Geneva-headquartered Union Bancaire Privée recorded higher profits in 2024 due to an increase in income across the board.
UBP’s 2024 profit grew 15 percent year-on-year to 223.8 million Swiss francs ($246.7 million), according to an announcement of the bank’s financial results.
Income increased 9.4 percent to over 1.3 billion francs, driven by a 5 percent increase in fees and commissions from an expanded asset base and heightened brokerage activity from private clients, especially in structured products. Interest operations also rose by 81.4 million francs, up 20.3 percent, reflecting the bank’s interest rate hedging strategy.
Operating expenses increased 9.1 percent to 908.9 million francs from costs related to recruitment, tech investments and the acquisitions of Societe Generale Private Banking Suisse and SG Kleinwort Hambros. Overall, the operating cost/income ratio was stable at 67.7 percent.
Investment Performance Drives AUM Growth
Client assets grew 10.3 percent to 154.4 billion francs which the bank attributed to the strong performance of its investment solutions supported by financial markets and positive exchange rate impact. However, 1.7 billion francs in net new money from private clients was largely offset by outflows from large institutional clients taking profits and the termination of partnerships with external fund managers.
«Our solid results clearly demonstrate UBP’s ability to offer our private and institutional clients attractive investment solutions as well as the best quality of service. Client activity levels and net interest income remained strong in 2024, supported by a favorable financial environment. We continued to invest in our operations and infrastructure to meet the requirements of an increasingly complex regulatory environment,» said UBP CEO Guy de Picciotto.
«We also mobilized our resources to prepare for the integration of our two latest acquisitions, expected at the end of January in Switzerland and at the end of March in the UK, which will enable us to further expand our offering to clients thanks to the complementary strengths of our teams.»
