Private Banking history
The history of private banking began in Italy in Florence in the 14th century. The formation was associated with the Medici family. Between 1348 and 1392, Vieri di Cambio de’Medici established the first private Bank with branches in major cities in Europe. Originally, such banks acted as Banks for wealthy families, to whom they took care of finances. Other family private banks were established, none of which exist at this time.
Banca Monte dei Paschi di Siena, which was founded in 1472, is the oldest bank operating in Private Banking area. It is no longer focused on private banking.
The oldest bank still providing Private Banking services is C. Hoare & Co. in London. This private bank was founded in 1672. Another major English bank is Coutts & Co., which was founded in 1692 and is now owned by the Royal Bank of Scotland. The bank also manages the assets of the British royal family.
In the USA, the oldest bank is Brown Brothers Harriman & Co., founded in 1818 in Philadelphia. According to Euromoney, the largest private bank worldwide is JPMorgan Chase & Co. To give an idea of the total assets entrusted to clients in 2014, it is over $ 2 trillion.
Switzerland, where many foreign private banks have their headquarters, is considered a private banking paradise. The oldest Swiss private bank is Landolt & Cie, banquiers, founded in 1780 in Neuchâtel.
According to Euromoney, UBS and Credit Suisse are the second and third largest private banks. One of the most famous private banks is the German private bank founded in 1789 in Bonn Sal. Oppenheim. It is now part of Deutsche Bank.