Swiss pure-play Julius Baer registered negative net new money in Asia in 2022 due to de-risking in volatile markets, despite positive inflows in the second half.
In the first half of 2022, Julius Baer saw net outflows in Asia as «a number of large clients reacted to the environment of increased uncertainty by de-risking their investment portfolios and reducing leverage», according to the bank's annual financial results, though no specific figures were disclosed.
Although net new money from Asia-domiciled clients turned positive in the second half of the year, this only managed to «partly» offset the net outflows from the previous six-month period.
Positive Global Inflows
Globally, Julius Baer posted net inflows of 9 billion francs ($10 billion) in 2022 with strong contributions from Europe and the Middle East.
Although the bank saw a net outflow of 1 billion francs in the first half of the year, it was able to offset this amount with net new money of 10 billion francs in the second half. The last two months of the year were especially strong with 6 billion francs of net inflows.
Overall, assets under management fell by 58 billion Swiss francs ($64 billion) to 424 billion francs due to a correction in global stocks and bonds as well as the weakening of the euro and British pound.
