Intesa partners with BlackRock in private banking in Benelux

Intesa Sanpaolo has announced a partnership with BlackRock to offer digital wealth management services to clients in Belgium and Luxembourg.

Italy’s largest bank's private banking unit Fideuram will expand its digital offering of investments by teaming with BlackRock, the world's biggest asset manager.

Carlo Messina, CEO at Intesa Sanpaolo, commented on how the partnership aims to bolster the Italian Bank’s wider objectives to deepen its digital side:

“This agreement is a perfect fit with our strategy based on the growth of our wealth management business and the development of new digital solutions,” said Messina.

With a view to expanding further into Europe but maintaining a strong focus on its home country which accounts for the majority of the bank’s profits, Intesa has bet on investments in technology to grow.

Last year Fideuram Direct was launched, a digital private banking channel intended to serve younger customers by leveraging technology in a sector where competitors are increasingly betting on scale to lower costs.

Messina has often been quoted saying that there is no wealth management targets Intesa could buy at prices that would deliver value for shareholders.

Due to antitrust limits introduced after buying smaller peer UBI in 2020, Intesa is unable to expand domestically.

A cross-border deal like the possible Commerzbank purchase being explored by crosstown rival UniCredit would not provide enough cost cuts without the foreign presence of UniCredit, Messina also stated.