Dublin Business School
&
Liverpool John Moores University
Did private wealth management and customers’
behavior change after the financial crisis of 2008 in
France?
MBA in Finance
Dissertation submitted in part fulfilment of the requirements for
the degree of Masters of Business Administration (M.B.A) at the
Dublin Business School and Liverpool John Moores University.
Submitted by: Jean-Antoine BAUX
Student ID: 1715698
Supervisor: Mr Michael Kealy
Word count: 20 800 words
Submission date: 10th May 2013
Table of Contents
Declaration .................................................................................................. 1
Acknowledgments ....................................................................................... 2
Abstract ....................................................................................................... 3
List of Figures ............................................................................................. 4
List of Abbreviations .................................................................................. 4
Chapter 1 - Introduction ............................................................................ 5
I. Understanding the concept of Wealth and Wealth Management ............................. 5
1. Wealth ..................................................................................................................................... 5
2. Wealth Management ................................................................................................................ 5
II. Background of the Issue ............................................................................................... 7
III. Research aim .................................................................................................................. 8
IV. Research objectives ....................................................................................................... 9
V. Approach to the dissertation ...................................................................................... 10
VI. Suitability of the researcher and Interest in the subject .......................................... 10
VII. Scope and limitations of the research ........................................................................ 10
VIII.Limitations .................................................................................................................. 11
IX. Organisation of the dissertation ................................................................................. 12
1. Chapter 1 – Introduction ........................................................................................................ 12
2. Chapter 2 - Literature Review ............................................................................................... 12
3. Chapter 3 - Research Methodology and Research Methods .................................................. 12
4. Chapter 4 - Research Findings and Data analysis ................................................................. 13
5. Chapter 5 - Conclusions and Recommendations ................................................................... 13
6. Chapter 6 - Self-reflection on own Learning ......................................................................... 13
7. Chapter 7 - Bibliography ....................................................................................................... 13
8. Chapter 8 - Appendices ......................................................................................................... 13
Chapter 2 - Literature Review ................................................................ 14
Introduction............................................................................................... 14
Content of the Literature Review ........................................................... 15
I. Private Wealth Management ...................................................................................... 16
1. Nature and Objective of Private Wealth Management .......................................................... 16
2. The Wealth management process .......................................................................................... 19
3. Private wealth management industry post crisis. ................................................................... 21
4. Private wealth management in France. .................................................................................. 25
II. Customer behavior ...................................................................................................... 27
1. The high-net-worth individuals. ............................................................................................ 27
2. Changes in customer behavior with the financial crisis of 2008 ........................................... 28
3. Changes in customer behavior in France ............................................................................... 31
III. Conclusion .................................................................................................................... 33
Chapter 3 - Research Methodology and Research Methods ................ 34
Introduction............................................................................................... 34
I. Research questions ...................................................................................................... 34
II. Research Philosophies ................................................................................................. 35
1. Research Ontology ...................................................................................................... 37
Realism .................................................................................................................................. 37
Positivism .............................................................................................................................. 37
Pragmatism ............................................................................................................................ 37
Interpretivism ........................................................................................................................ 37
2. Research approaches ................................................................................................... 38
Deductive............................................................................................................................... 38
Inductive ................................................................................................................................ 38
3. Research strategies ...................................................................................................... 39
Experiment ............................................................................................................................ 39
Survey .................................................................................................................................... 39
Action research ...................................................................................................................... 39
Grounded theory .................................................................................................................... 39
Ethnography .......................................................................................................................... 40
Archival research ................................................................................................................... 40
Case study – (In depth Interviews) ........................................................................................ 40
4. Research choices .......................................................................................................... 41
Mono method – Qualitative research .................................................................................... 41
5. Research Time horizons .............................................................................................. 42
6. Structure of the research method - Framework ....................................................... 42
Sequence structure ................................................................................................................. 42
7. Data collection and data analysis ............................................................................... 43
Data collection ....................................................................................................................... 43
Primary data collection .......................................................................................................... 43
Secondary data collection ...................................................................................................... 43
Data analysis .......................................................................................................................... 45
8. Sample .......................................................................................................................... 45
9. Ethics ............................................................................................................................ 46
10. Limitation ..................................................................................................................... 46
Chapter 4 - Research Findings and Data analysis ................................ 47
Introduction............................................................................................... 47
I. In depth interviews ...................................................................................................... 47
II. Structured interview analysis ..................................................................................... 48
III. Findings ........................................................................................................................ 48
Research question 1 ....................................................................................................................... 48
1. Wealth manager findings ....................................................................................................... 49
2. Customer findings ................................................................................................................. 50
Research question 2 ....................................................................................................................... 52
1. Wealth manager findings ....................................................................................................... 52
2. Customer findings ................................................................................................................. 53
Research question 3 ....................................................................................................................... 54
1. Wealth manager findings ....................................................................................................... 54
2. Customer findings ................................................................................................................. 55
Chapter 5 - Conclusions and recommendations .................................... 56
Introduction............................................................................................... 56
I. Findings and Conclusions ........................................................................................... 56
II. Recommendations ....................................................................................................... 59
III. Limitation and Suggestions for Further Research ................................................... 60
Chapter 6 - Self-Reflection on own learning .......................................... 61
Introduction............................................................................................... 61
I. Learning styles ............................................................................................................. 61
Accommodator/Activist ........................................................................................................ 62
Diverger/reflector .................................................................................................................. 62
Assimilator/theorist ............................................................................................................... 62
Converger/pragmatist ............................................................................................................ 62
II. Review of learning ....................................................................................................... 63
III. Master of Business Administration’s experience and learning ............................... 64
IV. Conclusion .................................................................................................................... 65
Appendix .................................................................................................... 66
Appendix 1 ........................................................................................................................... 66
Interview questions - Wealth managers ........................................................................................ 66
The banks ...................................................................................................................................... 66
The clients ..................................................................................................................................... 66
The Sales ....................................................................................................................................... 66
Appendix 2 ........................................................................................................................... 67
Interview questions - Private banking customers. ......................................................................... 67
The clients ..................................................................................................................................... 67
The banks ...................................................................................................................................... 67
Bibliography .............................................................................................. 68
MBA in finance - 2013