Quintet Private Bank Expands BlackRock Partnership for Alternative Assets

Quintet Private Bank, a Luxembourg-based European institution, has announced an expansion of its partnership with BlackRock. This move will provide clients with access to private equity, credit, and real assets, initially available to clients in continental Europe, with plans to extend to the UK by the end of the year. Bryan Crawford, the group head of investment and client solutions, highlighted that this initiative is part of the bank’s strategy to offer a broader range of investment options beyond traditional financial markets. The bank aims to provide clients with tools that grant access to assets typically reserved for institutional investors.

Quintet Private Bank is owned by Precision Capital, a holding company linked to Qatar’s ruling Al Thani family. Since its acquisition in 2012 for approximately €1 billion, the bank has received significant capital support, with over €350 million injected to bolster its growth and diversification efforts. This financial backing has enabled Quintet to realign its services and enhance client offerings under a more comprehensive investment model, including expanded access to alternative assets like private equity and private credit.

The original partnership with BlackRock was established in 2023, during a critical phase of the bank’s transition. Under the leadership of CEO Chris Allen, who joined in 2022 from HSBC Holdings Plc, Quintet was focused on recovering from a period of financial underperformance. The initial collaboration provided the bank with expanded investment tools and support, and the latest phase builds on this foundation by adding exposure to less traditional asset classes. This reflects the bank’s interest in offering more diversified solutions to its client base.

Bryan Crawford emphasized that Quintet maintains full control over how client funds are managed and allocated. Some clients have already begun utilizing the new investment channels. The partnership allows Quintet to leverage BlackRock’s infrastructure without relinquishing control over portfolio decisions, which is particularly important in markets like private equity and credit, where access is typically limited. This setup enables the bank to tailor exposure levels while utilizing BlackRock’s global investment network, providing clients with tools not commonly available to individual investors.

As of the end of 2023, Quintet Private Bank had a total of €100.6 billion in client assets under administration, marking a 16% year-on-year increase. The bank is also increasing its employment levels across Europe to support its expansion model. Quintet is part of a broader group that includes Merck Finck in Germany and Brown Shipley in the UK. Its client base primarily consists of high-net-worth individuals, foundations, and asset managers. This push reflects the bank’s ambition to grow operations and meet increasing demand on the continent.

BlackRock has also been increasing its activities across Europe, particularly in private market investments. Regulatory changes have made it easier for individuals to gain access to private assets in Europe. BlackRock is focusing its global strategy on private markets, which includes evergreen funds and model portfolios. These portfolios often include private equity and credit, two asset classes previously limited to larger institutions. In the US, these offerings are already widely available and form part of long-term investment strategies. The Qatari-backed European bank now seeks to mirror similar access for its own clients through this partnership.

Founded in 1949 and previously known as KBL, Quintet has evolved into a cross-border private banking group. While it collaborates with international firms like BlackRock, it remains regulated under the European banking regime. This extension of service aligns with broader trends in the private banking sector as institutions adjust to regulatory changes and market dynamics. Private banks are broadening their services to meet the growing demand for alternative investments. As markets evolve, client interest in alternative assets has become more pronounced across the financial sector, shaping how private banks operate in both domestic and international markets.