Banking is no longer limited to the conventional facets that were followed earlier. Today, a bank has become an all-encompassing entity than a place to park your money or to take loans. Upon the emergence of investment banking, globalisation, and the economy's easy cash flow, the banks got a face-lift and started engaging in the business spheres.
Today, there are many nationalised as well as private banks that provide a variety of services to corporations, government, and private individuals alike. As a business, banking branches out into Investment Banking, Private Banking, New Age Banking, and many more.
Priority banking provides customised financial services, also known as High Net Worth Individuals. There are rich people with plenty of financial assets and are also searching for new and innovative ways to invest them. These bank's main aim is to provide these individuals with options that match their financial asset investment needs.
Not only can these banks give investment advice, but they go a step ahead and provide all of their services to these individuals alone. Such programs include monitoring their investments, maintaining and increasing their assets, potential financial planning; they are handling the individual's entire financial situation. One of the key advantages private banks have is the privacy and confidentiality offered; these often provide personalised financial solutions in terms of transactions, which adds to the appeal.
In comparison, retail banking generally deals with a bank's day-to-day operations. These banks provide all the services any individual will need, including banking services, personal loans, mortgages, deposit certificates, etc. The emphasis in retail banking is more on the customer than on their financial assets. Typically these banks are the local branches of bigger commercial banks that consumers use as a one-stop-shop for all their banking needs.
As time goes by, these banks have started to extend the purview of the services they provide, now a board of financial advisors is also offering financial advice to customers. Besides that, retail banking has also broadened its horizons through internet finance.
Since the internet revolution in full swing, several of these banks have started to provide services, primarily via mobile devices and online. Such programs are somewhat similar to those that every conventional bank does, but they cost considerably less. Although private banks have niche services, retail banks have a wide array of services to sell from wealth management, financial planning investment accounts, as well as privilege banking solutions.
You should look at premium banking if you are a high net worth person who has little time to handle his financial assets. A customised banker will assist you in planning and saving, taking into account tax obligations, portfolio diversification, asset management strategies etc.