Münster/Frankfurt, December 2, 2025 – Private banking in Germany is currently experiencing a phase of stability and growth. Supported by a favorable market environment and solid wealth development, the Private Banking and Wealth Management customer segments recorded asset growth of 8.6% in 2024, bringing the assets of high-net-worth clients to around EUR 6.5 trillion. According to the authors of zeb’s latest Private Banking Study, growth will continue until 2030. They forecast an overall increase in total assets to EUR 8.5 trillion for this period. This corresponds to average annual growth of 4.4% over the next five years.

Against this backdrop, the income potential in German private banking developed positively last year. It grew to EUR 22.1 billion in 2024, which corresponds to a 4.7% increase compared to 2023. At the same time, the income margin rose by 1 basis point and stabilized at a high level of 69 basis points. The cost-income ratio (CIR) improved by 2 percentage points to 70% across the entire German private banking market. What is particularly remarkable from the study authors’ perspective is that for the first time since 2021, growth was not primarily driven by interest but by commission income. 

For the current Private Banking Study Germany, on top of the general market development zeb once again analyzed 13 traditional private banks based in Germany in more detail, tracking their development over a period from 2019 to 2024. In addition, the study highlights key market trends, regional potential and strategic challenges. It also shows how banks can reinforce their position in the private banking segment in an increasingly complex environment.

Income growth primarily through commissions

A closer look at the corresponding income shows the extent to which income growth in private banking and wealth management is now commission-driven. While the income margin remained stable at a high level overall, commission income rose by almost 9% compared to the previous year. Income is split almost equally between private banking (EUR 11.2 billion) and wealth management (EUR 10.9 billion), whereby wealth management, with around 100,000 households, is significantly more concentrated than private banking with around 700,000 households. In both segments, 38% of income stems from areas outside the traditional deposit and securities business. However, financing and real estate areas in particular are underdeveloped in many institutions. The authors of the study identify income potential of EUR 5.7 billion in these areas.

Dr. Jens Wiegel, Senior Manager and co-author of the study, explains: “There are still huge, untapped opportunities in financing and real estate for wealthy clients. Banks should act more boldly in this regard and systematically expand their offerings, for example through specialized advisory services, real estate portfolio management or holistic financing solutions. There is also considerable potential in estate planning, foundation management and the execution of wills, which is becoming increasingly important in view of the imminent generational change.”

Competition in high-yield regions

Currently, more than 70% of private banking households are located in urban regions. Half of the total income (51%) is concentrated in Germany’s ten largest metropolitan areas. Munich, Hamburg and Frankfurt/Rhine-Main are in the lead with an income volume of over EUR 1 billion each. At the same time, there are attractive expansion opportunities in less competitive regions such as Western Lower Saxony, East Westphalia and Lake Constance, particularly for cooperative banks and savings banks. This has consequences. For instance, the market structure has changed recently. Foreign private banks in particular are pushing into the market. Regional banks are establishing private banking as an independent business area and are increasingly rolling it out across the regions with high potential for differentiation.

Private banks in Germany increase earnings dynamically

Against this background, at 3.0% the 13 private banks analyzed in detail for the current Private Banking Study did not show such strong overall growth in assets under management (AUM), compared to 9.5% in the market as a whole. Nevertheless, earnings in this segment rose dynamically, again due to commission income. The overall earnings trend for private banks was extremely positive at 14%. A look at the DACH region clearly shows that the trend reversal in the profit margin in Germany has been successful, while margins in Switzerland have been stagnating. In Austria, they even fell in 2024.

Markus Bräckle, Senior Manager at zeb and co-author of the study, comments: “German private banks show a positive development in 2024, particularly in terms of commission income. Nevertheless, they need new impetus, for example through investments in digital advisory services, more efficient processes and a stronger positioning along the customer journey, in order to continue to position themselves successfully in the market. Demanding clients are increasingly determining the standards in private banking. If you want to position yourself for the future, you have to meet the expectations of these clients and ensure long-term retention of this customer group." 

Details on zeb’s Private Banking Study 2025 are available at Private Banking Study Germany 2025 | zeb consulting 

About zeb

zeb offers a full range of consulting services in the financial services industry, which is heavily impacted by regulation and digital transformation. Clients include banks (incl. savings banks and neobanks) and fintech companies, insurers and insurtech companies, asset managers, captives, as well as numerous other specialized European financial services providers and financial intermediaries.

zeb was founded in 1992 and operates offices in Frankfurt, Berlin, Hamburg, Munich and Münster (HQ). Its international offices are located in Amsterdam, Kyiv, London, Luxembourg, Milan, Oslo, Stockholm, Vienna, Warsaw and Zurich. In industry rankings, zeb has repeatedly been classed and acknowledged as the “best consultancy” for the banking and insurance industry.