Wed, Nov 26, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

A 6% increase in assets under management announced by Union Bancaire Privée for first half of 2012

Thursday, July 26, 2012
Opalesque Industry Update - Union Bancaire Privée, has announced an increase in its assets under management, which totalled CHF 76 billion (USD 80 billion) as at 30 June 2012, representing a 6% rise compared with the end of 2011 (CHF 72 billion). This increase is the result not only of net inflows from both private and institutional clients but also of market and exchange-rate effects, and of UBP’s acquisition of Nexar Capital Group in February 2012.

  • Thanks to careful risk-management and having run the balance sheet conservatively, UBP has maintained a strong financial base, and with a Tier 1 capital ratio of 23.5%, it is one of Switzerland’s best-capitalised banks.
  • UBP Group’s consolidated net profit stood at CHF 70 million (USD 73.9 million) at the end of the first half of 2012. This result is in line with the Bank’s expectations and takes account of the integration costs associated with acquiring ABN AMRO Bank (Switzerland) AG and Nexar Capital Group; the effects of synergies from these acquisitions will be seen in the second half of 2012.
“The first half of 2012 saw business activity slow in tough markets, with steps being taken to keep costs on a tight rein and the Bank staying solid in the face of the uncertain times in which the economic and financial world finds itself”, said Guy de Picciotto, UBP’s CEO. “Our proactive attitude puts us in a good position to meet challenges and to offset the pressures bearing down on the Swiss financial centre.”

During the first half of the year, the Bank concentrated on integrating ABN AMRO Bank (Switzerland) AG into UBP Group, with the process being completed in June 2012. At the same time, UBP acquired Nexar Capital Group, a global player in alternative investments. Despite the crisis, the Bank maintained its profitability, booking a consolidated net profit of CHF 70 million in the first half of 2012. This result was in line with expectations, being down 34% compared with the first half of 2011 (CHF 105 million), and being mostly affected by the acquisition and integration costs of the two companies mentioned above.

Assets under management came to CHF 76 billion as at 30 June 2012, up 6% on the end of 2011 (CHF 72 billion). Income stood at CHF 344.5 million for the first half of 2012 (USD 364 million), compared with CHF 383.2 million for the same period in 2011. UBP’s operating expenses continue to be kept under control, with the Group’s cost/income ratio standing at 76%, despite the integration costs of the two companies mentioned above.

The balance sheet total was CHF 17 billion as at 30 June 2012, with the annualised return on shareholders’ equity standing at 9%. By pursuing a conservative approach to risk-management, UBP has maintained a solid financial base: its Tier 1 capital ratio of 23.5% ensures that UBP is one of Switzerland’s best-capitalised banks.

During the first half of the year, UBP has continued to adapt to a new economic and regulatory environment. Net inflows have allowed the Bank to consolidate its position in the field of wealth management. The Bank also continued to develop its activity in the alternative asset management industry, confirming its commitment to this sector with the acquisition of the renowned Nexar Capital Group. In an uncertain economic and financial environment, the Bank’s investment strategy priorities are preserving its clients’ capital and providing investment solutions tailored to the new market environment.

press release

bc

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
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. Investing - George Soros puts $500m of his money on Bill Gross, Soros, Paulson backed Hispania Activos mulls Realia takeover, Ex-Credit Suisse trader’s hedge fund sees yen shorts as crowded, Hedge hunters double default-swaps as views split, Large hedge fund positions come under pressure, Vikram Pandit's fund picks 50% stake in JM Financial's realty lending arm for $87m[more]

    George Soros puts $500m of his money on Bill Gross From WSJ.com: Before Bill Gross was fully settled in at his new firm, Janus Capital Group Inc., he received an unlikely visit from the chief investment officer of famed investor George Soros ’s firm, according to a person familiar with t

  2. Europe - Hedge funds face exit tax as Iceland central bank discusses plan[more]

    From Bloomberg.com: Hedge funds and other creditors with claims against Iceland’s failed banks face an exit tax as the island looks for ways to unwind capital controls without hurting the economy. The government targets having a plan it can present by year-end that would map out how Iceland will sca

  3. Opalesque Exclusive: Risk management emerges as a competitive focus area for hedge funds[more]

    Bailey McCann, Opalesque New York: Risk management has always been a core component of any trading strategy, as well as a critical part of business management. However, as macreconomic weakness persists, and alpha becomes increasingly hard to generate, risk management as emerged as a more promin

  4. Unlucky Paulson & Co. rebrands $1.6bn Recovery Fund after 13% drop[more]

    From Businessweek.com: A maturing U.S. economic recovery is prompting Paulson & Co. to change course. The $19 billion hedge fund firm, led by billionaire John Paulson, told investors on a conference call this month that the Paulson Recovery Fund will be renamed Paulson Special Situations Fund on Jan

  5. Gross: Inflation is required to pay for prior inflation[more]

    Benedicte Gravrand, Opalesque Geneva: As inflation rises, every dollar will buy a smaller percentage of a good. While deflation will mean a decrease in the general price level of goods and services. These two economic conditions are both in the waiting room. The consensus would like the former to