Individual financial service history in the JSC Baltikums Bankas Grupa: from fund management to private banking service and wealth management.

History of private banking service and wealth management allows us see the very beginning of our experience and management principles. Private banking service has deep roots in the JSC Baltikums Bankas Grupa, founder of the JSC Akciju komercbanka Baltikums, and is based on experience gained by the founders and management of the Bank in different fields of private asset and wealth management.

The source of Baltikums Private Bank brings us to the early 1990s, when the future bank shareholders – Latvian businessmen and private investors established investment companies and funds for direct investments to industrial enterprises and transport capitals, and funds for investments in developing counties’ securities. 

From 1998 to 2000, in Latvia the shareholders purchased the Latvian life insurance company Dziviba (Life) (incorporated in 1992), private pension fund Pirmais Atklatais Pensiju Fonds (First Open Pension Fund), which provided services in funded insurance and private pension management programs for private individuals. 

In 1999, shareholders of the Bank purchased from Lithuanian - Sweden Bank Group the investment brokerage company incorporated in 1994, which is known today as JSC Baltikums Bankas Grupa (Baltikums Bank Group).

Late in 90s, the Bank group continued to take active part in private investment fund management; managed hedge funds, which invested to exchange-traded goods (cotton) and property; developed the financial and legal consulting, brokerage and financial intermediary business in the interests of wealth private individuals.

In 1999, there was founded the Latvian investment company Baltikums Asset Management, which incorporated three investment funds, and was the first in Latvia who quoted investment fund certificates on the local stock exchange, and currently is specialising in private asset management for wealthy people.

By foundation of the JSC Akciju komercbanka Baltikums in 2001, the JSC Baltikums Bankas Grupa companies had the licence for all financial intermediary and insurance businesses in Latvia. This gave the opportunity with package and comprehensive services in the private service centre.

As far as gaining the experience in private service for wealthy people, opening of special banking service office – Baltikums Private Bank in 2007 has become a logical phase in establishment of integral structural unit for wealth and private capital management.

As of March 2008, the aggregate capital of the Group companies amounted to 20 million LVL, invested to 15 companies operating in 4 countries.

Today, Baltikums Private Bank following traditions of the Bank group and its the founders represents a modern international sales and service network for wealthy people, using the advantage of shareholder's assets and support.                 

International experience

The JSC Akciju komercbanka Baltikums actively operates in international markets since 2001 in the field of international commerce, navigation and investment portfolio management. First customers of the Bank became wealthy owners of private business: foreign ship owners, traders of cotton, oil and other exchange-traded goods, insurance brokers and financial investors operating on international markets and needed the package banking and trust services.

Business model of wealth management opted by the Bank, which ensures private banking service to business owners, their family members and businesses they own, and is based on a solid basis of private commercial bank and knowledge of international financial and capital markets.