Mon, Oct 20, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Julius Baer acquires assets from Israel’s Bank Leumi

Tuesday, July 22, 2014

Bailey McCann, Opalesque New York:

On the heels of news that Swiss bank Julius Baer is likely to come to a settlement with US regulators after charges that the bank helped US citizens evade their taxes, the bank has announced plans to acquire Israel’s Bank Leumi.

Julius Baer CEO Boris Collardi said on the bank's most recent earnings call that he expects to come to a settlement within the next few months. Julius Baer shares rose on the news. Credit Suisse another Swiss bank involved in similar tax troubles settled with regulators for $2.5bn in May.

The bank appears to be confident coming out of this episode, and has announced that it will acquire the international private banking assets of Bank Leumi. According to a Financial Times report, under the terms of the deal Leumi will transfer the clients of its Swiss private bank to Julius Baer, and Julius Baer will buy Leumi’s private bank in Luxembourg. The two units have a combined SFr7bn ($7.8bn) in assets.

Baer last made an acquisition of this nature in 2012, when it purchased the international side of Merrill Lynch's wealth management business.

Leumi is also under investigation for helping US residents evade their taxes, the bank has set aside $275 million for a settlement, that set-aide won't be impacted by the Baer deal.

On the call, Collardi noted that market observers can expect to see c......................

To view our full article Click here

Banner

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Roundtable: Where are all the good ESG hedge funds?[more]

    Benedicte Gravrand, Opalesque Geneva: What are the benefits of sustainable investing? Many pension funds look to focus on that angle to reflect their company’s good governance, but face many challenges while doing that. A portfolio manager at Univest, a large Dutch pension fund, discusses this is

  2. Bill Gross gives his first investment outlook for Janus fund[more]

    Bill Gross strikes a gloomy tone in his first note to investors at his new gig at Janus Capital. Bill Gross, the renowned bond fund manger, struck a pessimistic chord in his first note to investors at his new gig at Janus Capital. His notes, usually full of silly commentary and upbeat advice, took a

  3. Investing - Big investors move to shore up Fannie, Freddie trade, Two hedge funds eye $1bn support to Sahara to secure Subrata Roy's release[more]

    Big investors move to shore up Fannie, Freddie trade From Forbes.com: Two of the nation’s most prominent investors who have been leading the charge to make a big score out of the shares of Fannie Mae and Freddie Mac moved on Friday to shore up shares of the mortgage giants that plunged r

  4. Opalesque Exclusive: What's next for trend followers?[more]

    Bailey McCann, Opalesque New York: New research out from Ibbotson touches on a key debate happening among investors and fund managers, specifically whether long term trend followers can survive in the new

  5. Hedge funds post negative returns in the third quarter[more]

    Bailey McCann, Opalesque New York: Q3 hedge fund returns were negative, marking the industry's first quarterly decline since Q2 2013 according to the latest hedge fund data from eVestment. Emerging markets saw losses more than twice that of developed markets. Declines from funds investing in