Julius Baer profit rises, sees caution increasing

Julius Baer Group AG (BAER.EB) said Monday that its first-half net profit rose significantly, helped by an increase in assets under management.

Net profit increased roughly 26% compared with the same period last year to 443.8 million Swiss francs ($446.9 million), the Swiss bank said. Assets under management stood at CHF399.9 billion compared with CHF354.7 billion in the same period last year, with net new money of CHF9.9 billion.

The net profit represents "an all-time high," according to Chief Executive Bernhard Hodler, who said he is confident of reaching 2018 net-inflow and cost-efficiency targets. The rise in assets under management was supported by the acquisition of 95% of Brazilian wealth manager Reliance Group and positive currency effects, the bank said, even as stock market declines in Europe and Asia clipped performance.

Mr. Hodler said that markets have become increasingly cautious in light of mounting trade tensions, but said the trend plays to the bank’s strengths as an investment advisor.

"Markets had a strong and upbeat start to the year but ended the first half on a more cautious note, pondering the potential impacts of trade tensions and of an impending end to quantitative easing," Mr. Hodler said.

Source: Read Full Article