Private banking is an individualised and comprehensive system providing financial services for wealthy clients. Private banking is an integral part of the international banking market. This offer is being permanently improved by universal and investment banks as well as those specialising in private banking. This is due not only to the profitability of private banking, but also thanks to its relations with other sectors of banking activity. In the last few years a dynamic growth of private banking has been seen on the international financial market.

Wealthy clients require high-quality financial services because they have large financial assets and high expectations connected with their management. Financial institutions interested in providing this kind of services have to present a very carefully selected offer, high-quality services and staff, and must be able to adopt financial innovations.

The number of the wealthiest clients in the developed countries is big enough and growing fast enough to attract the attention of the banks. In 2001 the group of the wealthiest clients whose financial assets exceeded US$ 1 million was estimated at over 7 million people, their combined financial assets being over US$ 26 trillion.

Private banking is entering new financial markets depending, among other factors, on the wealth level of a given society and the development of financial markets. Private banking has also been available in Poland for some time, which can be regarded as a sign that yet another level of development in the banking sector has been reached. Nonetheless, the introduction of these services in a financial institution poses serious challenges with regard to finances, organisation and human resources. Some banks will be able to meet them. We are now examining the shaping of the Polish private banking model and the rivalry between banks which want to attract the most affluent clients.