The bank operates in a number of regions, such as Asia, as well as its home turf of Europe.

Liechtenstein-based LGT, which operates in a number of regions, announced yesterday that it had increased group profit by 21 per cent in 2021 to SFr352.8 million ($376.78 million) from a year before.

Assets under management rose 19 per cent to SFr285.8 billion as at the end of 2021, supported by net new assets of SFr24.8 billion, reflecting a growth rate of over 10 per cent. 

Group total operating income rose 15 per cent to SFr2.13 billion in 2021, logging an increase in income from services of 33 per cent to SFr1.58 billion. Income from portfolio management, which rose substantially on the back of the higher asset base, as well as the brokerage business and significantly higher performance-based revenues, all contributed to this result. 

Net interest income fell 11 per cent year-on-year to SFr204.5 million, affected by negative Swiss interest rates and ultra-low rates in many countries.

Business and office costs rose 13 per cent to SFr302.4 million, some of which was driven by higher IT spending. A 16 per cent rise in personnel costs to SFr1.30 billion reflects organic and acquisition-related staff growth as well as higher performance-based compensation. 

Overall, total operating expenses rose 15 per cent to SFr1.60 billion. The bank’s cost/income ratio held steady at 75.2 per cent.

Assets under management were SFr285.8 billion as at the end of 2021, up 19 per cent on a year before.

The bank noted that its global footprint was bolstered in November 2021 by its purchase of a new wealth management office in Tokyo in December when it acquired the Australian firm, Crestone Wealth Management. In Europe, LGT collaborated with LIQID, a digital asset manager in which LGT acquired a strategic minority stake in 2022. LGT said that it is exploring options for re-establishing a local private banking presence in Germany. 

The new management structures of the now independent group business units LGT Private Banking, LGT Capital Partners and Lightrock were introduced in 2021. Lightrock was established as a separate legal entity in 2021; for LGT Private Banking and LGT Capital Partners, this step is planned for 2022.