Reports

Julius Baer Reports Sharp Rise In Profits, AuM In 2013

Tom Burroughes, Group Editor, London, 3 February 2014

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Julius Baer, which has been transferring over assets from the non-US arm of Bank of America Merrill Lynch business, today said assets under management rose 34 per cent year-on-year to SFr254 billion ($280.5 billion).

Julius Baer, the Swiss private bank that has been transferring over assets from the non-US arm of a Bank of America Merrill Lynch business bought a year earlier, today said assets under management rose 34 per cent year-on-year to SFr254 billion ($280.5 billion).

Net new money was SFr7.6 billion; total client assets, including assets under custody, rose 26 per cent to SFr348 billion.

The Zurich-listed bank said its operating income rose by 26 per cent to SFr2.195 billion, and the gross margin remained at 96 basis points. Adjusted operating expenses went up by 29 per cent to SFr1.611 billion. The adjusted cost/income ratio was 71 per cent. Adjusted net profit, reflecting the underlying operating performance, went up by 19 per cent to SFr480 million and adjusted earnings per share (EPS) by 12 per cent to SFr2.24 per share.

IFRS net profit declined by 30 per cent to SFr188 million, as the improvement in operating results was more than offset by the impact (as planned) of the Bank of America Merrill Lynch business integration and restructuring expenses, the ongoing amortisation of acquisition-related intangible assets, and a provision in relation to the withholding tax treaty between Switzerland and the UK, the bank said in a statement.

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