-be-lost-cash into their "subpar for you/ great for their bonus"- funds.
You can start negotiations at 1M and go up as you see fit.

 

[Marios]

I've heard that some Liechtenstein banks such as LLB, VP won't accept Dubai residents, is that correct?

LLB and VP might not accept Dubai residents, but Bendura Bank does. The minimum deposit is €500k, though it can change based on how you plan to use the account. They don't force you to use their private banking products either. Just need to document your source of wealth and income, and meet the usual due diligence checks.

 

[Forester]

I've heard that some Liechtenstein banks such as LLB, VP won't accept Dubai residents, is that correct?

they all accept, you just need to gift them an impressive balance for them to manage stuffing your soon-to-be-lost-cash into their "subpar for you/ great for their bonus"- funds.
You can start negotiations at 1M and go up as you see fit.

All true, yet I'd have serious doubts about LLB. They have changed / are changing their policy recently and certain regions are really not welcome. UAE included, I am afraid. But of course, it is possible to give it a try. No up-to-date information about VP and Dubai, though. I just guess that @JackAlabama is right for this case (of course, it would also depend on a passport, not only on a residence).

 

[cionide]

At this point there's little reason to keep money in Lichtenstein from what I can see. You can't hide it there because they'll report it and the fees are ridiculously high - 80 CHF for an outgoing wire transfer, 450-500 CHF quarterly account maintenance. I don't know, maybe this is normal and i'm just spoiled by the pricing of european banks - but it seems really, really high. The interest rates they offered me are also lower compared to other banks.

 

[Forester]

At this point there's little reason to keep money in Lichtenstein from what I can see. You can't hide it there because they'll report it and the fees are ridiculously high - 80 CHF for an outgoing wire transfer, 450-500 CHF quarterly account maintenance. I don't know, maybe this is normal and i'm just spoiled by the pricing of european banks - but it seems really, really high. The interest rates they offered me are also lower compared to other banks.

All you have written is true, yet
– interest rates and maintenance fees are negotiable (transfer fees usually not but we are talking about wealth management accounts, not operational ones);
– LI banks are more open to “high-risk” regions and businesses than e.g. their CH counterparts;
– the main advantage of LI banks – IMO – is called the Lugano convention (it is not in force for LI)