Financial Results
Lombard Odier Posts AuM Of $162 Billion
Geneva-headquarted Lombard Odier has reported a 5.6 per cent climb in managed assets over the course of 2014.
Swiss private bank Lombard Odier boosted its assets under management by 5.6 per cent to SFr161 billion ($162 billion) over 2014, according to its first ever full-year results statement.
The results follow Pictet's first ever release of annual figures and reflect a change in legal structure compelling Switzerland's traditionally discreet private banks to commit to public disclosure.
The steady year was driven by net inflows from the private client business, which accounted for over half (SFr116 billion) of the bank's total client assets of SFr215 billion, while the asset management unit recorded assets of SFr49 billion.
The asset management business however suffered net outflows. Exact figures were not released but Lombard Odier blamed a fall in money market funds amid the low interest rate backdrop. Meanwhile, the bank highlighted Global Equities (Golden Age), Europe Equities (Europe High Conviction) and Convertibles as three of its best-performing funds.
Lombard Odier reported an operating income of SFr1.03 billion and a net profit of SFr120 million for last year but did not give corresponding 2013 figures to compare.
“Our earnings in the second half of 2014 were on track as the bank positions its businesses for the future,” Patrick Odier, senior managing partner, said in the statement.
“Our private clients business will continue to expand its reach in Switzerland, Europe and the emerging economies; our asset management unit will continue to focus on distinctive and innovative investment solutions and our technology and banking services business will further develop its platform for the benefit of our own and third-party clients.”
The group has a Basel III CET1 ratio of 22.6 per cent, which it said was unaffected by the Swiss National Bank’s decision to end the minimum exchange rate of SFr1.20 per euro. However, it warned that exchange rate fluctuations and market volatility could well impact its earnings this year.
