LGT, the international private banking and asset management group has reported a healthy performance for the first half of 2015 with Asia making a significant contribution to the business.
Compared to the same period last year, total operating income rose 15% to CHF 548.8 million and total group profit increased 27% to CHF 131.0 million. The cost-income ratio decreased 5.7 percentage points to 69.7%. Net asset inflows totaled CHF 4.1 billion, which corresponds with an annualized growth rate of 6%.
Due to currency effects, assets under management decreased 2% to CHF 125.7 billion compared to year-end 2014. LGT however is optimistic in its outlook for the further development of its business. Owing to a larger asset base compared to the same period last year, and thanks to strong client activity in a volatile economic and currency environment, LGT increased its total operating income by 15% in the first half of 2015 to CHF 548.8 million.
In Line With The Growth
Net interest income contributed CHF 47.3 million (+10%) to this result, income from services contributed CHF 381.5 million (+17%), and trading and other income CHF 120.0 million (+13%). Total operating expenses rose 13% to CHF 382.7 million during the period under review.
Staff recruitment and performance-related compensation was in line with the growth of the business, personnel expenses increased 15% to CHF 300.0 million. Business and office expenses rose 8% to CHF 82.7 million. LGT is optimistic in its business outlook for the remainder of the year and beyond.
H.S.H. Prince Max von und zu Liechtenstein, CEO of LGT said, “Having once again achieved very good results in the first half of 2015, and based on the positive feedback we are getting from clients and employees in our core markets around the world, we are seeing clear confirmation for our chosen approach. We will consistently pursue our long-term growth strategy and further invest in the expansion and investment competence of our business.”
