Artificial intelligence is transforming industries at extraordinary speed, and private banking is no exception. For H.S.H. Prince Max von und zu Liechtenstein, Chairman LGT, this shift opens up powerful opportunities - and raises fundamental questions about the essence of banking and the value clients expect from their partners.
I remain fundamentally optimistic - but with my eyes open. History teaches us that technological revolutions often unfold in waves, accompanied by periods of overinvestment, high expectations and, eventually, corrections. Artificial intelligence is no different.
Transformative technologies typically have broad consequences - many are very positive, but some are more difficult and dangerous. That calls for optimism, but also for realism and prudence.
At LGT, we are taking a proactive and purposeful approach. For several years now, we have been exploring where AI can genuinely support our clients and our people - from portfolio construction and research to improving our broader process landscape and client interaction. AI agents will increasingly support our relationship managers in tailoring our advice even more individually. For large and complex organisations, the effective use of AI will become a key success factor, but we are still in the early stages of this journey and our thinking will progress as AI-driven applications evolve.
I do. I see a profound change rooted in the democratisation of information. High-quality insights - portfolio analyses, risk diagnostics, macro research - are becoming accessible to everyone at the click of a button …
It was, but that era is ending. If the difference between an AI-generated portfolio analysis and a conversation with your relationship manager becomes too small, clients will rightly ask: what is the added value?
LGT will, of course, continue to strive to obtain investment information that is difficult to access. The situation varies depending on the asset class and strategy. Listed securities, for example, are much more affected by this development than private equity, which continues to be characterised by exclusive information and relationships. However, I see our key added value in our judgement, our experience and our trustworthy advice. I am convinced that our clients will continue to seek personal contact with their relationship managers to discuss issues and make important decisions.
Listed securities, for example, are much more affected by the AI development than private equity, which continues to be characterised by exclusive information and relationships.
Human and personal relationships will remain at the core of our activities. AI will be very helpful in many areas, but it does not understand personal emotions and ambitions, values or family dynamics. It does not coach people through uncertainty or conflict. There are situations where our clients will appreciate having a true partner and trusted adviser by their side. In a world that is becoming more complex, polarised and short-term oriented, this kind of long-term, trust-based guidance becomes even more relevant.
It is. Many of the most meaningful conversations happen during moments of transition: preparing children for responsibility, the sale of a business or the receipt of an inheritance. These are defining chapters in a family's life, and they require continuity, empathy and real partnership.
Every generational transition carries both financial and emotional complexity. Wealth is more than capital: it reflects identity, responsibility and future potential. As a family-owned bank, we understand these dynamics first-hand. We accompany families holistically - looking not just at investments, but at governance, structuring, communication and purpose.
We are operating in a world that is being reshaped by powerful forces - rapid technological progress, the global transition towards decarbonisation and higher resource efficiency, demographic change, rising geopolitical fragmentation and increasing fiscal imbalances in many major economies. To me, foresight means the ability to deeply understand these trends and their broad-based implications, and to engage and invest in this environment in a way that generates good financial returns while also having a positive impact on our societies and the environment.
It has been a remarkable evolution. When I joined LGT two decades ago, it was still a relatively small private bank mainly active in offshore private banking that was strongly characterised by banking secrecy. Today, we are more than five times larger, with a broader international presence, strengthened competencies and a significantly more diversified business model. Of course, with scale comes complexity. Challenges have not disappeared; they have simply changed shape. But our strengths - family ownership, long-term thinking, a strong culture and more than 6000 highly committed colleagues across the globe - give us a robust foundation to navigate uncertainty.
LGT has been fully owned by the Princely Family of Liechtenstein for more than 100 years. Values are as important to the family as they were nine centuries ago. These include respect, friendliness, entrepreneurial commitment, a long-term and holistic perspective, and the relentless pursuit of quality, innovation, and improvement. These values shape LGT as well.
