Switzerland’s Clariden Leu reported a net profit of SFr212 million ($181.8 million) last year, tumbling from SFr626 million in the previous year, while its net revenues fell by 21 per cent over the year to SFr1.4 billion.

The bank, which is part of Zurich-listed Credit Suisse, said its decline in revenues was caused by lower transaction volumes, reduced product business due to the changed market conditions, and a fall in volume-based commissions.

Clariden Leu said extraordinary provisions and losses – particularly in relation to the close-out of a client's position in Asia of SFr190 million – hit its profits, as did weaker market conditions.

Client assets under management fell to SFr94 billion, caused by a net outflow of SFr1.1 billion. The inflow of new assets in the private banking business, though encouraging, could not compensate for the deleveraging and the developments in asset management, the bank said.

“Clariden Leu is very well positioned in the private banking market and enjoys an excellent reputation. Furthermore, the bank is well capitalized and has high liquidity reserves at its disposal. In the current financial year, Clariden Leu will continue to examine any opportunities that present themselves,” it said, but did not elaborate on whether this remark meant possible acquisitions or other moves.

At the end of last year, Clariden Leu said it had a Tier 1 bank capital ratio of 12 per cent, up from 11 per cent in 2007; its cost-income ratio was 56 per cent, a rise from 49 per cent a year before.