Asian banks see big boost to wealth business as currencies rally

By Selena Li, Yantoultra Ngui and Anton Bridge

HONG KONG/SINGAPORE (Reuters) -A crisp rally successful Asian currencies is acceptable to boost request for wealthiness and forex products arsenic clients question alternatives to U.S. dollar-denominated assets and request for hedging grows amid commercialized tariff uncertainties, bankers and analysts say.

The rally successful the currencies since past week, starting with the Taiwan dollar and spreading outwards to those of China, Hong Kong, Malaysia, Singapore and South Korea, sounds a informing for the greenback, and is seen arsenic an "Asian situation successful reverse".

"Most of our clients are Asian, truthful if their ain currency is growing, that gives them much purchasing powerfulness for wealthiness absorption products," Tan Su Shan, main enforcement of Singapore's biggest slope DBS Group, said connected Thursday.

A beardown Singapore dollar would assistance bring a "pool of wealth" into the starring planetary wealthiness absorption hub said Leong Yung Chee, the main fiscal serviceman of its United Overseas Bank oregon UOB.

Singapore's currency has risen much than 4% since U.S. President Donald Trump hiked tariffs connected April 2.

"We anticipation to payment from that successful presumption of the wealthiness absorption of immoderate businesses that we bash for retail clients," Leong said, during the bank's net briefing connected Wednesday.

The expectations underscore however President Donald Trump's commercialized policies are pushing investors retired of U.S. assets and moving their wealth into Asia, amid increasing questions astir the presumption of the greenback arsenic a harmless haven.

A weaker dollar is expected to unreality request for fashionable U.S. fixed-income assets among wealthiness absorption clients successful Asia, who whitethorn present beryllium much unfastened to investing successful section currency denominated assets, analysts said.

The instrumentality of assets to Asia volition further bolster the allure of the portion arsenic a starring planetary wealthiness hub.

Between 2025 and 2028, Asia is acceptable to relationship for astir fractional of each caller high-net-worth individuals, oregon those with much than $10 cardinal successful assets, according to Knight Frank's 2025 Wealth Report issued successful March.

The Asian currency swings person not yet hugely influenced capitalist sentiment, said Morningstar elder expert Michael Makdad. However, implicit the agelong term, currency trends could impact flows arsenic investments are allocated retired of U.S. assets.

In Taiwan, a important information of household fiscal assets has traditionally been allocated to beingness security products that put heavy successful dollar assets, and a leap of 8% successful its currency wrong 2 days sent tremor crossed the sector.

"If Taiwanese beingness insurers conflict to make charismatic returns from U.S. fixed-income investments, it whitethorn unfastened the doorway for banks to connection much alternate wealthiness absorption solutions instead," Makdad said.