Merrill Lynch IPC Announces Wealth Management Strategy for Latin America.

Business Editors

MIAMI--(BUSINESS WIRE)--Oct. 11. 2002

Merrill Lynch's International Private Client (IPC) group today unfurled an enhanced strategy of segmentation for private banking and wealth management in Latin America.

"Merrill Lynch has been in Latin America

"To maintain our leadership in providing world-class financial management to our Latin American clients, we have implemented a customized segmented wealth management strategy."

"The strategy, combining our extensive global resources and local expertise, is working well and already growing business," said Ms. Burk. "As a result of increased demand, we are selectively hiring people to meet this growth."

"The wealth held by high net worth individuals (HNWIs) in Latin America has grown 275% since 1986 and is forecast to rise to US$5.1 trillion by the end of 2006," she noted.

To meet this growth, Merrill Lynch IPC's wealth management offering is now customized to meet the needs of four market segments:

- International Private Investment Banking Group -- serving very sophisticated individuals with substantial wealth management experience and special product needs. This includes ultra-high net worth individuals with investable assets of more than US$25 million.

- Wealth Management Services -- serving financially-sophisticated individuals who are focused on building wealth through personalized advisory services. HNWIs are individuals with investable assets between US$1 million and US$25 million.

- Financial Advisory Service -- serving affluent individuals and new investors who are seeking to increase their wealth with the help of expert advice. Affluent individuals are those with investable assets below US$1 million.

- Institutional Services -- serving mid-sized organizations, such as businesses, banks and financial intermediaries, which have special and global investment and banking needs.

"While we have implemented this enhanced strategy, our focus on providing a premium service to private and corporate clients remains unchanged," Ms. Burk said. "Merrill Lynch continues to provide private Latin American clients with the services they have come to expect from one of the world's leading private wealth management firms. At the core of this offering is a wealth management service providing high quality advice and guidance, tailored financial solutions and execution excellence."

"Latin America is a very important region for Merrill Lynch and these improvements reinforce our commitment to our clients and the region," Ms. Burk emphasized.

The number of HNWIs in Latin America rose 12% to an estimated 280,000 people at the end of last year, according to Cap Gemini Ernst & Young and Merrill Lynch's 2002 World Wealth Report. A rise in the region's GDP helped grow their assets to an estimated US$3.5 trillion.