Notenstein Private Bank, a subsidiary of the Raiffeisen Group, which has expanded its partnership with Zurich-based engineering and infrastructure provider for investment solutions Leonteq to open a subsidiary in Guernsey, is finalising the launch of its range of withholding tax-exempt structured investment products.
Oliver Widmer, head of products and trading at Notenstein Private Bank, told SRP that the launch of Notenstein Finance (Guernsey) Ltd, the subsidiary of the St Gallen-based private bank, is aimed at putting the bank at the same level of other leading providers in the structured products business to meet market demand for products that are not subject to withholding tax.
“The offshore business is a logical expansion for Notenstein and is client-driven,” said Widmer. “We have done our research and it shows that international clients are demanding products with a good rating and service. Like other leading providers in the structured products business, we can now offer products that are not subject to withholding tax and this puts us on a level playing field with the rest of the Swiss market.”
According to Widmer, the sales efforts will be headed by Notenstein Private Bank’s head of sales, Claudio Topatigh, and the bank will deploy resources as the business evolves and demand increases.
“The existing sales team at Notenstein Private Bank will manage sales, although Leonteq will also help with our distribution efforts,” he said. “We are preparing for the launch and working on the last stages. We expect to have our range of products available within the coming months.”
Widmer also said that Notenstein Private Bank will not create a new range of products as the aim is to leverage its existing offering but target it at offshore clients.
“We have been working on this project for a while,” he said. “Having Leonteq as a white-labelling partner as part of our outsourcing agreement will provide us with the capabilities and service to respond to clients’ demand.”
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