Liechtenstein’s LGT Group is buying the personal advisory unit of Commonwealth Bank of Australia (CBA), a deal that will see more than 2.8 billion Swiss francs (US$3.17 billion) of assets transferred from the Australian lender’s wealthy clients to the European firm.
LGT is the asset management and private banking business owned by the Liechtenstein royal family, with 356 billion Swiss francs of assets managed as of June.
It announced the acquisition of CBA’s Commonwealth Private Advice in a statement on November 11, saying that the deal will “bolster its foothold in the Australian wealth management landscape”.
Around 40 of the CBA unit’s advisers, associates and support staff will transfer to LGT Crestone, LGT’s Australian business.
“This transaction is driven by our shared purpose and values with Commonwealth Private Advice, particularly our client-centric approach to managing the wealth and financial wellbeing of sophisticated high-net-worth clients.” Michael Chisholm, chief executive officer of LGT Crestone, says in the statement.
The deal is expected to be completed by the middle of next year.
Sydney-based CBA had A$1.25 trillion ($820.6 billion) of assets as of June 2024.
