2010 BDO Annual Report

We find ways
Review of 2010 Operations
among the top five Best Performing
Government Securities (GS) Eligible
Dealer in the Primary Markets given
by the Bureau of Treasury and the
award as one of the top five Best Fixed
Income Dealing Participants from
the Philippine Dealing & Exchange
Corp (PDex). In foreign exchange, the
group remains to be one of the most
active participants in the Philippine
Dealing System (PDS) market, even
outperforming its peers from the
world’s global banks. New York-based
financial magazine Global Finance
substantiated that status when it
recognized BDO as one of the World’s
Best Foreign Exchange Providers for
2010.
The Bank is fully committed to
maintain its leadership in the local
foreign exchange and fixed income
markets, augmenting its focus on
creating innovative product and service
initiatives that will serve the interests of
the clients.
SERVICE-BASED ACTIVITIES
Trust and Investments. BDO grew its
consolidated assets under management
(AUM) by 25 percent to P570 billion
in 2010, an unprecedented high in the
Philippine trust industry.
The growth was driven mainly by
the strong performance of the Bank’s
ready-made products or the so-called
Unit Investment Trust Funds (UITFs).
It regards the UITFs as essential
components of its trust business as
they respond to the investment needs
of various investors, from retail clients
to corporate market. The BDO UITFs
ended the year leading the industry
with a total net asset value (NAV) of
P61 billion, 46 percent higher than 2009
NAV of P42 billion.
For the customized portfolios
targeted for medium and high net
worth clients, the Bank’s offering
includes long-term tax-exempt
portfolios such as BDO Long Term
Investment Management Account and
BDO Wealth Planner and short-term
portfolios such as BDO Wealth Builder
and BDO Investment Management
Account. In the institutional business,
the Bank is the Trustee or Fund
Manager of the corporate, retirement
and investment funds of multinational
and domestic corporations, as well as
the “top-of-mind provider of third party
fiduciary services” acting as Facility
Agent, Onshore Collateral Trustee,
Receiving Bank and Paying Agent for
all types of debt and equity originations.
A product called the BDO Easy
Investment Plan (EIP) was launched
in 2010, which allows an investor to
attain his financial goals and financial
wellness through the twin habits of
regularly saving and investing. It
incorporates the best, tried and tested
principles such as peso cost averaging
that make a successful saving and
investment plan and provides a solution
to counter the major obstacles to saving
and investing.
BDO expects its trust business to
continue growing in 2011, given the
much-improved economic outlook,
formidable line-up of products, and the
staunch sales and service culture of its
personnel.
25%
assets under management
Private Banking. BDO, through its
wealth management arm BDO Private
Bank, made a stellar performance
in 2010, posting increases in both
volume and income. Its net income
grew 53 percent while assets under
management were up 29 percent.
A recipient of various citations
mostly from foreign financial
institutions, BDO Private Bank is
now considered the Private Bank
of choice by many domestic private
banking customers, giving valueadded
investment, financial and
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