Table of Contents
EXECUTIVE SUMMARY
Most Dutch HNW individuals are either family business owners or entrepreneurs
Key findings
Critical success factors
PROFILING THE DUTCH HNW INVESTOR
Entrepreneurship is the leading source of Dutch HNW wealth
Entrepreneurs should be targeted with tailored service propositions
Many HNW investors have built their fortunes through IT and financial services
Dutch HNW individuals are older, making wealth preservation crucial
Expats in the Netherlands form a small share of the HNW population
Expats constitute 4.1% of the local HNW population
Cost considerations motivate expats to keep wealth in the Netherlands
The UK accounts for almost half of HNW expats in the Netherlands
DUTCH HNW INVESTMENT STYLE PREFERENCES
Only 7.8% of HNW wealth is held via execution-only mandates, making the Netherlands an attractive market to operate in
Wealth managers should highlight their specialist expertise
The largest proportion of HNW wealth is kept in discretionary mandates
Demand is strongest for discretionary mandates
Discretionary mandates will remain the favored asset management offering
A desire to retain control of some of their investments motivates self-directed investors
ASSET ALLOCATION TRENDS AMONG DUTCH HNW INDIVIDUALS
Equities will remain the most favored asset class
Equities constitute nearly half of HNW investors' managed wealth, and are mostly held through funds
Capital appreciation opportunities and dividend income feed the HNW appetite for equities
Bond investments are forecast to decrease in popularity
Balancing out equity risk, Dutch investors prefer bond funds and direct government bonds
Bond investments will continue to decrease in popularity
Cash and near-cash allocation is on par with the wider region
The Dutch HNW cash portfolio is largely in local currency deposits
Low interest rates will continue to depress demand for cash and near cash-products
Property constitutes 6% of the typical HNW portfolio
Dutch HNW investors prefer property investments through funds
The revitalized property market will motivate investors to increase allocations in this asset class
Alternatives constitute 5% of the typical HNW portfolio
Hedge funds account for more than half of alternatives
Asset diversification is the leading driver of alternative investments
DUTCH HNW PRODUCT AND SERVICE DEMAND
Demand for planning services is below the regional average
ABN Amro offers services for families seeking to secure their wealth over generations
Demand for advice will offer opportunities in the future
Demand for investment property and tax advice lags behind the regional average
Wealth managers lacking the in-house resources to provide property advice should consider partnerships in light of rising demand
APPENDIX
Abbreviations and acronyms
Definitions
Affluent
Mass affluent
HNW
Liquid assets
Methodology
Verdict Financial's 2015 Global Wealth Managers Survey
Verdict Financial's 2014 Global Wealth Managers Survey
Exchange rates
Bibliography
Further reading
About Verdict Financial
Disclaimer

List of Figures
Figure 1: The majority of Dutch HNW individuals have sourced their wealth through either family business or first-generation entrepreneurship
Figure 2: ING's innovation studio lets startups test their ideas and receive mentoring
Figure 3: IT and financial services are the leading generators of wealth
Figure 4: Dutch HNW individuals are younger than the regional average, but the majority are still over 50
Figure 5: Expats have largely been in the country over the short or medium term
Figure 6: Expats in the Netherlands aim to avoid foreign exchange fees by investing in the country
Figure 7: The largest proportion of expats in the Netherlands come from the UK
Figure 8: ABN Amro's World Citizen Services targets expats globally
Figure 9: Clients seek professional advice in the hope of better returns
Figure 10: Discretionary mandates are the leading choice among Dutch HNW investors
Figure 11: Dutch HNW investors express strong demand for managed mandates
Figure 12: Demand for discretionary mandates is set to soar
Figure 13: Self-directing clients want to retain control of part of their investment portfolio
Figure 14: Equities dominate Dutch HNW asset allocation
Figure 15: Two thirds of the Dutch equity portfolio is held through funds
Figure 16: Capital appreciation and dividend income drive HNW equity investments
Figure 17: Bonds constitute a third of the typical Dutch HNW portfolio
Figure 18: Demand for bonds will decrease as investors look for higher returns
Figure 19: Cash investments are largely in local currency deposits
Figure 20: Demand for cash investments is expected to decrease
Figure 21: Investment property is mostly held through funds
Figure 22: Asset diversification is the leading driver of property investment
Figure 23: Alternative investments are mostly held in hedge funds
Figure 24: Wealth managers are divided on the development of demand for alternatives
Figure 25: Demand for planning services is below the regional average
Figure 26: ABN Amro offers planning services for wealthy families
Figure 27: Demand for planning services is set to pick up
Figure 28: Demand for investment property advice and tax planning services is muted
Figure 29: Demand for investment property advice is expected to pick up