Ulster Bank high-net-worth sales force moves to servicing the man-on-the-street

In another indication of the dwindling demand for private banking services in Ireland, Ulster Bank Wealth has transferred its entire sales team across to its Financial Planning business.

Ulster Bank Wealth is, rather obviously, targeted at high net worth individuals, an exclusive club whose membership swelled during the Celtic Tiger years. As part of the Royal Bank of Scotland Group it's backed by the Queen of England's own bank - RBS Coutts - and offers expert advice to help the rich get richer.

By contrast, Ulster Bank Financial Planning is more focused on the man-on-the-street, offering savings and investment advice to help secure a comfortable retirement.

So, why is the wealth manager's sales team - believed to be a relatively diminutive number of between 7-8 people - transferring across?

"Client risk appetite has disappeared and at the moment there appears to be little scope to add value through wealth management services," says a source close to the bank.

Ulster Bank has confirmed the move, stating that: "Following an internal review Ulster Bank took the decision to transfer the sales activities of its Wealth business to its Financial Planning business. The Central Bank has been informed."

But perhaps the bigger question is why the sales team would agree to the transfer. Accepting redundancy in the current climate is a risky move, but the obvious conclusion is that there are few other options available to them.

Ulster Bank Wealth is far from alone in suffering from the sudden decline in risk appetite from Ireland's high net worth individuals. Few private banks have emerged unscathed and job opportunities are scarce in the sector.

That's not to say the recruitment market is completely barren. Merrill Lynch Wealth Management, for instance, has just hired John Flavin and Keith Ryan to serve both Irish high and ultra high net worth clients, as well corporate and institutional customers.

But, as we've alluded to previously, most wealth managers only want people who can bring strong client relationships and transferable assets. Sales jobs, therefore, seem to have taken a back seat.