Digital challenger bank for the wealthy receives UK banking licence
Posted on October 8, 2020 by Alistair Hardaker
A digital first bank targeting the “mass affluent”, Monument, has received an ‘authorisation with restriction’ (AWR) banking licence from the UK regulatory authorities, the Prudential Regulation Authority and the Financial Conduct Authority.
The firm is in the process of successfully completing a Series A funding round backed by a combination of existing and new investors.
So far it has raised circa £20m in funding, with more in progress, it said.
The Bank – whose executives and board have held senior roles in HSBC, Barclays, McKinsey & Co, UBS, Goldman Sachs, Apollo Global Management, PWC, Coutts and at the UK regulators, amongst others – will focus exclusively on a client community that it says has been “largely underserved by the established ‘premier’ and private banks”; “busy professionals, doctors, lawyers, accountants, entrepreneurs and investors”.
It estimates its target market makes up the 3.5m “mass affluent” clients in the UK who have a net worth of between £250k and £5m (excluding main residence).
Monument estimates the wealth of this segment to be as high as £3.5 trillion, including at least £200bn in liquid savings.
Mintoo Bhandari, CEO and one of the founders of Monument Bank, said: “We are delighted that we have received our banking licence and are incredibly excited about delivering the exceptional levels of client service that the mass affluent deserve and which has been lacking from existing premier and private banks.
“Our mission continues to be to combine the capabilities, convenience and efficiencies that modern technology offers with traditional values of trust, security and strength, and to deliver unrivalled service that our valued clients will demand.”