The bank seeks to tap into a population of 5.5 million Asian HNW persons.

Bank of Asia (BVI), claiming to be one of the world’s first fully digital cross-border banks, has appointed a permanent president, taking the helm after the interim holder of the post returned to Hong Kong.

The organisation has appointed Dr Peter Reichenstein, who is based in Tortola, British Virgin Islands. He replaces Wayne Yang, who continues as managing director and head of wealth management at BOA Financial Group, it said in a statement yesterday.
 
Dr Reichenstein will work with Carson Wen, founder and chairman of Bank of Asia, and the board to execute the Bank’s strategy in providing core banking services to offshore companies, trusts, and high net worth individuals from around the world, it said. He has spent more than 10 years at VP Bank and Trust Company (BVI), where he was chief executive and managing director responsible for growing the bank’s operations in the BVI. Prior to this, he worked at UBS Private Bank, Financial Planning & Wealth Management International.  A former President of the BVI Bankers’ Association, he has also been a member of the Economic Advisory Committee to the Premier and Minister of Finance in the BVI.

Originally from Switzerland, Dr Reichenstein completed his doctorate studies at the University of St Gallen in 1986 and the International Executive Program (IEP) from INSEAD in 1995. He has been domiciled in the British Virgin Islands since 2000.

The bank  employs staff in the Caribbean island and Asia. Instead of physical branches, the bank is powered by technology from companies such as Avaloq, Saxo and Oracle. Its initial services include core banking work in US dollars and it expects to roll out credit cards and lending services next year. BOA Financial Group, based in Hong Kong, will offer wealth management, investment advisory and investment banking advisory services.

The bank seeks to tap into a population of 5.5 million Asian HNW persons, of which 1.13 million are Chinese. It also cited the potential of an estimated 2 million offshore companies, many of which are incorporated in the BVI - more than 40 per cent of all owners of offshore companies are located in Greater China.

At the start of 2019 China brought in tough new controls on individuals’ holdings of offshore assets, although a different regime, this publication understands, applies to companies. This publication has asked Bank of Asia about how the Chinese rules affect its business, and may update in due course.