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LGT Group is the largest family-owned private banking and asset management group in the world. LGT, originally known as The Liechtenstein Global Trust, is owned by the princely House of Liechtenstein through the Prince of Liechtenstein Foundation and led by its family members H.S.H. Prince Max von und zu Liechtenstein (CEO) and H.S.H. Prince Philipp von und zu Liechtenstein (chairman).[3]

LGT Group
LGT Group
Formerly
The Liechtenstein Global Trust
Private
IndustryFinancial Services
Founded1920; 99 years ago (1920)
FounderThe Princely House of Liechtenstein
HeadquartersVaduz, Liechtenstein
Number of locations
20+
Area served
  • Europe
  • Americas
  • Asia
  • Middle East[1]
Key people
ProductsPrivate Banking, Asset management, Hedge fund and Private equity
RevenueIncreaseCHF 3140 million[1] (2018)
IncreaseCHF 1,675.8 million[1] (2018)
Increase CHF 314.0 million
AUMIncrease CHF 198.2 billion[1][2]
Total assetsCHF 41.9 billion
OwnerPrince of Liechtenstein Foundation
Number of employees
3,405[1] (2018)
Websitewww.lgt.com

LGT is headquartered in Vaduz, Liechtenstein with a key presence in Zurich, Switzerland. The company maintains 3,405 employees in over 20 offices around the globe, Asia, Australia, Europe, the Middle East and North America.[1]

LGT, operates through several divisions:

  • Private Banking - LGT Private Banking provides wealth management services to private clients
  • Alternative Asset Management - LGT Capital Partners is an alternative investment manager, with around $60 billion of capital invested in investment funds, hedge funds and private equity investments
  • Philanthropy and Impact Investing - LGT invests in social enterprises such as M-kopa through the LGT Venture Philanthropy Foundation[4] and LGT Impact.[5]

The company has made several acquisitions of high value transactions. In 2009, it acquired Dresdner Bank, following this in 2015 it acquired more than $12 billion of HSBC Private assets and in 2017 it acquired Dutch giant ABN AMRO Asia Private for $20 billion. The ABN AMRO transaction meant that LGT now had more Assets under management in Asia than it did in Europe.

HistoryEdit

  • 1920 The company was founded as "Bank in Liechtenstein." The bank's objective was to attract capital for the economic development of the Principality[6]
  • 1921 In May, business activities commenced with ten employees; rented offices on the ground floor of the government building[6]
  • 1930 Princely House of Liechtenstein acquired the majority of shares[6]
  • 1970 Establishment of the Prince of Liechtenstein Foundation, which took over the Bank's share capital as LGT Foundation beneficiary[6]
  • 1980s Set up of representative offices in Europe, America, Asia and Hong Kong in 1986, including London as the first foreign business base[7]
  • 1983 Founding of Bilfinanz und Verwaltung AG, Zurich
  • 1984 Founding of BIL Treuhand AG, Vaduz
  • 1986 The Bank in Liechtenstein went public
  • 1989 Takeover of GT Management PLC, London
  • 1990 BIL GT Group AG was founded and H.S.H. Prince Philipp became Chairman of the Foundation Board[8][9]
  • 1996 BIL GT Group became Liechtenstein Global Trust and BIL became LGT Bank in Liechtenstein AG[10]
  • 1998 The Asset Management division was sold and the bank went private.
  • 2003 LGT Group acquired Schweizerische Treuhandgesellschaft STG from Swiss Life[11] and received banking license in Singapore[12]
  • 2005 STG became LGT Schweizerische Treuhandgesellschaft
  • 2009 LGT sold its Trust and Fiduciary division (LGT Treuhand) to First Advisory Group[13] and acquired Dresdner Bank (Switzerland)[14][15]
  • 2015 Medici Firma & LGT acquired portfolio of Private Banking assets from HSBC in Switzerland
  • 2017 LGT confirms it has acquired ABN AMRO Asia a significant change of focus and expansion.
  • 2019 LGT enters Indian market by buying majority stake in Validus Wealth (FDI approval is pending) [16]

ControversyEdit

The German tax authorities commenced numerous audits and prosecutions for tax fraud in the tax haven Liechtenstein based on information on a CD acquired by the German secret service Bundesnachrichtendienst. The CD, containing large amounts of information on accounts held by German citizens and other nationals with the bank, was allegedly obtained for a sum of €4 million from a former employee or contractor of the bank.[17] Information was also forwarded to many other European states and Australia, leading to successful investigations there.

RatingEdit

LocationsEdit

EuropeEdit

Other locationsEdit

ReferencesEdit

  1. ^ a b c d e f "Annual Report 2018" (PDF).
  2. ^ "LGT: Bumper Profits in 2017". finews.com. 12 March 2018. Retrieved 4 December 2018.
  3. ^ Bucak, Selin (13 September 2017). "A royal family office: LGT's UK connections". Citywire.
  4. ^ "M-KOPA - Crunchbase". Crunchbase.
  5. ^ Cua, Genevieve (7 August 2018). "An integral piece of the puzzle". The Business Times.
  6. ^ a b c d Pohl, Manfred (1994). Handbook on the History of European Banks. Edward Elgar Publishing Ltd.
  7. ^ "LGT Bank: A Beacon Of Stability". Retrieved 18 April 2019.
  8. ^ "Long-Term Thinking and Actions Are Part of the LGT Identity". Retrieved 18 April 2019.
  9. ^ "Das Fürstenhaus von Liechtenstein". fuerstenhaus.li.
  10. ^ "Investment Firms Talk Of Merging". Retrieved 18 April 2019.
  11. ^ "Liechtenstein's LGT buys Swiss Life's STG". Retrieved 18 April 2019.
  12. ^ "ABN Amro sells its private banking business Hong Kong, Singapore, and Dubai to LGT". Retrieved 18 April 2019.
  13. ^ "Liechtenstein's LGT Group Sells Trust Business". Retrieved 18 April 2019.
  14. ^ "LGT Buys Swiss Unit of Dresdner From Commerzbank". Retrieved 18 April 2019.
  15. ^ "Commerzbank sells Dresdner Swiss unit to LGT". Retrieved 18 April 2019.
  16. ^ https://www.livemint.com/companies/news/wealth-manager-validus-sells-majority-stake-to-lgt-1561624604444.html
  17. ^ Fury in Liechtenstein over German tax inquiry by Tony Patterson in The Independent, 20 February 2008. Retrieved 31 August 2013. Archived here.
  18. ^ "Standard & Poor's rating report" (PDF). Standard & Poor's. Retrieved 2 November 2018.
  19. ^ "Moody's rating report" (PDF). Moody's. 12 June 2018. Retrieved 2 November 2018.