S.Oppenheim to win back client money in 2011: De Weck

DAVOS, Switzerland (Reuters) - Deutsche Bank DBKGn.DE's wealth management head expects the battered Sal. Oppenheim franchise, which Deutsche is acquiring, to start winning back new client money in 2011.

Meanwhile Deutsche Bank’s own wealth management division aims to grow its client assets by an annual 10 percent and to double the 29 billion euros assets it manages in Asia over the next three years, Pierre De Weck told Reuters in an interview.

“On Sal. Oppenheim there is a lot of work to be done,” he said on the sidelines of the World Economic Forum.

“We will stabilize the Sal. Oppenheim base. Initial indications from clients are very positive.”

Deutsche Bank agreed to buy the struggling Sal. Oppenheim group for 1 billion euros ($1.40 billion) in October and the sale of the blue-blooded banking brand, which has been serving the ultra wealthy since 1789, is due to go through this quarter.

The deal that will make the German bank the world’s number eight wealth manager thanks to combined assets of more than 200 billion euros ($280.8 billion).

The crisis and the uncertainty surrounding the future of Sal. Oppenheim led Germany’s best-known private banking brand to lose about three percent of net client assets in 2009.

But De Weck said he expected client flows at Sal. Oppenheim to stabilize in 2010 and to grow assets thereafter.

“I would expect in the first year (2011) Sal. Oppenheim to go to 3 percent maybe and for the second year to five percent,” De Weck said.

The acquisition will more than double Deutsche’s client assets in Germany to more than 100 billion euros and will reinforce its position of domestic leader.

Although strongly-rooted in Europe, Deutsche is planning to aggressively grow its market share in Asia and to expand its current headcount of 220 relationship managers.

“We want to grow between 20 and 25 pct per year in terms of assets under management,” De Weck said.

In the United States, the third main region served by Deutsche Bank’s wealth management operations, the goal is to grow the current 55 billion euros.

“Another big area of focus (is) the United States,” he said “The target is to grow these assets by 10 pct per annum.”

Editing by Jon Boyle