The best banks in Luxembourg provide a superior banking experience to local investors to high-net-worth individuals from all over the globe.
The Financial Services industry, of which the Banking sector is a part, plays an important role in the economy of Luxembourg.
The financial sector in Luxembourg is responsible for 27% of the country’s gross domestic product.
The banking industry in Luxembourg is one of the most advanced in the world. Luxembourg banks provide a wide range of services, including investment, multi-currency accounts, offshore banking, private banking, and asset management.
Even though Luxembourg is a relatively tiny country, the country is home to over 150 banks, of which 30% belong to the international banking sector.
The ownership of a bank account by a foreign national is not subject to any limitations in Luxembourg. As a result, anybody, regardless of residency status, is free to create a bank account and make investments in the country.
One of the most important locations for wealth management in the Eurozone is Luxembourg.
It is the second largest investment fund center in the world, after the United States, and the first in Europe, with around 4,187 billion euros in assets under administration as of the end of January 2017.
The strong culture of investor protection in Luxembourg is a direct result of the country’s political, economic, and regulatory stability, which contributes to the country’s high AAA credit rating.
The Commission for the Supervision of the Financial Sector (CSSF) is in charge of Luxembourg’s financial regulation as well as the monitoring of the country’s many financial industries.
The objective of the Luxembourg Central Bank (BCL), sometimes known as the Central Bank of Luxembourg, is to develop and put into practice European monetary policy.
If you plan to retire in Luxembourg, consider opening a bank account there. There’s also a Luxembourg investors visa program for those wanting to move there.
If you want to invest as an expat or high-net-worth individual, which is what I specialize in, you can email me (advice@adamfayed.com) or use WhatsApp (+44-7393-450-837).
We recommend that most wealthy locals and expats invest offshore despite this list, and we can help with that.
Banking In Luxembourg
One of the most important and influential financial hubs in Europe, Luxembourg is distinguished by a number of qualities that are exclusive to the country.
One of these qualities is the fact that the banking industry in Luxembourg is one of the most significant contributors to the economy of the nation.
In the year 2021, the total assets held by the banking sector of the Grand Duchy were more than 12 times greater than the country’s GDP.
Over ninety percent of the sector’s assets were not held by local banks, but rather by foreign institutions. This makes Luxembourg the most internationalized country in the Benelux area when it comes to the banking business.
Additionally, more than one third of the 124 banks originate from countries that are not members of the European Union. For instance, in 2021, more than 12 percent of all banks situated inside the Grand Duchy had Chinese ownership.
This footprint was however far smaller than that of German banks, which held the biggest proportion of Luxembourg’s foreign financial institutions.
All of these banks set up shop in Luxembourg in order to get access to the internal market of the EU and to make use of an EU passport in order to provide financial services to customers located across Europe.
Private banking and asset management are two areas in which they concentrate their efforts.
10 Best Banks In Luxembourg
1. Societe Generale Bank & Trust
Societe Generale Bank & Trust is a top-tier Luxembourgish financial institution.
It has been in business for about 120 years, having begun as a Société Générale Alsacienne de Banque outpost.
Societe Generale is recognized as one of the most important and successful financial services companies in Europe.
The bank changed its name to Société Générale Bank & Trust S.A. in 1995 from its previous name, Luxe Banque Société Luxembourgeoise de Banque S.A.
The Group combines its financial strength and established skill in innovation with a goal of sustainable expansion. This approach is based on a banking model that is both diverse and integrated.
Societe Generale and its teams are committed to the positive changes of the world’s societies and economies.
As a result of this commitment, Societe Generale and its teams strive to construct, day after day, along with their customers, a better and more sustainable future via responsible and innovative financial solutions.
A participant in the real economy for more than 150 years, Societe Generale has a strong position in Europe and maintains connections to the rest of the globe. The company employs more than 117,000 people in 66 countries.
The bank assists its 25 million individual customers, corporations, and institutional investors throughout the globe on a daily basis by providing a comprehensive selection of advisory services and individualized financial solutions.
In addition to providing corporate finance services in the nations of the European Union and beyond, this bank is well-known for its wide range of specialized services, such as its securities services for institutional investors and its private banking for high-net-worth people.
The Group is composed of three distinct but complementary main businesses:
- French Retail Banking, which includes the Boursorama and SG brands. Each provides a broad range of financial services together with cutting-edge omnichannel goods;
- International Retail Banking, Insurance, and Financial Services with networks in Central and Eastern Europe, Africa, and specialized companies that are industry leaders;
- Global Banking and Investor Solutions, a provider of renowned expertise, important global hubs, and integrated solutions.
The following major socially conscious investment indices include Societe Generale:
- FTSE4Good (Global and Europe)
- DJSI (Europe)
- Bloomberg Gender-Equality Index
- Euronext Vigeo (Europe and Eurozone)
- Refinitiv Diversity and Inclusion Index
- MSCI Low Carbon Leaders Index (World and Europe); and
- STOXX Global ESG Leaders indexes
2. Banque de Luxembourg S.A.
It is one of the most successful private banks in Luxembourg and was established in 1920. It is a part of Crédit Industriel et Commercial and operates as a subsidiary.
This financial organization is based in Luxembourg.
Individuals, families, and business owners may all benefit from the assistance that banks provide in organizing, administering, and transferring their resources.
Banque de Luxembourg S.A. provides a comprehensive selection of financial goods and services to its customers.
Private banking, credit services, services for enterprises and entrepreneurs, asset management, and professional banking are the five categories under which the bank provides its services.
It has grown to become one of the best banks in Luxembourg, offering professional banking services as well as asset management that is tailored to suit the specific requirements of clients not just in Luxembourg but also everywhere in the world.
The services provided by this bank in Luxembourg include, among other things, the management of investment funds and portfolios, the management of stock market investments, and the dealing in money market instruments.
In 2017, the bank recorded a net income of 247 Million Euros as well as a net profit of 63 Million Euros.
The bank’s equity capital was 986 Million Euros. In Luxembourg, there were around 900 employees working for a bank.
Banks in Luxembourg that are affiliated with Banque de Luxembourg S.A. additionally provide clients with a comprehensive selection private banking facilities and wealth management services.
3. BGL BNP Paribas S.A.
It was founded in 1919 as the Banque Générale du Luxembourg (BGL), and in 2009 it was transformed into a subsidiary of BNP Paribas Fortis SA/NV.
The BNP Paribas Group has successfully positioned itself as one of the best banks in Luxembourg operating within its financial markets.
The Banque Générale du Luxembourg (BGL) banks in Luxembourg provide a vast array of financial services to individuals, institutional investors, and businesses.
The bank offers services to individual and professional clients. It offers services such as wealth management, private banking, current accounts, payment cards, corporate and investment banking, retail banking, remote banking services, etc.
Additionally, these banks offer a variety of international financial services to meet the varied requirements of their customers.
The net income from banking operations reached 693.1 million Euros at the end of June 2018, representing a 6% increase over the previous month’s figure.
Around 3,700 employees were working for the BNP Paribas group in Luxembourg at the end of 2017, with BGL BNP Paribas being responsible for 2,379 of those positions.
In 2018, the prestigious international publication Euromoney selected BGL BNP Paribas as the best bank in Luxembourg.
The A1 (upper-medium grade) long-term credit rating that this BGL BNP Paribas S.A. bank in Luxembourg has earned from Moody’s gives it a competitive advantage as a worldwide lender of repute.
4. Banque et Caisse d’Epargne de l’Etat (BCEE)
Banque et Caisse d’Epargne de l’Etat was established in 1856 and has been a completely owned subsidiary of the state of Luxembourg ever since it was first established.
This particular financial institution is well-known for the retail banking and private banking services that are adapted to meet the specific requirements of each client.
The bank now offers financial and banking goods and services to individual consumers, small and medium firms, professionals who are self-employed, and institutional clients. individual customers make up the majority of its clientele.
As one of the best banks in Luxembourg, it provides customers with a variety of solutions for saving money and investing, including digital and customised investment plans, a variety of funds, shares, and bonds, and more.
Approximately 1,872 people were employed by the bank. The yearly profit for the bank in 2017 was 241.00 Million Euro, while the total assets held by the bank in 2017 amounted to 45,518.00 Million Euro.
Moody’s, a credit rating agency, has given the bank a good grade for both its short and long term credit ratings. According to Moody’s, BCEE has a long-term credit rating of Aa2, which is considered to be a high grade, highlighting the bank’s status as a high-end lending institution.
The state of Luxembourg is the only stakeholder in the bank, which indicates that it is a state-owned institution.
5. Banque Internationale à Luxembourg S.A. (BIL)
Banque Internationale à Luxembourg is one of the oldest private banking companies in the country, having been established in the year 1856. It is one of the best banks in Luxembourg.
In addition to its operations in retail banking, business banking, and private banking, the company is also an important contributor to the growth of the regional economy.
The Banque Internationale à Luxembourg banks in Luxembourg have a long-term credit rating of A3 (upper-medium grade) from Moody’s, indicating that the bank has a good credit quality rating. These banks are owned by Legend Holdings as well as the government of Luxembourg.
More than two thousand individuals are employed by BIL organisations throughout the globe.
The yearly profit for the company was 117.00 Million Euro, bringing the total assets of the business to 23,753.00 Million Euro in 2017.
6. Deutsche Bank Luxembourg S.A.
Deutsche Bank Luxembourg S.A. was the first overseas subsidiary that Deutsche Bank AG established. As such, it is named as one of the best banks in Luxembourg. It was only in 1970 that the company was created.
In this country’s long-standing banking business, the bank in question is a more recent entrant than others of its kind.
Today, Deutsche Bank Luxembourg S.A. is recognized as one of the most reputable suppliers of financial services in Luxembourg.
They are experts in corporate and investment finance, the administration of private wealth, structured finance, the provision of tailor-made financing solutions to enterprises of varying sizes, agency services, foreign loan services, and the provision of assistance to financial investors, intermediaries, and issuers by performing a variety of diverse financial tasks.
Deautsche Bank Wealth Management is one of the best wealth management services in Luxembourg.
In 2017, the total assets held by the bank amounted to 37,676,000.00 Million Euro, and the yearly profit was 218,000.00 Million Euro. In the same year, the bank employed a total of 340 people in various capacities.
7. UniCredit Luxembourg
In 1971, UniCredit Luxembourg was established as a financial institution that now offers corporate banking services in Luxembourg. It is a subsidiary of UniCredit Bank AG.
Since its founding, UniCredit Luxembourg S.A. has provided small and medium-sized businesses with a comprehensive selection of financial and credit solutions, in addition to structured finance services.
The company’s primary offerings, which include standardized short-term loans, structured finance solutions, and trade financing, are all available to customers.
Treasury and business services, the provision of asset management solutions, and the development of specific solutions for businesses, real estate customers, and equity funds are some of the other areas in which they concentrate their efforts.
The bank had total assets of 17,993.00 Million Euro in 2017, a yearly profit of 69.00 Million Euro, and employed around 150 employees in that year.
The bank has been given an upper medium grade credit rating by the credit rating agency Moody’s for its long-term credit rating. This makes UniCredit as one of the best banks in Luxembourg.
8. Intesa Sanpaolo Bank Luxembourg S.A.
It started off as Société Européenne de Banque (SEB) when it was established in Luxembourg in 1976.
In 2007, after the merger of two prominent Italian banks, the company became known as Intesa Sanpaolo Bank Luxembourg S.A.
Intesa Sanpaolo Bank Luxembourg S.A. is one of the banks in Luxembourg that operates as a subsidiary of Intesa Sanpaolo Holding International S.A.
It provides services in all three areas of banking: retail banking, investment banking, and commercial banking. It is a part of Intesa Sanpaolo Holding International S.A., which is the parent company.
Corporate banking (including lending and financing, trade finance, and cash management) and wealth management products and services are the primary areas of concentration for the company.
It is well-known that the bank provides individualized approaches to problem-solving in retail as well as commercial banking services.
In addition to that, this financial institution meets its customers’ many requirements for investment banking services.
The bank had total assets of 22,203.00 Million Euro in 2017, and its annual profit was 135.00 Million Euro. Additionally, the bank employed around 170 individuals as of the end of 2017. This bank is one of the best banks in Luxembourg.
9. NORD/LB Luxembourg S.A. Covered Bond Bank
It was founded in 1972 in Luxembourg as Nord/LB Luxembourg, and since the merger of two banks in May 2015, it has been operating as Nord/LB Luxembourg Covered Bond Bank.
Its primary concentration is on the issuance of covered bonds, and it provides the whole spectrum of currency management services, in addition to B2B client services, sales and loans, account and deposit management, and a host of other financial management services.
It wasn’t until May 2015 that the Nord/L.B. Luxembourg S.A. Covered Bank changed its name to its present form; before that, it was a subsidiary of the NORD/LB Norddeutsche Landesbank Girozentrale.
Formerly known as Norddeutsche Landesbank Luxembourg S.A., the name has since been changed.
As of the month of June 2018, the total assets held by the bank amounted to 15,532.60 Million Euro. The bank said that it saw a loss of 12.9 million Euros in net income for the first half of 2018.
The bank generates revenue via a variety of channels, including financial markets, lending, customer service, and business-to-business interactions, as well as bank administration and other departments.
In 2017, there were 189 employees at the bank, and as of May 2018, the institution has a long-term credit rating of lower medium grade.
The bank now provides a variety of financial solutions, products, and banking services in the nations of Luxembourg, Switzerland, Germany, the United States of America, and a number of European countries.
10. DZ Privatbank S.A.
DZ Privatbank S.A., one of the best banks in Luxembourg, is a Luxembourg-based subsidiary of D.Z. Bank AG that was founded in 1977.
Since then, it has garnered a strong reputation in the banking industry for providing comprehensive services to individual consumers as well as corporate clients.
Its primary areas of expertise within the cooperative financial network include private banking, fund services, and loan origination and servicing in any and all currencies.
In addition to this, it provides services in traditional asset management, asset structuring, financial planning, and retirement planning, amongst others.
It also participates in operations on the money market and transactions involving foreign currency. It provides a range of services linked to these activities that are tailored to meet the specific requirements of individual clients.
Bank recorded a net income of 11.4 Million Euro for the year 2018, after taking into account the tax burden, and operational results of 36.0 Million Euro.
Up to 2018, the bank was employing around 939 workers. As of May 2018, the bank has a very good credit quality according to the long-term credit rating that was given to it by the credit rating firm Fitch.
The company that is currently known as SZ Privatbank S.A. was once known as D.Z. Bank International S.A. and just changed its name in July of 2010.
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