UOB earmarks $200 million to grow digital wealth solutions for ASEAN

UOB has launched “SimpleInvest” on UOB Mighty to make online investing simpler, smarter and affordable as the bank sets out to serve more of Asean’s underserved increasingly affluent consumers. 

According to the UOB’s research, more than three in every five consumers in Asean said they prefer online channels to apply for simple banking products. 

In Singapore alone where banking services are easily accessible, more than seven in 10 Singaporeans said they are not investing as much as they should and have surplus savings in their emergency fund.

Jacquelyn Tan, head of UOB’s group personal financial services, said digital innovation is paving the way for more customers to access the banking solutions they need for their different life stages. To this end, the Bank will invest more than $200 million in digital innovation over the next three years to serve consumers.

“The pandemic was a tipping point for digital financial solutions as more UOB customers embraced the convenience of online channels to transact and to grow their wealth,” said Tan. “We have tapped this permanent change to expand our digital wealth offering to provide simple, self-serve products and solutions through UOB Mighty.”

UOB’s approach is to we provide customers with information and insights on wealth management that are relevant to their needs and lifestyle choices, based on their banking patterns. This personalisation of wealth management for each customer is expected to enable them to have the confidence they need to make wiser financial decisions.

“Through our wealth management strategy, anchored by a digitally-enabled omni-channel customer experience, we aim to double our wealth fee income by 2026,” said Tan. “This translates to a CAGR of more than 15% over the next five years.”

SimpleInvest helps customers to kickstart their investment journey with as little as $100. During the pilot phase, 75 % of UOB customers purchased their first unit trust. One in three customers has also gone on to set up regular investment plans.

UOB plans to roll out its simple suite of digital wealth solutions across the region progressively.