BTG Pactual posts record profit, China Merchants Bank’s retail assets pass $2.65 trillion

Banco BTG Pactual reported record adjusted net income as combined asset and wealth management assets rose 25% to BRL 2.7 trillion ($521.6 billion). China Merchants Bank’s retail assets under management (AUM) passed RMB 18 trillion ($2.65 trillion), while Standard Bank’s insurance and asset management businesses increased earnings faster than the wider group.

Standard Chartered and Nomura expanded their gold offerings through an income-generating fund and physical custody in Singapore. Amundi extended its EUR 30 billion ($34.6 billion) distribution partnership with Banco Sabadell, while adviser consolidation, external brokerage infrastructure and preparations for wider use of alternative investments continued to reshape wealth platforms.

Read more on the week's key developments:

1. BTG Pactual posts record profit as wealth assets grow

Banco BTG Pactual reported on 11 August that adjusted net income rose 23% year-on-year (YoY) to BRL 5.1 billion ($985 million) in the second quarter of 2026, a record for the bank. Revenue reached BRL 10.4 billion ($2.01 billion), although investment banking revenue declined. Combined assets under management and wealth under management (AUM/WUM) reached BRL 2.7 trillion ($521.6 billion), up 25%, following BRL 59 billion ($11.4 billion) in net new money.

The inflows were equivalent to about 2% of BTG’s combined asset base and came during a strong period for Brazil’s fund industry. Net subscriptions across the industry reached BRL 184.7 billion ($35.7 billion) in the first half, more than double the amount a year earlier, according to the Brazilian Financial and Capital Markets Association (ANBIMA). BTG’s larger asset base expands its pool of fee-generating business, while subsequent results will indicate whether wealth income continues to offset weaker investment banking revenue.

2. China Merchants Bank’s retail assets pass $2.65 trillion

China Merchants Bank said at its 2026 Wealth Partners Forum on 11 August that retail AUM had exceeded RMB 18 trillion ($2.65 trillion), an increase of more than RMB 2 trillion ($294.6 billion) from a year earlier. The bank also launched AI Xiao Ban, an AI agent designed to support its wealth-management partners.

The RMB 18 trillion ($2.65 trillion) asset base reinforces CMB’s position as a leading retail wealth platform among China’s joint-stock banks. AI Xiao Ban joins two existing agents serving clients and employees, extending the bank’s use of AI into adviser workflows. Its adoption and effect on adviser productivity will determine whether CMB expands the model further across its wealth business.

3. Standard Chartered scales gold fund across six wealth markets

Standard Chartered announced on 11 August the launch of the Signature Select Enhanced Gold Income Fund, its ninth Variable Capital Company (VCC) sub-fund. Managed with Allianz Global Investors, the fund invests in gold exchange-traded funds and uses covered call options to generate income. It is available to accredited and professional investors in Hong Kong, Singapore, the UAE, Jersey, Kenya and Nigeria, with distribution in Taiwan expected later in 2026.

The product is Standard Chartered’s fourth VCC fund launch this year, extending a platform through which the bank distributes externally managed strategies across several wealth markets. Its covered call strategy provides option income but may limit gains when gold prices rise sharply, giving investors a different return profile from direct bullion. The planned Taiwan launch will add another market to the platform later this year.

4. Standard Bank’s wealth-linked businesses outpace group earnings

Standard Bank Group, Africa’s largest bank by assets, reported on 13 August that headline earnings rose 10% YoY to ZAR 26.1 billion ($1.62 billion) in the six months to 30 June, a record for the period. Insurance and asset management delivered a return on equity of 21.1%, ahead of the group’s 19.8%, while personal and private banking delivered 18.6%. AUM and administration reached approximately ZAR 1.8 trillion ($111.5 billion).

Insurance and asset management generated a higher return on equity than the wider group, providing an additional source of earnings alongside Standard Bank’s core banking operations. Personal and private banking’s disclosed return of 18.6% sits below the group average, though the release does not break out wealth management specifically within either segment, limiting assessment of that narrower business line.

5. Amundi extends $34.6 billion Sabadell distribution partnership

Amundi announced on 11 August that it had extended its fund-distribution partnership with Banco Sabadell by five years to 2035, four years before the original agreement was due to expire. Assets managed by Amundi for Sabadell clients increased from EUR 20 billion ($22.8 billion) in 2020 to nearly EUR 30 billion ($34.6 billion) at the end of 2025.

The extension follows a 50% increase in assets under the arrangement over five years. Amundi retains access to a major Spanish banking network, while Sabadell continues to distribute Amundi's fund range under the partnership established following Amundi's acquisition of Sabadell Asset Management in 2020.

 6. Nomura adds physical gold trading and custody in Singapore

Nomura International Wealth Management launched a physical gold trading and custody service in Singapore on 12 August for high-net-worth and ultra-high-net-worth clients. The service covers large gold bars of approximately 400 troy ounces and smaller kilobars, with trading and custody conducted in Singapore.

The offering gives private clients access to locally vaulted physical bullion, distinguishing it from Standard Chartered’s gold-income fund and other financial products linked to the metal. Separate demand for Singapore-held gold has been visible through the LionGlobal Singapore Physical Gold Fund, which accumulated SGD 502.2 million ($396.8 million) within three months of its December 2025 launch. Nomura did not disclose whether client holdings are allocated, expected volumes or fees.

7. GFH’s wealth business generates 43% of first-half income

GFH Financial Group reported on 13 August that wealth and investment management income rose 48.4% YoY to $132.8 million in the first half of 2026, accounting for approximately 43% of group income. Net profit attributable to shareholders increased 13.3% to $76.2 million, while total income rose 4.4% to $309.8 million. Total assets reached $12.44 billion.

GFH attributed the division's growth to higher management and performance fees. Growth itself moderated from 60% in the first quarter to approximately 32.5% in the second, and the contribution from performance fees means part of the increase may vary with investment results.

8. Merit acquires sixth former Commonwealth adviser team

Merit Financial Advisors acquired The Bridgeway Group, a California-based registered investment adviser with approximately $900 million in client assets. The transaction closed on 31 July and increased Merit’s total client assets to $30.1 billion. It is Merit’s ninth partnership of 2026 and 61st acquisition overall.

Bridgeway is the sixth former Commonwealth Financial Network team to join Merit since LPL Financial agreed to acquire the broker-dealer, bringing approximately $4.7 billion in combined client assets. The sequence shows how the transaction is creating opportunities for competing wealth consolidators as affiliated advisers review their arrangements. Bridgeway expands Merit’s presence in Southern California but adds only about 3% to its client-asset base.

9. DriveWealth supports IOL Privé’s US investment offering

DriveWealth announced on 14 August that it was providing brokerage infrastructure for IOL Privé, a digital wealth platform launched by Argentina-based IOL Group for affluent investors in Uruguay and Argentina. The service operates through IOL Agente de Valores, which is registered with the Central Bank of Uruguay as a securities agent, and combines wealth advice with access to international investments and US brokerage accounts. IOL Group said it has served more than two million customers over more than 25 years.

The arrangement allows IOL to add US execution and brokerage capabilities without establishing its own infrastructure in that market. It illustrates how a regional wealth platform can combine local client relationships with externally supplied market access and custody capabilities. The companies did not disclose client targets, assets or pricing, leaving the expected scale of the service unclear.

10. Advisers prepare to increase alternative-investment allocations

The proportion of wealth advisers planning to increase allocations to alternative investments rose from 14% in 2025 to 39% in 2026, according to iCapital’s second annual Global Advisor Survey, published on 11 August. Overall, 89% of the 870 respondents across 15 countries in the US, Europe, the Middle East and Asia Pacific plan to maintain or increase allocations over the next 12 months.

The increase places greater attention on whether wealth firms have the technology, compliance processes and adviser capabilities required to support a larger alternatives business. In the 2025 survey, 60% of respondents identified operational or technology challenges as their main obstacle. The results measure intentions, while the different annual samples limit direct comparison. Reported client flows will provide firmer evidence of whether the expected allocations materialise.