Report: Wealth management client segmentation

Report summary

Historically, private banks and wealth managers have focused their efforts on high-net-worth (HNW) and ultra-high-net-worth (UHNW) clients. Whilst millionaires and multi-millionaires share common characteristics, each individual also has a unique of needs. The challenge for wealth management professionals is to match these individual client demands to the right set of financial solutions. Doing so successfully means understanding that one size does not always fit all, making good wealth management segmentation crucial.

What you need to know in brief:

Wealth management segmentation can help financial providers to:

  • Optimise internal resource allocation.
  • Successfully segment clients to enable efficient commercial distribution of wealth management products and services.
  • Drive client satisfaction, loyalty and profitability.

Traditional wealth management segmentation relies on three key indicators:

  • Amount of wealth
  • Source of wealth
  • Age of wealth

This report argues that a new dimension of segmentation – behaviour – must be added into the mix in order for wealth managers to successfully use segmentation strategies.

The key to embedding segmentation within a wealth management organisation lies in developing a technological environment that supports advisors in becoming more efficient in the use of their most limited resource: time.

Enhancing the efficient collection, management and analysis of client data is integral to effective segmentation strategies and can actively help to drive higher profit margins for wealth managers.


Wealth managers, private banks, family offices, RIAs, IFAs

SEI executive connections

This report was produced to support the SEI Executive Connections community, which exists for private bank executives and wealth management industry experts. The community provides business intelligence on a range of wealth management and private banking topics and creates opportunities for members to interact and exchange ideas on banking topics and trends.


Wealth management segmentation


SEI Private wealth management; Scorpio Partnership