In addition to Luxembourg, Frankfurt is to become one of the main pillars of Julius Baer, as Boris Collardi told the international news channel Bloomberg TV. The CEO of the Swiss private bank gave further insights into the future corporate strategy.
“Luxembourg and Frankfurt will be the pillars of our corporate strategy,” said CEO Boris Collardi in an interview with Bloomerg TV. At the moment, Frankfurt is number one, but the Swiss bank will move to Luxembourg for strategic reasons Collardi, saying that a third central seat for European business will be kept in London.
Specifically, Collardi is referring to the fact that the private bank will be processing its European private banking customers through Bank Julius Baer Luxembourg from 2018. That is what the International S.A. acquired from Commerzbank is now called. Luxembourg, or Cisal for short. The associated platform Temenos will then be used as a booking center.
For German customers, everything stays the same. The German subsidiary Julius Baer Europe had previously been used as the booking platform. Julius Baer wants to focus again on the German onshore business with wealthy clients in Frankfurt. The bank is recording steady growth there and, according to its own information, has been profitable since the fourth quarter of 2014.
The best half year so far
Julius Baer also published its half-year results for 2017. Assets under management have increased by 6 percent since the end of 2016, which corresponds to 19 billion Swiss francs. In total, the assets under management amounted to 355 billion Swiss francs after the first six months.
The increase was mainly due to net inflows of 10.2 billion, as the private bank announced in a press release. According to Collardi, it was the best half-year ever.
The Swiss private bank Julius Baer employs around 6,000 people in more than 25 countries worldwide. In the Asian region in particular, Collardi is aiming for further expansion, with further employment of senior consultants and inorganic growth through acquisitions.
You can watch the video of Boris Collardi’s full interview with Bloomberg TV in English here. During the twelve minutes or so, the Julius Baer CEO goes into more detail about the current activities of customers, explains the bank’s Asia strategy in detail and comments on the institute’s strategic decisions with regard to the upcoming Brexit.