The loss at the private banking arm of Standard Chartered narrowed in the first six months of this year.

The private banking arm of Standard Chartered has logged a statutory pre-tax loss of $2 million for the six-month period ending on 30 June, narrowing from the $92 million loss posted in the previous six-month period ending 31 December last year.

The UK-listed bank, which earns the bulk of its revenues in regions such as Asia and Africa, said private banking logged operating income in H1, 2017 of $241 million, against $235 million in the previous six months.

The underlying loss for the first half of 2017 reflected higher spending compared with the first half of 2016; the bank has invested in bringing in senior relationship managers and in technology infrastructure. 

Standard Chartered said private banking income fell 7 per cent lower year-on-year, affected by the non-recurrence of an insurance recovery but was 3 per cent higher half-on-half with “positive momentum in Wealth Management products”.

Assets under management have increased by $4.7 billion since 31 December 2016 driven by positive market movements together with $600 million of net new money. Assets under management increased 9 per cent since 31 December 2016 to $59 billion; much of the net new money came from India and Hong Kong, the lender said.