When you work with us, one of the first things you’ll notice is that we use external private banks as custodians to manage your assets. This may raise questions, particularly if you're new to offshore wealth management. Why don't we hold your assets directly? What role do private banks play in ensuring your financial security?

At WHVP, we are committed to preserving your wealth in a secure and transparent way. In this post, we’ll explain why working with external private banks as custodians is not only necessary but beneficial for you as a client. We'll also guide you through how we collaborate with these banks to ensure a seamless and safe experience, while tailoring the services to your specific needs.

Why WHVP Needs External Private Banks as Custodians

WHVP is a Swiss-based wealth management firm registered as an independent Registered Investment Advisor (RIA) with the U.S. Securities and Exchange Commission (SEC). This means that, by design, we do not hold a banking license. Instead, we focus on offering wealth management services and investment advice without directly handling your funds.

To safeguard your wealth, we work with external private banks located in highly secure jurisdictions, such as Switzerland and Liechtenstein. These private banks hold and protect your assets, while WHVP manages the investments on your behalf. Think of the private bank as the "safekeeping partner" of your wealth, while WHVP serves as your personal wealth advisor and investment strategist.

This separation between your wealth manager and your private bank creates a layer of protection. Even if something happens to us as your advisor, your assets remain securely in the hands of the private bank. This structure promotes independence, transparency, and security, ensuring your wealth is always in safe hands.

Additionally, this setup offers a unique advantage: it allows you to benefit from the personalized service and close relationships provided by a boutique firm like WHVP, while having the backing of a larger, extremely stable financial institution for the safekeeping of your assets. You get the best of both worlds — tailored advice and a personal connection with WHVP, combined with the robust safety measures of a highly secure private bank.

Moreover, this structure gives you flexibility. If for any reason you're not fully satisfied with the private bank, you're free to switch to another institution without disrupting your relationship with WHVP. Your point of contact remains the same, ensuring continuity in your wealth management, no matter where your assets are held. This flexibility allows us to continue providing our signature high-touch service while adapting to your evolving needs.

How the Client, WHVP, and the Private Bank Work Together

Our collaboration with external private banks is best described as a "triangle relationship" between WHVP, the client (you), and the bank. This structure allows us to optimize services while ensuring both transparency and security.

• Introducing You to the Bank: At the start of our relationship, we help you find the private bank that best suits your needs. Different clients have different priorities, whether that's personalized service, privacy protection, or access to specific types of investments. We assess these needs carefully and recommend the best fit.
• Account Opening: Once the appropriate private bank has been identified, we guide you through the process of opening your account. Offshore banking can be complex, especially when dealing with international regulations, but we make it as simple as possible. We ensure all the paperwork is correctly completed and submitted, so the account is opened smoothly.
• Limited Power of Attorney: Once your account is open, WHVP is granted a limited power of attorney (LPOA). This allows us to place trades and manage your investments on your behalf, according to your agreed-upon strategy. Importantly, this power of attorney is limited to investment management. We do not have the authority to withdraw or transfer your funds, ensuring your complete control over your assets.
• Communication and Coordination: While your assets are held by the private bank, all communication typically flows through WHVP. This simplifies your experience and ensures that any questions or concerns are addressed quickly. Our team acts as your single point of contact for both investment strategy and account-related issues.

Should your needs change over time, you're always free to switch banks or open additional accounts with other banks we recommend. We aim to provide flexibility while ensuring that all banks we work with meet our high standards for safety and service.

Why We Only Work with Banks in Safe Jurisdictions

When it comes to safeguarding your wealth, location matters. At WHVP, we only partner with private banks in highly secure jurisdictions like Switzerland and Liechtenstein. These countries are renowned for their stability, discretion, and strong regulatory frameworks, making them some of the safest places in the world to store your wealth.

In addition, we conduct regular reviews of the banks we work with, ensuring they meet our rigorous criteria for both financial health and service quality. This includes evaluating their balance sheets, solvency, and capital adequacy (CET1 ratio), as well as assessing their overall stability. Whenever possible, we prefer banks that are fully or partially family-owned, as this often indicates a long-term commitment to client security and service.

Beyond the numbers, we also consider softer factors like the bank’s quality of service, ethical values, and overall business philosophy. We know that clients value personal attention, so we prioritize banks that treat clients as partners, not just account numbers.

Key Criteria for Choosing a Private Bank as Custodian

When recommending a private bank as custodian for your assets, we take a comprehensive approach that balances several important factors, always keeping your best interests in mind:

• Experience with U.S. Clients: One of the key factors we prioritize is the bank’s track record of working with U.S. clients. We ensure that the bank understands the unique needs of international clientele, particularly when it comes to U.S. regulations and tax reporting. The banks we recommend provide solid tax statements tailored for U.S. clients, simplifying your reporting obligations and ensuring compliance with all relevant regulations.
• Service Quality: The level of service provided by the bank is a key factor. We assess how responsive and attentive the bank is to clients, as well as the range and quality of services they offer.
• Security: Security is paramount, and as mentioned already above, we evaluate the safety of the bank’s processes and systems. You can rest assured knowing that the banks we work with adhere to strict security protocols and are located in jurisdictions with robust financial regulation.
• Order Execution and Strategy Alignment: Different investment strategies may require different capabilities from your private bank. We evaluate the bank’s ability to execute your investment orders quickly and securely, while also considering the likelihood of full execution based on your chosen strategy.
• Cost: We aim to find the best overall pricing for the services provided. This includes considering the fees you’ll incur for managing your assets at the bank.

This comprehensive evaluation allows us to recommend a private bank that not only provides security and reliability but also offers the tailored services and flexibility you need as an international investor.

The WHVP Advantage: Why Clients Trust Us

At WHVP, we pride ourselves on more than just offering sound financial advice. Our approach is personal, transparent, and client-focused. Our role is to protect your wealth, preserve your privacy, and give you peace of mind.

Our deep knowledge of both U.S. regulations and offshore banking ensures that we can navigate complex international waters with ease. Whether you're concerned about currency devaluation, legal risks, or market volatility, we are here to provide solutions that give you confidence in the future.

Moreover, the relationships we build with our clients are rooted in trust. You can expect clear communication, professional advice, and a tailored approach to managing your assets. Our team remains accessible to answer any questions, address concerns, and make adjustments to your strategy as needed.

By working with WHVP and our network of trusted private banks, you are not just preserving your wealth—you are securing your future.

If you are ready to take the next step in securing your financial future, feel free to reach out to us for a consultation. We are here to help you achieve peace of mind, knowing that your assets are in safe and experienced hands: