HSBC Private  Bank (Suisse) said its pre-tax profit rose by 1 per cent last year to SFr800 million (around $674 million) from a year before, while net profit after one-off items rose by 3 per cent to SFr685 million.

Total operating income fell, meanwhile, by 1 per cent to SFr1.751 billion, and operating expenses rose by 12 per cent to SFr893 million.

In a statement, HSBC said the merger between HSBC Guyerzeller Bank and HSBC Private Bank (Suisse) SA will be finalised on 1 April this year.

The bank logged SFr15.8 billion in net new money compared to SFr19.8 billion in 2007. However, HSBC said the 2007 figure included SFr8.8 billion worth of new assets generated through leverage, while 2008 saw a net decrease of SFr800 million linked to clients repaying their loans. If the impact of the leverage effect is taken out, regular net new money surged by 51 per cent year-on-year, or SFr5.6 billion.