This notion likely influenced the top management and decision-makers at the Italian Banca Generali when they decided a few years ago to establish a bank in Switzerland. While they already had a presence in Switzerland through BG Valeur, an independent asset manager in Lugano, they lacked a banking license.

This led to the creation of BG Suisse Private Bank in 2021, under the leadership of seasoned Ticino banker Renato Santi, who has over 20 years of experience in Swiss banks and recently managed Saxo Bank's Swiss branch in Zurich.

Bank Without Legacy Issues

Renato Santi, CEO der BG (Suisse) Private Bank (Image: BG)

«We were able to build a bank without any legacy issues,» Santi says in an interview with finewsticino.ch. «This allowed us to integrate digital functionalities, implement sustainability criteria (ESG), and offer contemporary, comprehensive financial planning from the outset. I often refer to BG (Suisse) as a contemporary bank.»

Presence in Zurich and Geneva

The bank primarily targets Italian clients who have deposited their funds in Switzerland but prefer to be advised in their home country. This is facilitated by BG (Suisse)'s bespoke multi-booking platform, approved by FINMA. Additionally, Santi emphasized the bank's strategy to penetrate the Swiss market.

Lugano was chosen as the location, where 22 employees are currently based, due to the linguistic and cultural proximity to Italy. Santi, who grew up in Chiasso, also notes that the bank plans to establish a presence in Zurich and Geneva soon.

First Time in 15 Years

Since October 2023, BG (Suisse) has held the necessary FINMA license for business operations, marking the first time in 15 years that an Italian financial institution has received such authorization. Since then, Banca Generali's subsidiary has been operating at full capacity.

Despite Switzerland is the base of several banking groups, Santi remains undeterred. «Private banking is a fragmented market that offers plenty of space even for new entrants,» he says. Santi aims to manage around 5 billion francs in client assets within three years, ultimately reaching 10 billion francs.

Highly Attractive

Piazza della Riforma, Lugano (Image: ticino.ch)

For Italian clients, Switzerland remains highly attractive due to diversification, a wide range of financial products, high banking expertise, and reliability in execution. Political stability, legal certainty, a strong currency, and excellent infrastructure further enhance Switzerland's appeal, Santi explained.

For Swiss clients, particularly those in their 50s, Santi is confident that comprehensive retirement and financial planning, along with capital protection and preservation products – services that Banca Generali specializes in – will be attractive and find a substantial demand.

Expanding the Workforce

With BG (Suisse), the often-criticized Ticino financial sector experiences a revival or at least an enrichment or upgrade, ironically in sync with Credit Suisse's demise that creates a vacuum, Santi notes. He sees the transformation in the Swiss banking landscape also as an opportunity to recruit talented former Credit Suisse employees.

«We clearly want to expand our workforce significantly,» Santi underlines during the interview at BG (Suisse)'s headquarters on Piazza della Riforma in Lugano, located near former Credit Suisse, UBS, and the Ticino Cantonal Bank (BancaStato) – a prime neighborhood.

Poised to Make Acquisitions

Gian Maria Mossa, Michele Foletti, Mayor of Lugano, Renato Santi (from left, Image: BG)

The prominent address in Lugano is legitimate from an Italian perspective, as it marks Banca Generali's first foreign subsidiary, intended to serve as a blueprint for further expansions outside the home market, as CEO Gian Maria Mossa recently explained to finewsticino.ch. With the strong backing of its parent company, Banca Generali is also poised to make acquisitions abroad, including smaller private banks, trusts, or independent asset managers.

This approach was exemplified in October 2020 when the Italian financial conglomerate Intesa Sanpaolo acquired a controlling stake in the Geneva private bank Reyl, which also operates extensively from Lugano and now serves as a bridgehead for the company's international expansion.

Lugano's «Plan B»

Since the end of the COVID-19 pandemic, the Ticino financial sector has managed to shed doomsday scenarios and embrace a new «raison d'être» with new players like BG (Suisse) and targeted location marketing, attracting numerous wealthy families from Europe, particularly Norway, and increasingly from Italy, to settle in southern Switzerland.

Lugano has also gained recognition in the crypto world with its «Plan B» and is considered one of Europe's leading blockchain capitals. In this context, Santi is convinced that a new bank can capture market share and secure a place in the Swiss banking landscape. He aims to prove this within the next three to five years.