Total earnings for Swiss banks are expected to increase throughout the remainder of 2006, led by solid growth in asset management, according...

Total earnings for Swiss banks are expected to increase throughout the remainder of 2006, led by solid growth in asset management, according to the latest report from the Swiss Bankers Association. The association’s annual “Banking Barometer” survey found that earnings at Swiss banks increased by 17 per cent in 2005 with assets under management growing 25 per cent. Asset management has established itself as a key element in the core business of Swiss banks, according to the report, accounting for over 40 per cent of their overall earnings in 2005. Operating income at Swiss banks totalled nearly SFr70 billion ($56.25 billion) in 2005. The report forecasts growth for 2006 to rise 10 per cent in the commission and services sector with a double-digit growth in trading businesses. Total earnings of all Swiss banks should rise at a rate only slightly lower than that of 2005, according to the SBA. The jobs market in the Swiss banking industry also improved, registering a one per cent increase in staff levels by mid-2006, equivalent to around 1,100 full-time jobs. The biggest increase in jobs was seen in private banking, says the association.