Thomas Steiger, CEO of VP Bank in Luxembourg, explains how his group is continuing to grow whilst monitoring the impact of new regulations including MiFID ii on its clients’ businesses.

 

In may, you organised an event with the prime minister of Liechtenstein. How did it go?

The conference was a great success and coincided with the meeting of the Board of Directors of VP Bank group which happens every year in a different country where we operate. After Singapore last year, the Grand Duchy was chosen for 2017. Our administrators were able to immerse themselves in our ecosystem for three days to gain an in-depth understanding of our business. Strategic objectives were discussed while showcasing the Grand Duchy and the competitiveness of its financial centre. I really noticed how their perceptions changed from when they arrived to when they left. In my opinion, communicating at this level is particularly important as a way of explaining our actions and making Luxembourg better known to the administrators of VP Bank, whose head office is in Vaduz in Liechtenstein. The presence of Prime Minister Adrian Hasler as a keynote speaker was an opportunity to discuss the ongoing transformation within Europe in general and in jurisdictions such as the Grand Duchy and Liechtenstein in particular.

 

« The shareholders and clients we serve enable us to remain focused on medium to long-term objectives, which is a real strength in this era»

 

 

How do you manage the growth of your business?

During our recruitment campaign in 2015 for VP Fund Solutions and VP Bank in Luxembourg, we looked for candidates who specialised in alternative investments. We wanted to attract candidates who would be capable of boosting our growth before continuing with a second round of recruitment. We have reached this stage and our Board of Directors has approved a new recruitment campaign. We invest significantly in training to attract competent candidates, while giving them the necessary support to enable them to constantly develop their skills. We have established an internal programme and we are targeting young professionals with a master's degree in wealth management and an interest in funds, among others. During their twenty-month training, they change departments regularly to gain a holistic view of our business which, in my opinion, guarantees them a great start in the industry.

 

What are VP Bank’s next objectives?

The shareholders and clients we serve enable us to remain focused on medium to long-term objectives, which is a real strength in this era. We apply two golden rules. The first involves providing services with significant added value to our international clients. These clients are looking for providers who can support them by offering expertise in many asset classes around the world. The second entails supporting internal initiatives to raise our company’s standards ever higher. At a regulatory level, we are closely monitoring the impact of the implementation of MiFID II for our clients. The changes brought about by this regulation will oblige some players to modify their business model, which will undoubtedly accelerate the consolidation of the sector. The next few months will be crucial.

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