Toronto-based Scotiabank has carved out a Global Wealth Management division. Chris Hodgson, who headed the Canadian consumer banking business, has been chosen to head it.

GWM creates a fourth division at the bank. Insurance and global transaction banking will fold into it. Scotiabank’s other three divisions are Canadian Banking, International Banking and Scotia Capital.

Scotiabank, Canada’s third largest bank, follows in the footsteps of Royal Bank of Canada, which carved out a separate wealth management division a few years ago.

The moves are designed to support continued growth at the bank. "With these changes Scotiabank will be well-positioned to seize significant global business opportunities that align with our strategic plans," Rick Waugh, president and CEO said in a statement.

The bank has been expanding its wealth management business globally. BNP Paribas agreed to sell its wealth management operations in the Bahamas, Grand Cayman and Panama to Scotiabank earlier this year, this publication reported.

Scotia Private Client Group launched in Jamaica and Miami, Florida last year as part of expansion plans it has for North, Central and South America, which was also previously reported by Family Wealth Report.

Miami serves as a hub for the bank's expanding wealth management services in the Caribbean and Latin America.