Royal Bank of Canada is planning to launch a new consumer bank in the U.S. in early 2021 targeting wealthier clients.
In an interview with Reuters
, Chief Financial Officer Rod Bolger envisioned the new bank as initially targeting high-net-worth Americans as client, but would eventually expand its focus to what he described as “mass affluent” consumers.
“We want to broaden the product and service offering that we have (in the U.S.), similar to what we have in Canada,” said Bolger.
It is not certain whether jumbo mortgages or other home loan products would be part of the new bank’s offerings. However, Reuters noted that a solid lending business, particularly in Canadian residential mortgages, bolstered Royal Bank of Canada’s personal and commercial banking business, which is seven percent higher from one year earlier.