Marcuard Heritage Expands Licensing Strategy for Global Growth

Andreas Schuepbach, board chairman of Marcuard Heritage, emphasizes that regulation is a central challenge for wealth managers, particularly smaller firms struggling with succession issues. Marcuard Heritage has adopted a proactive approach, seeking local licenses in each of its four locations, Switzerland, Abu Dhabi, Singapore, and another, to ensure global advisory expertise with strong local roots. This strategy contrasts with the traditional model where a Swiss license was deemed sufficient. Schuepbach highlights that compliance efforts are substantial, with each office maintaining its own compliance officer and adhering to local regulations.

The benefits for clients include enhanced trust and security, as local licenses demonstrate adherence to high professional standards. Internally, Marcuard Heritage operates under a uniform control framework at the holding level, supplemented by local mechanisms. Schuepbach notes that regulatory cultures vary significantly, making risk assessment more complex and necessitating continuous adaptation of the board's expertise.

Schuepbach compares Switzerland's regulatory environment to those of Abu Dhabi and Singapore, praising the latter for more intensive, transparent, and efficient licensing processes. He underscores the importance of understanding each regulator's goals to navigate the rulebook effectively. Compliance costs are significant and growing, with a location breaking even at around 200 million Swiss francs in assets under management but requiring at least 1 billion francs for sustainable operation.

Long-term succession planning and independence are prioritized, with employees given opportunities to become entrepreneurs. Marcuard Heritage views industry consolidation from a position of strength, not necessity, and aims to maintain its market share while expanding into new markets, particularly in Asia. Sustainable growth remains a key ambition.